Advance payments under the simplified tax system: terms, interest, amounts of fines for non-payment. Deadlines for payment of advance payments and taxes according to the simplified tax system for individual entrepreneurs
Advance payments under the simplified tax system are a mandatory element of calculations for the main tax paid when applying the simplified tax system. How to determine the amount of advance payments under the simplified tax system, what the procedure and terms for their payment are, is described in our article.
How to calculate an advance payment according to the simplified tax system: formula
The algorithm for calculating advance payments under the simplified tax system has been approved by the Tax Code of the Russian Federation. The base for them, as for the total tax amount for the year, is determined by the cumulative total. But the calculation formulas differ depending on the object of taxation.
pp. 3 and 3.1 art. 346.21 of the Tax Code of the Russian Federation establishes how to calculate the amount of advance payments under the simplified tax system with the object of taxation “income”.
Advance payments under the simplified tax system in this case are determined in the following order:
1. The tax base (NB) for the reporting period is established. To do this, it is necessary to calculate the amount of income actually received on an accrual basis from the beginning of the calendar year to the end of the reporting period.
2. The amount of the advance payment attributable to the tax base is determined. For this, the formula is used:
AvPrasch = NB × C,
C is the tax rate. When the object of taxation is “income”, its size ranges from 1 to 6% depending on the region (clause 1 of Article 346.20 of the Tax Code of the Russian Federation).
3. The amount of advance payment payable (APP) is calculated using the formula:
AvP = AvPrasch - NV - AvPpred,
NV - the amount of tax deduction, which represents the total amount of paid sick leave benefits, paid compulsory social insurance contributions, some other payments and cannot exceed half of the amount of accrued tax for legal entities, and for individual entrepreneurs it can be applied to the entire amount of accruals;
For information on at what point an individual entrepreneur must take into account the payment he made for insurance premiums, read the material “An individual entrepreneur can take contributions “for himself” to reduce tax under the simplified tax system only in one period” .
AvPred - the amount of advance payments calculated for previous reporting periods.
For an example of calculating tax on the object “income”, see the article “Procedure for calculating tax under the simplified tax system “income” in 2018-2019 (6%)” .
When choosing an object of taxation “income minus expenses”, the procedure for calculating advance payments under the simplified tax system is slightly different. It is defined in paragraph 4 of Art. 346.21 of the Tax Code of the Russian Federation as follows:
1. The tax base is established based on the results of the reporting period (1st quarter, 6 months, 9 months), for which the formula is applied:
NB = Dx - Px,
Dx and Px - actually received income and actually incurred expenses on them, expenses for the period, calculated on an accrual basis from the beginning of the year.
2. The amount of the advance payment attributable to the tax base (NB) is determined using the following formula:
AvPrasch = NB × C,
C - tax rate equal to 15% or taking a lower value (from 15 to 5%) in the constituent entities of the Russian Federation (clause 2 of Article 346.20 of the Tax Code of the Russian Federation).
3. The amount in which the advance payment according to the simplified tax system will be paid to the budget is determined:
AvP = AvPr. - AvPpred,
AvPred - the amount of advance payments calculated for previous reporting periods.
Deadlines for making advance payments under the simplified tax system
According to paragraph 7 of Art. 346.21 of the Tax Code of the Russian Federation, advance payments under the simplified tax system must be transferred before the 25th day (inclusive) of the month following the expired reporting period. Moreover, the deadlines for paying advances under the simplified tax system are the same for legal entities and individual entrepreneurs and do not depend on the selected object for calculating this tax.
The Tax Code of the Russian Federation provides for situations when the last day for payment of advance payments falls on a weekend or holiday. In this case, payment is made no later than the next working day following the weekend (Clause 7, Article 6.1 of the Tax Code of the Russian Federation).
Legal entities - payers of advance payments according to the simplified tax system make payments at the location of the organization, individual entrepreneurs - at the place of residence (Clause 6 of Article 346.21 of the Tax Code of the Russian Federation).
What are the specific deadlines for paying advances under the simplified tax system in 2019? For this year, there are no coincidences between the deadlines established in the Tax Code of the Russian Federation and weekends, therefore all deadlines for paying advances under the simplified tax system in 2019 will correspond to the 25th date:
- April 25, 2019;
- July 25, 2019;
- October 25, 2019.
