If the investor is also a company, then the dividend income of the company's investors should be merged into the total income to calculate the taxable income according to the tax law (the tax rate is generally still 25%).
If the investor is an individual, then the individual investor shall levy personal income tax on the dividend income according to the "interest, dividend income" item of the individual income tax law (the tax rate is 20%, and no expenses are deducted).
How should the shareholders of the company pay dividends? How to pay taxes and how much?
Dividends paid by company shareholders are also taxable. According to the Individual Income Tax Law, generally speaking, after-tax profits of enterprises should be distributed to shareholders [dong]. Personal income tax should also be levied on the interest, dividends and bonus income obtained by [er] shareholders.
Calculation method of shareholders' [fen] bonus [hong] tax:
1, individual shareholders pay personal income [dei] tax at 20% of the dividends due.
2. [de] dividends received from listed companies can be taxed at half.
3. Dividends obtained by foreigners [wai] whether they are listed companies or not do not need to be taxed.
4, resident enterprises from other resident enterprises to obtain investment dividend income for tax exemption.
5. Shareholders of overseas non-resident enterprises receive dividends [xi] from resident enterprises in 2008 and beyond, and pay enterprise income tax at the rate of 10%.
Does the company have to pay taxes on dividends to investment companies?
1. Does the Law on Tax Collection [zheng] stipulate that shareholders should pay taxes on dividends? Dividends obtained by shareholders are taxable. Tax standard for dividend payment:
(1) 20% of the dividends earned by individual shareholders [gu] shall be taxed;
(2) Dividends obtained from listed companies shall be taxed by half;
(3) Taxes [shui] are not required for dividends obtained by foreigners;
(4) Dividends obtained between resident enterprises are not [bu] subject to tax;
(5) After 2008, foreign [de] non-resident enterprises shall pay taxes at the rate of 10 [shi] on the dividends obtained from domestic resident enterprises;
(6) If an individual [ren] shareholder holds shares in a listed company [gong] for less than one month, the tax shall be paid according to 20% of the dividends;
(7) If an individual shareholder holds shares in a company in [shang] for one month to one [yi] year, he shall pay taxes according to [fen] ten percent of the dividends;
(8) If the individual shareholder [dong] holds the shares of a listed company for more than one year, the tax shall be paid at 5% of the dividends.
Second, the [de] conditions for shareholders' dividends
1, cash distribution with current year's profits shall meet the following requirements:
(1) The company made a profit that year;
(2) Deferred losses have been made up and carried forward;
(3) 10% statutory reserve fund and 5%- 10% statutory public welfare fund have been withdrawn;
2. In addition to meeting the conditions in Item 1, the distribution of new shares with the profits of the current year shall also:
(1) The company's previous share issuance has been fully raised with an interval of one [yi] year;
(2) There are no false records in the company's financial accounting documents in [zai] for the last three years;
(3) The company's expected profit rate can reach the bank [xing] deposit profit [run] in the same period;
(4) In addition to meeting the conditions in Item 2 1-3, converting surplus reserve into share capital:
(5) The company has made profits in the last three years and can pay dividends to shareholders;
(5) After distribution, the retained [cun] amount of statutory common reserve fund shall not be less than 50% of the registered capital;
3. According to the Company Law and the Guidelines for the Articles of Association of Listed Companies, the dividend distribution of listed companies can only be realized when the board of directors puts forward a distribution plan, convenes a general meeting of shareholders for deliberation and voting according to legal procedures, and [bing] the 1/2 cash distribution plan or 2/3 bonus [gu] distribution plan represented by shareholders attending the general meeting is passed. In short, as long as you get dividends from the company as a shareholder, you must pay taxes. At this point, the company will withhold personal income tax when distributing dividends to shareholders. However, there is a special situation, that is, between resident enterprises [jian] and between resident enterprises, there is no need to pay personal income tax on the income from dividends.
