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The difference between business tax and tax rate
The difference between business tax and tax rate is:

1, business tax = operating income * business tax rate

Business tax is a tax levied on the turnover of units and individuals that provide taxable services, transfer intangible assets or sell real estate in China. Business tax is one of the main taxes in the circulation tax system.

May 2006 1, 2065438, the reform plans of the last three industries of Jian' an real estate, finance and insurance, and life service will be launched, and the possibility of implementation by industry will not be ruled out.

Among them, the value-added tax rate of Jian 'an real estate is tentatively set at 1 1%, and the financial insurance and life service industry is 6%. This means that after entering the second half of 20 16, China will bid farewell to business tax in an all-round way.

2. The tax rate refers to the proportion or amount of the tax object.

The tax rate is a measure to calculate the tax amount, and it is also an important symbol to measure whether the tax burden is heavy or not. The current tax rates in China mainly include proportional tax rate, excessive progressive tax rate, fixed tax rate and excessive progressive tax rate.

The tax rate referred to here refers to the business tax rate.

Different industries have different business tax rates:

(1) Transportation industry

The business tax rate is: 3%

Collection scope: land transportation, water transportation, air transportation, pipeline transportation and loading and unloading.

General tax business:

Land transportation: the transportation business of transporting goods or passengers by land such as railways, highways, cable cars and ropeways.

Waterway transportation: there are transportation services to transport goods or passengers through natural or artificial waterways such as rivers, lakes, rivers and oceans. Salvage at sea shall be taxed according to waterway transportation.

Shipping: the transportation business of transporting goods or passengers by air route. General aviation business and aviation ground service business are taxed according to air transport.

Pipeline transportation: gas, liquid and solid substances are transported through pipeline facilities.

Loading and unloading: the business of loading and unloading goods between means of transport, between loading and unloading places or between means of transport and loading and unloading places by means of loading and unloading tools or manpower and animal power. The moving business is taxed as "loading and unloading".

(2) Construction engineering industry

The business tax rate is: 3%

Collection scope: construction, installation, repair, decoration and other engineering operations.

General tax business:

Construction: engineering operations of building, rebuilding and expanding various buildings and structures, including installation or installation of various equipment or pillars, operating platforms, furnaces and metal structures connected with buildings.

Installation: assembly and installation of production equipment, power equipment, lifting equipment, transportation equipment, transmission equipment, medical experimental equipment, etc. (including installation of workbench, ladder and railing connected with equipment and insulation, anticorrosion, heat preservation and painting of installed equipment), cable TV installation fee.

Repair: the engineering operation of repairing, strengthening, maintaining and improving buildings and structures to restore their original use value or extend their service life.

Decoration: there are engineering operations to decorate buildings and structures to make them beautiful or have specific purposes.

Other engineering operations: Acting as an agent for telecommunications engineering, water conservancy engineering, road construction engineering, drilling engineering, land leveling, scaffolding, dredging engineering, blasting engineering, demolition of buildings or structures, greening engineering and other engineering operations.

(3) Finance and insurance industry

The business tax rate is: 5%

Collection scope: finance and insurance

General tax business:

Finance: loan business, financial leasing business, financial commodity transfer business (including ownership transfer of foreign exchange, marketable securities and non-commodity futures), financial brokerage business and other financial businesses (including bank settlement and bill discount business).

Insurance: life insurance business and liability insurance business.

(4) Posts and telecommunications industry

The business tax rate is: 3%

Collection scope: post and telecommunications.

General tax business:

Postal services: delivering letters and parcels, postal remittance, publishing newspapers and periodicals, selling mail, postal savings and other postal services. Philatelic companies collect business tax on the sale of philatelic products.

Telecommunications: telegrams, telexes, telephones (including wired telephones, wireless telephones, paging telephones, renting telephone circuit equipment, maintaining or renting broadcasting circuits, TV signals, and selling mobile phones and pagers and providing wireless communication services for users), telephone installation (including installing fixed or mobile phones for users), sales of telecommunication supplies (including selling special general telecommunication supplies while providing telecommunication services), and other telecommunication services.

