The income mentioned in the income tax declaration refers to the income including taxable value-added tax income, taxable business tax income and other related income items that should be included in the income tax.
Value-added tax is an extra-price tax, which is levied separately in the process of selling goods. Accounting profit is not included, and accounting profit will not be affected during accounting, so there is no need to add value-added tax to income. However, it also shows that value-added tax is the additional tax basis for urban construction tax and education fee, which will indirectly affect enterprise income tax in the final settlement of enterprise income tax. In practice, the accounting of value-added tax needs to be accurate to avoid mistakes.
"Nineteenth VAT liability occurs:
(1) For the sale of goods or taxable services, it is the day when the sales price is received or the evidence for claiming the sales price is obtained; If the invoice is issued first, it is the day of invoice issuance. "
According to the Notice of State Taxation Administration of The People's Republic of China on Several Issues Concerning the Confirmation of Enterprise Income Tax (No.875, 2008):
"1. Unless otherwise stipulated in the Enterprise Income Tax Law and its implementing regulations, the recognition of enterprise sales revenue must follow the accrual basis principle and the principle that substance is more important than form.
(1) If an enterprise sells goods that meet the following conditions at the same time, it shall confirm the realization of income:
1, the commodity sales contract has been signed, and the enterprise has transferred the main risks and rewards related to commodity ownership to the buyer;
2. The enterprise neither retains the right to continue management, which is usually associated with ownership, nor effectively controls the sold goods;
3. The amount of income can be measured reliably;
4. The costs incurred or to be incurred by the seller can be recorded reliably.
(two) in accordance with the conditions mentioned in the preceding paragraph, if the following methods are used to sell goods, the realization time of income shall be confirmed in accordance with the following provisions:
2. If the goods are pre-sold, the income shall be recognized when the goods are issued. "
According to the above regulations, if the sales goods are invoiced in advance, the time when the VAT obligation occurs will be confirmed on the day of invoicing, and VAT will be paid according to the regulations. However, in the enterprise income tax, when selling goods, it is required to meet the conditions stipulated in Item (1) of Article 1 of Guoshuihan No.875 [2008] at the same time, and the income is recognized when the goods are issued. So your company sells goods in advance and issues invoices first. Although the goods have not been issued, VAT is required. There is no need to confirm income in enterprise income tax treatment.