What we call tax planning means that all taxpayers comply with the legislative intent and reduce the tax burden in enterprise financial management. Conceptually, there are narrow and broad definitions. In a narrow sense, tax planning refers to the objective and low-tax environment, that is, under the given organizational structure and operating conditions, enterprises can reduce tax burden, increase revenue and reduce expenditure, and improve economic benefits by selecting and controlling investment and financing methods, cost accounting methods, and income ownership period. This kind of tax planning is also called "environmental utilization tax planning" because it is formed by using a low tax environment. In addition to the above-mentioned "environmental utilization tax planning", tax planning in a broad sense also includes "structural utilization tax planning", that is, expanding its organizational structure in enterprise operation, making full use of tax law to reorganize the enterprise structure, so as to reduce tax burden and increase working capital.
Tax planning refers to a broad concept, which briefly summarizes some specific schemes in practice.
Tax planning should mean that taxpayers make the best choice of various tax payment schemes in order to safeguard their own rights and interests within the scope permitted by law, with the aim of enabling taxpayers to fully exercise and enjoy their legal rights.