| dc.description.abstract | Revenue growth accompanied by the increase of tax expense has made
many companies to conduct tax planning. Some companies chose to do tax evasion
that truly made the government endured losses, but there are many methods to do
tax planning legally according to the provisions, which are leasing, revaluation of
fixed assets, depreciation of fixed assets, transfer pricing, and others.
HMS is a hospitality company and currently planning on buying three fixed
assets, Kijang Innova, Hi Ace Commuter, and a cooling machine (chiller). With an
increase of revenue along with its tax expense, HMS needs to do tax planning. Tax
planning which can be done at HMS is in the decision making of the fixed asset
purchases. The purpose of this study was to analyze and define alternative asset
purchases remain the most profitable in the income tax savings from a comparison
of the three alternatives, cash, bank loans or leasing with option rights. This research
use qualitative method.
The results showed that the largest tax savings on the purchase of two of the
three alternative assets is the leasing with option rights. The tax savings are not
always derived from leasing alternative but depend on the factors that influence the
amount of deductible expense. Smallest cash outflows of the three assets is the cash
alternative, because it does not contain interest costs and other additional costs. | en_US |
