How did the company report the profit? What is the general reason?

The situation is more complicated, and I'll say some of the things I've seen in my business.

The first thing to say is that accounting profits and income tax is not a complete concept, enterprises each year to the IRS report statements and corporate income tax returns, the role of this declaration is to adjust your accounting standards under the profits of the tax law approved profits. If your pre-tax profit is 10 million yuan, but according to the tax law, your pre-tax profit may be 15 million yuan or 5 million yuan, so your pre-tax profit and corporate income tax is not necessarily related (but generally positive). The main question is the enterprise false accounting profits.

0th, why 0, because it is likely to be legal. Enterprises in the tax exemption or enjoy the tax concessions during the efforts to report profits, and in other years to report less profits, reduce corporate income tax burden. This is the result of income tax management and everyone will do it. This can be achieved by lawful means, cannot be said to be completely illegal, but the latter several basic is illegal (at least the violation).

The first situation: state-owned enterprises assessment. Generally speaking, management is responsible to shareholders. If your shareholders have state-owned shares, especially if you are state-controlled, congratulations, in addition to accounting standards, you have to abide by a series of rules and regulations of State-owned enterprises. The most common is the state-owned assets to maintain and increase the demand, that is, your home can only be more money, or if you do not have a good reason is someone to step down. In addition, the more perverse is the possibility of growth rate requirements, such as last year's growth of 10%, this year how to increase the 15% bar, this assessment and personnel promotion linked. Therefore, the state-owned enterprises have to do more profit momentum. And state-owned, you know, anyway, tax is not their own, more money is not their own, the promotion is their own, so do not pay more tax, but also good and the relationship between the Inland Revenue, right? It seems to say too much.

In the second case: the Bureau of Statistics requests that the material be reported. The first is the state-owned enterprises, but this situation involves all companies, anyway, statistics of local GDP, last year, the GDP growth rate is 10% (assuming), this year, no one will pull back, profits (income) must increase 12%, or return to repeat the report. However, in general, the default statistics collected by the report is not linked to corporate income tax, or business owners will not be forced to ignore you, small statistical Bureau offended on the offended.

The third scenario: management and shareholders (or large and small shareholders) are rewarded for betting on what performance is required. There will be rewarded under the sun, you know.

The fourth kind of situation: actually also can not calculate the report, but the previous year for various reasons (mistaken, hidden to prevent future losses) to make a profit, this year after the audit is really hidden, then release it. For example, the actual profit of 10 million this year, but the first two years HID 2 million, this year the final report of the profit may be 12 million. Sometimes auditors have a little bit of moral integrity.

The fifth kind of situation, the listed company was St, no profit will pick up the card, then do Bai.

The sixth kind of situation, the malicious forgery guarantees the card, please Baidu South spinning shares. The SFC does not impose heavy penalties and is simply encouraging fraud.

The above is common, as for the enterprise is wrong this I think does not belong to the question of the main question, because this is really a low-level error.