With rapid development of market economy of our country, small and medium companies have became one important part of development of our national economy. On the premise of tax payment in according with law, taxtation and properly reduce tax pressure of companies is main way to increase economical benefits and competitive ability of companies. Therefore, it's one of the key points which the companies facing with to start taxation work and choose proper taxtation strategies. In view of specific cases and characters of small and medium business, choose the optimum taxtation strategies, analyzes application of taxtation in financial management in small and medium business, which can make them reduce tax pressure and boost benefits.
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