According to the Detailed Rules for the Implementation of the Provisional Regulations on Enterprise Income Tax in People's Republic of China (PRC) and the Measures for Pre-tax Deduction of Enterprise Income Tax, the expenses related to production and operation of enterprises can be deducted before tax, and it is stipulated that the industrial injury insurance premium paid by enterprises for employees, the liquidated damages (including bank penalty interest), fines and legal fees paid by enterprises according to the provisions of economic contracts can be deducted before tax. The Regulations on Work-related Injury Insurance, which came into effect on June 65438+1 October1,2004, made a detailed description of work-related injury identification and work-related injury insurance benefits, and the compensation standards of local governments were also very clear. However, the above provisions and related income tax laws are not clear about whether the medical expenses and industrial injury compensation of enterprise employees can be deducted before tax, and local tax authorities have different treatments in practice. For example, Article 4 of the Notice of Dalian Local Taxation Bureau on Printing and Distributing the Provisions on Several Issues of Enterprise Income Tax stipulates that wages, various subsidies and subsidies paid by enterprises to employees and their families due to work-related injuries, disability and death are allowed to be deducted before tax in accordance with the provisions of industrial injury insurance for employees of urban enterprises in Dalian.

However, the tax authorities in some places believe that the statutory personal accident insurance paid by taxpayers for special types of work can be deducted before tax, but the compensation for work-related injuries is not allowed to be deducted before tax.

In view of the above provisions, remind taxpayers:

1. After an industrial accident, you should try your best to obtain relevant accident identification certificates in time to prove the authenticity of the accident. The key to identifying work-related injuries lies in whether they are caused by work.

2. Formulate compensation measures according to relevant documents of local government, and sign relevant compensation agreements with employees.

3. The compensation amount shall not exceed the compensation standard stipulated by the local government.

4. If the enterprise has participated in insurance, the amount of compensation shall be deducted from the compensation for work-related injuries confirmed by the relevant departments. Where an enterprise pays work-related injury insurance for its employees (the work-related injury insurance premium can be deducted before tax), it shall be paid by the work-related injury insurance.

5. The remuneration for the performance of the labor contract by the enterprise belongs to the expenses related to production and operation, not the welfare expenses in the general sense, and the enterprise should deduct it before tax.

What are the requirements for handling industrial injury compensation?

Apply for work-related injury insurance benefits (1-4 disability allowance)

Workers with work-related injuries need to install prosthetic limbs, orthotics, artificial eyes, dentures, wheelchairs, crutches and other rehabilitation devices due to their daily life or employment needs, or the rehabilitation devices need to be repaired or replaced, and the designated rehabilitation device assembly organization will make an assessment, and the required expenses will be paid from the industrial injury insurance fund according to the general standards stipulated by the state.

Apply for industrial injury insurance benefits (one-time disability allowance)

Workers with work-related injuries who are disabled by medical treatment and affect their ability to work shall apply for labor ability appraisal within 30 days to the labor ability appraisal committee where the unit is located, and the labor ability appraisal committee shall make a conclusion of labor ability appraisal within 60 days from the date of acceptance, and identify them as 1 to 10 disabled workers with work-related injuries.

Apply for work-related injury insurance benefits (one-time work-related death subsidy)

Workers who died due to work-related injuries

Application for treatment of work-related injury insurance (reimbursement of work-related injury medical expenses)

1, identified as work-related injuries.

2. The employee's medical treatment period for work-related injuries has expired, and he/she has not been appraised for labor ability.

Handling materials

1, industrial injury identification application form

2. One-inch bareheaded photo of the appraiser.

3. Original medical records of appraisers

4. A diagnosis certificate issued by a medical institution.