legal subjectivity:

The legal reserve must be drawn according to the law. In accounting, the statutory reserve fund is generally called the statutory surplus reserve fund. When the company distributes the after-tax profits of the current year, it shall withdraw 1% of the profits (net profits of the current year) and include them in the statutory reserve fund of the company law. If the accumulated amount of the statutory common reserve fund of the company is more than 5% of the registered capital of the company, it may not be withdrawn. Reserve, also known as reserve, is the funds accumulated outside the company's capital in accordance with the provisions of the law and the company's articles of association in order to consolidate its own property foundation, improve the company's credit and prevent unexpected losses. This provident fund has the same nature as the company's capital, also known as the company's additional capital. The company's provident fund is used to make up the company's losses, expand the company's production and operation, or turn to increase the company's capital. According to the mandatory provisions of the law, the provident fund can also be divided into statutory surplus reserve fund and arbitrary surplus reserve fund. If the company's statutory reserve fund is insufficient to make up for the company's losses in the previous year, the profits of the current year shall be used to make up for the losses before the statutory reserve fund is withdrawn in accordance with the regulations. When a joint stock limited company converts the common reserve fund into capital by a resolution of the shareholders' meeting, it shall distribute new shares or increase the par value of each share in proportion to the original shares of shareholders. However, when the statutory reserve fund is converted into capital, the retained reserve fund shall not be less than 25% of the registered capital of the company before the transfer. Differentiated capital accumulation fund refers to the various value-added caused by the invested capital itself, which is generally not caused by the company's production and operation activities, and has no direct relationship with the company's production and operation activities. Including capital (or equity) premium, acceptance of cash donation, preparation of equity investment, transfer of funds, etc. Capital accumulation fund is not accrued, while statutory accumulation fund needs to be accrued according to regulations. The statutory reserve fund can be used to make up the company's losses, while the capital reserve fund can not be used to make up the company's losses. Arbitrary provident fund statutory provident fund, also known as compulsory provident fund, refers to the provident fund that must be drawn according to the proportion stipulated by law. Arbitrary provident fund, also known as arbitrary surplus reserve fund, refers to the provident fund freely drawn outside the statutory provident fund according to the company's articles of association or the resolution of shareholders' meeting. Local policies Sichuan Province Housing Provident Fund Deposit Management Measures Changsha City Housing Provident Fund Management Regulations Changchun City Housing Provident Fund Extraction Management Measures Implementation Rules The following conditions are required for the collection of the provident fund: when purchasing, building, renovating or overhauling the owner-occupied housing with ownership; When retiring or reaching retirement age; Completely lose the ability to work, and terminate the labor relationship with the unit; When the account moves out of the city or leaves the country to settle down; Non-local employees are transferred from this city; When employees repay the principal and interest of housing loans, they can withdraw the balance of housing provident fund storage to offset; When an employee dies or is declared dead, the employee's heir or legatee can withdraw the storage balance in the employee's housing provident fund account, and the employee's housing provident fund account will be cancelled at the same time. Housing provident fund withdrawal process: individual withdrawal of housing provident fund application (approval); Original and photocopy of my ID card (original and photocopy of marriage certificate must be provided for husband and wife to extract); Due to which type of provident fund is withdrawn, the required certification materials are provided according to the corresponding conditions. Many people know that we have a housing provident fund, which is relative to citizens, but for companies, the statutory provident fund is a kind of reserve fund. A company's income should be deducted from taxes, as well as its main capital, and it is necessary to withdraw the provident fund, and finally it is profitable. Legal objectivity:

Article 168 of the Company Law of the People's Republic of China is used to make up the company's losses, expand the company's production and operation or increase the company's capital. However, the capital reserve fund shall not be used to make up the company's losses. When the statutory common reserve fund is converted into capital, the retained common reserve fund shall not be less than 25% of the registered capital of the company before the conversion.