Financial Education - Initiation and control phases as tools for tax planning

Well now I will talk a little about the initiation phase, which for practical purposes consists of defining the objectives of the planning and the resources necessary for its execution, the characteristics of the project imply the need for a phase or stage prior to the preparation of the same. A great part of the success or failure is mainly in these initial phases, since together with a good planning stage, the results can be seen.

As for the tool control phase, I must tell you that in this phase the work done is monitored, examining how the progress differs from what was planned and initiating the necessary corrective actions. It also includes leadership by providing guidelines to staff to do their work effectively and on time.

Theoretically, tax planning is defined as tax planning and consists of setting the specific course of action to be followed, establishing the principles that will guide it, the sequences of times and numbers necessary for its realization.

Based on the foregoing, tax planning is a formal approach consisting of the forecast and evaluation of the results of the administrative decisions of a company for a given period, as regards the different taxes to which the company is subject, as well as the form of calculation and payment thereof.

Regardless of whether or not a company applies a tax planning program, tax and financial aspects are closely related, so they must be included in a total planning program in order to coordinate them effectively.