In order to strengthen the management of funds and improve the efficiency of business trip, the general unit implements responsibility management within the limit for some expenses incurred by employees on business trip, except intercity transportation expenses and accommodation expenses.
In addition, that is, employees should bear it first, and the unit will give fixed standard travel subsidies and food subsidies.
To this end, State Taxation Administration of The People's Republic of China's Notice on Printing and Distributing the Provisions on Several Issues Concerning the Collection of Individual Income Tax&; 40； Guo shui fa [1994] No.89 and No.41; According to the regulations, travel expenses and meals are not of the nature of wages and salaries, or the income that does not belong to the taxpayer's own wages and salaries is not taxed. If the company not only reimburses all travel expenses, but also gives employees benefits in the name of travel expenses, then the welfare income belongs to taxable income and should be taxed.
According to the Announcement of State Taxation Administration of The People's Republic of China on After-tax Deduction of Enterprise Wages and Salaries and Employee Welfare Expenses (State Taxation Administration of The People's Republic of China Announcement No.34 of 20 15),
Incorporated into the wage and salary system of enterprise employees, the welfare subsidies distributed together with wages and salaries are fixed, which is in line with the Notice of State Taxation Administration of The People's Republic of China on Deducting Wages, Salaries and Welfare Expenses of Employees 40; Guoshuihan [2009] No.3 and No.41; According to the provisions of Article 1, it can be used as wage expenditure and deducted before tax. Welfare subsidies that cannot meet the above conditions at the same time shall be deducted before tax according to the employee welfare expenses stipulated in Article 3 of Document No.3 of Guoshuihan [2009] and the prescribed calculation limit.
If it is a food subsidy paid directly to employees by enterprises according to external welfare regulations, external vouchers can be used as pre-tax deduction vouchers. External vouchers refer to the original accounting vouchers made by enterprises for accounting costs, expenses, losses and other expenses. According to the Notice of the Ministry of Finance and State Taxation Administration of The People's Republic of China on Determining the Scope of Allowance for Missed Meals (Caishuizi [1995] No.82), if employees provide invoices for reimbursement of meals, the reimbursement vouchers and invoices for meals will be used as pre-tax deduction vouchers. "The allowance for missed meals, which is not taxed as stipulated in document Guo Shui Fa [1994] No.89, refers to the fact that, according to the regulations of the financial department, employees are on duty. Subsidies and allowances given to employees by some units in the name of meal-missing subsidies shall be included in the income from wages and salaries of the current month and paid personal income tax.
Practice summary
If it is a food subsidy paid directly to employees by enterprises in accordance with external welfare regulations, it can be used as a pre-tax deduction voucher. External vouchers refer to the original accounting vouchers made by enterprises for accounting costs, expenses, losses and other expenses, which meet the requirements of "individuals who work in urban areas and suburbs on business, can't eat in the workplace or return to work, but really need to eat out". According to the actual number of missed meals, the scope of "meal fee" is levied according to the prescribed standards, and there is no need to pay income that does not belong to the taxpayer's own salary and salary income items, or personal income tax should be paid.
If employees provide invoices for reimbursement of meals (actual sales reimbursement), the reimbursement documents and invoices for meals should be used as pre-tax deduction vouchers, which are not personal income and do not need to pay personal income tax.