STUDY ON THE EFFECT ON TAX PLANNING STRATEGIES ON PROFITABILITY AT EUREKA FORBES LTD NAGPUR

Abstract

Tax planning plays a crucial role in enhancing a company's profitability by efficiently managing tax liabilities. In today’s competitive business environment, organizations need to adopt effective tax strategies to minimize financial burdens and optimize resource allocation. The study explores the impact of tax planning strategies on the profitability of Eureka Forbes Ltd., a leading player in the consumer durables industry in Nagpur. By examining various tax planning techniques employed by the company, such as tax exemptions, deductions, and credits, the research aims to understand how these practices influence overall financial performance. Additionally, the paper highlights the challenges faced by the company in implementing tax strategies, considering legal constraints and market conditions. A combination of qualitative and quantitative research methods, including financial data analysis and expert interviews, is employed to assess the outcomes of the tax strategies. The results of this study suggest that a well-structured tax planning framework significantly contributes to improved profitability by reducing tax outflows and improving cost efficiency. This research emphasizes the importance of aligning tax planning with organizational goals to maximize long-term financial success. The findings of the study offer valuable insights for policymakers, corporate managers, and financial experts looking to refine their tax strategies for enhanced business outcomes.