Corporate governance as a tool for effective tax management

Tax is undeniably essential for a country and a corporation. Both parties have a similar interest of tax. For a country, it is its source of income, while for a corporation tax will reduce its net income. There are different financial management tools, where the role of tax management is becoming essential. We have looked through existing literature on tax management and discussed trade-offs for companies and for tax office of such activities on reducing tax payments by companies. We made our recommendations to both parties on optimization of this process based on reviewed documents and literature and suggested corporate governance as a main tool for effective tax management.