The basic research expenditure donated by enterprises to non-profit scientific and technological research and development institutions (hereinafter referred to as scientific research institutions), universities and government natural science funds can be deducted before tax according to the actual amount when calculating the taxable income, and can be deducted before tax according to 100%.
Non-profit scientific research institutions and institutions of higher learning that obtain funds for basic research from enterprises, individuals and other organizations shall be exempted from enterprise income tax.
So, how do enterprises declare to enjoy the above preferential policies? Let's get to know each other.
Keep materials for future reference.
Enterprises, non-profit scientific research institutions, universities and government natural science fund management units should keep relevant information for future reference, including enterprise investment agreements, investment contracts and related bills, which should include information such as investors, recipients, investment purposes (marked as basic research) and investment amount.
Processing channel
It can be handled through the tax service office (office) and the electronic tax bureau. The specific location and website can be found in the "tax service" column of the website of the tax bureaus of all provinces (autonomous regions, municipalities directly under the central government and cities under separate state planning).
Declaration requirements
Enterprises can enjoy preferential treatment by filling in the relevant columns in the enterprise income tax prepayment declaration and annual tax declaration.
1. Addition and deduction of basic research expenses donated by enterprises to non-profit scientific research institutions, universities and government natural science funds.
At the time of prepayment declaration, fill in the relevant accrued deductions in the column of "Deductions: Exempted Income, Deducted Income and Accrued Deductions" in Line 7 of People's Republic of China (PRC) Monthly (Quarterly) Prepaid Tax Declaration Form (A200000). For manual declaration, fill in the project name and preferential amount of "enterprise's investment in basic research expenditure plus deduction (plus deduction 100%)" in the detailed line. If you declare through the electronic tax bureau, you can directly select the name of the corresponding preferential item in the drop-down menu and fill in the preferential amount. For the names of preferential items and the declaration requirements of preferential amount, please refer to the Catalogue of Enterprise Income Tax Declaration published on the website of State Taxation Administration of The People's Republic of China, People's Republic of China (PRC).
At the time of annual declaration, fill in the relevant lines in the List of Tax Exemption, Deducted Income and Accrual Deduction Preferences (A 1070 10) in the Annual Tax Return of Enterprise Income Tax in People's Republic of China (PRC) (Class A, Version 20 17).
2. Non-profit scientific research institutions and institutions of higher learning shall be exempted from enterprise income tax for basic research funds obtained by enterprises, individuals and other organizations.
When reporting in advance, you should fill in the relevant tax-exempt income in the column of "Deduction of tax-exempt income, deduction and deduction of income" in line 7 of People's Republic of China (PRC) Enterprise Income Tax Declaration Form (A200000). For manual declaration, fill in the project name and preferential amount of "the income from basic research is exempted from enterprise income tax" in the detailed line. If you declare through the electronic tax bureau, you can directly select the name of the corresponding preferential item in the drop-down menu and fill in the preferential amount. For the names of preferential items and the declaration requirements of preferential amount, please refer to the Catalogue of Enterprise Income Tax Declaration published on the website of State Taxation Administration of The People's Republic of China, People's Republic of China (PRC).
At the time of annual declaration, fill in the relevant lines in the List of Tax Exemption, Deducted Income and Accrual Deduction Preferences (A 1070 10) in the Annual Tax Return of Enterprise Income Tax in People's Republic of China (PRC) (Class A, Version 20 17).
Relevant regulations
1. Non-profit scientific research institutions and institutions of higher learning, including those established by the state, private non-profit scientific research institutions and institutions of higher learning, are determined according to the following conditions:
(1) Scientific research institutions and institutions of higher learning established by the state refer to scientific research institutions and public institutions of higher learning that have been established with financial funds and obtained the legal person certificate of public institutions, including those affiliated to the central and local governments.
(2) Private non-profit scientific research institutions and institutions of higher learning refer to scientific research institutions and institutions of higher learning that meet the following conditions at the same time:
(1) registered in the civil affairs department according to the Provisional Regulations on the Registration Management of Private Non-enterprise Units, and obtained the Registration Certificate of Private Non-enterprise Units (Legal Persons).
The business scope recorded in the registration certificate of private non-profit scientific research institutions and private non-enterprise units (legal persons) shall belong to the scope of scientific research and technology development, achievement transfer, scientific and technological consultation and service, and evaluation of scientific and technological achievements. If there is any dispute over the business scope, the tax authorities shall submit it to the administrative department of science and technology at or above the county level for confirmation.
Private non-profit institutions of higher learning shall obtain the license for running a private school issued by the competent department of education, and record the type of running a school as "institutions of higher learning".
(3) It is recognized that it has obtained the tax exemption qualification of the enterprise income tax non-profit organization.
2. The government natural science fund refers to the natural science fund managed by the natural science fund committee established by the state and local governments.
3. Basic research refers to the activities of expounding and testing various hypotheses, principles and laws by analyzing the characteristics, structures and interrelationships of things. The specific judgment is based on the following contents:
(1) Basic research does not presuppose a specific application or use purpose, but mainly acquires new knowledge about the basic principles of phenomena and observable facts, which can be aimed at known or cutting-edge scientific problems or at some broad fields of general interest, with the goal of being widely used in the future.
(2) Basic research can be divided into two types. One is free exploratory basic research, that is, in order to enhance knowledge, it does not pursue economic or social benefits, nor does it actively seek to apply it to practical problems or transfer the results to the department responsible for application. The second is goal-oriented (directional) basic research, which aims to acquire some knowledge and lay a foundation for exploring and solving problems that are known at present or may be discovered in the future.
(3) The results of basic research usually show new principles, new theories, new laws or new knowledge, mainly in the form of papers, works and research reports. At the same time, because basic research is exploratory and has the risk of failure, papers, works and research reports can also be embodied as the result of trial and error or falsification.
The above-mentioned basic research does not include research conducted abroad, nor does it include research in social sciences, arts or humanities.