There are two ways to declare personal income tax mortgage: 1, through withholding agent. 2. Annual self-declaration of comprehensive income. The declaration process has the following steps: 1. Before applying for personal income tax mortgage, you need to prepare some materials, such as house sales contract and loan contract. 2. Open the personal income tax APP and click on the housing loan interest. 3. Check personal information after entry and fill in relevant mortgage information. 4. Choose your own loan method, and then fill in the loan information. 5. Then fill in the relevant information according to whether there is a spouse or not, and choose the deduction ratio according to your own situation. 6. Finally, choose the declaration method according to your own situation. 7. Generate your own reporting records according to the reporting method. If taxpayers or their spouses use individual housing loans from commercial banks or housing accumulation funds alone or jointly to purchase housing for themselves or their spouses in China, the interest expenses incurred in the first housing loan shall be deducted according to the standard quota of 1 000 yuan per month in the year when the loan interest actually occurred, and the maximum deduction period shall not exceed 240 months. Taxpayers can only enjoy a first home loan interest deduction.
Legal basis: People's Republic of China (PRC) Tax Collection and Management Law.
Article 1 This Law is formulated with a view to strengthening the administration of tax collection, standardizing tax collection, safeguarding national tax revenue, protecting the legitimate rights and interests of taxpayers and promoting economic and social development.
Article 2 This Law is applicable to the collection and management of various taxes collected by tax authorities according to law.
Article 3 The collection, suspension, reduction, exemption, refund and supplementary payment of taxes shall be carried out in accordance with the law. Where the State Council is authorized by law, it shall be implemented in accordance with the provisions of administrative regulations formulated by the State Council.
Does the loan interest income include tax?
Legal analysis: enterprise loan interest income is subject to VAT. Individuals who want to lend money to enterprises have to pay value-added tax, and invoices can be issued by the tax bureau (0.05% stamp duty will be required when issuing invoices); Dividends and dividend income should also be subject to personal income tax at the rate of 20%. So the loan interest includes tax.
1, 0.05 ‰ shall be applied to sign the loan contract;
2. According to the relevant provisions of the Provisional Regulations on Business Tax, enterprises that have obtained interest income should pay business tax in full at 5% of the tax item of "financial insurance";
3. Interest income is paid as investment income.
The difference between general loan interest and special loan interest;
1 has different meanings.
(1) The interest expenses incurred by "special loan" before the completion of fixed assets and the interest expenses incurred before the fixed assets reach the scheduled usable state are included in the value of built fixed assets and capitalized.
(2) The "interest expense" in financial expenses refers to the interest expense and related handling fees incurred by an enterprise to raise funds needed for production and operation.
2. Different production stages
(1) Interest expenses incurred by financial expenses are recorded in the "period expenses" of the enterprise.
(2) Interest expenses incurred from "special loans" before the completion of fixed assets are included in the value of fixed assets: (projects under construction).
3. Interest calculation is different.
During the capitalization of borrowing costs, the capitalization amount of interest in each accounting period (including amortization of discount or premium) shall be determined according to the following methods:
(1) Where a special loan is borrowed for the purchase, construction or production of assets eligible for capitalization, it shall be determined according to the actual interest expenses incurred in the current period of the special loan, minus the interest income obtained by depositing unused loan funds in the bank or the investment income obtained by temporary investment.
(2) Where an enterprise occupies a general loan for the purpose of purchasing, constructing or producing assets that meet the capitalization conditions, it shall calculate and determine the interest amount that should be capitalized on the general loan according to the weighted average of the capitalization rate of the occupied general loan multiplied by the accumulated asset expenditure exceeding the special loan. The capitalization rate is calculated and determined according to the weighted average interest rate of general loans.
(3) If there is a discount or premium on the loan, the amount of the discount or premium to be amortized in each accounting period shall be determined according to the effective interest rate method, and the interest amount in each accounting period shall be adjusted. During the capitalization period, the capitalization amount of interest in each accounting period shall not exceed the interest amount actually incurred in the current period of the relevant loan.
