Governments worldwide have become more assertive in combating tax evasion and aggressive tax avoidance, leading to stricter regulations and enhanced scrutiny of firms' tax practices. Effective tax management not only helps firms fulfil their legal obligations but also plays a crucial role in shaping financial performance and reputation. Optimal tax planning strategies can minimize tax burdens, enhance after-tax profitability, and contribute to sustainable growth. Furthermore, ethical tax practices are essential for maintaining stakeholders' trust and navigating global business operations. The paper includes various studies that shed light on multiple aspects of managing tax, such as working capital management, transfer pricing strategies, profit shifting, tax planning decision-making, aggressive tax planning, capital structure, corporate governance, and compliance behaviour. The findings from these studies add to the already persistent analysis and give insights into the complexities of tax management for firms operating in today's business landscape. Understanding the ideal ways of tax management can help firms develop effective strategies and navigate the evolving tax environment while ensuring compliance, optimizing financial performance, and maintaining stakeholder trust. The researcher had considered people from accounts department of different firms to know ideal ways of tax management by firms and concludes that tax planning strategies minimize tax burdens, enhance after-tax profitability, and contribute to sustainable growth.

Tax management, Optimal tax planning strategies, Stakeholder trust, Firms, Tax Compliance