Small loan companies should pay enterprise income tax according to law. Small loan companies can be established by natural persons, corporate legal persons and other social organizations, but their nature is that limited liability companies or joint stock limited companies are corporate legal persons. That is to say, although natural persons who meet the prescribed conditions can set up small loan companies, the new enterprise income tax law implements the enterprise income tax system. The Guiding Opinions on the Pilot Project of Small Loan Companies issued by China Banking Regulatory Commission and China People's Bank and its implementing regulations stipulate that enterprises and other organizations with income in People's Republic of China (PRC) should pay enterprise income tax on their annual taxable income in accordance with the provisions of this law, and the applicable tax rate is 25%.

In addition, if the company meets the requirements of small-scale low-profit enterprises, it can pay enterprise income tax at a reduced rate of 20%. The Notice of State Taxation Administration of The People's Republic of China on Printing and Distributing the Spiritual Outline of the New Enterprise Income Tax Law (Guo [2008]159) clearly regards enterprises that exist in corporate or non-corporate form and organizations that obtain income as enterprise income taxpayers, including state-owned enterprises, collective enterprises, private non-enterprise units and other organizations engaged in business activities. Therefore, small loan companies, whether established by corporate legal persons and other social organizations or natural persons, must be established according to law.

A sole proprietorship enterprise or partnership enterprise belongs to the nature of a natural person and has no legal personality, and its shareholders bear unlimited liability. Therefore, the new enterprise income tax law and its implementing regulations exclude sole proprietorship enterprises and partnership enterprises established in accordance with Chinese laws and administrative regulations from enterprise income tax payers. In other words, small loan companies established by natural persons, based on their legal nature, should pay corporate income tax instead of personal income tax.

Individual income tax shall be paid on the after-tax profits of natural person shareholders. On June 5438+ 10, 2006, the new guiding opinions of China Banking Regulatory Commission and People's Bank of China on the pilot of small loan companies made the legal system of one-man company established for the first time in China. One-man company is a limited liability legal person enterprise established in accordance with the Company Law. As a one-man company and its shareholders are two different legal subjects, when paying taxes, the one-man company and its shareholders are treated separately, that is, the enterprise income tax is levied on the one-man company first, and at the same time, the after-tax profits, that is, interest, dividends and bonus income, obtained by the one-man company are taxed at the rate of 20% according to the Guiding Opinions on Pilot Small Loan Companies issued by the China Banking Regulatory Commission and the People's Bank of China.

What needs to be mentioned briefly here is that in addition to the above-mentioned main taxes, it may also involve urban maintenance and construction tax, property tax, land use tax, stamp duty, education surcharge and so on.