I. Nature and Composition of Non-operating Income
Non-operating income usually includes income generated from non-daily business activities, such as selling fixed assets, accepting donations and government subsidies. Although these incomes do not belong to the main business scope of the enterprise, they still need to be listed separately in the financial report to fully reflect the economic situation of the enterprise.
Second, the basic concept of final settlement
Final settlement refers to the process of accounting, reporting and paying the tax payable by taxpayers in a certain period of time according to the provisions of tax laws and regulations. In this process, taxpayers need to comprehensively sort out and adjust various incomes, costs and expenses to ensure the accuracy and compliance of tax returns.
III. Handling of Final Settlement of Non-operating Income
In the preparation of annual financial statements and tax returns, the treatment of non-operating income should follow the relevant financial and tax regulations. Generally speaking, if there are differences in accounting and tax treatment of non-operating income, it may be necessary to make corresponding adjustments. For example, some non-operating income may have been recognized as income in accounting, but it may not meet the conditions of tax exemption or reduction in taxation, so it needs to be increased.
Fourth, the specific case analysis
Take the government subsidy as an example. If an enterprise has recognized it as non-operating income in accounting, but can't enjoy tax exemption treatment because it doesn't meet certain conditions in taxation, then this part of income needs to be adjusted and increased when it is settled, so as to ensure the accuracy of tax declaration.
To sum up:
Whether non-operating income needs to be increased or not in the process of final settlement depends on specific financial and tax regulations and actual business conditions. When preparing annual financial statements and making tax returns, enterprises should carefully analyze the nature of non-operating income and tax treatment regulations to ensure the accuracy and compliance of the statements. At the same time, enterprises should also strengthen communication and consultation with tax authorities to avoid tax risks caused by improper handling.
Legal basis:
Enterprise Income Tax Law of the People's Republic of China
Article 6 stipulates that:
The income obtained by an enterprise from various sources in monetary and non-monetary forms is the total income. Including:
(1) Revenue from sales of goods;
(2) Income from providing labor services;
(3) Income from the transfer of property;
(four) dividends, bonuses and other equity investment income;
(5) Interest income;
(6) Rental income;
(7) Royalty income;
(8) Receiving donation income;
(9) Other income.
Regulations for the Implementation of the Enterprise Income Tax Law of the People's Republic of China
Article 22 stipulates that:
The term "other income" as mentioned in Item (9) of Article 6 of the Enterprise Income Tax Law refers to other income obtained by an enterprise except the income specified in Items (1) to (8) of Article 6 of the Enterprise Income Tax Law, including the surplus income of enterprise assets, overdue deposit income of packaging materials, accounts payable that cannot be paid, accounts receivable recovered after bad debt loss treatment, debt restructuring income, subsidy income, liquidated damages income, exchange gains, etc.