Read about the differences in the application of the simplified tax system for legal entities and individual entrepreneurs.
Failure to pay advance payments under the simplified tax system: liability
In case of violation of the terms of payment of the advance payment under the simplified tax system or its incomplete payment, arrears arise. Control authorities have the right to charge penalties on the amount of arrears for each day of delay. The amount of penalties is determined as 1/300 of the refinancing rate of the Central Bank of the Russian Federation for each day of delay. This procedure is established by clause 4 of Art. 75 of the Tax Code of the Russian Federation.
From October 1, 2017, for legal entities that delay payment for more than 30 days, the amount of penalties has been increased. If the delay does not exceed 30 days, they are calculated in the same manner (from 1/300 of the refinancing rate). And for calculations for days beyond this period, the rate of penalties turns out to be 2 times higher, amounting to 1/150.
We note that if the established deadlines for making advance payments under the simplified tax system are not met, the taxpayer cannot be held accountable for violating tax legislation (clause 3 of article 58 of the Tax Code of the Russian Federation). There are no penalties for non-payment or incomplete payment of advance payments under the simplified tax system of the Tax Code of the Russian Federation.
Payment of advance payments under the simplified tax system: KBK
If the BCC is correctly indicated, the advance payment of the simplified tax system will be correctly credited to the budget of the Russian Federation. The payer should carefully fill out this field in the payment order.
Here are the BCCs for tax transfers in force in 2019:
- 182 1 05 01011 01 1000 110 — KBK tax calculated by “simplified people” with the object of taxation “income”;
- 182 1 05 01021 01 1000 110 - BCC of tax calculated by taxpayers operating on the simplified tax system with the object of taxation “income minus expenses”, and this BCC has been applied since 2017 when paying the minimum tax.
The BCC values are established by order of the Ministry of Finance of Russia dated 06/08/2018 No. 132n, the text of which should be used in the current version.
Results
Payers of the simplified tax system have an obligation to make advance payments for this tax during the tax period. Advances under the simplified tax system are calculated quarterly. The basis for them is determined by the cumulative total. A rate is applied to it, taking a certain value, depending on the object chosen for application of the simplified tax system (“income” or “income minus expenses”) and on the decision of the region regarding the specific rate.
The amount of tax due for payment for the reporting period is equal to the difference between the amount of the advance calculated from the general base of the period and the amount of advances paid in previous periods. For the “income” object, an additional reduction is applied to the amounts of insurance premiums paid during the period, paid sick leave and voluntary transfers for insurance.
The deadline for paying advances is the 25th day of the month following the end of each quarter. Late payment results in the accrual of penalties.
Tax on the simplified tax system is paid quarterly, and the declaration is submitted once at the end of the year - this is the most important thing that entrepreneurs on the simplified tax system need to remember. Quarterly payments are called advance payments because you pay them in advance for the whole year. And this is a must.
How to calculate advance payments
Advance payments are considered as a cumulative total: for the calculation, they take income from the beginning of the year, calculate the tax, and then subtract the advances listed earlier.
Let's look at an example
The organization applies the simplified tax system “income minus expenses” at a rate of 15%. In the first quarter, the organization’s profit was 100,000 rubles, which means the advance payment for the first quarter: 100,000 rubles × 0.15 = 15,000 rubles. Everything is simple here.
Situation 1: profit for the first half of the year increased
At the end of the six months, the profit amounted to 140,000 rubles, then we calculate the advance payment as follows: (140,000 rubles × 0.15) - 15,000 rubles = 6,000 rubles. And here everything is clear.
Situation 2: profit for the first half of the year decreased
In the second quarter, the organization spent a lot, and profit decreased to 80,000 rubles. Then we calculate the tax for the six months as follows: (80,000₽ × 0.15) - 15,000₽ = - 3,000₽.
This is where the importance of the cumulative total is visible, because with this minus we will show the tax authorities that
— we do not have to pay tax for the first half of the year
— we overpaid tax in the first quarter by 3,000 rubles, and the charges need to be reduced.
The tax office will understand all this from the declaration that you submit at the end of the year.
