Tax Risk Management

In the course of doing business, each company faces a large number of different risks, including market and credit risk, liquidity risk, reputational risk, tax risk, and others. Moreover, all risks are related to each other, negative event affects not one area of the organization's activities, but several, and, accordingly, the event is reflected in several risks at once. This paper is devoted to the tax risk management. Tax risk is the probability of an adverse event in the tax area, related to the calculation and payment of tax, which results in financial and reputational losses of the company. The purpose of the work is to develop informational and methodological support for the identification and management of tax risks of the company. The first chapter of the paper examines the definition of tax risk, its classification, factors of formation and possible consequences. It defines the goals and objectives of tax risk management. Also, it explores tax management’s methods and models of response to the risk, that reflect the company's behavior in relation to risks at a particular time when actions are taken. In the second chapter of the work, it is identifies the methodologies of tax risk management applied by companies, the strengths and weaknesses of the methods are defined. Also, it represents the developed by author a methodology for identifying potential risk operations and assessing the degree of probability of such an event on the risk scale "low", "medium", "high". The third chapter is devoted to the analysis of tax risks in the activities of JSC "KZ Volzhsky". In this part of the work, it is defines the features of the company's business activities and transactions carried out by the company during the analyzed period. Risk operations were identified, the level of risk of such operations was determined, and recommendations were developed to reduce the risk level to "low".