Tax Optimalization of The Business Subject

The subject of this diploma thesis is the tax optimisation of a selected business entity. The thesis aims at finding the most optimum tax solution possible, especially of corporation income tax in order that the selected entity has as low tax liability as possible. The diploma thesis is divided into a theoretical and practical part, each of which is divided into individual chapters and subchapters, dealing with specific problems. The introduction of the theoretical part includes basic terms relating to tax issues, general data on the taxation system of the Czech Republic. The following and, simultaneously, most comprehensive chapter is devoted to corporation income tax, namely for the reason that the practical part deals with alternatives of optimisation of corporation income tax. In these chapters I proceeded mainly from the current wordings of tax laws and other specialised publications. The practical part of the thesis provides, one by one, suggestions of individual alternatives for reducing tax liability, which are subsequently theoretically explained and practically calculated. When calculating the individual alternatives I proceeded on the basis of exact data and details that the selected enterprise had been provided to me. Thanks to it, I had the opportunity to obtain a good knowledge of its internal functioning, economic situation but also the ownership structure. A summary of these resultant alternatives is then given in chapter 7. It exactly shows what impact each of the alternatives would have on the enterprise{\crq}s tax liability and what the tax liability would amount to if all the alternatives proposed were used