Dongchuan company registration: how much is the burden of enterprises reduced by tax reduction?

The continuous increase in production and operation costs is an important reason for the current difficulties of many enterprises. Significantly reducing costs and improving the competitiveness of high-quality enterprises are of key significance for increasing effective supply and enhancing economic vitality.

The Central Economic Work Conference listed cost reduction as one of the five major tasks of structural reform this year. Enterprise costs involve all aspects, and many measures are needed to lay a good "combination boxing" and fight a good battle of annihilation. Can we increase tax cuts and reduce the burden on enterprises? Can the corporate financing interest rate be lower? Why is the non-tax revenue high? How to effectively reduce institutional transaction costs? Starting from this issue, we closely follow the "pain points" of these enterprises' costs, and launch a series of reports on "How to reduce enterprise costs" to deeply understand the operating conditions of enterprises, analyze the composition of enterprise costs, explore the crux of high enterprise costs, and invite people in the industry and experts to make suggestions.

Why is the voice of tax reduction the highest?

Important costs such as factory buildings, insurance and interest cannot be deducted from taxes. It is estimated that the tax reduction will be nearly 400 billion yuan when the camp reform is fully implemented.

"Now online shopping is growing rapidly, the demand in the logistics market is strong, and corporate income is increasing by more than 20% every year. However, high cost and high tax burden limit profit growth and restrict enterprise development to some extent. " Chen Rong, financial manager of Itochu Corporation (China) Co., Ltd. Shanghai Branch, said.

Chen Rong calculated an account for the reporter. In 20 15, the income of the enterprise was 370 million yuan, but the operating cost was as high as 230 million yuan, of which the real estate rental cost accounted for 17%, the insurance cost accounted for 1%, and the actual value-added tax paid reached12.56 million yuan. "If the real estate and insurance industries can be included in the camp reform, these costs of enterprises can be deducted from the input tax. Even if the minimum tax rate of 6% is implemented, the tax deduction of 2.5 million yuan can be increased, a decrease of nearly 20%. As a result, the value-added tax burden of enterprises has dropped to 2.7%, a decrease of 0.7 percentage points, and the tax reduction effect is very obvious. "

Since last year, with the downward pressure on the economy increasing, China's real economy has generally experienced rising costs and falling profits. According to the data released by the National Bureau of Statistics, 20 15 years ago 1 month, the total profits of industrial enterprises above designated size in China decreased by 1.9% year-on-year, and the main business cost per 100 yuan was as high as 85.97 yuan, with a profit rate of only 5.57%.

According to the survey report [KEY_ 14] released by the SME Development Promotion Center of the Ministry of Industry and Information Technology, due to the downward pressure of the economy, enterprises' subjective feelings of various burdens and operational difficulties have increased, and labor costs have risen, financing is difficult, financing is expensive and tax burden is heavy, which are outstanding problems faced by enterprises. In the survey of measures to reduce the burden on enterprises, the voice of the national "tax reduction and exemption" policy is the highest, and the proportion of enterprises reflecting this demand reaches 80%.

The Central Economic Work Conference held at the end of last year once again deployed tax reduction as an important measure to reduce enterprise costs. Experts generally predict that tax cuts will increase this year, and as an important means of structural tax cuts, camp reform will be the highlight of this year's tax cuts and the most powerful reform policy.

Lou Jiwei, Minister of Finance, said recently that this year, the construction industry, real estate industry, financial industry and life service industry will be included in the pilot scope, and the camp reform will be comprehensively promoted.

"The purpose of the reform of the camp is mainly to eliminate the problem of double taxation caused by the separate collection of value-added tax and business tax on goods and services." Hu, dean of the Institute of Public Policy and Governance of Shanghai University of Finance and Economics, said that the implementation of the camp reform can realize the transformation from "full taxation, full taxation" to "withholding and adding value-added tax", creating a fairer tax environment and better adapting to the requirements of social division of labor and market economy.

Since 20 12, China has implemented business tax instead of value-added tax in some important industries. By the first half of 20 15, except for construction, real estate, finance and life service, other industries have implemented business tax reform. In terms of quantity, the national pilot program of "reform of the camp" involves 5.09 million taxpayers, and the reform of the above four industries, such as construction, will involve nearly/kloc-0.0 million taxpayers, and the reform intensity and tax reduction scale will exceed the previous ones.

From the past experience, every time the camp reform is extended to important industries, it will bring about a substantial increase in the scale of tax reduction. By the end of the first half of 20 15, the tax has been reduced by 484.8 billion yuan, including 42.6 billion yuan in 20 12 and 20191800 million yuan in 20 14. Construction, real estate and finance, which are about to implement the reform of the camp, are closely related to most industries. Many enterprises will have factory buildings and financial costs. After the full implementation of the camp reform, the VAT invoices of these industries will increase the input deduction for most enterprises.

"Once the camp reform is fully implemented, the industries that have been included in the camp reform will benefit more and the cost of enterprises will be further reduced." Liang, the managing partner of indirect tax in Ernst & Young Greater China, for example, said that before the construction and real estate industries were included in the camp reform, the production enterprises could not deduct the VAT input tax when purchasing the factory buildings, and the business tax in the house price needed to be included in the cost. Once the construction and real estate industries are included in the camp reform, the purchase of the factory building can get the special VAT invoice deducted from the input tax, and the house price no longer includes the business tax, and the included VAT does not need to be included in the enterprise cost.

