According to Article 3 of the Notice of State Taxation Administration of The People's Republic of China City, People's Republic of China (PRC) on Deduction of Wages, Salaries and Employee Welfare Expenses (No.3 [2009] of the State Administration of Taxation), the employee welfare expenses stipulated in Article 40 of the Regulations on the Implementation of Enterprise Income Tax include various subsidies and non-monetary benefits provided for employees. Including medical expenses paid by enterprises to employees in the business field, medical expenses of employees in enterprises that have not implemented medical co-ordination, medical subsidies for employees to support their immediate family members, heating subsidies, heatstroke prevention and cooling expenses for employees (which can also be included in labor protection expenses in the definition of tax law), employee hardship subsidies, relief funds, employee canteen funds subsidies, employee transportation subsidies, etc. Other employee welfare expenses incurred in accordance with other regulations, including funeral subsidies, pension expenses, settling-in expenses, family leave travel expenses, etc. \x0d\ Labor protection fee standard before enterprise income tax: \x0d\ 1. For the clothing expenses within the scope of employee labor protection expenses, the pre-tax expense standard is: the maximum allowable deduction of on-the-job clothing workers per year is 1000 yuan (inclusive), which is actually paid. \x0d\ 2。 The expenses of protective equipment in winter and summer, which belong to the scope of employee labor protection fees, are still charged before tax: the annual expenses per person shall not exceed 20 yuan (inclusive). \x0d\ 3。 The summer heatstroke prevention and cooling expenses of employees who belong to the scope of labor protection expenses are: outdoor operation and high temperature operation per person per month 160 yuan, and non-high temperature operation per person per month 130 yuan. The annual payment is calculated and paid in four months, which is included in the enterprise cost and allowed to be deducted before tax. \x0d\ 4。 The labor insurance expenses mentioned in Article 1 and Article 2 above shall not be paid in cash, and any cash paid shall not be deducted before tax. \x0d\ According to the relevant national financial and accounting regulations, the use scope of enterprise employee welfare funds mainly includes the following aspects: \x0d\ (1) employee hardship allowance; \x0d\ (2) Medical expenses of employees and their immediate family members, salaries and medical expenses of all medical staff in the medical department of this unit, and medical expenses of employees injured at work; \x0d\ (3) The salary of the staff in the canteen and bathroom of this unit, and the purchase and repair expenses of cookware in the canteen; \x0d\ (4) The wages and expenses of the staff of nurseries and kindergartens in this unit, as well as the purchase and repair of nursery and kindergarten equipment; \x0d\ (5) Employee personal welfare subsidies; Employee personal welfare subsidy refers to a supplementary income provided by enterprises to individuals in the form of money in order to solve some special living difficulties of employees. Generally, there are family leave for employees, subsidies for employees' living difficulties, subsidies for employees' commuting expenses, subsidies for employees' heating in winter dormitories and other subsidies. \x0d\ (6) Supplementary endowment insurance, supplementary medical insurance, personal accident insurance, etc. Enterprises buy from commercial institutions for their employees; \x0d\ (7) Organization expenses and loss subsidies for self-operated agricultural and sideline production; \x0d\ (8) Other expenses paid by employee welfare fund according to national regulations; \x0d\ (9) The surplus employee welfare funds can also be used for the purchase and maintenance of employee dormitories (including collective dormitories and family dormitories) and cultural and entertainment facilities. \x0d\ At present, the relevant national tax laws and regulations have not made specific provisions on the use of employee welfare funds. Therefore, in actual operation, we can refer to the relevant provisions of the national financial accounting to implement the actual expenditure, and at the same time pay attention to whether the individual income tax is withheld and remitted in accordance with the Individual Income Tax Law of People's Republic of China (PRC) and relevant provisions. \x0d\ Meal subsidies paid to employees in cash cannot be charged as welfare expenses, but belong to wages and salaries, and all meal subsidies paid to employees