How to determine the income tax of a business?

Corporate income tax is calculated and paid on the basis of taxable income (tax-adjusted profits).

1. Profit = main business income - main business cost - main business tax and surcharge + other business income - other business expenses - operating expenses - management expenses - financial expenses + investment income + non-operating income - non-operating expenses.

2. Taxable income = profit + increase in tax adjustment - decrease in tax adjustment 3. Applicable tax rate: 18% of the taxable income (tax-adjusted profit) within 30,000 yuan (inclusive), 27% if the taxable income is between 30,000 yuan and 100,000 yuan (inclusive), and 33% if it is more than 100,000 yuan.

If the company has a profit at the end of the year, it needs to pay corporate income tax.

If the profit is less than 30,000 yuan, the tax rate is 18%.

30,000-100,000, the tax rate is 27%.

If it is more than 100,000, the tax rate is 33%.

It is worth noting that from January 08, the corporate income tax rate will no longer be divided into 3 levels, and all will be changed to 25%.

The upstairs is a little less rigorous, because only the business tax is calculated according to the income, and the income tax is calculated according to the profit, and income and profit are not the same concept.

Corporate income tax calculation formula.

Taxable income tax amount = gross profit * applicable tax rate.

The tax rate is 18% of the total profit below 30,000; 27% of the total profit of 30,000-100,000; The total profit of more than 100,000 shall be paid according to 33 and adjusted to 25%.

Quarterly pre-payment, year-end final settlement.

Corporate income tax is determined on the basis of income.

18% of income within 30,000 yuan, 27% within 100,000 yuan, and 33% of income over 100,000 yuan.

2008-01-01 will be uniformly adjusted to 25

The corporate tax rate for income earned in China is 20

1) Income from the sale of goods;

2) Provision of income from labor services;

3) Income from the transfer of property;

4) Dividends, bonuses and other equity investment income;

5) The interest is collected and returned;

6) Rental income;

7) royalty income;

8) Receiving income from donations;

9) Other income.

Article 7 stipulates that the following income out of the total income is non-taxable income:

1) Financial allocation;

The second shouted) administrative fees collected in accordance with the law and included in the financial management, **sexuality**;

3) Other non-taxable income as specified in ***. Corporate income tax income is expressed by the formula: taxable income, total income, non-taxable income, and tax-exempt income.

1) Income from the sale of goods;

2) Provision of income from labor services;

3) Income from the transfer of property;

4) Dividends, bonuses and other equity investment income;

5) Interest income;

6) Rental income;

7) royalty income;

8) Receiving income from donations;

9) Other income.

Article 7 stipulates that the following income out of the total income is non-taxable income:

1) Financial allocation;

2) In accordance with the law, the administrative fees and charges taken by Tongyuan and included in the financial and political management;

3) Other non-taxable income as specified in ***. Corporate income tax income is expressed by the formula: taxable income, total income, non-taxable income, and tax-exempt income.

Except as otherwise provided in the Enterprise Income Tax Law and its implementing regulations, the recognition of sales revenue of an enterprise must follow the principle of accrual accounting and the principle of substance over form.

a) Sale of goods.

If the goods sold by an enterprise meet the following conditions at the same time, the realization of revenue shall be recognized:

1. The commodity sales contract has been signed, and the enterprise has transferred the main risks and rewards related to the ownership of the commodity to the buyer;

2. The enterprise neither retains the right to continue to manage the goods that have been sold, but also does not exercise effective control;

3. The amount of income can be reliably measured;

4. The costs of the seller that have occurred or will be incurred can be reliably calculated.

1) If the sale of goods adopts the method of collection and acceptance, the revenue shall be recognized when the collection procedures are completed.

2) If the sale of goods adopts the method of advance payment, the revenue shall be recognized when the goods are shipped.

3) If the goods sold need to be installed and inspected, the revenue shall be recognized when the buyer accepts the goods and the installation and inspection are completed. If the setup is simpler, you can recognize revenue when you ship your goods.

4) If the sales of goods are entrusted by payment of handling fees, the revenue shall be recognized when the consignment list is received.

2) Provision of labor transactions.

The result of the transaction of the provision of services can be reliably estimated, which means that the following conditions are met at the same time:

1. The amount of income can be reliably measured;

2. The completion progress of the transaction can be reliably determined;

3. The costs that have been incurred and will be incurred in the transaction can be reliably calculated.

The enterprise shall determine the total amount of labor income according to the contract or agreement price received or receivable from the recipient of labor services, and recognize it as the current labor income according to the total labor income provided at the end of the tax period multiplied by the completion progress after deducting the accumulated recognized labor income in the previous tax year; At the same time, the estimated total cost of services provided is multiplied by the completion progress after deducting the accumulated recognized labor costs in the previous tax period, and the amount is carried forward to the current labor cost.