In the Tax Administration Law, it is clearly stipulated that shareholders' dividend income needs to be taxed, and shareholders need to pay personal income tax [shui]. The specific tax collection standard for [ge] personal income [dei] is that if dividends are obtained from listed companies, the tax is paid according to 10% of the dividend income, and the proportion of [de] paid by shareholders of ordinary companies is also 20%.
Legal basis: Article 3 of the Individual Income Tax Law
(1) For comprehensive income, the progressive tax rate of 3% [san] to 45% is applicable (the tax rate table is attached);
(2) For operating income, an excess progressive tax rate of 5% to 35% shall apply (the tax rate table is attached);
(3) Income from interest, dividends and bonuses, income from property leasing, income from property transfer and accidental income shall be subject to the proportional tax rate [shuai], and the tax rate [shuai] shall be 20%.
How much tax does the company need to pay for dividends of 10 million?
If you are a shareholder of a sole proprietorship [zi] enterprise, the individual will pay taxes according to the operating income, with the tax rate ranging from 5% to 35%, and the tax item is what the individual industrial and commercial households produce and operate [suo]; If it is a limited liability company, individual shareholders shall pay a tax of [an]20% for the dividends received from [dao], and pay a tax of 20% for the income from interest dividends and transfer of shares [gu]. The tax item is the income from the transfer of [cai] property.
The natural person shareholders of the company pay personal income tax only when [zai] pays dividends, and the personal income tax rate is 20%. The current [de] is reduced by 10%. The invested enterprise is the withholding agent. Corporate shareholders of the Company shall pay the income tax according to the difference of the [suo] income tax rate.
Law on Administration of Tax Collection
Article 1 This Law is formulated in order to strengthen the management of tax collection [shou] and [guan], standardize tax collection and payment, guarantee tax revenue, protect the legitimate rights and interests of taxpayers [ren], and promote economic and social development [fa].
Article 2 This Law shall apply to the collection and management of all kinds of taxes [de] collected by tax authorities according to law.
No organ, unit or individual may, in violation of laws and administrative law [fa] regulations [gui], make decisions on tax collection, suspension, tax reduction, exemption, tax refund, overdue tax and other decisions that are in conflict with tax laws and administrative regulations without authorization.
Article 4 [tiao] Laws and administrative regulations [gui] stipulate that units and individuals with tax obligations are taxpayers.
According to laws and administrative regulations [gui], the units [wei] and individuals who have the obligation of [you] withholding and collecting taxes are withholding agents. Taxpayers and withholding agents must pay taxes, withhold and remit taxes [zhuo] and collect and remit taxes in accordance with [de] provisions of laws and administrative regulations. "
How to save taxes on company dividends?
First, a positive answer
1, change the shareholding mode, and the interest, dividends and bonus [li] earned by individuals owning creditor's rights should be [ying] paid as 20% personal income tax. This shareholder [fang] style is the practice of many shareholders [dong] at present, but this [zhong] shareholding style has little room for tax planning.
2. Indirect shareholding: the natural person indirectly holds shares through the partnership, and the natural [ran] person indirectly holds shares through the limited company.
Second, the [fen] analysis
Dividend is the dividend that a joint-stock company pays [fu] to investors [zhe] according to a certain proportion of its stock share every year, and it is the return on investment of listed companies to shareholders. Dividend is a way to distribute the income of [jiang] in that year to shareholders after withdrawing the statutory [ding] public [gong] provident fund, public welfare fund and other items according to regulations, and it is the income of shareholders [dong]. Usually, after receiving dividends, shareholders will [hui] continue to invest in the enterprise to achieve compound interest.
Third, what are the conditions for the company to be divided into [fen] red?
1, cash distribution with [yi] current year's profit must meet;
2. Distribute new shares with the profits of the current year in addition to meeting the conditions;
3. In addition to meeting the conditions, the conversion of surplus reserve fund into share capital requires strict procedures and requirements to deal with the specific issues of shareholders' dividends, especially the identification of shareholders' related issues, which should also be legally identified by relevant departments.