by enterprises must be included in wages and salaries. Because from the actual situation in recent years, enterprises pay more and more expenses to employees in the form of meal supplement. Basically, the pre-tax deduction method of enterprise income tax "Guo Shui Fa 2000 084 \x0d\" refers to the expenses paid to employees for winter heating subsidies, heatstroke prevention expenses for employees, nutritional subsidies for toxic and harmful special jobs, and the provision of safety protection articles such as work clothes and gloves within the standards stipulated by the competent authorities. \x0d\ (Su Guo Guo Shui Fa [2000] No.395, Jiangsu Provincial State Taxation Bureau, Notice of State Taxation Administration of The People's Republic of China on Printing and Distributing the Measures for Pre-tax Deduction of Enterprise Income Tax) \x0d\ II. Deduction Provisions \x0d\ Reasonable labor protection expenses actually incurred by taxpayers can be deducted. \x0d\ Measures for pre-tax deduction of enterprise income tax Guo Shui Fa 2000 No.084 \x0d\ III. Specific items \x0d\ 1, employees' winter heating allowance, employees' heatstroke prevention and cooling expenses, and employees' labor protection expenses \x0d\ are deducted before tax. \x0d\ Tax ID [1996]673 \x0d\ Pre-tax deduction of workers' winter heating allowance. The expenses actually incurred by the enterprise, such as winter heating subsidies for employees, cooling fees for civil defense departments of employees, and labor protection fees for employees, shall be deducted before tax after being audited by the competent tax authorities. \x0d\ Notice on Some Policy Issues of Enterprise Income Tax Su Guo Guoshuifa 1997 172 \x0d\ Note: Notice on Adjusting the Summer Heatstroke Prevention and Cooling Fee Standard for Enterprise Employees (No.SLAO She Lao Salary [2007]18) The summer heatstroke prevention and cooling fee standard for enterprise employees is: engaged in outdoor work and high temperature work. Non-high temperature operators per person per month 130 yuan. The annual payment is calculated and paid in four months, which is included in the enterprise cost and allowed to be deducted before tax. \x0d\ 2。 Clothing expenses \x0d\ clothing expenses that fall within the scope of employees' labor protection expenses. The pre-tax standard is: the annual maximum amount that employees are allowed to wear work clothes is 65,438+0,000 yuan, and the excess should be adjusted. Cash payment shall not be charged before tax. \x0d\ Su Guo Guo Shui Fa [2000]No. 123 \x0d\ IV Special Provisions \x0d\ Relationship between Labor Protection Expenditure and Wage Expenditure \x0d\ ① Labor protection expenditure issued according to relevant regulations is not regarded as wage and salary expenditure \x0d\ all kinds of labor protection expenditure, and is not regarded as wage and salary expenditure. (Guo Shui Fa [2000] No.84 18) \x0d\ ② The labor protection expenditure exceeding the standard is included in the salary and salary expenditure for adjustment. \x0d\ All wages and expenses of an enterprise, including all subsidies included in the management expenses of the enterprise, shall be fully included in the total wages when determining taxable wages and linked wages. (Excerpted from Caishuizi (1995) No.81) \x0d\ Wage and salary expenses are all cash or non-cash labor remuneration paid by taxpayers to employees who work in this enterprise or have employment relations with them in each tax year. (Excerpted from Guo Shui Fa [2000] No.84) \x0d\ 2. Provisions that do not fall within the scope of labor protection expenditure \x0d\ On the gynecological examination expenses of female employees in enterprises. According to the document No.469 of the Ministry of Finance (1997), the gynecological examination of female employees in enterprises should be regarded as the general physical examination of employees in enterprises, and the examination expenses should be paid by the welfare funds of employees in enterprises, not included in the labor protection expenses. \x0d\ Notice on Forwarding the Notice on Several Issues Concerning Enterprise Income Tax issued by State Taxation Administration of The People's Republic of China, People's Republic of China (PRC) \ Su Guo Guoshuifa 1998 022 \x0d\ has nothing to do with whether meals are missed, but has actually become an important part of wages and salaries. Relevant provisions on labor protection expenses \x0d\ According to the relevant provisions in Articles 15 and 54 of the Notice of State Taxation Administration of The People's Republic of China City, People's Republic of China (PRC) on Printing and Distributing (Guo Shui Fa [2000] No.084), the reasonable labor