What taxes does the company pay?
Having made the decision to start your own small business, first of all, you will ask yourself: what taxes do you need to pay individual entrepreneurs. To find out, it is necessary to start to decide on what principle you are going to work. At the moment, in the territory of the Russian Federation there are three different systems of income taxation for those who wish to conduct business as an individual entrepreneur.
- The general, or, it is also called the traditional taxation system (DOS), which provides for the taxation of personal income. Using this system, individual entrepreneurs should be required to maintain and submit accounting and tax reports to the tax committee.
- The simplified taxation system (STS) is a tax regime in which accounting and tax accounting is facilitated. SP on the simplified tax system can choose as the object of taxation: income; revenues reduced by costs
- Payment of a single tax on temporary income (UTII).This system operates on individual activities. In this case, the taxpayer is charged with a fixed base rate of return from which temporary income and tax is calculated. From 2013, the payment of a single tax on temporary income will become voluntary.
Each of the systems regulates what taxes the individual must pay, according to its rules. All of them have both positive and negative sides. Which directly have an impact on business income and on the order of accounting.
When comparing these three systems, it is important to notice one feature. Payment of a single tax on temporary income and a simplified taxation system are applied only to income received through the implementation of certain types of business activities. They are indicated in the patent for the application of the simplified taxation system or in the UTII payment certificate. However, these systems do not operate in all regions of the Russian Federation.
So, let us analyze in detail what taxes are paid by the individual entrepreneur.
Taxes of the simplified tax system
- Value Added Tax, in accordance with Article 161 of the Tax Code of the Russian Federation.
- Tax on personal income, in accordance with the Code of Shareholders of the Tax Code of the Russian Federation No. 226, paragraph No. 1.
- Profit tax, in accordance with the articles of the Tax Code of the Russian Federation No. 310 and No. 275, clauses No. 2 and 3.
As well as other fees, taxes and non-tax payments, which include:
- state duty;
- land tax;
- transport tax;
- customs fees and duties;
- insurance contributions to extrabudgetary funds;
- contributions for insurance against occupational diseases and accidents related to production.
Taxes system of a single tax on temporary income
- The tax on personal income is 13%. It is paid from income received as a result of doing business and in the event that a tax agent did not withhold it, for example, when selling real estate. The rate of 13% is applicable only for tax residents, otherwise it is 30%. At the same time professional deductions are applied only to incomes that are taxed at a rate of 13%. Details on this can be found in paragraph 4 of Article 210 of the Tax Code of the Russian Federation.
- Value Added Tax of 18%. VAT is calculated by dividing the total amount of income by 118 and multiplying it by the interest rate. And VAT to offset could be considered the same, if it was accompanied by an invoice.But it is almost impossible to get it from partners based on a simplified tax system and paying a single tax on temporary income. As a result, VAT payable is obtained as a result of the difference between the amounts to be accrued and offset. For individual entrepreneurs, it is calculated in the same way as for organizations.
- As well as insurance premiums to extra-budgetary funds for all employees of individual entrepreneurs and local fees, duties and taxes for individual entrepreneurs, such as transport, land, etc.
After five days from the date of state registration of the individual entrepreneur, in the absence of an application for the application of a single tax on temporary income or a simplified tax system to the Federal Tax Service Inspectorate, he automatically undertakes to work under the general tax system.
In this case, the Individual Entrepreneur is exempt from full accounting. However, it remains his duty to record all the income in the book of income and expenses. The form, which is approved by order of the Ministry of Finance of the Russian Federation.
Since VAT is applicable to IP, he is obliged to keep books of sales and purchases as well.And all invoices to register in the journal.
PI taxes according to the general taxation system
UTII, in contrast to the USN and DOS, is charged not with the received profit, with your estimated income, which is set by the officials. UTII is designed to replace the payment of certain taxes:
- personal income tax;
- single social tax.
- value added tax, excluding the transportation of goods across the customs border of the Russian Federation and tax agents.
This, in turn, significantly simplifies contacts with fiscal services, which are quite expensive for small business owners.
UTII is applicable to the following types of tax objects:
- domestic and veterinary services;
- services related to the washing and maintenance of motor vehicles;
- transportation of goods and passengers;
- hacking and distribution trade;
- retail sales through retailers;
- services for the maintenance of paid parking;
- some catering services in accordance with the article of the Tax Code of the Russian Federation No. 346.26, clause 2.8;
- placement and distribution of advertising information;
- hotel business;
- lease of sites and places for the organization of trade, located in the zone that does not have a guarantee of service to visitors.
Accounting UTII for each type of activity is conducted separately.