What is the difference between Business Tax and Enterprise Income Tax?

This is the case, suppose that a general taxpayer has labor services for the sale of goods and the installation of construction in the current period, and the company adopts separate accounting for these two businesses! A total of 350,000 yuan of income was obtained in the current period, as follows:

Sales of goods: (Generally speaking, this business only involves VAT and does not pay business tax).

The purchase price is 100,000 yuan, the input tax is 10,000 yuan, and the selling price is 150,000 yuan. At this time, the purchaser should be charged an additional VAT output tax of 10,000 yuan, that is, he should receive 10,000 yuan. The value-added tax payable in the current period is 10,000 yuan.

Provision of installation and construction services: (within the scope of business tax).

The income is 200,000 yuan, and the cost is 80,000 yuan. At this time, the business tax that should be paid in the current period is 20 * 3% = 60,000 yuan.

Income tax: The profit from the sale of goods is 15-10 = 50,000 yuan (excluding VAT), and the profit from the provision of installation and construction services = 20-8-6 = 60,000 yuan. Therefore, the income tax that should be paid in the current period is (5 + 6) * 33% = 10,000.

Generally speaking, in the process of multiple consecutive transactions, VAT can better avoid the situation of double taxation; In the course of continuous transactions, there will be double taxation in the business tax.

The calculation of income tax is to deduct the tax included in the profit before calculating the income tax, and in general, there will be no double tax calculation.

Difference between business tax and corporate income tax:

1. There are three tax rates for business tax, namely % The tax rate of enterprise income tax is adjusted to 25% in the new accounting standards this year, 20% for small and low-profit enterprises, and 15% for high-tech industries

2. Business tax belongs to turnover tax, and enterprise income tax belongs to income tax.

3. The business tax can be taken for one month, while the enterprise income tax is levied on an annual basis, prepaid in installments, and paid at the end of the year. Taxes are paid within 5 months after the end of the year.

The scope of business tax includes the business activities of raising taxes, transferring intangible assets and selling immovable property within the territory of China, involving a wide range of areas such as the tertiary industry in the national economy. Sales of tangible movable property are subject to VAT.

Business tax payable = turnover tax rate.

Tax items and rates.

Transportation 3%, Construction 3%, Finance and Insurance 5%, Posts and Telecommunications 3%, Culture and Sports 3%, Entertainment 5%-20%, Services, including Organizing Tours, Providing Venues, etc., 5%, Transfer of Intangible Assets, 5%, Sales of Real Estate, 5%.

Enterprise income tax is a tax levied on the production and operation income and other income of China's domestic-funded enterprises and business units. In layman's terms, sales revenue - cost of sales - three expenses, etc. + non-operating income - non-operating expenses = total profit, total profit * 25% = enterprise income tax to be paid by the enterprise, total profit - income tax expense = net profit.

Legal analysis: The difference between corporate business tax and income tax: 1. Business tax and income tax are two different taxes.

2. The basis for calculating taxes is different. 3. The tax rate is different. (1) Business tax rate:

3% of land transportation, water transportation, air transportation, pipeline transportation, loading and unloading in the transportation industry. 3% for construction, installation, repair, decoration and other engineering operations in the construction industry. Transfer of intangible assets, transfer of land, state property and use rights, patent rights, non-patented technology, trademark rights, copyrights, goodwill 5% 9%, sales of real estate, sales of buildings and other land attachments 5%, etc.

2) Income tax rate: The corporate income tax rate is 25%. 20% for small and low-profit enterprises, and 15% for new technology enterprises.

Legal basisRegulations for the Implementation of the Enterprise Income Tax Law of the People's Republic of China

Article 33 The term "other expenditures" mentioned in Article 8 of the Enterprise Income Tax Law refers to the reasonable expenditures related to production and business activities incurred by an enterprise in the course of production and business activities, in addition to costs, expenses, taxes and losses.

