Legal analysis: During the equity transfer process of a sole proprietorship, the transferor needs to pay various taxes and fees.

If the transferor is an individual, personal income tax must be paid at 20%.

If the transferor is a company, more taxes will be involved. For details, please refer to the reference material "Tax Treatment of Company Equity Transfers". The details are as follows: The taxes involved in the transfer of equity by a domestic-funded enterprise. If the company transfers the equity to a certain company, the income from the equity transfer will involve corporate income tax, deed tax, stamp duty and other related issues.

A sole proprietorship is an enterprise that is operated by an individual, is owned and controlled by an individual, bears the operating risks and enjoys all operating profits. A sole proprietorship that operates as a sole proprietorship has unlimited financial liability, and the borrower can seize the owner's personal property in the event of bankruptcy.

Legal basis: "The Sole Proprietorship Law of the People's Republic of China"

Article 16: Those prohibited by laws and administrative regulations from engaging in for-profit activities shall not serve as investors Apply to establish a sole proprietorship.

Article 17 An investor in a sole proprietorship shall have ownership of the property of the enterprise in accordance with the law, and its relevant rights may be transferred or inherited in accordance with the law.

Article 18 If an investor in a sole proprietorship clearly states that his family's most owned property will be his personal contribution when applying for enterprise registration, he shall use his family's most owned property to bear unlimited liability for the enterprise's debts in accordance with the law. responsibility.

Article 19 An investor in a sole proprietorship may manage the affairs of the enterprise by himself, or may entrust or hire other persons with civil capacity to be responsible for the affairs management of the enterprise.

When an investor entrusts or hires another person to manage the affairs of a sole proprietorship, he or she shall sign a written contract with the trustee or the person hired to clarify the specific content of the entrustment and the scope of rights granted.

The trustee or the person hired shall perform the obligations of integrity and diligence and be responsible for the affairs management of the sole proprietorship in accordance with the contract signed with the investor.

Investors shall not limit the powers of trustees or hired personnel against bona fide third parties.