The deduction of output tax and input tax should be handled according to the specific situation.

In this way, the input tax and output tax are deducted, and the value-added tax payable = output tax-input tax. If the output tax is greater than the input tax, the entry for carrying forward VAT is:

Borrow: Taxes payable-VAT payable (output tax);

Loan: Taxes payable-VAT payable (input tax), Taxes payable-VAT payable (value-added tax transferred out).

VAT deduction: tax payable = output tax-input tax.

The enterprise subtracts the input tax from the total output tax every month. If it is positive, it must pay tax to the tax bureau; If it is zero or negative, it doesn't have to be paid.

The input tax allowed to be deducted from the output tax is limited to the value-added tax indicated on the following value-added tax deduction vouchers and the input tax calculated according to the prescribed deduction rate:

1. Taxpayers purchase goods or taxable services and obtain the VAT amount indicated on the special VAT invoice from the seller;

2. Deduct the input tax at 10% of the price paid by the taxpayer to agricultural producers or small-scale taxpayers to purchase duty-free agricultural products and the price indicated on the purchase certificate approved by the tax authorities;

3. If duty-free grain is purchased from China grain purchase and sale enterprises, the input tax can be deducted according to the obtained ordinary invoice amount 10%;

4. For the freight paid by taxpayers for purchasing goods and selling goods, the input tax shall be reduced by 7% according to the freight and fund amount listed in the freight settlement documents, including ordinary invoices.

What are the input taxes that cannot be deducted from the output tax?

(1) purchased goods, intangible assets, etc. Used for simple tax items, value-added tax exemption items, collective welfare, etc.

(2) Goods purchased at abnormal loss (including those consumed in products and finished products, but excluding fixed assets), and related labor and transportation services.

(3) Abnormal losses of real estate, and purchased goods, design services and construction services consumed by the real estate (including real estate projects under construction).

What are the real estate projects under construction?

Taxpayers' expansion, construction, reconstruction, repair and decoration of real estate are all real estate projects under construction.

(4) Loan services, entertainment services, catering services and daily services of residents purchased.

(5) The investment and financing consulting fees, handling fees, consulting fees and other fees paid by the taxpayer to the lender for accepting the loan service (directly related to the loan).

(6) If the taxpayer providing insurance services bears the motor vehicle insurance liability (in the form of cash payment), the compensation payable to the insured shall be paid directly to the automobile maintenance service provider and shall not be deducted from the output tax of the insurance company.

(7) Taxpayers who apply the general taxation method are engaged in simple taxation items and VAT exemption items at the same time, which cannot be separated and therefore cannot be deducted.

(eight) the general taxpayer has deducted the input tax of real estate abnormal losses, or has been used for simple taxation, collective welfare, personal consumption, etc ...

(9) Other circumstances.

What is the treatment method of input tax and output tax?