Business tax calculation method: Business tax payable = business income × applicable tax rate.

1. Business tax is paid at 5% of operating income: Business tax payable = 200 million yuan × 5% = 10 million yuan

2. Urban construction tax is paid at 7% of business tax paid : Urban construction tax payable = 10 million yuan × 7% = 700,000 yuan

3. The education surcharge shall be paid at 3% of the business tax paid;? Education surcharge payable = 10 million yuan × 3% = 300,000 yuan

4. The local education surcharge is paid at 2% of the business tax paid; the local education surcharge payable = 10 million yuan × 2% = 200,000 yuan

< p>A tax rate of 5% applies to the finance and insurance industry, service industry, transfer of intangible assets, and sale of real estate, and a tax rate of 5% to 20% applies to the entertainment industry;

Business tax (Business tax) is a tax rate for services provided in China. A tax levied on the turnover obtained by entities and individuals who provide taxable services, transfer intangible assets, or sell real estate. Business tax is a major tax in the turnover tax system. On November 17, 2011, the Ministry of Finance and the State Administration of Taxation officially announced the pilot plan for replacing business tax with value-added tax.

On October 30, 2017, the State Council executive meeting passed the "State Council's Provisions on Abolition of the "Interim Regulations of the People's Republic of China on Business Tax" and Amending the "Interim Regulations of the People's Republic of China on Value-Added Tax" Decision (Draft)" marks the official withdrawal of the business tax that has been implemented for more than 60 years from the stage of history.

The tax rate classification of business tax is as follows:

1. The tax rate for the transportation industry is 3%, and the collection scope includes land transportation, water transportation, air transportation, pipeline transportation, loading and unloading portage.

2. The tax rate for the construction engineering industry is 3%, and the tax scope includes construction, installation, repair, decoration and other engineering operations.

3. The tax rate for the financial and insurance industry is 5%, and the scope of taxation includes finance and insurance.

4. The tax rate for the postal and telecommunications industry is 3%, and the tax scope is postal and telecommunications.

5. The tax rate for the cultural and sports industry is 3%, and the scope of taxation includes two aspects: one is performances, broadcasts, other cultural industries, and operating tourist venues in the cultural industry; second, various activities organized by the sports industry Competitions and the business of providing venues for sporting competitions or sporting events.

6. The tax rate for the entertainment and leisure industry is 20%. The tax scope includes karaoke halls, dance halls, karaoke dance halls (including nightclubs and karaoke studios), music cafes (including bars), Internet cafes, golf, Entertainment (such as shooting, hunting, horse racing, arcade games, bungee jumping, go-karts, hot air balloons, paramotors, archery, darts).

7. The tax rate for the advertising service industry is 5%, and the scope of taxation includes the agency industry, hotel industry, catering industry, tourism, warehousing industry, leasing industry, advertising business and other service industries.

8. The tax rate for the transfer of intangible assets is 5%, and the scope of taxation includes the transfer of land use rights, patent rights, non-patented technology, trademark rights, copyrights, and goodwill.

9. The tax rate for the sale of real estate is 5%, and the tax scope includes the sale of buildings and other land attachments.

Extended information:

Business tax pilot plan: The Ministry of Finance and the State Administration of Taxation officially announced the pilot plan for replacing business tax with value-added tax on November 17, 2011.

According to the pilot plan, the main tax system arrangements for the reform pilot are:

First, on the basis of the current VAT standard rate of 17% and the low tax rate of 13%, an additional 11% and Two low tax rates of 6%. A 17% tax rate applies to the leasing of tangible movable properties, an 11% tax rate applies to the transportation and construction industries, and a 6% tax rate applies to other modern service industries.

Second, in principle, the general tax calculation method of value-added tax applies to the transportation industry, construction industry, post and telecommunications industry, modern service industry, culture and sports industry, sales of real estate and transfer of intangible assets. In principle, the simplified VAT calculation method applies to the financial insurance industry and the daily service industry.

Third, the basis for tax calculation. In principle, the basis for taxpayers to calculate tax is all income obtained from taxable transactions. For some industries where there is a large amount of collection, transfer or advance of funds, the amount collected and advanced can be reasonably deducted.

Fourth, import and export of service trade. Value-added tax is levied on imports of service trade at the domestic level, and zero-rating or tax-free systems are implemented on exports.

Reference materials:

Baidu Encyclopedia-Business Tax