What are the common financial misunderstandings and tax avoidance techniques of companies?

"The company property is also my property. Why can't I move? " Many private business owners will ask this question when they talk about whether the business and the boss should distinguish between public and private. It is not uncommon for public and private to be indistinguishable. The confusion of accounts directly affects the financial planning of enterprises, and the business owner is only the legal representative of the enterprise, so the company property and personal family property cannot be confused. In fact, scientific financial planning can avoid taxes more reasonably in some business links.

There is a strict distinction between company property and personal consumption expenditure, and we do not encourage personal consumption to be listed in company expenditure to avoid tax. In fact, under the premise of law, it is also possible to increase the family income of business owners by dividing the right to use goods, thus reducing the total cost. Similarly, we can skillfully use the attributes and characteristics of assets to avoid taxes, thus increasing the actual assets of the company.

Separating enterprise property from family property will inevitably involve some public and private items. For example, some business owners buy real estate and use part of it for office. In fact, the company is the property of the leasing business owner. However, some business owners' private cars are often used for office work, and in some cases they need to be used as a means of transportation for company employees. In this case, the business owner can charge a certain rental fee to the enterprise. For example, the company will pay the business owner a suitable monthly rent, which is included in the company's expenses, which can increase the pre-tax expenditure of the enterprise, reduce the tax, and also increase the family cash flow of the business owner.

In addition, many private entrepreneurs are also keen to invest in collectibles, such as utensils, calligraphy and painting. The artworks obtained from these auctions are either used to decorate the corporate facade or set up corporate museums, aiming at enhancing the corporate image and taste. These collectibles can be classified as the fixed cost of the enterprise, and depreciation is included in the cost every year, because in China's enterprise income tax law, collectibles are not excluded from the fixed cost, as long as they meet the provisions of "items that do not belong to the main facilities of production and operation, with a unit value of more than 2,000 yuan and a service life of more than two years, they should also be regarded as fixed assets". Collectibles, as fixed assets, depreciate every year and are eventually consumed as zero assets on the books. The value of general collectibles will only increase, even good collectibles can appreciate greatly, thus increasing the actual total assets of the company. Give consideration to both public and private interests, and you can't favor one over the other, but the use of skills needs to put legitimacy first.