Payment period
But organizations pay tax for the year no later than March 31 of the following year, entrepreneurs - no later than April 30. If the day falls on a weekend, the deadline is moved to the next working day.
KBK for advance payments according to the simplified tax system
KBK is a payment detail by which the tax office recognizes the payment. For advance payments it is the same as for the tax itself:
For the simplified tax system “income”: 18210501011011000110
For the simplified tax system “income minus expenses”: 18210501021011000110
Why do advance payments look like an overpayment in the reconciliation?
Don't be afraid that during the year all your advance tax payments are listed in the reconciliation as perpelat - that's how it should be. The IRS will assess the tax when they receive your return next year - until then, they will be an overpayment in the reconciliation.
What to do if you didn’t pay advance payments on time
First, pay them as quickly as possible, because for every day of delay you will be charged a penalty. You can calculate the approximate amount of penalties using a calculator; a reconciliation with the tax office will show you the exact amount. According to the law, failure to pay advance payments is punishable only by penalties, but in reality everything turns out to be more complicated.
The tax office will understand how many advances you had to pay only next year on your declaration. Therefore, if you have not paid advances, there is a risk that the tax office will demand that you pay them immediately after you report. Even if at the end of the year there is no longer any tax debt. For example, if you paid your contributions in December and reduced your tax for the year to 0.
Why is that
The Federal Tax Service program takes the amount of your advances from the declaration under the simplified tax system and notes how much you had to pay on a specific date. Then it checks the amounts you paid. If there are fewer of them than accrued, then they send you a demand. And even if you paid or reduced the entire tax once at the end of the year, the tax office will see this only on March 31 for an LLC or April 30 for an individual entrepreneur - according to the deadline for paying the tax for the year.
No matter what you do, you cannot avoid unnecessary hassle: if you ignore the payment requirements, the tax office will still withdraw money from the account, then an overpayment will form and you will have to go to the tax office with an application for a refund or offset.
But there is one trick that will help you avoid the tax authorities’ requirements altogether: submit your return under the simplified tax system a couple of days before the end of the term. The tax office simply won’t have time to make a demand.
Memo
— pay the simplified tax system based on the results of each quarter
— submit the declaration only at the end of the year
— quarterly reporting according to the simplified tax system does not exist
— if you haven’t paid your advances on time, submit your declaration a couple of days before the end of the term.
How to pay advances under the simplified tax system in Elba
At the end of each quarter, Elba will remind you to make an advance payment in the task “Pay the simplified tax system for ...” in the Reporting section. In order for Elba to correctly calculate the tax, it is important to show all your income and expenses in the Money section and correctly take them into account in the simplified tax system. Each individual transaction can be taken into account or not taken into account in tax.
The simplified tax system is a special taxation regime, which is used to report once a year. The tax calculated and transferred by the “simplified tax” is called a single tax, its payment deadline is no later than March 31 for LLCs and April 30 for individual entrepreneurs. Tax legislation also establishes a requirement for quarterly advance payments. After each quarter, an advance tax must be calculated and paid, if, of course, income was received during this time.
Deadlines for making advance payments under the simplified tax system
Let us remind you that the tax period under the simplified tax system is considered to be a year, so settlements with the budget are carried out exactly at its end. But in order to balance revenues throughout the year, “simplified” people must pay tax in installments, based on the results of the reporting periods.
When receiving income for the reporting period, an advance payment must be made using the simplified tax system within 25 days after its end. Those. for the 1st quarter the advance payment must be made before April 25, for the six months - before July 25, for 9 months - before October 25 inclusive. After a year, the tax is calculated, reduced by the amounts of the transferred advances. This is the algorithm for mandatory settlements with the Federal Tax Service.
The Federal Tax Service controls the timing of the transfer of advance payments according to the simplified tax system. Violation of them entails the accrual of penalties for each day of non-payment:
- for legal entities in the amount of 1/300 of the refinancing rate for the first 30 days of delay and 1/150 for subsequent ones,
- For individual entrepreneurs, penalties in the amount of 1/300 of the ref rate are charged for the entire overdue period.