Article 34 Reasonable wage and salary expenses incurred by an enterprise shall be allowed to be deducted. The term "wages and salaries" as used in the preceding paragraph refers to all cash or non-cash labor remuneration paid by an enterprise to its employees in each tax year, including basic salary, bonuses, allowances, subsidies, year-end salary increases, overtime wages, and other expenses related to employees' positions or employment.

Answer: The difference between business tax and income tax of a company: 1. Business tax and income tax are two different taxes.

1) Business tax: Units and individuals within the territory of the People's Republic of China that provide the services specified in these Regulations (hereinafter referred to as taxable services), transfer intangible assets or sell immovable property are taxpayers of business tax (hereinafter referred to as taxpayers) (2) Enterprise income tax: Enterprises within the territory of the People's Republic of China, except for foreign-invested enterprises and foreign enterprises, shall pay enterprise income tax on their production, business income and other income in accordance with these Regulations.

2. Different tax bases (1) Turnover is the tax basis for the business tax provided by the taxpayer is turnover, all the price and off-price expenses charged to the other party for taxable services, transfer of intangible assets or sale of immovable property. Off-the-money charges include handling fees, orange numbers**, fundraising fees, collection of funds, advances and other off-price charges of various natures. (2) All the net income of the enterprise, regardless of whether its formation channel is the income from production and operation, or the income from foreign investment and non-operating income of the enterprise, shall be included in the taxable income of the enterprise, and shall not be included in the taxable income of the enterprise, regardless of whether the formation process is directly related to the production and operation of the enterprise.

What is the specific difference between business tax and corporate income tax? 1. Taxation ObjectsThe taxation objects of different enterprise income tax are the income obtained by taxpayers, including income from the sale of goods, income from the provision of labor services, income from the transfer of property, income from dividends and dividends, income from interest, income from rent, income from royalties, income from donations and other income. Business tax is a tax levied on the turnover of units and individuals who raise taxes on services, transfer intangible assets or sell immovable property within the territory of China.

2. Different tax calculation basis: Enterprise income tax is calculated on the basis of the profit of the enterprise. The basis of business tax is the turnover of tax-taxed services, the transfer amount of intangible assets or the sales amount of immovable property. 3. Different calculation methods1. The determination of the taxable income of an enterprise is the total income of the enterprise minus the amount of costs, expenses, losses and allowable deductions.

Costs are the direct expenses and indirect expenses incurred by taxpayers for the production and operation of goods and the provision of labor services; Expenses refer to the sales expenses, management expenses and financial expenses incurred by taxpayers for the production and operation of goods and the provision of labor services; Losses refer to the non-operating expenses, operating losses and investment losses of taxpayers in the process of production and operation. 2. Business tax payable = taxable turnover The turnover of the applicable tax rate refers to all the prices and off-price expenses charged by the taxpayer to the other party for tax-based services, or leasing intangible assets and selling immovable property, and the off-price expenses include handling fees, fund-raising fees, collection payments and other off-price charges of various natures charged to the other party. The business tax rate adopts different proportional tax rates according to different industries and categories, such as 3% for the transportation industry, 5% for leasing intangible assets, and 5% for the sale of immovable property.

That's all I have summarized for you, I hope you understand.

The differences between corporate income tax and business tax are as follows:

1. Corporate income tax and business tax are two different types of taxes. Enterprise income tax refers to enterprises within the territory of the People's Republic of China, except for foreign-invested enterprises and foreign enterprises, which shall pay enterprise income tax on their production, business income and other income in accordance with these Regulations. Business tax refers to the entities and individuals that provide labor services, transfer intangible assets or sell immovable property within the territory of the People's Republic of China as stipulated in these Regulations, and are taxpayers of business tax.

2. The basis of taxation is different, and all the net income of the enterprise, regardless of whether its formation channel is the income from production and operation, or the income from foreign investment and non-operating income of the enterprise, should be included in the taxable income of the enterprise. Business tax is calculated on the basis of turnover, all the price and off-price expenses of taxable services, transfer of intangible assets or sale of immovable property to the other party.