protection expenses actually incurred by taxpayers can be deducted. Labor protection expenditure refers to the expenditure incurred in equipping or providing work clothes, gloves, safety protection articles and heatstroke prevention and cooling articles for employees due to work needs. There is no specific expense standard in the tax law, as long as the reasonable labor insurance expenses incurred by the enterprise can be paid according to the facts. \x0d\ I. Concept of labor protection fee \x0d\ Labor protection fee refers to the purchase fee, repair fee, apprentice clothing allowance, heatstroke prevention fee, health care fee for construction in an environment harmful to health, etc. Paying labor protection fees is a protective measure against industrial accidents and occupational diseases, which is different from welfare treatment. Enterprises and institutions issue them to employees for free, and all of them need to be distributed in kind, and they cannot be discounted. \x0d\ II。 The difference between labor protection fee and welfare fee \x0d\ In practical work, it is often necessary to distinguish the difference between labor protection fee and welfare fee. For example, should the expenses of cold drinks distributed according to regulations, cold drinks distributed at work site, towels, soap, shower gel and other supplies be classified as labor protection expenses or welfare expenses? At the same time, do the above expenses fall within the scope of personal income tax collection? \x0d\ Welfare expenses are extracted by the enterprise according to 14% of the total wages, and are mainly used for medical expenses of employees, salaries of medical staff, medical expenses, travel expenses for medical treatment in different places due to work-related injuries, subsidies for employees' living difficulties, salaries of employees in bathrooms, barbershops, kindergartens and nurseries, etc. \x0d\ The scope of welfare expenses is clearly stipulated by the state, and it is mainly used to subsidize the living difficulties of employees, medical expenses of employees, travel expenses of employees who go to other places for medical treatment due to work-related injuries, and various expenses of enterprise welfare departments. Welfare departments mainly include: infirmary, nursery and kindergarten. \x0d\ Welfare expenses include employee collective welfare and individual welfare, and employee collective welfare can be divided into three categories: \x0d\ 1) Collective welfare facilities such as canteen, nursing room, nursery, kindergarten, bathroom, barber shop, sewing group, laundry room, etc. , to provide convenience for employees' lives and reduce housework; \x0d\2) Welfare subsidies set up to meet the different needs of employees and reduce their living expenses, such as living difficulties subsidies, commuting subsidies, family visit expenses, rent subsidies, water and electricity subsidies, coal stickers, health care fees, books and newspapers, etc. \x0d\3) Various cultural facilities, such as libraries, cultural palaces, clubs and gymnasiums. , which aims to enliven and enrich the cultural life of employees. \x0d\ Notice on Strengthening and Improving the Management of Fund Donation and Use of Chinese Employees' Rights and Interests in Foreign-invested Enterprises (No.735 1999) has stipulated that employee welfare funds are mainly used to pay employees' basic medical insurance premiums, employees' travel expenses for family visits, living allowances, medical subsidies, one-child fees, nursery subsidies, employees' collective benefits, commuting expenses subsidies, etc. Medical subsidies for workers to support their immediate family members, relief funds for workers to support their immediate family members, salaries of workers in bathrooms, barbershops, kindergartens and nurseries, and other employee welfare expenditures stipulated by the state can also be used to pay supplementary endowment insurance premiums for workers in China. \x0d\ Notice of State Taxation Administration of The People's Republic of China City, People's Republic of China (PRC) on Deduction of Wages, Salaries and Employee Welfare Expenses (Guo Shui Fa [2009] No.3) \ Article 3 On the deduction of employee welfare expenses, it is interpreted that the employee welfare expenses stipulated in Article 40 of the Regulations for the Implementation of the Enterprise Income Tax Law of People's Republic of China (PRC) include the following contents: \x0d\ (1) Enterprises that do not perform social functions alone, The equipment, facilities and personnel expenses incurred by the welfare department include the equipment, facilities and maintenance expenses of the staff canteen, staff