Notes (If none of the four requirements for small businesses are met)
MTACジャパン 上海MTAC
If all four requirements for small businesses are not met, preferential policies will not apply, and the standard corporate income tax rate of 25% will be applied.
Even if three of the four requirements are met, if the annual taxable income exceeds 3 million yuan, it will not qualify as a small business. Similarly, if the annual taxable income exceeds 3 million yuan due to adjustments in the taxable income during the corporate income tax declaration, it will also no longer be considered a small business.
Example 1: If the annual taxable income is 3 million yuan, the corporate income tax payable will be 150,000 yuan.
3 million yuan × 25% × 20% = 150,000 yuan or 3 million yuan × 5% = 150,000 yuan
Example 2: If the annual taxable income is 3.01 million yuan, preferential policies will not apply, so the corporate income tax payable will be 752,500 yuan.
3.01 million yuan × 25% = 752,500 yuan
The difference between Example 1 and Example 2 is only 10,000 yuan, but in Example 2, since preferential policies do not apply, the standard corporate income tax rate of 25% will be applied, resulting in a corporate income tax payable of 752,500 yuan. The difference from Example 1 is 602,500 yuan, which is a significant increase.
Inquiry about this news
Contact Us OnlineMore Details & Registration
Details & Registration
Related Links
Distributors
