Notice of the General Office of the State Council on Forwarding the Opinions of State Taxation Administration of The People's Republic of China Municipality on Adjusting the Scope of Tax Collection and Management of State Taxation Bureau and Local Taxation Bureau (No.641 [23] of Beijing Local Taxation Bureau)

Now, the "State Taxation Administration of The People's Republic of China Municipality on Implementing < Enterprise accounting system > Notice on enterprise income tax issues that need to be clarified (Guo Shui Fa [23] No.45) (hereinafter referred to as the "Notice") is forwarded to you, and combined with the "Circular of the Ministry of Finance and State Taxation Administration of The People's Republic of China on Printing and Distributing < About executing <: Enterprise accounting system > Answers to questions related to relevant accounting standards (III) > Notice "(Cai Shui [23] No.29) of the spirit of the document, the supplementary notice is as follows, please implement it together.

1. This Notice is applicable to enterprises that implement the Accounting System for Business Enterprises and related standards. For enterprises that have not implemented the Accounting System for Business Enterprises and related standards, the provisions of this Notice shall be applied mutatis mutandis when matters related to this Notice are involved.

2. The enterprise accounting system mentioned in this Notice refers to the unified national accounting system, including the enterprise accounting system, financial enterprise accounting system, small enterprise accounting system or other accounting systems applicable to taxpayers, as well as the regulations of the Ministry of Finance on accounting treatment.

iii. in article 2 (3) of the notice, taxpayers who accept donations of non-monetary assets must confirm the donation income according to the recorded value of the assets at the time of accepting the donation, incorporate it into the taxable income of the current period, and calculate and pay enterprise income tax according to law.

when accepting donations, the recorded value of assets refers to the value of donated non-monetary assets that should be included in taxable income and the value-added tax paid by the donating enterprise, excluding the relevant taxes that should be included in the cost of donated assets according to the accounting system and relevant standards.

4. In Article 3 (3) of the Notice, the income tax adjustment involved in the events after the balance sheet date that occurred before the taxpayer's final settlement (that is, April 3 [inclusive]) shall be regarded as the tax adjustment in the accounting reporting year; After the taxpayer settles the accounts (i.e. April 3th), the events after the balance sheet date and the adjustment of income tax payable involved shall be regarded as the tax adjustment of this year.

5. Property losses incurred by taxpayers before 23 and meeting the pre-tax deduction conditions shall be calculated according to the "On Printing and Distributing <; Measures for the examination and approval of property losses of collective and private enterprises > Notice "(Beijing local taxation enterprise [1997] No.421) file provides for declaration and deduction; Property losses formed after January 1, 23 and eligible for pre-tax deduction shall be declared and deducted in time according to the requirements of Article 4 of the Notice. Property losses that are intentionally not declared in time due to calculation errors or other objective reasons shall not be declared and deducted after the deadline.

VI. The basic supplementary pension, medical care and unemployment insurance paid by taxpayers can be deducted directly in the current period; If the amount is relatively large, it can be deducted evenly by stages during a period of not less than three years according to the situation of the unit, and reported to the competent tax authorities for the record.

VII. In accordance with the municipal government's housing reform policy, the taxpayer will give the one-time housing subsidy funds to the elderly workers who did not enjoy the welfare housing allocation treatment before stopping the housing allocation in kind (that is, December 31, 1998), and after reporting to the competent tax authorities for the record, they can be deducted evenly for a period of not less than 3 years.

VIII. The maximum amount of pre-tax deduction of enterprise income tax is 3 yuan per person per month, no matter what payment method is adopted.

IX. If the relevant income tax policies specified in the Notice are filled in the Enterprise Income Tax Return, the Municipal Bureau will specify them separately.

1. Where the taxpayer has incurred Paragraph (3) of Article 2 of the Notice, and the amount of income donated by the taxpayer is relatively large, it can be uniformly included in the taxable income of each year within a period of not more than 5 years after being examined and confirmed by the competent tax authorities. Where the taxpayer has the above audit matters, it must be reported to the local competent tax authorities for review and confirmation according to relevant procedures.

all bureaus shall, in accordance with the format of the Procedural Provisions on Administrative Examination and Approval of Municipal Local Taxation Bureau (No.171 [22] of Beijing Local Taxation Law) and in combination with local actual conditions, formulate relevant administrative examination and approval procedures in time, complete the examination and approval work within 15 working days, and announce them to taxpayers at the same time.

Xi. this notice shall be implemented as of January 1, 23. if the previously formulated documents are inconsistent with the contents of this notice, the provisions of this notice shall prevail.

