Q: Can the SME loan loss reserve be deducted before the enterprise income tax? Those who meet the document requirements can be deducted before tax. Article 1 of the Notice on Pre-tax Deduction of Loss Reserves for Agricultural Loans of Financial Enterprises and Small and Medium-sized Enterprises (Caishui [2015] No.3) stipulates that financial enterprises shall, according to the Guiding Principles of Loan Risk Classification (Yinfa [2001] No.416), grant their agricultural loans to small and medium-sized enterprises in the following proportions. (2) Subprime loans, with a provision ratio of 25%; (3) For doubtful loans, the provision ratio is 50%; (4) Loss loans, with a provision ratio of 100%. At the same time, Articles 3 and 4 of the document stipulate that SME loans refer to loans granted by financial enterprises to enterprises with annual sales and total assets not exceeding 200 million yuan. Financial enterprises that meet the conditions of agricultural loans and loan losses of small and medium-sized enterprises should first write off the loan loss reserve that has been deducted before tax, and the insufficient write-off part can be deducted when calculating the taxable income according to the facts.