Reducing the amount of tax due to deductions
Contributions paid by organizations and individual entrepreneurs for hired personnel reduce the calculated amounts of the single tax, but the conditions for reducing the tax amount depend on the chosen simplified tax system:
- using the simplified tax system “Income” you can reduce the amount of calculated tax (clause 3.1 of article 346.21 of the Tax Code of the Russian Federation);
- under the simplified tax system “Income minus expenses”, deductions are taken into account in the cost structure (Article 346.16 of the Tax Code of the Russian Federation).
For legal entities and individual entrepreneurs on the simplified tax system “6% of income” with hired employees, the tax can be reduced by half at the expense of paid insurance premiums, sick leave from the employer’s funds and payments under voluntary personal insurance contracts, and individual entrepreneurs working as one person have the right to reduce the tax for the entire amount of insurance premiums “for yourself”. If such a businessman expanded production and hired employees, then he will be able to reduce the tax by the full amount of deductions only for the tax period when he worked without staff.
The 6% and 15% simplified taxation system regimes differ markedly in the calculation of the tax base, the applied rates and the calculation algorithm itself. Let's look at how to calculate advance payments and a single tax for each of these systems.
Advance payments of the simplified tax system “Income” in 2018
The tax calculation base is the sum of all income – operating and non-operating.
Example 1
The annual income of individual entrepreneurs without employees in 2018 was 915,000 rubles. Individual entrepreneurs paid contributions for themselves in the amount of 38,535 rubles, consisting of:
– established fixed amount of 32,385 rubles.
– 6150 rub. from income exceeding 300,000 rubles. (915,000 – 300,000) x 1%). An individual entrepreneur can pay this amount both in 2018 and before 07/01/2019. Let’s assume that the businessman paid them in 2018. I made payments quarterly:
- in 1 sq. – 8500 rub.;
- in 2 sq. – 8500 rub.;
- in 3 sq. – 10,500 rub.;
- in 4 sq. – 11,035 rub.
Period
Income in rub.
Insurance premiums in rub.
Calculation of tax payable in rubles.
243,000 x 6% = 14,580
14,580 – 8500 = 6080 (payment due April 25, 2018)
total for 1 sq.
For half a year:
466,000 x 6% = 27,960
27,960 – 17,000 - 6080 = 4880 (payment due July 25, 2018)
half year total
699,000 x 6% = 41,940
41,940 – 27,500 – 6080 – 4880 = 3480 (payment due October 25, 2018)
September
for a total of 9 months.
For the year: 915,000 x 6% = 54,900
54,900 – 38,535 – 6080 – 4880 – 3480 = 1925 (payment due April 30, 2019)
total for the year
The table shows the full tax calculation for the year. As a result, taking into account the paid contributions, the tax amount for the year amounted to 16,365 rubles. (6080 + 4880+ 3480 + 1925) instead of 54,900 rubles.
A similar calculation is relevant for individual entrepreneurs without staff. With a staff of employees, a businessman can reduce the tax by only half of its amount. This rule also applies to enterprises using the simplified tax system “6% of income”.
Calculation of advance payments according to the simplified tax system “Income minus expenses”
In this special regime, contributions can only be taken into account in the cost structure. Let's look at how to correctly calculate advances and taxes in this case.
Example 2
We will take the initial data of the previous example as a basis, supplementing them with costs, which already include fixed insurance premiums. Let’s assume that an individual entrepreneur without employees operates at the “15% of the difference between income and costs” mode.
Period
Income
Expenses
Tax calculation in rubles.
(243,000 – 100,000) x 15% = 21,450
total for 1 sq.
For half a year:
(466,000 – 191,000) x 15% = 41,250
41 250 – 21 450 = 19 800
half year total
(699,000 – 287,000) x 15% = 61,800
61 800 – 21 450 – 19 800 = 20 550
September
total for 9 months
(915,000 – 388,000) x 15% = 79,050 rub.
79 050 – 21 450 – 19 800 – 20 550 = 17 250
total for the year
Thus, the tax amount for the year was 79,050 rubles. (21,450 + 19,800 + 20,550 + 17,250).
All calculated amounts of payments to individual entrepreneurs should be transferred within the established time limits: before the 25th day of the next month for advances for the reporting period and before April 30 of the following year for the reporting year - the final tax amount.
