Q: How is the provision for impairment loss of agriculture-related loans deducted before tax? 1. According to Article 1 of the Notice of the Ministry of Finance of State Taxation Administration of The People's Republic of China on Relevant Issues Concerning Pre-tax Deduction of Agricultural Loan Losses for Financial Enterprises and Small and Medium-sized Enterprises (Caishui [2015] No.3), according to the Guiding Principles of Loan Risk Classification (Yinfa [2001] No.416). (3) For doubtful loans, the provision ratio is 50%; (4) Loss loans, with a provision ratio of 100%. ? Two. According to Article 2 of the Notice of State Taxation Administration of The People's Republic of China of the Ministry of Finance on Relevant Policies for Pre-tax Deduction of Enterprise Income Tax for Loan Loss Reserves of Financial Enterprises (Caishui [2015] No.9), the calculation formula of loan loss reserves allowed for pre-tax deduction by financial enterprises in that year is: loan loss reserves allowed for pre-tax deduction in that year = balance of loan assets allowed to be withdrawn from loan loss reserves at the end of this year? 1%- balance of loan loss reserve deducted before tax as of the end of last year. If the amount calculated by the financial enterprise according to the above formula is negative, the taxable income of the current year should be increased accordingly. ? Therefore, according to the above documents, your company's provision for impairment loss of agricultural loans is deducted.