Tax breaks
1, involved in the epidemic prevention and control workers can be exempted from personal tax. For medical workers involved in epidemic prevention and control and related epidemic prevention personnel, will be issued a certain amount of work subsidies and bonuses, and the subsidies and bonuses will be exempt from personal income tax.
2. Donations of materials for the epidemic can enjoy tax relief. Since the outbreak of the epidemic, people from all walks of life have extended a helping hand to the medical supplies from overseas, sent directly to the front line of the epidemic, in order to support the public welfare enthusiasts donations, the state has also introduced a corresponding tax relief policy for donations of imported materials for the prevention and control of the epidemic, can be exempted from import tariffs and import links of value-added tax, consumption tax. Secondly, for donations for the new coronavirus pneumonia epidemic, whether individuals or enterprises, donations involved in the expenditure are allowed to deduct the full amount of pre-tax.
3, the epidemic prevention and control materials production enterprises to enjoy tax incentives. During the epidemic, for the epidemic prevention and control of key protection materials production enterprises, in order to expand production capacity, the newly purchased production equipment can be a one-time charge to the current cost of expenses, and deducted before the enterprise income tax. At the same time, the material production enterprises can also apply for full refund of VAT incremental tax credit to the local tax authorities on a monthly basis. In addition, for the epidemic in the economic losses in the difficult enterprises, the state for this also introduced a corresponding support policy, in the degree of the epidemic affected by the difficult enterprises incurred losses, the longest carry-over period from 5 years to 8 years.
The tax incentives for personal income tax
1, the resident individual obtains the annual lump sum bonus, before December 31, 2023, not to be incorporated into the year's comprehensive income, to the income of the annual lump sum bonus divided by the amount obtained by the 12 months, in accordance with the monthly conversion of the comprehensive income tax rate table, to determine the applicable tax rate and the number of quick deductions, and separate calculation of tax.
2. From January 1 until December 31, 2023, medical personnel and epidemic prevention workers participating in epidemic prevention and control are exempt from personal income tax. The government-specified standards include the standards for subsidies and bonuses set by governments at all levels.
3. From January 1 to December 31, 2023, in-kind goods (excluding cash) such as medicines, medical supplies and protective gear issued by units to individuals for the prevention of pneumonia infected by the new coronavirus will not be counted as income from wages and salaries and will be exempted from individual income tax.
4. Starting from January 1, 2022, taxpayers' expenditures related to caring for children under the age of 3 will be deducted at a flat rate of 1,000 yuan per month per infant before the calculation of individual income tax. One spouse can choose to deduct 100% of the standard deduction, or both spouses can choose to deduct 50% of the standard deduction. Once selected, it cannot be changed within a tax year.
The impact of tax incentives on enterprises
1. Tax incentives reduce enterprise costs. Enterprises need to develop in continuous innovation, stagnation will eventually be eliminated from the game. Competition in the market is fierce, innovation related to a variety of inputs, including manpower, capital, equipment, taxes, etc., so the tax is the form of funds can be influenced by various aspects, other costs such as manpower, management, finance, etc. can be optimized from its own structure to solve. And the enterprise's tax problems need to be reasonable through the tax incentives to reduce the comprehensive cost, to avoid tax risks.
2, tax incentives to improve the enterprise's expected returns, reduce expenditures, for the expansion of reproduction. As the enterprise development and innovation will also face many uncertainties in the market risk, which is also often one of the important factors restricting the enterprise to make strategic innovation decisions. Under the established risk conditions, the pursuit of are higher expected rate of return, and tax losses in the pre-tax deduction by a certain percentage can be reduced, tax incentives is also an important support for decision-making.