bathroom, barber shop, infirmary, nursery, sanatorium and other collective welfare departments, as well as the wages and salaries, social insurance premiums, housing accumulation fund and labor expenses of the staff of the welfare department. \x0d\ (2) Employees' medical care, living, housing, transportation and other subsidies and non-monetary benefits. , including medical expenses paid by enterprises to employees traveling in different places, medical expenses of employees of enterprises who have not implemented medical co-ordination, medical subsidies for employees to support their immediate family members, heating subsidies, heatstroke prevention and cooling expenses for employees, difficulties subsidies for employees, relief funds, canteen subsidies for employees, and transportation subsidies for employees. \x0d\ (3) Other employee welfare expenses incurred in accordance with other regulations, including funeral subsidies, pension expenses, settling-in expenses, family leave travel expenses, etc. \x0d\ Labor protection fee refers to the expenses incurred in equipping or providing work clothes, gloves, safety protection articles and heatstroke prevention and cooling articles for employees due to work needs. The difference with welfare expenses is that labor protection expenses are due to the need to provide the above-mentioned supplies for production, operation and management, and generally occur in specific positions, while welfare expenses are universal welfare expenditures. Labor insurance premiums paid in cash shall not be deducted before tax. \x0d\ Therefore, to determine whether an expense, such as cold drinks, towels and soaps regularly distributed at the work site, belongs to labor protection expense or employee welfare expense depends on whether the expense falls within the deduction range of employee welfare expense specified above. Those who fall within this deduction range are included in the employee welfare expenses, otherwise they are included in the labor protection expenses. \x0d\ III。 Pre-tax expenses for labor protection \x0d\ According to the relevant provisions in Articles 15 and 54 of the Notice of People's Republic of China (PRC) State Taxation Bureau on Printing and Distributing (Guo Shui Fa [2000] No.084), the reasonable labor protection expenses actually incurred by taxpayers can be deducted. Labor protection expenditure refers to the expenditure incurred in equipping or providing work clothes, gloves, safety protection articles and heatstroke prevention and cooling articles for employees due to work needs. There is no specific expense standard in the tax law, as long as the reasonable labor insurance expenses incurred by the enterprise can be paid according to the facts. \x0d\ The key to judge whether the labor insurance fee can be deducted before tax is: \x0d\( 1) The labor insurance fee is a commodity, not cash; \x0d\(2) Labor protection articles are provided for work needs, not daily necessities; \x0d\(3) In terms of quantity, it is enough to meet the needs of the work, and the articles with labor protection nature that are issued beyond the needs of the work are welfare articles, which should be paid in the welfare funds payable, not in the management expenses. \x0d\ Generally speaking, the labor protection fee is set to continuously improve working conditions, prevent industrial accidents and occupational diseases, and create safe, hygienic and comfortable working conditions for workers; Organize labor and rest reasonably. Doing a good job in labor protection is of practical significance for consolidating social stability and providing an important stable political environment for national economic construction. It plays an important role in protecting labor productivity and developing economic labor resources in various departments and industries in a balanced way. It has realistic economic significance for protecting social wealth and reducing economic losses. \ x0d \ x0d \ In practical work, we should pay attention to the following two points: 1. Labor insurance expenses shall be reimbursed with vouchers. Article 15 of the Regulations on the Supervision and Administration of Labor Protection Articles (OrderNo. 