Measures for the Administration of Pre-tax Deduction of Enterprise Asset Losses Article 3 The above-mentioned asset losses incurred by an enterprise shall be declared and deducted in the year when they are actually confirmed or actually incurred in accordance with tax regulations, and the deduction shall not be made in advance or later.
If the loss of assets cannot be accurately calculated for various reasons and deducted on schedule in the year in which it occurs, the pre-tax deduction in the year of loss can be retroactively confirmed after approval by the tax authorities, and the income tax payable in the year of loss of assets can be adjusted accordingly. The overpaid tax calculated after adjustment shall be refunded in accordance with relevant regulations, or the current tax payable of the enterprise shall be reduced.
Extended data:
The following asset losses are calculated and deducted by the enterprise itself:
1. Loss of assets arising from the sale, transfer and sale of fixed assets, productive biological assets and inventories in the normal operation and management activities of the enterprise;
2, the normal loss of enterprise inventory;
3, the enterprise fixed assets reached or exceeded the normal service life and the loss of scrap cleaning;
4, the enterprise productive biological assets reached or exceeded the service life and the normal death of asset losses;
5. Losses incurred by enterprises in buying and selling bonds, stocks, funds and their financial derivatives through stock exchanges and inter-bank markets in accordance with relevant regulations;
6. Loss of other assets confirmed by State Taxation Administration of The People's Republic of China without the approval of the tax authorities.
China court network-management measures for pre-tax deduction of enterprise asset losses