3) Transfer the right to use assets.

1. Interest income shall be recognized according to the date on which the debtor shall pay interest as agreed in the contract.

2. Rental income shall be recognized according to the date of rent payable by the lessee as agreed in the contract. Among them, if the transaction contract or the Lianbi agreement stipulates that the lease term spans years and the rent is paid in advance in a lump sum, the lessor may include the above-mentioned recognized income in equal installments during the lease period in accordance with the principle of income and expense ratio stipulated in Article 9 of the Implementation Regulations.

3. The realization of royalty income shall be recognized in accordance with the date on which the concessionaire shall pay the royalties as agreed in the contract.

The meaning of enterprise income tax is: the tax levied on the income of various incomes of enterprises is generally called enterprise income tax. The taxable income of an enterprise is the total income of the enterprise in the current year, minus the amount of non-taxable income, tax-exempt income, various deductions, and the amount of making up for previous losses.

The corporate income tax rate is generally 25%.

1. The concept of enterprise income taxEnterprise income tax is a tax levied on the production and operation income and other income of China's domestic-funded enterprises and business units. The scope of taxpayers is larger than that of the corporate income tax. Enterprise income tax payers refer to all domestic-funded enterprises or other organizations within the territory of the People's Republic of China that implement independent economic accounting, including the following 6 categories:

1) state-owned enterprises; (2) collective enterprises; (3) private enterprises; (4) associates; (5) Joint-stock enterprises; (6) Other organizations with production and operation income and other income. The object of enterprise income tax is the income obtained by the taxpayer. It includes income from the sale of goods, income from the provision of services, income from the transfer of property, income from dividends and dividends, income from interest, income from rent, income from royalties, income from receiving donations and other income.

Enterprise income tax refers to an income tax levied on enterprises (resident enterprises and non-resident enterprises) and other organizations that obtain income within the territory of the People's Republic of China on their production and operation income. As an enterprise income tax payer, you should pay enterprise income tax in accordance with the Enterprise Income Tax Law of the People's Republic of China. However, sole proprietorships and partnerships are excluded.

2. Taxpayers of enterprise income taxThe taxpayers of enterprise income tax refer to all domestic-funded enterprises or other organizations within the territory of the People's Republic of China that implement independent economic accounting, including the following six categories: state-owned enterprises, collective enterprises, private enterprises, joint ventures, joint-stock enterprises, and other organizations with production and operation income and other income. An enterprise refers to an enterprise registered and registered in accordance with national regulations.

"Other organizations with income from production and operation" and other income refer to public institutions, social groups, and other organizations that have been approved by the relevant state departments and registered and registered in accordance with law, and have income from production and business operations. Independent economic accounting refers to the ability to open a settlement account with a bank at the same time; Independently establish account books and prepare financial and accounting statements; Calculate conditions such as profit and loss independently. Sole proprietorship enterprises and partnership enterprises do not use this law, and these two types of enterprises can levy individual income tax to avoid double taxation.

3. The object of enterprise income tax is the income obtained by taxpayers. It includes income from the sale of goods, the provision of labor services, the transfer of property, dividends and dividends, interest income, rental income, royalty income, donation income and other income. Resident enterprises shall pay enterprise income tax on their income within and outside China.

Although the corporate income tax rate is 25, the tax law stipulates some tax incentives, including tax exemptions, tax reductions, additional deductions, accelerated depreciation, write-down income, tax credits, etc., so if a business wishes to reduce taxes, there are some legal ways to reduce the tax burden on their company.

Income tax = taxable income * tax rate (25% or %) taxable income = total income - non-taxable income - tax-exempt income - various deductions - loss in previous years.

Income tax payable by the enterprise = taxable income for the current period * applicable tax rate.

Taxable income = total income - amount of allowable deductions.

The corporate income tax rate is the statutory rate at which the corporate income tax payable is calculated. According to the provisions of the Provisional Regulations of the People's Republic of China on Enterprise Income Tax, the new Income Tax Law of the People's Republic of China in 2008; The general corporate income tax rate is 25%.

If a non-resident enterprise establishes an institution or place in China, it shall pay enterprise income tax on the income obtained by the establishment or place in China, as well as the income that occurs outside China but has an actual connection with the institution or place established by the non-resident enterprise.

Qualified small and low-profit enterprises will be subject to corporate income tax at a reduced rate of 20%.