3.
5.
According to the provisions of Article 1 of CS [2017] No.
2.
When a small-scale taxpayer provides construction services across counties (cities and districts), the advance tax payable shall be calculated at a collection rate of 3% based on the balance of the total price and non price expenses obtained after deducting the subcontracting payment.
Second, when the affiliated party receives the owner’s advance payment for the project, the accounting treatment is as follows: according to the provisions of item (2) of Article 45 of attachment 1 of CS [2016] No.
If the general tax calculation method is applicable, the tax payable in advance = (total price and extra price expenses – subcontracting payment) ÷ (1 + 9%) × 2%。 2.
If the simple tax calculation method is applicable, the tax payable in advance = (all price and extra price expenses – subcontracting payment paid) ÷ (1 + 3%) × 3%。 If the balance of the total price and non price expenses obtained by the taxpayer after deducting the subcontracting payment is negative, it can be carried forward and deducted when the next advance tax is paid..
All funds follow the principle of “two lines of revenue and expenditure”.
The proportion of human, material, machine and period expenses in the construction cost shall be subject to the proportion of human, material, machine and period expenses in the project budget estimate list in the total cost of the whole project.
General taxpayers who provide construction services across counties (cities and districts) apply the general tax calculation method, The tax payable in advance shall be calculated according to the balance of the total price and non price expenses obtained after deducting the subcontracting payment, and the advance tax rate of 2%.
Therefore, if the affiliated person deposits the advance money into the exclusive account of the project department, he can borrow money without interest and no value-added tax will be levied.
The affiliated party shall be the accounting subject, and the affiliated party shall not be the accounting subject.
Based on this provision, when the affiliated party receives the project payment or commencement deposit advanced by the employer or the owner, the affiliated party must pay value-added tax in advance in the State Taxation Bureau of the place where the project is located according to law.
If general taxpayers provide construction services across counties (cities and districts) and choose to apply the simple tax calculation method, the prepayment tax shall be calculated at the collection rate of 3% based on the balance of the total price and non price expenses obtained after deducting the subcontracting payment.
3.
Costs and expenses shall follow the “four flows in one” of contract flow, capital flow, ticket flow and logistics (labor flow) 2、 The specific analysis of the accounting process of the affiliated project of the construction enterprise (taking the affiliated party as the general taxpayer of the construction enterprise as an example) is as follows: first, the exclusive account of the project Department of the affiliated party receives the purchased construction materials deposited by the affiliated party, Especially for the advance payment for the purchase of main materials and equipment: Debit: bank deposit – (name of the exclusive account of the project department or the basic account of the affiliated party) Credit: other payables – (name of the affiliated party) special reminder: Article 14 of Finance and taxation 2016 36 – the following situations are deemed as sales services Intangible assets or real estate: (1) units or individual industrial and commercial households provide services to other units or individuals free of charge, except for those used for public welfare undertakings or for the public.
Therefore, the affiliated party can issue the VAT invoice for the advance payment to the employer only after the affiliated party provides the tax payment certificate of the project location and pays the tax.
Regard the affiliated party as a project Department of the affiliated party.
36: Measures for the pilot implementation of replacing business tax with value-added tax, if the taxpayer provides construction services in the form of advance collection, its tax obligation occurs on the day of receiving the advance collection.
58).
Announcement No.
17 of 2016 by the State Administration of Taxation Article 5 taxpayers who provide construction services across counties (cities and districts) shall calculate the tax payable in advance according to the following formula: 1.
According to the above tax policies, the interest free loan of a natural person to the company is not regarded as sales and does not pay the value-added tax of interest.
When taxpayers obtain advance collection for construction services, they shall, The value-added tax shall be paid in advance according to the advance rate specified in paragraph 3 of this article.
58 document, since July 1, 2017, the construction enterprise has received the advance payment from the employer or the owner without VAT liability.
The VAT liability time is when the owner uses the advance payment to offset the project progress payment in the future project progress settlement! Based on the above policy basis, the accounting treatment of the affiliated party receiving the advance payment from the owner or the employer is as follows: (1) if the owner forcibly requests to issue an invoice, the accounting treatment is as follows: Debit: bank deposit credit: contract liabilities [receiving the advance payment from the owner / (1 + 9%)] taxes payable —— value-added tax payable (output tax) [receiving the advance payment from the owner / (1 + 9%) × 9%] (if there is a balance in the original “advance collection”, it is directly transferred into the “contract liability” account.) (2) If the owner does not force the invoice to be issued, the accounting treatment is as follows: Debit: bank deposit; Credit: contract liability legal basis: Article 3 of the notice of the Ministry of Finance and the State Administration of Taxation on the pilot policy of replacing business tax with value-added tax for construction services (CS [2017] No.
In addition, the interpretation of the accounting department of the Ministry of Finance on the relevant issues of the provisions on accounting treatment of value-added tax Article 3 “on the time point of confirming the output tax of enterprises providing construction services” stipulates that if the time point of value-added tax obligation is earlier than the time point when the enterprise handles the project price settlement with the owner, it shall debit “bank deposit” and other subjects, Credit “advance receipts” (the new income standard is changed to “contract liabilities”, and the account of advance receipts is no longer used.) And “taxes payable – VAT payable (output tax)”.
2.
1、 Accounting principles the accounting principles of the affiliated business of construction enterprises are as follows: 1.
Article 4 taxpayers who provide construction services across counties (cities and districts) shall pay taxes in advance in accordance with the following provisions: 1.
4.
