The enterprise income tax law does not specifically impose additional constraints on costs. The enterprise income tax law only restricts what can be deducted before tax and what cannot be deducted before tax.
According to the enterprise income tax law, reasonable expenses actually incurred by an enterprise related to income, including costs, expenses, taxes and losses, are allowed to be deducted when calculating taxable income. In practice, when calculating taxable income, we should also pay attention to three aspects:
(1) the expenses incurred by the enterprise should be distinguished between income expenditure and capital expenditure. Income expenditure is directly deducted in the current period; Capital expenditure shall be deducted by stages or included in the cost of relevant assets, and shall not be deducted directly in the current period.
(2) The expenses or property formed by the enterprise's non-taxable income used for expenditure shall not be deducted or the corresponding depreciation and amortization deduction shall be calculated.
Except as otherwise provided by the Enterprise Income Tax Law and these Regulations, the actual costs, expenses, taxes, losses and other expenses incurred by the enterprise shall not be deducted repeatedly.
1.cost. Refers to the sales cost, sales cost, business expenses and other expenses incurred by an enterprise in its production and business activities, that is, the cost of selling goods (products, materials, scraps, waste materials, etc.), providing labor services, transferring fixed assets and intangible assets (including technology transfer).
Enterprises must reasonably divide the costs incurred in business activities into direct costs and indirect costs. Direct cost refers to direct materials, direct labor, etc. that can be directly included in the operating costs of related cost calculation objects or services. Indirect cost refers to the * * * same cost for multiple departments to provide services for the same cost object, or the joint cost for the same input to manufacture and provide two or more products or services.
Direct costs can be directly included in the operating costs of related costing objects or services according to relevant accounting vouchers and records. Indirect costs must be allocated and included in the relevant cost calculation objects in a reasonable way according to the causal relationship with the cost calculation objects and the output of the cost calculation objects.
2. expenses. It refers to the sales (operation) expenses, management expenses and financial expenses incurred by an enterprise for producing, dealing in goods and providing services in each tax year. Except for the relevant expenses that have been included in the cost.
Sales expenses refer to the expenses incurred by enterprises for selling goods, including advertising fees, transportation fees, loading and unloading fees, packaging fees, exhibition fees, insurance fees, sales commissions (which can be directly recognized as import commissions to adjust the purchase cost of goods), consignment fees, operating lease fees and travel expenses, wages and welfare expenses incurred by sales departments.
Management expenses refer to the expenses incurred by the administrative department of an enterprise to provide various support for the management of the organization's business activities.
Financial expenses refer to the expenses incurred by an enterprise in raising operating funds, including net interest expenses, net exchange losses, handling fees of financial institutions and other non-capitalized expenses.
3. taxes. Refers to all taxes and surcharges paid by enterprises except enterprise income tax and allowable deduction of value-added tax, that is, sales taxes and surcharges of products such as consumption tax, business tax, urban maintenance and construction tax, customs duties, resource tax, land value-added tax, property tax, vehicle and vessel tax, land use tax, stamp duty and education surcharge paid by enterprises according to regulations. These taxes are allowed to be deducted before tax. There are two ways to deduct the tax: one is to deduct it in the current period; Second, it is included in the cost of related assets in the current period and deducted in subsequent periods.
4. loss. Refers to the losses caused by force majeure factors such as inventory loss, damage and scrapping of fixed assets and inventories, loss of transferred property, loss of bad debts, loss of bad debts, natural disasters and other losses in the production and operation activities of enterprises.
The balance of losses incurred by the enterprise after deducting the compensation of the responsible person and insurance claims shall be deducted in accordance with the provisions of the competent departments of finance and taxation of the State Council.
Assets that have been treated as losses by an enterprise shall be included in the current income when they are fully or partially recovered in the following tax years.
5. Other expenses deducted. It refers to the reasonable expenditures related to production and business activities that occur in the production and business activities of an enterprise except costs, expenses, taxes and losses.
Criteria for deducting items
When calculating taxable income, the following items can be deducted according to the actual amount or the prescribed standards.