December 12, 28

Document of the State Administration of Taxation

Guo Shui Fa [23] No.45

Notice of State Taxation Administration of The People's Republic of China on income tax issues that need to be clarified in implementing the Accounting System for Enterprises

State Taxation bureaus of all provinces, autonomous regions, municipalities directly under the Central Government and cities with separate plans, Local tax bureau:

Since the implementation of the Accounting System for Enterprises (No.25 [2] of Caihui Zi) in 21, grass-roots tax authorities and many financial personnel of enterprises have generally reflected that it is necessary to separate the tax law from the accounting system appropriately, but the differences also need to be coordinated. In order to reduce the cost of taxpayers' financial accounting and the cost of compliance with tax laws, which is conducive to the implementation of enterprise income tax policies and the strengthening of collection and management, after studying with the Ministry of Finance and other relevant departments, according to the relevant provisions of the Provisional Regulations of the People's Republic of China on Enterprise Income Tax, Several issues concerning income tax policies that need to be adjusted in the implementation of the enterprise accounting system are hereby notified as follows:

1. Borrowing expenses for enterprise investment

Borrowing expenses incurred by taxpayers for foreign investment can be directly deducted if they conform to Article 6 of the Provisional Regulations of the People's Republic of China on Enterprise Income Tax and Article 36 of the Measures for Pre-tax Deduction of Enterprise Income Tax (Guo Shui Fa [2] No.84).

II. Donations by enterprises

(1) The use of raw materials, fixed assets, intangible assets and marketable securities (including purchased goods by commercial enterprises) by enterprises for donations should be divided into two businesses, namely, foreign sales and donations at fair value.

all donations made by enterprises to other countries shall not be deducted before tax, except for public welfare relief donations in accordance with tax laws and regulations.

(2) The monetary assets donated by an enterprise shall be incorporated into the taxable income of the current period, and the enterprise income tax shall be calculated and paid according to law.

(3) When an enterprise accepts donated non-monetary assets, it must confirm the donation income according to the recorded value of the assets at the time of accepting the donation, incorporate it into the taxable income of the current period, and calculate and pay enterprise income tax according to law. If the donation income obtained by an enterprise is large and it is indeed difficult to pay taxes in one tax year, it can be included in the taxable income of each year evenly within a period of not more than 5 years after examination and confirmation by the competent tax authorities.

when an enterprise accepts donated inventory, fixed assets, intangible assets and investments, it can carry forward the inventory sales cost and investment transfer cost or deduct the depreciation of fixed assets and amortization of intangible assets according to the provisions of the tax law.

III. Reserves withdrawn by enterprises

(1) Items that are allowed to be deducted before enterprise income tax must, in principle, follow the principle of actual deduction. Except for national tax regulations, any form of reserves (including asset reserves, risk reserves or salary reserves) withdrawn by enterprises according to financial and accounting regulations shall not be deducted before enterprise income tax.

(2) If the enterprise has withdrawn the assets with impairment, depreciation or bad debt reserves, and the taxable income has been increased at the time of tax declaration, the provision offset due to the recovery of value or the transfer of the relevant assets shall allow the enterprise to make the opposite tax adjustment; For the fixed assets and intangible assets in the above assets, the deductible depreciation or amortization amount can be determined according to the book value before withdrawal preparation.

(3) If the enterprise has proposed and made various preparations for tax adjustment, and it has been corrected as a major accounting error due to conclusive evidence that it has inappropriately applied the principle of prudence, it can make the opposite tax adjustment.

the events after the balance sheet that happened before the enterprise declared tax payment at the end of the year, and the adjustment of income tax payable involved, should be regarded as the tax adjustment in the accounting reporting year; After the balance sheet date, the adjustment of income tax payable involved in the enterprise's year-end tax declaration and settlement shall be regarded as the tax adjustment of this year.

iv. permanent or substantial damage to enterprise assets

(1) when there is conclusive evidence to prove that permanent or substantial damage has occurred to various assets of an enterprise, after deducting the incomings, recoverable amounts, liabilities and insurance compensation, it shall be recognized as property losses.

(2) The enterprise shall report and deduct the property losses in time, and if it needs to be audited by the relevant tax authorities, it shall report and verify in time, and it shall not be artificially adjusted in different tax years. Property losses that the enterprise intentionally fails to declare in time due to calculation errors or other objective reasons shall not be deducted after the deadline. If the deduction cannot be made on schedule due to the reasons of the tax authorities, the tax return of the year concerned must be adjusted after the examination and approval by the competent tax authorities, and the tax refund shall be made accordingly, and the tax year of the property loss shall not be changed.

(3) The property losses declared by enterprises accepted by tax authorities must, in principle, go through the examination and approval procedures before the tax returns are made at the end of the year, and the tax authorities at all levels must go through the examination and approval procedures within the prescribed time limit. Unless there is a dispute over whether the assets have suffered permanent or substantial damage, they will be held accountable according to the Law of the People's Republic of China on Tax Collection and Administration and the relevant provisions of the tax law enforcement responsibility system; In case of dispute, the tax authorities at higher levels shall be consulted in time.

