The legislation provides for the ability to reduce tax deductions for individual entrepreneurs by the amount of insurance premiums. This allows entrepreneurs to reduce the tax burden on their business and increase their profits.
Necessary
- - receipts for payment of insurance premiums for employees;
- - receipts for payment of insurance premiums to the PFR for yourself;
- - act of reconciliation of taxes and fees with the tax.
Instructions
Step 1
The rules for reducing the single tax of the simplified tax system depend on the type of simplified tax applied by the individual entrepreneur. It is also taken into account whether the entrepreneur conducts his activities independently, or attracts hired workers.
Step 2
Reducing the tax under the simplified tax system can only be entrepreneurs who use the simplified tax system with the object "income". They have the opportunity to reduce the tax by the amount of the transferred insurance contributions for pension and social insurance; sick leave paid by the employer and deductions under voluntary insurance contracts.
Step 3
If an individual entrepreneur has hired employees, then he can reduce the amount of tax by no more than 50%. For example, the entrepreneur's income for the first quarter amounted to 300 thousand rubles, deductions to the Pension Fund and the Social Insurance Fund for employees in the same period - 45 thousand rubles. The amount of the simplified taxation system to be paid will be 18 thousand rubles. (300 * 6%). An individual entrepreneur can reduce it by 50% to 9 thousand rubles. It does not matter that the individual entrepreneur actually made more deductions than he could deduct. Since within the framework of the simplified tax system, a quarterly advance payment system is provided, the contributions for which it is possible to reduce the tax must also be paid within the quarter.
Step 4
If an individual entrepreneur does not have employees, then the limitation of a 50% reduction in contributions does not apply to him. Such entrepreneurs can completely reduce the tax on the amount of paid insurance premiums for themselves. For example, the entrepreneur's income for the quarter was 150 thousand rubles. He made contributions to the Pension Fund and FFOMS in a fixed amount - 5181.88 rubles. It should be noted that only the amount of deductions in a fixed amount can be deducted. Even if an entrepreneur paid six months in advance, he can only reduce the tax on the simplified tax system by the amount of deductions to the Pension Fund for one quarter.
Step 5
Individual entrepreneurs who use the simplified tax system with the object "income minus expenses" cannot reduce the tax by the amount of insurance contributions. But they can include the entire amount of contributions to the Pension Fund, Social Insurance Fund, as well as other payments listed in the legislation in expenses when calculating the tax base. The 50% limit does not apply to individual entrepreneurs with employees, all contributions for oneself and for employees are included in full.
Step 6
An individual entrepreneur who has been working for several years may have a situation when, for some reason, more taxes were paid than necessary. According to the law, the tax office is obliged to report the overpayment itself. But in practice, it does not always do this. Therefore, if an entrepreneur has reason to believe that he paid more taxes than was required, then he needs to request a reconciliation of taxes paid in the tax act. If the fact of the overpayment is confirmed, then it is necessary to apply with an application for offset or refund of the amount of overpayments.