1 of the State Administration of Work Safety) stipulates that the production and business operation entities shall not replace the labor protection articles that should be equipped according to the regulations with money or other articles. Second, labor protection expenditure is not welfare treatment. Article 15 of the Regulations on the Supervision and Administration of Labor Protection Articles also stipulates that labor protection articles refer to personal protection articles provided by production and business units for employees to avoid or reduce accidental injuries and occupational hazards in the labor process. \x0d\ Although employees' clothing distributed by enterprises for reasonable management purposes is a reasonable expenditure, it must be proved by relevant materials (such as internal management system) and meet the following conditions: 1 Must conform to the nature and characteristics of the work of the enterprise. Clothing-related expenses that are not needed at work cannot be deducted. For example, the cost of suits and ties. The clothes issued by a financial enterprise to employees for work can be deducted. If mountaineering clothes are issued, they cannot be deducted directly before tax. 2. To meet the requirements of unified production. The unified standard should be the unified standard of the same type of personnel and the unified form of clothing, while the clothing with obvious personalization does not meet the above requirements. 3. Require employees to work in work clothes. You don't need to dress employees at work, you only issue clothes that improve welfare benefits, and you can't deduct them directly before tax. \x0d\ Therefore, the labor protection articles distributed to employees are a preventive auxiliary measure to protect the safety and health of workers, not welfare benefits. Expenses with general welfare nature that are not required by work and are not stipulated by the state should be defined as welfare expenses and declared and deducted according to relevant standards. \x0d\ Input tax can be deducted when purchasing labor insurance articles \x0d\ According to Article 10 of the Provisional Regulations on Value-added Tax, the input tax of non-VAT taxable items, VAT-exempt items, collective welfare or personal consumption, and taxpayers' self-used consumer goods or taxable services specified by the competent department of finance and taxation of the State Council shall not be deducted from the output tax. If the labor protection expenses do not fall within the above-mentioned range that cannot be deducted from the input tax, the input tax of the purchased labor protection articles can be deducted from the output tax as long as the legal VAT deduction certificate is obtained. \x0d\ It should be noted that, in terms of enterprise income tax, confirming that work clothes are reasonable expenses does not mean that input value-added tax can be deducted, and the provisions of the two taxes are different. However, according to the provisions of the enterprise income tax, according to the nature and characteristics of the work, the work clothes made by the enterprise and needed by the employees are not personal consumption. Therefore, input tax can be deducted from output tax. Article 10 of the Notice of State Taxation Administration of The People's Republic of China on Amending the Provisions on the Use of Special VAT Invoices (Guo Shui Fa [2006]156) stipulates that general taxpayers may not issue special invoices for consumer goods such as cigarettes, alcohol, food, clothing, shoes and hats (excluding special labor insurance parts) and cosmetics. Generally speaking, for the labor protection articles purchased and used according to the specified purposes, a special VAT invoice can be issued to declare the deduction of VAT input tax. \x0d\ Personal protective equipment obtained by employees is not taxed in principle \x0d\ According to the individual income tax law, wages, salaries, bonuses, year-end salary increase, labor dividends, allowances, subsidies and other income related to employment, whether in kind or securities, should be incorporated into the wages and salaries of the current month to pay individual income tax, which should be withheld and remitted by the company that issued the goods. Then, does the labor insurance articles obtained by employees, such as work clothes, belong to the income related to employment or employment as stipulated in the tax law? The answer is no, because the labor protection articles such as work clothes obtained by employees are mainly for the needs of labor protection. Dress is not only a unified requirement of the working environment, but also a necessary condition for work. Income that is not related to position or employment is only necessary for work and does not need to pay personal income tax. \x0d\ However, in the actual collection and management, there are different provisions on whether enterprises need to pay personal income tax for uniforms purchased and distributed for employees. Enterprises should determine whether to pay individual income tax according to local tax policies and the specific situation of issuing employee uniforms.