The situations that require 2019 annual settlement are divided into two categories: tax refund and tax repayment.

The first category is taxpayers whose prepaid tax amount is higher than the tax payable and who need to apply for a tax refund. Tax refund is the right of taxpayers. From the perspective of fully protecting the rights and interests of taxpayers, as long as the taxpayer prepays more tax due to insufficient deductions or failure to declare deductions, regardless of the income level or the amount of the tax refund, the taxpayer will be entitled to a refund. You can apply for a tax refund.

What are the general situations that will generate or may generate tax refunds? The following common situations require our taxpayers to pay close attention to:

1. The annual comprehensive income in 2019 is less than 60,000 yuan, but personal income tax has been paid in advance.

2. There are special additional deductions that are eligible for enjoyment in 2019, but no deductions were declared when prepaying taxes.

3. Deductions of RMB 60,000 due to reasons such as employment, retirement or no income in some months, special deductions for three insurances and one housing fund, special additional deductions for children’s education, and enterprise (occupational) annuity As well as insufficient deductions for commercial health insurance, tax-deferred pension insurance, etc.

4. If you are not employed by an employer and only receive income from labor remuneration, author remuneration, and royalties, you need to handle various pre-tax deductions through annual calculations.

5. When a taxpayer obtains income from labor remuneration, author remuneration, and royalties, the withholding rate applicable in the middle of the year is higher than the annual applicable tax rate for the full-year comprehensive income.

6. Failure to declare or fully enjoy comprehensive income tax benefits when prepaying taxes, such as reduced personal income tax benefits for persons with disabilities, etc.

7. There are qualified charitable donations, but no deductions have been made when prepaying taxes, etc.

The second category is taxpayers whose prepaid tax amount is less than the tax payable and should make up for the tax. It is the taxpayer's obligation to pay tax, but from the perspective of benefiting the taxpayer, according to the provisions of the State Council, if the annual comprehensive income does not exceed 120,000 and the tax payment needs to be settled, or the annual settlement and payment amount is not Those whose income exceeds 400 yuan are exempted from the final settlement of personal income tax.

So what are the common situations that will result in the need or possible need to pay taxes as a result of the annual settlement that taxpayers should pay attention to? There are two main types:

1. If you are employed in two or more units and receive wages and salaries, the basic deduction expenses (5,000 yuan/month) are repeatedly deducted when prepaying taxes.

2. In addition to wages and salaries, taxpayers also have labor remuneration, author remuneration, and royalties. The sum of various comprehensive incomes results in the applicable annual comprehensive income tax rate being higher than the withholding rate, etc.