Legal basis: Article 2 of the Individual Income Tax Law of People's Republic of China (PRC), the following personal income shall be subject to individual income tax:
(1) Income from wages and salaries;
(2) Income from remuneration for labor services;
(3) Income from remuneration;
(4) Income from royalties;
(5) Operating income;
(6) Income from interest, dividends and bonuses;
(7) Income from property lease;
(8) Income from property transfer;
(9) Accidental income.
Individual residents who obtain income from items 1 to 4 of the preceding paragraph (hereinafter referred to as comprehensive income) shall calculate individual income tax according to the tax year; Non-resident individuals who obtain income from items 1 to 4 of the preceding paragraph shall calculate individual income tax on a monthly or itemized basis. Taxpayers who obtain income from items 5 to 9 of the preceding paragraph shall calculate individual income tax separately in accordance with the provisions of this law.
Value-added tax on interest paid to banks
The value-added tax on bank interest is generally 6%. According to State Taxation Administration of The People's Republic of China's document on the full implementation of camp reform, the loan business belongs to the financial industry, and all taxpayers who obtain the income from the loan business are taxpayers who should pay VAT, and the applicable VAT rate for ordinary taxpayers is 6%. Article 15 (1) Notice of the Ministry of Finance in State Taxation Administration of The People's Republic of China on Comprehensively Pushing Forward the Pilot Project of Changing Business Tax to Value-added Tax. In case of taxable behavior of taxpayers, the tax rate shall be 6% except for the provisions in Items (2), (3) and (4) of this article. (2) Providing transportation, postal services, basic telecommunications, construction and real estate leasing services, selling real estate and transferring land use rights at the tax rate of 1 1%.
How much personal income tax should I pay for the loan interest?
1. According to the individual income tax law, the interest earned by borrowing from individuals and enterprises is based on the interest, dividends and bonuses specified in Item 5 of Article 3, and the proportional tax rate is applicable, with the tax rate of 20%. Interest income from private lending shall be declared and taxed in accordance with the provisions of national laws, and the tax amount shall be calculated by multiplying the interest income by 20%. It is suggested that interest tax should be considered when determining the interest rate of private lending. Article 3 of the Individual Income Tax Law: 1. The income from wages and salaries is subject to an excessive progressive tax rate of 3% to 45% (the tax rate table is attached). Two, the income from the production and operation of individual industrial and commercial households and the income from the contracted operation and lease operation of enterprises and institutions shall be subject to an excessive progressive tax rate of 5% to 35% (the tax rate table is attached). 3. The income from remuneration for writing shall be taxed at a proportional rate of 20%, with a reduction of 30% according to the tax payable. 4. Income from labor remuneration is subject to the proportional tax rate of 20%. If the one-time income from labor remuneration is abnormally high, it may be levied, and the specific measures shall be formulated separately. 5. Income from royalties, interest, dividends, bonuses, property leasing, property transfer, accidental income and other income shall be subject to a proportional tax rate of 20%.
How to deduct personal income tax after the mortgage is paid off
Legal analysis: 1. If the mortgage has been paid off, you can't enjoy the interest deduction of the housing loan. 2. Taxpayers can only enjoy a first home loan interest deduction. 3. Even if both housing loan interest deduction and housing rent deduction are met, only one deduction can be selected. 4. If you are not sure whether it meets the first suite, you can look at the purchase contract or consult the loan bank or provident fund center. Special additional deduction conditions for housing loan interest: 1. The house is in China. 2, I or my spouse, alone or * * * with commercial loans or provident fund loans, buy for me or my spouse. 3. Enjoy the interest rate of the first home loan, which is being repaid. Deduction amount and time: 1, fixed monthly deduction 1 ,000 yuan, unified throughout the country. 2. The maximum deduction period shall not exceed 240 months. 3. If the loan term is less than 240 months or the loan is repaid in advance, it will be deducted according to the actual monthly loan interest. 4. A person can only enjoy it once.
Legal basis: Article 14 of the Interim Measures for Special Additional Deduction of Individual Income Tax: Taxpayers or their spouses use personal housing loans from commercial banks or housing accumulation funds to buy houses for themselves or their spouses in China; The interest expenses incurred by the first home loan shall be deducted according to the standard amount of RMB 1 0,000 per month in the year when the loan interest actually occurred, and the maximum deduction period shall not exceed 240 months. Taxpayers can only enjoy a first home loan interest deduction.