Industries that have implemented VAT.
The reform of the camp has been fully promoted, the deduction chain has become more complete, and the deduction items have increased, benefiting the manufacturing industry and pilot industries in the early stage.
For the reform of the camp, "all industries" mainly includes two parts: first, industries that have implemented value-added tax, including manufacturing and transportation, postal services, telecommunications, and modern service industries. Previously, it has been included in the pilot reform of the camp; Second, the four major industries that will be included in the pilot reform of the camp, including construction, real estate, finance and life services.
"After the full implementation of the camp reform, the deduction chain will be more complete. Many taxpayers who have previously piloted the reform of the camp, as well as former VAT taxpayers such as manufacturing, will have a lower tax burden. " Li Wanfu, director of State Taxation Administration of The People's Republic of China of China Taxation Institute, believes that manufacturing industry must have factories and warehouses, and it is a big expense for enterprises to build or rent their own. Bringing the four major industries and new real estate into the pilot project at one time is of great significance for reducing the burden on the real economy and promoting the transformation and upgrading of the manufacturing industry.
Taking the transportation industry as an example, when it was first included in the pilot reform of the camp, many input taxes could not be deducted, and the tax burden of some enterprises increased. With the full implementation of the camp reform, the scope of deduction will be further expanded, and the tax burden of these enterprises will gradually decline.
"Every expansion of the camp reform will increase deductible items, thus reducing the corporate tax burden." The person in charge of Anji Automobile Logistics Co., Ltd. introduced that at the beginning of the reform, due to the limitation of the pilot scope, enterprises could not get enough input tax deduction and the tax burden increased. In 20 14, the enterprise updated the means of transport and obtained more input tax deduction. This year's comprehensive push will further increase deductible items and further improve corporate tax burden.
"The four major industries are included in the camp reform, and the travel expenses, conference fees, and logistics assets purchase and construction expenses incurred in the daily operations of enterprises can be deducted more, which will probably reduce the tax burden by 3%-4%." Liu Xiaozhi, financial manager of Sinotrans Fujian Co., Ltd., said that this will help improve the competitiveness of logistics enterprises and help them tide over the difficulties.
"Highway tolls are an important cost for transportation enterprises. Transitional arrangements have been made for the pilot rules for the reform of the camp. In the future, the actual tax burden of transportation enterprises will be further reduced after the VAT invoice can be obtained for crossing the bridge toll. " Li Wanfu said.
Construction and real estate
Change the original business tax rates of 3% and 5% to the value-added tax rate of 1 1%, but the tax burden of the whole industry will not increase.
The reform of the camp will be carried out in an all-round way, and the construction industry, real estate industry, financial industry and life service industry will all be included in the pilot scope. The tax rate of construction and real estate industry is 1 1%, and the tax rate of financial industry and life service industry is 6%. The society is generally concerned that the business tax rate of the construction industry and the real estate industry has changed from the original 3% and 5% to the value-added tax rate of 1 1%. Will the tax burden increase when the tax rate increases?
"If the VAT rate is higher than the business tax rate, it will increase the corporate tax burden, which is actually a misunderstanding." Bai Jingming, deputy director of China Institute of Fiscal Science, believes that business tax is levied according to the turnover of enterprises, while value-added tax is levied according to the added value of goods and services, and the tax bases of the two are quite different. Although the VAT rate has increased, the tax burden of these two industries will not increase or even decrease due to the deduction of input tax.
Bai Jingming analyzed that the main inputs in the construction industry are steel, bricks, cement and other building materials, which can be deducted according to the VAT rate of 17%, and the deduction is quite strong. In particular, in view of the business model of enterprise contracting and contracting, the planning also made policy arrangements for the transition period. Ordinary taxpayers can choose to apply the simple tax calculation method to the construction services provided by the contractor. Compared with the original business tax rate of 3%, the corporate tax burden is basically unchanged.
Similarly, the current business tax rate of the real estate industry is 5%, and the tax rate of 1 1% will apply after the reform. However, due to the increase in input deduction, the tax burden will not rise. According to the reform plan, for real estate developers who apply to become general taxpayers, the tax rate is 1 1%, and the cost of land leasing can be deducted from the sales. Among the real estate development costs, the land transfer fee is the largest, accounting for 30% to 40% of the total cost. Land transfer fees can be deducted from sales, which is very important for reducing the tax burden of real estate enterprises. In addition, small-scale taxpayers of real estate development enterprises sell self-developed real estate projects at a reduced tax rate of 5%, without increasing the tax burden of such enterprises.
Financial industry and life service industry
From the original business tax rate of 5% to the value-added tax rate of 6%, the industry tax burden will be significantly reduced.
"How to ensure that the tax burden of all industries is only reduced and not increased is both a key point and a difficult point. The reform plan has made great efforts in this regard. " Hu, a professor at Shanghai University of Finance and Economics and dean of the Institute of Policy and Governance, said that in order to achieve this goal, the plan not only fully considered the tax design, but also retained the original preferential business tax policies, and also introduced corresponding supporting measures according to the characteristics of various industries.
Financial services are mainly engaged in financial and insurance business activities, such as loan services, direct charge financial services, insurance services and financial commodity transfer. Life service industry covers a wide range, including cultural and sports services, education and medical services, tourism and entertainment services, catering and accommodation services, residents' daily services and other life services.
"From the perspective of tax burden comparison, without considering the input tax deduction, the 6% VAT rate is equivalent to the 5.66% business tax rate, which is very close to the current business tax rates of these two industries." Hu explained that after the reform of the camp, the deductible input tax of the financial industry and the life service industry will increase, and the tax burden of the two industries will be significantly reduced.
Most of the offices in the financial industry are high-grade buildings with high degree of electronic informationization and large investment. By purchasing real estate and related equipment, and outsourcing technical services, the financial industry is likely to achieve tax cuts. Judging from the relevant rules, the original preferential business tax policy for the financial industry has been basically retained and continued after the reform of the camp. For example, interest income from financial interbank transactions is exempt from value-added tax, personal insurance with a pilot 1 year or more is exempt from value-added tax, and agricultural insurance is exempt from value-added tax.
Life service industry is almost all-inclusive and closely related to people's lives. The general taxpayer applies the tax rate of 6%, and the deduction items are also diverse. For example, open a gym, rent a venue, buy fitness equipment and so on. Can be used as an input deduction; Open a restaurant, buy and rent a scroll, decorate a store, and equip the kitchen. It can also be used as an input deduction.
"Another obvious feature of the life service industry is the large number of small and micro enterprises. As small-scale taxpayers, these enterprises will simply be levied at the tax rate of 3% after the reform of the camp. Compared with the original business tax rate of 5%, these enterprises will reduce taxes by about 40%, and the effect is very obvious. " Hu Xiang emphasized.
Scan the QR code below to easily pay attention to Mande enterprise services.