1.Wage and salary expenditure
Reasonable wages and salary expenses incurred by the enterprise are allowed to be deducted according to the facts. Wages and salary expenses are all cash or non-cash labor remuneration paid by an enterprise to employees who work in the enterprise or have employment relations with them in each tax year, including basic salary, bonus, allowance, subsidy, year-end salary increase, overtime pay and other expenses related to employment or employment.
2 employee welfare funds, trade union funds and employee education funds.
Employee welfare funds, trade union funds and employee education funds incurred by the enterprise are deducted according to the standard, those that do not exceed the standard are deducted according to the actual number, and those that exceed the standard can only be deducted according to the standard.
(1) The employee welfare expenses incurred by the enterprise shall be deducted if they do not exceed 14% of the total wages and salaries.
(2) The amount of trade union funds allocated by the enterprise that does not exceed 2% of the total wages and salaries shall be deducted.
(3) Unless otherwise stipulated by the competent financial and tax authorities of the State Council, the expenses incurred by the enterprise for the education of employees shall be deducted if they do not exceed 2.5% of the total wages and salaries, and the excess shall be deducted if it is carried forward to the next tax year.
3. Social insurance premium.
(1) The "five insurances and one gold" paid by enterprises for employees in accordance with the scope and standards stipulated by the relevant competent departments of the State Council or the provincial people * * *, that is, basic social insurance premiums such as basic old-age insurance premiums, basic medical insurance premiums, unemployment insurance premiums, work-related injury insurance premiums, maternity insurance premiums and housing accumulation funds, are allowed to be deducted.
(2) Supplementary endowment insurance premiums and supplementary medical insurance premiums paid by enterprises for investors or employees are allowed to be deducted within the scope and standards stipulated by the competent departments of finance and taxation of the State Council. Personal safety insurance premiums paid by enterprises for special types of workers in accordance with the relevant provisions of the state and commercial insurance premiums that can be deducted in accordance with the provisions of the competent departments of finance and taxation of the State Council are allowed to be deducted.
(3) The insurance premium paid by the enterprise in accordance with the regulations when participating in property insurance is allowed to be deducted. Commercial insurance premiums paid by enterprises for investors or employees shall not be deducted.
4. Interest expense.
Interest expenses incurred by enterprises in production and business activities shall be deducted according to the following provisions.
(1) Interest expenses incurred by non-financial enterprises in borrowing from financial institutions, various deposit interest expenses and interbank lending interest expenses of financial enterprises, and interest expenses incurred by enterprises in issuing bonds after approval can be deducted according to the facts.
(2) The interest expenses of non-financial enterprises borrowing from non-financial institutions, which do not exceed the amount calculated according to the interest rate of similar loans of financial enterprises in the same period, can be deducted according to the facts, and the excess part is not allowed to be deducted.
Among them, the financial institutions refer to all kinds of banks, insurance companies and non-bank financial institutions approved by the People's Bank of China to engage in financial business. Including national specialized banks, regional banks, joint-stock banks, foreign banks, Sino-foreign joint venture banks and other comprehensive banks; It also includes national insurance companies, regional insurance companies, joint-stock insurance companies, Sino-foreign joint venture insurance companies and other professional insurance companies; Urban and rural credit cooperatives, various financial companies, and other professional and comprehensive non-bank financial institutions engaged in trust investment, leasing and other businesses. Non-financial institutions refer to all enterprises, institutions, social groups and other enterprises or organizations except the above-mentioned financial institutions.
5. borrowing costs.
(1) Reasonable borrowing costs incurred by an enterprise in its production and operation activities that do not need capitalization are allowed to be deducted.
(2) If an enterprise borrows money for the purchase and construction of fixed assets, intangible assets and inventories that can be sold after more than 12 months of construction, the reasonable borrowing costs incurred during the purchase and construction of the relevant assets should be capitalized and included in the cost of the relevant assets as capital expenditures; The loan interest incurred after the delivery of the relevant assets can be deducted in the current period.
6. Exchange losses.
Exchange losses incurred by an enterprise in currency transactions and when it converts its monetary assets and liabilities other than RMB into RMB at the end of the tax year according to the central parity of the spot RMB exchange rate at the end of the period are allowed to be deducted, except for those that have been included in the relevant asset costs and those related to the distribution of profits to owners.
