Many people want to ask, how to deduct value-added tax when providing labor dispatch services? Then Mande Enterprise Server has sorted it out for everyone.

1. Labor dispatch service policy

General taxpayers may provide labor dispatch services in accordance with the "Notice of the Ministry of Finance and the State Administration of Taxation on Comprehensively Launching the Pilot Program of Replacing Business Tax with Value-Added Tax" According to the relevant provisions of (Caishui [2016] No. 36), the total price obtained and extra-price expenses shall be regarded as the sales volume, and the value-added tax shall be calculated and paid according to the general tax calculation method; you may also choose to pay the difference tax, using the entire price obtained and extra-price expenses. , the balance after deducting the wages, benefits and social insurance and housing provident funds paid by the labor agency to the labor dispatch employees is the sales volume, and the value-added tax is calculated and paid according to the simple tax calculation method at a levy rate of 5%.

Small-scale taxpayers providing labor dispatch services can follow the relevant provisions of the "Notice of the Ministry of Finance and the State Administration of Taxation on Comprehensively Launching the Pilot Program of Replacing Business Tax with Value-Added Tax" (Finance and Taxation [2016] No. 36). The total price and extra-price expenses obtained are used as the sales volume, and the value-added tax is calculated and paid according to the simple tax calculation method at a levy rate of 3%; you can also choose to pay the difference tax, and the total price and extra-price expenses obtained are deducted from the payment of the agency unit. The balance after the wages, benefits and social insurance and housing provident funds provided to labor dispatch employees are sales, and value-added tax is calculated and paid at a 5% tax rate according to the simplified tax calculation method. Taxpayers who choose differential taxation shall collect from the employer the expenses for paying wages, benefits and handling social insurance and housing provident funds to labor dispatch employees. They shall not issue special value-added tax invoices, but may issue ordinary invoices.

II. Other Policies

(1) Taxpayers who provide human resources outsourcing services shall pay value-added tax as brokerage services. Their sales do not include those entrusted by the client unit to provide services to the client unit on their behalf. Wages paid by employees and social insurance and housing provident funds paid by agents. Special value-added tax invoices may not be issued for wages collected from the client and paid on behalf of the client and social insurance and housing provident funds paid on behalf of the client, but ordinary invoices may be issued. General taxpayers who provide human resources outsourcing services can choose to apply the simplified tax calculation method and calculate and pay VAT at a 5% collection rate.

(2) Taxpayers that lease land to others in the form of operating leases shall pay value-added tax based on real estate operating lease services.

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