Modern tax systems are characterized with the need for an economically justified and legally correct determination of the tax consequences of operations carried out in the context of the use of complex ambiguous models of contractual relations (business models). Taxation when using such models, as a rule, is accompanied by the need to conduct an analysis aimed at clarifying the essential economically justified reason of either the business model as a whole, or individual elements of the operations carried out, for example, the essence of certain payments made by the taxpayer or in his favor. The results of the preliminary analysis showed that one of the most relevant areas of research in this area is a set of issues related to the methodology for determining the customs value of goods as a basis for calculating customs duties. In some countries, it is one of the components of the tax base for value added tax and excise taxes paid as part of customs payments. At the same time, the study of both Russian and international experience shows the special significance of the scientific development of two directions in this area, namely: formation of methodological approaches to the concept of an actual buyer of goods, the customs value of which is determined; qualification based on the actual economically justified reason of individual payments, including those that are not formally included in the customs value of goods based on the principles formulated by the World Trade Organization. As part of the scientific development of the above questions, the results of which are presented in the article, the following research methods were used: analytical, graphic, generalization and economic modeling.
Financial risk is made up of potential volatility or changes in earnings that differ from participants' expectations and estimates of these values. This can have both positive and negative impacts depending on the preferences of risk consumers. The investment climate of a nation, especially for developing economies has a great role to play in the level of financial risks that an organization can be exposed to. Even if the best company in the world hires the best managers obtainable in a field to run a company in a country where the stakes are high as regards risk, the company will most likely show signs of financial risks that may just be inevitable. This study carefully analyzed financial risks in businesses with a focus on efficient management in a developing country like Saudi Arabia, using a qualitative research technique. The research provides additional contributions to discuss on financial risks in corporate organizations by not only highlighting the various types of risks applicable but demonstrated how they apply in Saudi Arabia.
Risk management which occurs everywhere in the realm of finance allows organizations attempt to prepare for the unexpected by minimizing risks and extra costs before they happen. This is done by implementing a risk management plan and considering the various potential risks or events before they occur. Descriptive statistics using a frequency distribution and percentage distribution were used to analyse the data gotten from five multinational companies in Saudi Arabia. Chi-square (X2) test was also used as the statistical tool to test for the hypothesis. The study shows that risk identification, risk evaluation and analysis, risk policy implementation and risk prevention are more efficient and influential factors to consider in contributing to the financial risk management practices of many multinational organizations. In pursuit of corporate sustainability, multinational companies are thus advised to put more attention on these factors in implementing risk management plans.
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