Those individual entrepreneurs who have chosen the Simplified taxation regime from the very beginning of their entrepreneurial journey or switched to the “simplified tax regime” in the process of work should be prepared for the fact that they will have to calculate and pay advance payments.
What are advance payments
In simple terms, an advance payment is a mandatory tax payment to the state budget of the Russian Federation, which must be made based on the results of each tax period using the simplified tax system, that is, once every three months. In fact, advance payments are a brief summary of the financial results of the interim reporting period for those individual entrepreneurs who work under the “simplified” system.
Advance payments on the simplified tax system must be paid to the treasury:
- for the 1st quarter – until April 25;
- six months before July 25;
- 9 months before October 25th.
If advance payments are calculated correctly, then at the end of the year the amount payable to the budget for taxes will be equal to what has already been paid in the form of advance payments.
The declaration must be submitted to the tax service at the place of registration of individual entrepreneurs no later than the end of April of the year following the reporting tax period.
For your information! The amount of advance payments must be calculated in rubles, without kopecks. Simply put, based on the results of calculations, amounts less than 50 kopecks are not taken into account at all, and more than 50 kopecks are rounded towards one ruble.
Calculation of advance payments for “simplified”
The amount of advance payments when using the simplified regime is calculated, in professional terms, cumulative total. True, their calculation, depending on the object of taxation, is carried out in different ways.
- If the object of taxation is 6% income, then the amount of all income must be multiplied by 6% (Article 346.15 of the Tax Code of the Russian Federation provides a detailed list of income that must be taken into account when calculating this tax at a 6% rate).
- If the object of taxation is income minus expenses of 15%, then in this case the tax base subject to calculation will be all recorded income minus recorded expenses. A complete list of expenses that can be deducted under the simplified tax system is given in Article 346.16 of the Tax Code of the Russian Federation.
All individual entrepreneurs must take into account both profits and expenses in a special ledger for accounting income and expenses, which every entrepreneur using the simplified tax system must have.
Attention! On the simplified tax system, it is necessary to document all expenses incurred during the work process. That is, an individual entrepreneur is required to carefully collect and store contracts, checks, receipts and other papers that can prove the costs of an individual entrepreneur. If, during a possible tax audit, it is discovered that the individual entrepreneur is not able to confirm expenses previously accepted for deduction when calculating the taxable base, then it is quite natural for regulatory authorities to impose penalties.
Punishment for failure to pay advance payments on time
According to the Tax Code of the Russian Federation, if advance payments were not accrued on time and sent to the state budget, penalties are charged on them.
The amount of the penalty is equal to 1/3 of the refinancing rate of the Central Bank of the Russian Federation for each day of delay.
However, with regard to individual entrepreneurs who neglect to pay advance payments, legislators limited themselves to only charging penalties - no other fines or punishments are provided here.
But if an individual entrepreneur does not submit a tax return according to the simplified tax system on time, then in this case he will be required to pay a fine. The amount of the fine is individual in each case, since it is equal to 5% of the unpaid amount for each month.
However, there are also restrictions on the amount of the fine - it should not be higher than 30% of the amount of unpaid tax, and at the same time it cannot be lower than 1 thousand rubles.
How to reduce the amount of advance payments on simplified taxation system income 6%
With timely payment of mandatory insurance contributions to the Pension Fund, individual entrepreneurs who do not employ hired personnel can reduce advance payments by 100% of the amount of insurance payments made in the past reporting tax period for themselves personally. It is worth noting that the law in no way sets strict restrictions on the period of compulsory insurance payments; the main thing is to meet one condition - albeit in small parts, but they must be made within a calendar year. The most common and convenient system for transferring insurance payments is the quarterly mode.
It happens that individual entrepreneurs pay all contributions to the Pension Fund “in advance,” that is, at the beginning of the calendar year. However, it will not be possible to take such a payment into account immediately when calculating advance payments under the simplified tax system. The only option in this scenario is to divide the full payment made in advance to the Pension Fund into four parts and take them into account according to the following scheme: for the first quarter - a quarter of the amount of deductions for the year, for half a year - ½ part of the deductions, for 9 months ¾ part, and already for year - full payment amount.
As for those individual entrepreneurs who hire workers, they can reduce tax deductions by 50% of the amount of contributions paid to the Pension Fund for all employees, including themselves.