(4) When one or more of the following circumstances happen to the inventory, it shall be regarded as permanent or substantial damage:

1. The inventory that has gone moldy and deteriorated;

2. expired inventory with no transfer value;

3. Inventory that is no longer needed in operation and has no use value or transfer value;

4. Other inventories that can prove that they have no use value and transfer value.

(5) Fixed assets that are in any of the following circumstances shall be regarded as permanent or substantial damage:

1. Fixed assets that have been idle for a long time, will not be used in the foreseeable future, and have no transfer value;

2. Fixed assets that can no longer be used due to technological progress and other reasons;

3. Fixed assets that have been damaged and no longer have use value and transfer value;

4. due to the fixed assets themselves, the use of fixed assets will produce a large number of unqualified products;

5. Other fixed assets that can no longer bring economic benefits to the enterprise.

(6) Intangible assets shall be regarded as permanent or substantial damage when one or more of the following conditions exist:

1. Intangible assets that have been replaced by other new technologies and have no use value or transfer value;

2. Intangible assets that have exceeded the legal protection period and can no longer bring economic benefits to the enterprise;

3. Other intangible assets that can prove that they have lost their use value and transfer value.

(7) When the investment has one or more of the following circumstances, it shall be regarded as permanent or substantial damage:

1. The invested entity has been declared bankrupt according to law;

2. The invested entity is revoked according to law;

3. The invested entity has stopped operating for more than 3 years in a row, and there are no plans for restructuring to resume operations;

4. Other circumstances that can prove that an investment can no longer bring economic benefits to the enterprise.

V. Pension, medical care and unemployment insurance

(1) Supplementary pension insurance and supplementary medical insurance paid by an enterprise for all employees according to the proportion or standard stipulated by the State Council or the provincial people's government can be deducted before tax.

(2) The basic or supplementary pension, medical care and unemployment insurance paid by the enterprise for all employees according to the proportion or standard stipulated by the State Council or the provincial people's government can be deducted directly in the current period of payment; If the amount is relatively large, the competent tax authorities may require the enterprise to deduct it evenly by stages within a period of not less than three years.

VI. About Enterprise Restructuring

(1) It is in compliance with the Notice of State Taxation Administration of The People's Republic of China on Some Income Tax Issues Concerning Enterprise Equity Investment Business (Guo Shui Fa [2] No.118) and the Notice of State Taxation Administration of The People's Republic of China on Income Tax Issues Concerning Enterprise Merger and Separation Business (Guo Shui Fa [2] No.119), and the overall asset transfer and overall asset replacement of the enterprise obtained from asset transfer are not confirmed for the time being. In the reorganization business such as merger and division, an enterprise that obtains premium or non-equity payment shall recognize the value-added corresponding to premium or non-equity payment included in the transferred or disposed assets as taxable income in the current period.

(2) The overall asset transfer and reorganization that conforms to the provisions in Item (2) of Article 4 of the Notice of State Taxation Administration of The People's Republic of China on Some Income Tax Issues Concerning Enterprise Equity Investment Business (Guo Shui Fa [2] No.118) that the transferring enterprise does not recognize the gains or losses from asset transfer for the time being, and the cost of the assets of the transferring enterprise obtained by the accepting enterprise can be determined according to the assessed and confirmed value, without tax adjustment.

(3) When an enterprise repurchases shares of its own company for merger, the difference between the repurchase price and the issue price belongs to the increase or decrease of the enterprise's rights and interests, and does not belong to the gains and losses of asset transfer, and shall not be deducted from the taxable income or included in the taxable income.

VII. Classification criteria for leasing

(1) Enterprises must correctly distinguish between financial leasing and operating leasing when dealing with leased assets in tax.

(2) The standards for distinguishing financial leasing from operating leasing shall be implemented in accordance with the Accounting System for Enterprises.

VIII. Scope of withdrawal of bad debt reserve

Article 46 of the Measures for Pre-tax Deduction of Enterprise Income Tax (Guo Shui Fa [2] No.84) stipulates that an enterprise may withdraw 5‰ of provision for doubtful debts for pre-tax deduction. For the sake of simplification, the scope of allowing enterprises to accrue provision for doubtful debts shall be implemented in accordance with the provisions of the Accounting System for Enterprises.

IX. In case of sales return of an enterprise, as long as the buyer provides proper proof of the return, the sales income of the return period can be offset.

1. If the provincial people's government fails to set the standard, the State Taxation Bureau and the Local Taxation Bureau at the provincial level shall consult with other provinces and relevant departments to determine the one-time housing subsidy funds for the elderly workers who did not enjoy the welfare housing allocation treatment before stopping the physical housing allocation.

the standard of office communication fees paid by enterprises to employees related to obtaining taxable income shall be determined by the provincial state taxation bureau and local taxation bureau through consultation.

Xi. This notice has been issued since 2