1, sign an agreement to collect and pay the loan interest on time.

2. The lender (collecting interest) issues a VAT invoice to the borrower, and the borrower records it as a financial expense. Lenders (general taxpayers) pay VAT at 6%. The borrower shall not deduct the input tax when obtaining the invoice.

Caishui [20 1 6] No.36 Annex1Article 27 The input tax amount of the following items shall not be deducted from the output tax amount: (6) The purchased passenger transportation service, loan service, catering service, residents' daily service and entertainment service.

3. Enterprise income tax can be declared normally. The borrower declares financial expenses and the lender declares interest income.

4. It is particularly important to note that

(1) There is no need to pay stamp duty for loan agreements between enterprises.

(2) Whether the shareholders of the borrowing enterprise have paid the capital in full. If not, the enterprise income tax will adjust the interest on the unpaid capital and will not recognize this part.

(3) Whether there is a relationship between the two enterprises. If there is a relationship, the ratio of loan to investment is 2:1,and the excess interest cannot be deducted before enterprise income tax. Associated enterprises are more complicated, which is just one of them. It also includes the interest rate and the income tax rate of the two enterprises.

(4) Whether the inter-enterprise loan agreement is legal, please consult a lawyer.