Attention! If an individual entrepreneur has stopped working alone and recruited employees, then he must necessarily reflect this in the calculation of advance payments. You can immediately say that in this case you will have to recalculate the tax for each quarter and add additional penalties for underpayments, because a difference will inevitably arise due to a reduction in tax on the amount of contributions made to the Pension Fund. In this case, when filling out the declaration, you will need to indicate the amounts that will be the result of this recalculation.
How to reduce advance payments when calculating the simplified tax system income minus expenses 15%
When using a taxable object of income minus expenses of 15% on the simplified tax system, it is also quite possible to reduce the taxable base for advance payments. In this case, this can be done if losses were made last year and the minimum tax was paid - these amounts can be taken into account in the expenses of the current year (or any next year over the next 10 years). Thus, an individual entrepreneur has the right to transfer previously received losses over several years to expenses of subsequent tax periods, but only in the sequence in which they were initially recorded.
In this case, advance payments will be calculated according to the following algorithm: 5-15% of the tax base, reduced by the previously listed advances, losses for previous periods and the minimum tax.
If there is an overpayment of advance payments
Ideally, this shouldn't happen. However, in practice, situations quite often occur when an overpayment occurs. In this case, two scenarios are possible:
- the overpayment was discovered by the tax authorities - they are obliged to notify the taxpayer about this and conduct a reconciliation report on tax payments with him;
- the taxpayer himself discovered the overpayment - he must inform the tax authorities about this and also draw up a payment reconciliation report.
As a rule, if the fact of overpayment is established and documented, the transferred tax payments are counted against future advance payments. However, if the taxpayer does not want this, he has the right to write to the tax service an application for a refund of overpaid amounts.
All individual entrepreneurs using the simplified regime for calculating and paying taxes are required to pay advance payments. However, in cases where this does not work out for some reason, no large fines or punishments will follow; the maximum that can happen is the accrual of small penalties, which, of course, is also unpleasant, but quite tolerable. However, advance payments contribute to maintaining order in tax payments, internal financial discipline of the individual entrepreneur, and also almost completely eliminate the possibility of sudden audits from tax authorities.
The article discusses what the simplified tax system is, an advance payment, terms for paying advance payments, provides examples of calculating advance payments, annual tax, and also identifies more profitable simplified taxation options for an entrepreneur.
The simplified taxation system is a very convenient method of paying taxes for many entrepreneurs and not only simplifies the process of reporting and paying taxes, but also makes it possible to significantly reduce their amount. When opening a new business, individual entrepreneurs and legal entities need to determine the most favorable tax system for themselves.
There are two special regimes - simplified tax system and UTII. We will talk about the simplified tax system, when its use is profitable, what rates of deduction of advance payments are best to use.
What is an advance report under the simplified tax system?
STS (simplified taxation system) is a special taxation regime that can be used by individual entrepreneurs or legal entities. The peculiarity of this system is that the taxpayer does not pay taxes on profits, property, personal income tax, VAT (except for import VAT), all this is replaced by payment of advance payments.
An advance payment (AP) is a special payment, an advance payment of tax, paid three times a year after the reporting quarters by each business entity that is on the simplified tax system.
Advance payments under the simplified tax system, as we have already said, are paid by simplifiers three times a year:
- For the first quarter - until April 25 of the current reporting year;
- For the 1st and 2nd quarters - until July 25 of the current reporting year;
- For the 1st, 2nd and 3rd quarters - until October 25 of the current reporting year.
To pay tax after the end of the year, an entrepreneur or legal entity only needs to calculate the balance, and then pay it on time. The deadlines for submitting a tax return and paying advance payments under the simplified tax system are the same, namely:
- for legal entities, the deadline for submitting declarations under the simplified taxation system and paying taxes for the previous year is April 2 (for example, payment and submission of the declaration for 2017 must be completed by April 2, 2018);
- for individual entrepreneurs, the deadline for submitting a declaration under the simplified taxation system and paying tax for the previous year is until May 3 of the current year (for example, individual entrepreneurs must pay the tax and submit the declaration for 2017 by May 3, 2018).
