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Is it tax deductible to absorb the losses of the merged enterprise?
Legal subjectivity:

After the merger of enterprises (that is, one enterprise absorbs another enterprise, and the absorbed enterprise has gone through cancellation registration), the newly established merger (that is, several qualified enterprises are merged and reorganized into a new enterprise, the original enterprise is cancelled, and the new enterprise applies for inheriting the original enterprise qualification) does not apply for qualification upgrading and adding other professional qualifications to apply for change. Can't. Although the enterprises are merged, the surviving or newly established construction enterprises after the merger can inherit the high level of informatization development of all parties before the merger, and shall meet the standard conditions of corresponding qualification levels. According to the Notice of the Ministry of Housing and Urban-Rural Development on Relevant Issues Concerning Qualification Verification of Construction Engineering Enterprises in the Case of Reorganization, Merger and Division (1) When an enterprise is absorbed and merged, that is, one enterprise absorbs another enterprise, the absorbed enterprise goes through the cancellation of industrial and commercial registration and applies for cancellation of qualification certificate, and the enterprise applies for the qualification of the absorbed enterprise; (2) Newly established enterprise merger, that is, several qualified enterprises are merged and reorganized into a new enterprise, the original enterprise has gone through the cancellation of industrial and commercial registration and applied for cancellation of qualification certificate, and the new enterprise applies for inheriting the qualification of the original enterprise; (3) When enterprises merge (absorption merger or new merger), if the absorbed enterprise or the original enterprise cannot handle the cancellation of industrial and commercial registration in a short period of time, the merged enterprise can obtain the qualification certificate valid for 1 year after applying for qualification cancellation. If the cancellation of industrial and commercial registration is completed within the validity period, the qualification certificate valid for 5 years may be renewed according to the regulations; If it fails to apply within the time limit, its qualification certificate will be invalid, and the relevant qualifications of the enterprise will be re-approved according to relevant regulations. The so-called enterprise merger refers to the complete merger of one enterprise with another enterprise, and the merged enterprise loses its independent legal person status. As a result of the merger, the changes in equity and assets of the absorber changed, and the absorber lost its legal personality. Assets, including liabilities, are merged into the absorbing party, and the shareholders of the absorbed enterprise become the shareholders of the absorbing enterprise. There are two main forms of absorption and merger in China: acquisition and debt repayment. The latter is a variant of the former, which essentially takes debt as the consideration for purchase. These two forms are easily confused with enterprise acquisition, and sometimes they are almost indistinguishable. To sum up, in the process of company development, absorption and merger cannot inherit the company's principle qualification, and we still need to know a lot of matters needing attention in the process of company development.

Legal objectivity:

Article 172 The merger of companies may take the form of absorption merger or new merger. A company absorbs other companies for merger, and the absorbed company is dissolved. The merger of two or more companies to form a new company is a new merger, and the parties to the merger are dissolved. Article 173 When a company is merged, all parties to the merger shall sign a merger agreement and prepare a balance sheet and a list of assets. The company shall notify the creditors within 10 days from the date of making the merger resolution and make an announcement in the newspaper within 30 days. Creditors may, within 30 days from the date of receiving the notice, or within 45 days from the date of announcement if they have not received the notice, require the company to pay off debts or provide corresponding guarantees.