Debt financing has the effect of "tax saving" because debt financing needs to pay interest, which can be deducted before tax, which reduces the income tax payable and the tax paid, which is equivalent to tax saving.

Tax saving means that taxpayers make full use of a series of preferential policies, such as tax threshold, tax reduction and exemption, to handle financial, business and transaction matters with the lowest tax burden under the premise of not violating the legislative spirit of tax law.