Reduce the economic behavior of paying taxes by legal means, that is, carefully arrange business activities and financial activities by non-illegal means, meet the conditions stipulated in the tax law as much as possible, and achieve the purpose of reducing the tax burden. The basis for tax avoidance: it should not be allowed. People who avoid taxes reasonably respect the tax law, but they rely on their own wisdom to gain benefits by taking advantage of loopholes in the tax law. Tax saving refers to choosing the one with the lightest tax burden or the most favorable tax among various profit-making economic activities in order to achieve the purpose of reducing tax payment. Change the form of enterprises to save taxes; Use financial planning to save taxes, and use tax preferential policies to save taxes.

Private equity investment (PE for short) refers to an investment method of investing in unlisted shares or non-publicly traded shares of listed companies. From the perspective of investment methods, private equity investment refers to the equity investment in private enterprises, that is, unlisted enterprises. In the process of transaction implementation, the future exit mechanism is considered, that is, through listing, mergers and acquisitions or management buyback, the shares are sold for profit.