Final settlement refers to the collection, final settlement and payment of income tax and other taxes applicable to prepayment method after the end of the year. 1. According to the Provisional Regulations on Enterprise Income Tax and its implementing rules, the Income Tax Law for Enterprises with Foreign Investment and Foreign Enterprises and its implementing rules and other relevant tax laws, China adopts the method of annual calculation, monthly or quarterly advance payment and year-end final settlement. Second, according to the provisions of the current income tax law, all enterprises with sound financial accounting system, clear accounts, complete cost information, income vouchers and expense vouchers, standardized accounting, and correct calculation of taxable income, which are determined by the tax authorities to be applicable to audit collection, shall conduct income tax settlement at the end of the year. 3. There are two objects for final settlement and payment: 1, the enterprise that carries out audit collection; 2, the implementation of the approved taxable income rate of enterprises. Enterprises, regardless of profit and loss, whether in the period of relief or not, should be settled according to regulations.

Legal objectivity:

Article 12 of the Individual Income Tax Law

Taxpayers obtain business income, calculate individual income tax annually, and submit tax returns to the tax authorities within 15 days after the end of each month or quarter, and pay taxes in advance; The income shall be settled before March 3 1 of the following year.

Taxpayers' income from interest, dividends and bonuses, income from property leasing, income from property transfer and accidental income shall be calculated on a monthly or quarterly basis. If there is a withholding agent, the withholding agent shall withhold and pay taxes on a monthly or quarterly basis.