How to deduct the labor insurance expenses from the tax?

Whether work clothes are included in employee welfare expenses or enterprise costs depends on several different situations of work clothes and is treated differently.

1. Enterprises make unified production according to the nature and characteristics of employees' work and the number of employees on the job, and if they require to wear clothes for work, they may not be included in welfare expenses. According to Article 2 of the Announcement of State Taxation Administration of The People's Republic of China City, People's Republic of China (PRC) on Several Issues Concerning Enterprise Income Tax (People's Republic of China (PRC) State Taxation Administration of The People's Republic of China Announcement No.34, 20 1 1), "the expenses incurred by enterprises in uniformly producing work clothes for employees according to the nature and characteristics of their work can be deducted before tax as reasonable expenses of enterprises according to the provisions of Article 27 of the Implementation Regulations." Directly regard the service fee as the reasonable cost of the company.

The current value-added tax regulations do not stipulate the deduction of work clothes input tax, and the tax indicated in the work clothes input invoice that is not included in welfare expenses can be deducted with reference to the provisions of enterprise income tax.

Borrow: management fee-tool fee

Taxes payable-VAT payable (input tax)

Loans: bank deposits

2. However, if an enterprise buys clothes in a shopping mall and sends them to employees, it should be regarded as employee welfare expenses, and the input tax cannot be deducted when obtaining a special invoice, and the enterprise will withhold and remit personal income tax.

3. If the work clothes in the workshop are purchased first and then distributed on demand, they will be included in the turnover materials-low-value consumables in the new guidelines when they are accepted and put into storage, and then included in the relevant expense accounts according to the departments to which the employees belong when they receive them.

4. Special circumstances: if it is labor insurance expenses, such as wearing safety helmets to ensure the safety of employees, it is classified as labor insurance supplies. According to Article 48 of the Regulations for the Implementation of the Enterprise Income Tax Law, reasonable labor protection expenses incurred by enterprises are allowed to be deducted. Generally speaking, the amount is "reasonable", that is, first, it must be due to work needs; 2. Being a laborer or provider with labor relations; 3. Limited to a certain expenditure range: such as work clothes, gloves, safety protection products, heatstroke prevention and cooling products, etc. Labor protection expenses, including work clothes, antidotes, refreshing drinks and other heatstroke prevention expenses paid by the employer to the workers, belong to productive welfare and are not taxed as the taxable income of the workers.

The special VAT invoice obtained by purchasing labor insurance articles can offset the input tax.

Borrow: management expenses-labor insurance supplies

Taxes payable-VAT payable (input tax)

Loans: bank deposits

Accounting treatment:

The first and fourth situations have been dealt with, so I won't repeat them here. The following describes the treatment of welfare expenses and workshop workers' clothing expenses.

1. If the clothes distributed to employees as welfare expenses are purchased in the mall:

Cumulative time:

Borrow: management expenses-employee welfare expenses

Loan: Payable employee salary-employee welfare fund.

When paying:

Borrow: Payable Staff Salary-Staff Welfare Fee

Loan: management fee-employee welfare fee

Taxes payable-personal income tax payable

bank deposit

When paying taxes:

Borrow: taxes payable-personal income tax payable

Loans: bank deposits