7. Business entertainment expenses
Business entertainment expenses incurred by an enterprise related to its production and business operations shall be deducted according to 60% of the amount incurred, but the maximum amount shall not exceed 5‰ of the sales (business) income of that year.
8. Advertising expenses and business promotion expenses.
Unless otherwise stipulated by the competent departments of finance and taxation of the State Council, the eligible advertising expenses and business promotion expenses incurred by the enterprise shall be deducted if they do not exceed 0/5% of the sales (business) income of the current year; The excess shall be allowed to be deducted in the tax year after the carry-over.
Advertising expenses deducted by enterprises should be strictly distinguished from sponsorship expenses. Enterprises must meet the following conditions to declare the deducted advertising expenses: the advertisements are produced by specialized agencies approved by the industrial and commercial departments; The expenses have actually been paid and the corresponding invoices have been obtained; Spread through certain media.
9. Special funds for environmental protection.
The special funds for environmental protection and ecological restoration extracted by enterprises in accordance with the relevant provisions of laws and administrative regulations are allowed to be deducted. If the above-mentioned special funds are changed after extraction, they shall not be deducted.
10. Insurance premium.
Enterprises participating in property insurance are allowed to deduct the insurance premiums paid in accordance with regulations.
11.rental fee
The rental fee paid by the enterprise for renting fixed assets according to the needs of production and operation shall be deducted according to the following methods:
(1) Lease expenses incurred in renting fixed assets through operating lease shall be deducted evenly according to the lease term. Operating lease refers to a lease in which ownership is not transferred.
(2) Lease expenses incurred in leasing fixed assets by means of financial leasing shall be deducted by installments for the part that constitutes the value of fixed assets leased by financial leasing. Financial lease refers to a lease that essentially transfers all risks and rewards related to the ownership of an asset.
12. Labor protection fee.
Reasonable labor protection expenses incurred by enterprises are allowed to be deducted.
13. Public welfare donation expenditure.
Public welfare donation refers to the donation that an enterprise uses for public welfare undertakings specified in the Law of the People's Republic of China on Donation to Public Welfare Undertakings through public welfare social organizations or people at or above the county level and their departments.
The public welfare donation expenditure incurred by the enterprise, which does not exceed the total annual profit 12%, is allowed to be deducted. The total annual profit refers to the annual accounting profit calculated by the enterprise in accordance with the provisions of the national unified accounting system.
Public welfare social organizations refer to social organizations such as foundations and charitable organizations that meet the following conditions at the same time:
(1) registered in accordance with the law, with legal personality.
(2) To develop public welfare undertakings for the purpose, and not for profit.
(3) All assets and their added value are owned by the legal person.
(4) The income and labor balance are mainly used for enterprises that meet the purpose of the establishment of the legal person.
(5) The remaining property after termination does not belong to any individual or profit-making organization.
(6) Do not engage in business unrelated to the purpose of its establishment.
(7) Have a sound financial accounting system.
(8) Donors do not participate in the distribution of social group property in any form.
(9) Other conditions stipulated by the competent departments of finance and taxation of the State Council in conjunction with the civil affairs departments of the State Council and other registration management departments.
14. Expenses related to assets.
Expenses incurred by enterprises in transferring various types of fixed assets are allowed to be deducted. Depreciation expenses of fixed assets, amortization expenses of intangible assets and deferred assets calculated by enterprises according to regulations are allowed to be deducted.
15. Costs shared by the head office.
Institutions and places established by non-resident enterprises within the territory of China are allowed to deduct the expenses incurred by their head offices outside China related to the production and operation of the institutions and places, which can provide supporting documents such as the scope, quota, distribution basis and method of expenses issued by the head offices, and share them reasonably.
16. Loss of assets.
The net loss of fixed assets and current assets due to inventory loss or damage in the current period of the enterprise shall be allowed to be deducted after the inventory information provided by the enterprise is audited by the main management tax authority; The input tax that an enterprise cannot deduct from the output tax due to inventory shortage, damage, scrapping and other reasons shall be regarded as the property loss of the enterprise and allowed to be deducted together with the inventory loss before income tax.
17. Other items that are allowed to be deducted according to relevant laws, administrative regulations and relevant state tax laws. Such as membership fees, reasonable meeting fees, travel expenses, liquidated damages, legal fees, etc.
