Elementary problem this research is addressing is reviewing tax planning in the domain of profit taxes (also known as corporate taxes). The goal of this final paper is to answer if it is possible to use efficient tax planning to pay less taxes on earned profit. In addition, aim is to emphasize importance of managing profit tax base by presenting methods and ways to achieve said target in the Republic of Croatia or internationally, for taxation subjects who operate in multiple taxation jurisdictions. Research of literature and Croatian profit tax law has led to the following conclusions: By using effective tax planning under specific circumstances clearly defined in Croatian profit tax law, subjects to profit taxes in the Republic of Croatia can get tax deductions, or full tax waiver in some instances. At the international level, it is proven how analysis of tax jurisdiction rules and requirements coupled with competition benchmarking and careful tax planning can lead to reduction of the profit taxes while observing mandatory law requirements. Paper identifies various legal methods and techniques such as hybrid arrangements that can be applied to reduce profit tax. Methods to be applied depend on several factors: - Tax subject organization and geographic spread, - Rules and regulations of tax jurisdictions for taxation subjects that operate under single tax jurisdictions, - Coordination and alignment of tax jurisdictions for taxation subjects that operate in two or more countries. Conclusion is that tax planning pays off when it is based on careful research of tax jurisdiction rules and regulations, allowable tax deduction and tax write-offs, as well as research of methods, techniques and tools applied by competition to reduce profit taxes within legal framework by utilizing tax deductions and write-offs available, or by using lack of synchronization between different tax jurisdictions they operate within.