"According to the current situation, if the tax reduction of the four new industries is consistent with the implemented industries, the comprehensive expansion will increase the tax reduction by nearly 400 billion yuan, and the total tax reduction for the reform of the camp will reach 600 billion yuan this year. Of course, the specific tax reduction amount still depends on the tax reduction plan. " Hu said:

Can the manufacturing tax burden be further reduced?

If the tax rate can be reduced, enterprises will have more funds for equipment upgrading. The manufacturing industry with the VAT rate of 17% should gradually move closer to the industry of 1 1%.

After the full implementation of business tax reform, China will bid farewell to business tax completely, and value-added tax will become the largest tax in China, and the value-added tax rate will also coexist in several stages, such as 6%, 1 1%, 13% and 17%. In addition, small-scale taxpayers have a simple levy rate of 3%.

"Degenerate tax rate will be the next direction of reform. Now the manufacturing tax rate is the highest 17%. Therefore, on the basis of the reform of the camp, there is still room for further reduction of the manufacturing VAT rate. " Yang Zhiyong, director of the Finance Research Office of the Institute of Finance and Economics of China Academy of Social Sciences, said that the Central Economic Work Conference proposed to study reducing the VAT rate of manufacturing industry, considering the tax reform and the burden reduction of manufacturing industry as a whole. Therefore, reducing the VAT rate of manufacturing industry should not be understood as only reducing the tax revenue of manufacturing industry, but as the optimization of VAT system, which not only needs to solve the problem of high basic VAT rate of manufacturing industry, but also needs the degradation of VAT rate. Industries that apply the 17% tax rate should gradually move closer to those that apply the 1 1% tax rate.

Shandong Jinan Century Innovation Cement Company is a modern cement production enterprise. With the continuous decline in the growth rate of investment in fixed assets, the cement industry is facing tremendous pressure, and the company's profits are declining year by year: 52.58 million yuan in 20 13, 28.4 million yuan in 20 14, and 4265438 losses in 20 165438. High cost, overcapacity and environmental pollution have become the three big mountains facing the industry. The company has repeatedly hoped to improve efficiency by updating equipment and upgrading industries, but it has no funds.

"Reducing the tax burden and expenditure will enable enterprises to have more funds to complete the replacement of production capacity and the renewal of equipment, thus achieving the final green and efficient production." Jiang, an accountant of the company's finance department, told reporters that the company promoted capacity replacement by purchasing equipment to deduct enterprise income tax, and eliminated two existing cement plants. After replacement, the production capacity increased from 350,000 tons to 2.7 million tons. Due to the adoption of all-digital frequency conversion device to speed the fan, it saves electricity by about 25%-30%. "If the manufacturing value-added tax rate can be reduced, enterprises will have more funds for equipment upgrading."

China's traditional manufacturing industry generally faces the dilemma of rising costs and falling demand. By 20 15, 1 1, the national producer's ex-factory price (PPI) has been negative for 45 consecutive months, and from 2003 to 20 13, the average wage of China's manufacturing industry has tripled. In addition, the manufacturing industry is also facing cost pressure in industrial upgrading, energy conservation and environmental protection.

At present, the basic tax rate of manufacturing value-added tax in China is 17%, and the low tax rate of 13% is applicable to necessities such as grain, oil, water, gas and coal. "Actually, because China's value-added tax has not been fully implemented, real estate and other costs are not included in the deduction, so the actual burden rate is higher than the nominal tax rate." Hu said that under the circumstances of economic restructuring and transformation and upgrading, appropriately reducing the manufacturing value-added tax rate can provide valuable funds for enterprises to improve production efficiency, which is of great significance for implementing the strategy of strengthening the manufacturing industry and realizing the goal of "Made in China 2025".

"Value-added tax is an extra cost. Theoretically, the change of tax rate has no effect on corporate profits. However, in business operations, the actual sales price is generally negotiated and signed at the price including tax, and the sales funds and funds also include tax, which has a great impact on corporate profits. " Zhai Xiangdong, the legal representative of Hubei Lindong Garment Co., Ltd., told the reporter.

How to support supply-side reform?

Government revenue makes way for enterprises to reduce burdens and increase deficits, and makes up for the financial "gap"

"In the past, the proactive fiscal policy was more reflected in financial subsidies and government investment. In the future, structural reforms on the supply side will rely more on tax cuts. " Nonsense, on the supply side, tax is an important variable that affects the supply cost. Reducing production costs and expanding supply through tax reduction can not only stimulate economic growth, but also reduce the pressure of rising prices and promote stable economic growth.

Hu said that in view of China's current policy objectives, such as stable macro policy, accurate industrial policy and flexible micro policy, the focus of tax policy should shift from demand to supply, mainly through the structural tax reduction policy with the reform of the camp as the main body, so as to better play the due role of tax reduction. With the increasing downward pressure on the economy and the implementation of tax reduction policy in recent years, the growth rate of China's fiscal revenue has declined. Many people are worried about whether there is room for further tax cuts. How to ensure fiscal revenue?

"Continued tax cuts are the need to implement a more active fiscal policy. As long as it is properly chosen, it will not affect the health and stability of finance. " Yang Zhiyong said that under the new situation, the Central Economic Work Conference proposed to increase the fiscal deficit ratio by stages, and the fiscal expenditure is rigid, so many expenditures cannot be cut. Raising fiscal deficit ratio can provide more room for tax reduction. Considering that the economy will still maintain a certain growth rate, the fiscal revenue will increase accordingly, thus releasing more tax reduction space, and the tax reduction space of about 500 billion yuan should be affordable.

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