The total number of "operating costs" in the Annual Tax Return of Enterprise Income Tax (Class A) (hereinafter referred to as "main table") shall be calculated and filled in by the taxpayer according to the amount calculated by the subjects of "main business costs" and "other business costs". Details are listed under "main business expenses" and "other business expenses" in the expense table (Appendix II (1)). The first is to fill in the "main business cost". Line 3 "Cost of commodity sales": fill in the main business costs incurred by enterprises engaged in industrial manufacturing, commodity circulation, agricultural production and other commodity sales. Line 4 "Cost of providing labor services" refers to the main business costs incurred by taxpayers in providing tourism catering services, transportation, postal communication, foreign economic cooperation and other services. Line 5 "Cost of transferring the right to use assets": Fill in the cost of transferring the right to use intangible assets (such as trademark right, patent right, proprietary technology right, copyright, franchise, etc.). ) and the rental cost of leasing fixed assets, intangible assets and investment real estate with leasing as the basic business. Line 6 "Construction contract cost": fill in the main business cost incurred by taxpayers in building houses, roads, bridges, dams and other buildings, as well as ships, airplanes and large-scale machinery and equipment. Two. "Other business expenses" report. Line 8 "Material Sales Cost": Fill in the costs and expenses carried forward or apportioned by taxpayers for the sales of materials, scraps and wastes. Line 9 "Expenses for purchasing and selling goods on consignment": Fill in the expenses incurred by taxpayers for purchasing and selling goods on consignment. 10 line "packaging rental expenses": fill in the rental expenses incurred by taxpayers in renting or lending packaging and the expenses incurred by overdue packaging. "Other" in line 1 1: Other sales expenses not included in the above items calculated by taxpayers according to the unified national accounting system. Third, the content of the adjustment. Because the annual tax return of an enterprise requires that the items of "main business cost" and "other business cost" should be filled in according to the amount calculated by the unified accounting system, the over-calculated and under-calculated costs should be adjusted through the "other" item in line 40 of the Schedule of Tax Adjustment Items (Annex III). According to the current tax policy, the main items that need to be adjusted are: 1, and the enterprise changes the cost without authorization. 2. Wages, water, electricity, fuel and other auxiliary materials that are listed more or less due to the cost of providing labor services and the cost of purchasing and selling on a commission basis. 3. According to Article 23 of the Implementation Regulations, "If an enterprise is entrusted to process and manufacture large-scale machinery and equipment, ships and airplanes, or is engaged in construction, installation and assembly engineering business or provides other labor services for more than 12 months, it shall confirm the realization of income within the tax year according to the completion progress or workload." Therefore, taxpayers engaged in building houses, roads, bridges, dams and other buildings, as well as manufacturing ships, airplanes and large-scale machinery and equipment, should confirm the realization of income according to the completion schedule or workload, and at the same time calculate and confirm accounting according to the completion schedule or workload and report the reasonable cost that should be shared (borne). 4. Not accounting according to the principles of "accrual basis" and "income ratio", recording more and recording less costs. 5. Other expenses that are not allowed according to the requirements of the accounting standards and accounting system for enterprises but must be accounted for in the subjects of "main business cost" and "other business cost" according to the provisions of the tax law. 6. Other costs and expenses that should be accounted for in accordance with the provisions of the tax law, such as not accounting for more or less. Fourth, the problems that need attention. 1. Unless otherwise stipulated in the tax law, the "operating cost" adjusted by an enterprise in the final settlement must be the paid or unpaid payables that have been recorded in accounts payable, and the unpaid payables that have not been recorded in accounts payable shall not be adjusted. 2. For the expenses that have been deducted before enterprise income tax in previous years, but have not been paid or cannot be paid due, the current cost should be reduced or the declared amount of "non-operating income" should be increased. 3. The costs and expenses that should be recorded in the daily accounting of the enterprise, which have not been adjusted to increase the "operating costs" during the settlement period, shall be deemed to be automatically waived and shall not be deducted before the income tax in future years.

Adjustment entry:

Debit: main business cost (in red ink) (reduced amount)