Legal analysis
There may be two situations: one is that the tax authorities adopt the approved collection method to collect the unit, and the approved taxable income rate is 0.4%, so the company's taxable amount = taxable income *0.4%*25%= taxable income *0. 1%. It is considered that this situation is unlikely, and the taxable income rate approved by the tax authorities is generally not so low now, if the company is like this. On the other hand, the company collects taxes by auditing accounts, and the tax authorities calculate the tax burden rate of an industry's income tax payment according to the income tax payment of the same industry, that is, 0. 1% (tax burden rate = paid enterprise income tax/taxable income), and the tax authorities require the company to achieve this tax burden rate and ask your company to pay it. This situation is also very common everywhere, so it is likely that the company will do so. When an enterprise calculates the income tax payable according to the provisions of the tax law, it shall debit: income tax payable-income tax payable. When the enterprise prepays the income tax payable this month (or this season) according to the provisions at the end of the month or the end of the quarter, it shall make the following accounting entries: debit: tax payable-income tax payable, and credit: bank deposit. At the end of the month, the enterprise shall transfer the debit balance of the "income tax" account as expenses to the "profit of this year" account, as follows.
legal ground
Enterprise Income Tax Law of the People's Republic of China
Article 1 Within the People's Republic of China, enterprises and other income-earning organizations (hereinafter referred to as enterprises) are taxpayers of enterprise income tax and shall pay enterprise income tax in accordance with the provisions of this Law. This Law is not applicable to sole proprietorship enterprises and partnership enterprises.
Article 3 A resident enterprise shall pay enterprise income tax on its income from sources inside and outside China. Where a non-resident enterprise establishes an institution or place within the territory of China, it shall pay enterprise income tax on the income obtained by its institution or place from the territory of China, and the income generated outside China but actually related to its institution or place. If a non-resident enterprise does not have an institution or place in China, or if it has an institution or place, but its income has no actual connection with its institution or place, it shall pay enterprise income tax on its income originating in China.