Approved tax collection and methods
Approved collection refers to a collection method in which the tax authorities use reasonable methods to verify the tax payable of taxpayers according to law when the taxpayer's accounting books are not perfect, the information is incomplete and it is difficult to check the accounts, or for other reasons.
Article 35 of the Tax Administration Law stipulates that in any of the following circumstances, the tax authorities have the right to verify the tax payable of taxpayers:
1. In accordance with the provisions of laws and administrative regulations, there is no need to set up accounting books;
2. In accordance with the provisions of laws and administrative regulations, account books should be set up but not set up;
3. Destroying account books without authorization or refusing to provide tax information;
4. Although account books are set up, the accounts are chaotic or the cost data, income vouchers and expense vouchers are incomplete, making it difficult to audit the accounts;
5. Taxpayers fail to file tax returns within the prescribed time limit and are ordered by the tax authorities to file tax returns within the time limit;
6. The tax basis declared by the taxpayer is obviously low, and there is no justifiable reason.
Article 37 of the Law on the Administration of Tax Collection stipulates that taxpayers engaged in production and business operations and taxpayers engaged in business operations temporarily fail to go through tax registration in accordance with the provisions, which shall be verified by the tax authorities and ordered to pay.
If a taxpayer has one of the above circumstances, the tax authorities have the right to use one or more of the following methods to verify its tax payable:
1. Approved with reference to the tax burden level of taxpayers with similar business scale and income level in local similar industries or similar industries;
2. According to the method of operating income or cost plus reasonable expenses and profits;
3 according to the calculation of raw materials, fuel, power and other consumption or calculation for approval;
4. Approved by other reasonable methods.