You should know that if an enterprise on the simplified tax system has ceased its activities or has lost the right to be on the simplified tax system, then the tax must be paid next month by the 25th.
What happens if you are late with payment for AP according to the simplified tax system?
If you are late in paying the advance payment, the tax service will charge a penalty for each day of non-payment, and will even count the days for which the money already paid will reach the budget. Therefore, you should not think that you can only pay tax at the end of the year, ignoring advance payments.
There are two interest rate options when choosing to pay tax using the simplified tax system:
- STS “income” - rate 6%;
- STS “income-expenses” - rate 5-15% (rate gradation depends on the region and type of activity of the enterprise).
How to calculate an advance payment under the simplified tax system “income”?
The “income” payment system should be chosen by those entrepreneurs whose activities provide for insignificant income. The advantage of choosing a 6% rate is that tax authorities rarely check such taxpayers. The reason is that expenses (with the exception of insurance premiums) are not taken into account for tax purposes.
When the object of taxation is only income under the simplified tax system, then the tax or advance payment must be calculated according to the following scheme: the amount of income must be multiplied by 6%, which will be equal to the advance payment (tax under the simplified tax system).
After this, it is possible to reduce the amount of the calculated payment:
- Entrepreneurs working alone have the opportunity to reduce their tax payment to zero - by 100%. When the amount of insurance premiums is greater than or equal to the tax, then it will be reduced by this amount. Discount = insurance premiums for entrepreneur<= 100% суммы платежа.
- Entrepreneurs and companies that have employees can reduce payments by exactly half. This half is the amount of insurance premiums for your staff and for yourself, the payment of which can be confirmed by bills. The entrepreneur includes contributions for himself in the “discount” if it falls within half of the tax payment. Discount = contributions for employees + contributions for yourself<= 50% суммы АП.
If the individual entrepreneur first used the first method of “discount” on AP (tax), then after he decided to hire workers, he must immediately switch to the second method. And vice versa, if at the beginning of the year the employee was registered with a tax-paying employer and was soon dismissed, then by the end of the year the employer will not be able to use a 100% reduction in the amount of the AP.
So, you can now adjust the calculation formula like this: the amount of income multiplied by 6% - insurance premiums (for yourself + for staff) - AP of previous periods = AP (tax).
Let’s calculate the AP according to the simplified tax system “income”:
Based on the cumulative results of work for the quarters of 2017, entrepreneur “A” received the following income and insurance premiums:
- first quarter - 270 thousand rubles. and 4049.1 rub.;
- half-year - 580 thousand rubles. and 8096.2 rubles;
- 9 months - 930 thousand rubles. and 12144.3 rubles;
- year - 1340 thousand rubles. and 16192.5 rubles.
Advance payment for the first quarter = 270,000* 6% - 4,049.1 = 12,150.9 rubles.
When the amount of tax is greater than the amount of insurance premiums, the payer does not pay anything to the tax service.
AP for six months = 580 thousand * 6% - (8,096.2 + 12,150.9) = 14,552.9 rubles.
Likewise, if the deduction amount was greater than the tax amount, then there is no need to pay an advance payment.
AP for 9 months = 930 thousand * 6% - (12144.3 + 12150.9 + 14552.9) = 16951.9 rub.
The deductible amount is greater than the amount of insurance premiums, so the advance payment is reduced, but not equal to zero.
Scheme for calculating advance payments according to the simplified tax system “income - expenses”
To calculate the amount payable using this method, expenses are subtracted from income for the reporting period, including insurance premiums for yourself and for staff. It happens that last year the tax was paid, but as a result of the results of activities, the entrepreneur ultimately received a loss, then at the end of the current year he has the right to take into account the amount of this loss in calculating the amount of tax as one of the expenses.
AP = (income - expenses (cumulative) * 15% (from 5 to 15% depending on the region and type of activity) - the estimated amount of the AP of previous quarters.
STS - simplified taxation regime. It is suitable for many individual entrepreneurs, as well as legal entities. It is worth noting that if an enterprise intends to choose a simplified taxation system, then it must decide in advance which method of paying advance payments it will use. There are two methods for calculating the amount due:
- Taking into account income.
- Taking into account income and at the same time deducting expenses. The main difference is the interest rate.