Non-deductible items
When calculating taxable income, the following expenses shall not be deducted:
1.Dividends, bonuses and other equity refrigeration income paid to investors.
2. Enterprise income tax.
3. Tax late payment refers to the late payment imposed by the tax authorities by taxpayers in violation of tax laws and regulations.
4. Fines, fines and losses of confiscated property refer to fines imposed by relevant departments and fines and confiscated property imposed by judicial organs by taxpayers in violation of relevant national laws and regulations.
5. Donation expenditure exceeding the prescribed standards.
6. Sponsorship expenditure refers to all kinds of non-advertising expenditures that have nothing to do with production and business activities.
7. Unapproved reserve expenditure refers to the reserve expenditure such as asset impairment reserve and risk reserve that does not meet the requirements of the competent departments of finance and taxation of the State Council.
8. Management fees paid between enterprises, rents and royalties paid between operating institutions within enterprises, and interest paid between operating institutions within non-bank enterprises shall not be deducted.
9. Other expenses unrelated to income.
Reasonable expenses actually incurred by an enterprise related to income, including costs, expenses, taxes and losses, are allowed to be deducted when calculating taxable income.
When calculating taxable income, we should also pay attention to three aspects:
The expenditure incurred by an enterprise should be distinguished from the income expenditure and the capital expenditure. Income expenditure is directly deducted in the current period; Capital expenditure shall be deducted by stages or included in the cost of relevant assets, and shall not be deducted directly in the current period.
The expenses or property formed by the enterprise's non-taxable income used for expenditure shall not be deducted or the corresponding depreciation and amortization deduction shall be calculated.
Unless otherwise stipulated in the Enterprise Income Tax Law and these Regulations, the actual costs, expenses, taxes, losses and other expenses incurred by the enterprise shall not be deducted repeatedly.
Is the income tax withheld at the end of the quarter or every month? Look at the laws and regulations, pay in advance by month or quarter, but it should be specifically approved by the tax authorities. If it is approved to pay in advance by quarter, it is recommended to pay in advance by month, so as to achieve matching. Otherwise, looking at the statements of the current month or the non-end cumulative statements will give people a wrong message, especially the statements of listed companies, such as your cumulative statements in August. If the income tax from July to August is not accrued, others will think that you have received any preferential tax policies. Refer to the following:
Enterprise Income Tax Law of the People's Republic of China (2008), in which:
Article 54 Enterprise income tax shall be paid in advance in monthly or quarterly installments.
An enterprise shall, within 15 days from the end of the month or quarter, submit a tax return for prepaying enterprise income tax to the tax authorities to pay taxes in advance.
An enterprise shall, within five months from the end of the year, submit the annual enterprise income tax return to the tax authorities, make final settlement and settle the tax refund payable.
When submitting enterprise income tax returns, enterprises shall attach financial and accounting reports and other relevant materials in accordance with regulations.
Regulations for the Implementation of the Enterprise Income Tax Law of the People's Republic of China (2008), in which:
Article 128 The advance payment of enterprise income tax on a monthly or quarterly basis shall be specifically approved by the tax authorities.
When an enterprise pays enterprise income tax monthly or quarterly according to Article 54 of the Enterprise Income Tax Law, it shall pay in advance according to the actual monthly or quarterly profit; If it is difficult to pay in advance according to the actual monthly or quarterly profit, it may be paid in advance according to the monthly or quarterly average amount of taxable income in the previous tax year, or by other methods recognized by the tax authorities. Once the prepayment method is determined, it shall not be changed at will within the tax year.
Under what conditions can I apply for changing the enterprise income tax to a fixed rate? Notice of the Ministry of Finance on Printing and Distributing the Detailed Rules for the Implementation of the Provisional Regulations of the People's Republic of China on Enterprise Income Tax: Article 47 If a taxpayer cannot provide complete and accurate certificates of income, costs and expenses, and cannot correctly calculate the taxable income, the tax authorities have the right to verify his taxable income.
Verification generally includes quota (accounting is not allowed or can not be accounted for, etc.), fixed rate (one of income and cost can be accurately accounted for) and other verification methods.
Under what conditions can I apply to change the enterprise income tax to audit collection? 1, the collection method of enterprise income tax is approved once a year!