Note: the postal service has increased business tax, and only the telecommunications industry has been retained. )

(5) Culture and sports industry

The business tax rate is: 3%

Scope of collection: cultural industries (performances, broadcasting, other cultural industries, operating tourist sites). Sports industry (the business of holding various competitions and providing places for sports competitions or activities).

General tax business:

Performance: Units and individuals engaged in drama, song and dance, fashion, bodybuilding, acrobatics, folk art, martial arts, sports and other performance activities.

Broadcasting: the business of broadcasting works through radio stations, television stations, audio systems, closed-circuit television, satellite communications and other wireless or wired equipment, and showing various programs in cinemas, theaters, video halls and other places. Not including advertising business. Charges for paid programs of radio and television stations are taxed as "broadcasting".

Other cultural industries: all kinds of exhibitions, training activities, literature, art, science and technology, lectures, lectures, reports, library books and other services.

Operating tourist sites: selling tickets in parks, zoos and other tourist sites.

Sports industry: an undertaking in which units and individuals provide places for holding sports competitions or activities.

(6) Entertainment and leisure industry

The business tax rate is: 20%

Collection scope: karaoke bars, dance halls, karaoke dance halls (including nightclubs and singing practice rooms), music cafes (including bars), Internet cafes, golf entertainment (such as shooting, hunting, horse racing, game machines, bungee jumping, karting, hot air balloons, paramotors, archery and darts).

General tax business:

The business of providing places and services for entertainment activities (including catering services provided by customers when engaging in entertainment activities and services provided by restaurants, restaurants and other catering places for customers to entertain themselves when eating).

Note: When the business is bowling and billiards, the tax rate is 5%.

(7) Advertising service industry

The business tax rate is: 5%

Scope of collection: agency, hotel, catering, tourism, warehousing, leasing, advertising and other service industries.

General tax business:

Agent: buying and selling goods, acting as an agent for import and export, introducing services and other agency services.

Hotel industry: an industry that provides accommodation services.

Catering industry: there is a business that provides catering and catering places at the same time and provides catering services to customers.

Tourism: the business of arranging accommodation, transportation and providing tourist services such as tour guides for tourists.

Warehouse industry: the business of storing and keeping goods on behalf of customers by using warehouses, goods or other places.

Leasing industry: the business of transferring venues, houses, articles, equipment or facilities to others for use within the agreed time. The act of subletting rented houses, articles and equipment to others is taxable as "lease".

Advertising business: the business of using books, newspapers, magazines, radio, television, movies, slides, road signs, posters, windows, neon lights, light boxes, etc. to publicize and provide related services for introducing goods, operating service items, cultural and sports programs or announcements and statements.

Other services: bathing, hairdressing, printing and dyeing, photography, fine arts, painting, calligraphy, typing, carving, calculation, testing, decoration, packaging, design, drawing, consulting, testing, testing, printing, surveying and mapping, exploration and other services.

Note: the service industry still pays business tax, and the modern service industry items are changed to value-added tax)

(8) Transfer of intangible assets

The business tax rate is: 5%

Scope of expropriation: transfer of land use right

Note: Patent right, non-patented technology, trademark right, copyright and goodwill have been added to the business tax.

General tax business:

Transfer of land use rights: units and individuals transfer land use rights, and units and individuals transfer projects under construction that have been completed or are in the early stage of land development but have not entered the construction stage.

Patent transfer: the act of transferring the ownership or use right of patented technology.

Transfer of non-patented technology: the act of transferring the ownership or use right of non-patented technology.

Transfer of trademark right: the act of transferring the ownership or use right of a trademark.

Transfer of copyright: the act of transferring the ownership or use right of written works, graphic works (such as picture albums and photo albums) and audio-visual works (such as master films and video tapes).

Transfer of goodwill: the act of transferring the right to use goodwill.

(9) Real estate sales

The business tax rate is: 5%

Scope of collection: sales of houses and other ground attachments.