2. The collection method of enterprise income tax is generally approved at the beginning of the year!
3. Theoretically, the verification method is only applicable to enterprises with imperfect accounting; However, in fact, when the tax authorities implement it, they often have to adopt the approved collection method according to the annual income of less than tens of thousands. In that case, unless the income of that year must reach the amount stipulated by the tax authorities, the next year cannot be audited and collected!
4. If a VAT taxpayer is recognized as a general VAT taxpayer if his annual income reaches the standard of the general taxpayer, the tax authorities must adopt the method of audit collection instead of the approved collection, because the accounting requirements of the general VAT taxpayer must be sound, therefore, only the method of audit collection can be applied!
Notice of the Ministry of Finance and the People's Bank of China, State Taxation Administration of The People's Republic of China on Printing and Distributing the Measures for the Administration of Enterprise Income Tax Distribution and Budget of Head Offices and Branches across Provinces and Cities (FB [2012] No.40):
If the head office and branches in question are not in the same province or city, they shall be implemented in accordance with the Measures: unified calculation, hierarchical management, local prepayment, summary liquidation and financial transfer.
Since the head office collects corporate income tax through auditing, in order to facilitate unified calculation, branches must collect corporate income tax through auditing.
At present, there are two versions of the income tax audit collection form, one of which is listed by cost items, and this form has business tax and additional items to fill in.
There is also a table with only operating income and operating cost. In this table, operating income is filled in with all income (including other business income, non-operating income and all kinds of income), and operating cost is filled in with all costs and expenses (including main business cost, other business cost, sales, management, financial expenses, non-operating expenses and other losses).
Judging from your question, it should be the second type, so it is necessary to include the business tax and additional amount in the operating cost together with other costs.
The income tax of foreign-funded enterprises is levied by auditing, can I enjoy the preferential treatment of purchasing domestic equipment to offset income tax? It should be possible, see the following regulations for details, but you'd better communicate with the tax bureau before you do it to avoid unnecessary trouble.
Policy of enterprise income tax credit:
(1) All foreign-invested enterprises established within the territory of China purchase domestically produced equipment within the total investment for encouraged and restricted Class B investment projects in the Industrial Guidance Catalogue for Foreign Investment stipulated in the Notice of the State Council on Adjusting the Tax Policy for Imported Equipment (1997) No.37), and they purchase 40% of the investment in domestically produced equipment.
(2) For the domestic equipment purchased by the above-mentioned enterprises for the purpose of improving economic benefits, improving product quality, increasing varieties, promoting product upgrading, expanding exports, reducing costs, saving energy consumption, strengthening comprehensive utilization of resources, three wastes treatment, and labor safety, etc., the advanced and applicable new technologies, new processes, new equipment, and new materials are used to transform existing facilities and production process conditions, and 40% of the total investment is purchased.
(three) the above domestic equipment must meet the following requirements:
1) refers to the equipment that conforms to the "Regulations on Forwarding the Ministry of Finance, State Taxation Administration of The People's Republic of China <; Notice on Relevant Issues Concerning Foreign-invested Enterprises and Foreign Enterprises' Credit for Investment in Domestic Equipment > Machines, machinery, means of transport, equipment, appliances, tools, etc., which are within the scope specified in the Notice [No.56 (2000)] and are managed as fixed assets (including testing and inspection necessary for production). Does not include tools and appliances that are not managed as fixed assets.
2) The domestic equipment must be unused domestic equipment purchased in currency after 1 July, 19991day, excluding the equipment invested by the investor as registered capital. The term "investment in domestic equipment" refers to the total price of fare tax for equipment purchase, but does not include the value-added tax refunded according to relevant regulations and the expenses of equipment transportation, installation and debugging. The equipment purchase time shall be subject to the time when the equipment invoice is issued. If the equipment is acquired by installment or sales, the arrival time of the equipment shall prevail.
Is it worthwhile to buy invoices if the cost is low? First of all, it is illegal to buy invoices. In addition to the illegal cost, it depends on the cost of buying invoices. This can only be weighed by yourself.
If the income tax is levied by auditing, how can the tax bureau know whether the reported tax is right or wrong? After May, the enterprise can complete the annual income tax settlement after the audit of the financial accounting statements by the firm.