Generally speaking, there must be an invoice to make an account, and you can't do an account without an invoice. However, in practice, there are several situations in which you can record even without an invoice! Let's take a look!
Invoices are not
The only deduction voucher
Obtain invoices to enter the accounts, otherwise there will be various financial risks.
This statement is actually true, but it is not very accurate. The main purpose of financial accounting is to objectively and truly reflect the process and results of the production and operation activities of the enterprise, therefore, the real business needs to be recorded in order to meet the requirements of accurate and complete accounting.
Although the invoice is a common voucher for pre-tax deduction of enterprise income tax, it is not the only deduction voucher!
1. Pre-tax deduction voucher
What is a pre-tax deduction certificate?
Pre-tax deduction vouchers refer to all kinds of vouchers used by enterprises to prove that reasonable expenses related to the income are actually incurred and used for pre-tax deduction when calculating the taxable income of enterprise income tax.
2. Internal vouchers and external vouchersPre-tax deduction vouchers are divided into internal vouchers and external vouchers according to **
Internal vouchers refer to the original accounting vouchers made by enterprises for the accounting of costs, expenses, losses and other expenses. The filling and use of internal vouchers shall comply with the relevant provisions of national accounting laws and regulations.
External vouchers refer to the vouchers obtained from other units and individuals to prove the occurrence of expenditures when an enterprise has business activities and other events, including but not limited to invoices (including paper invoices and electronic invoices), financial bills, tax payment vouchers, collection vouchers, division orders, etc.
Therefore, the invoice is not the only deduction voucher, and there are 5 most common situations where you can deduct before tax without invoices, continue to look below.
No invoice is required
5 expenses deducted before tax
1. Pay sporadic expenses of less than 500 yuan for individuals
Policy basis: According to the provisions of Announcement No. 28 of 2018 of the State Administration of Taxation, only receipts are required to complete the accounting and pre-tax deduction.
For example: employee A repairs the lock, and the personal receipt is 20 yuan.
Accounting treatment: borrow: management expenses - repair costs of 20 yuan.
Credit: cash in hand 20 yuan.
2. Welfare expenses, pensions, and relief expenses
Welfare expenses and subsidies for employees' living difficulties are issued to employees, and invoices are exempted.
One more thing, which is more tax-efficient, money or in-kind?
When sending the physical object. Company A purchases moon cakes and obtains a special VAT invoice, with a price of 20,000 yuan excluding tax and 2,600 value-added tax
Accounting TreatmentAt the time of purchase: debit: inventory goods 20000 Tax payable - VAT payable (input tax) 2600 Credit: cash on hand 22600
When issued: borrow: management expenses (assuming all management expenses) 22,600
Credit: Employee Compensation Payable - Non-Monetary ** Interest 22600
Borrow: Employee Compensation Payable - Non-Monetary ** Interest 22600
Credit: 20,000 goods in stock
Tax Payable - VAT Payable (Input VAT Transferred Out) 2600
Tax-related treatment. VAT: The input tax is transferred out of 2,600 yuan.
Enterprise income tax: deemed sales income of 20,000 yuan.
Deemed cost of sales is 20,000 yuan.
Welfare expenses are deducted up to 14% of gross taxable wages.
Individual income tax: It is incorporated into wages and salaries to pay individual income tax.
When sending money. Company A issued cash benefits totaling 20,000 yuan to all employees during the Mid-Autumn Festival.
Accounting treatment. Borrow: Management expenses (assuming all management expenses) 20,000
Credit: Employee Remuneration Payable - Monetary ** Interest 20,000
Borrow: Employee remuneration payable - currency ** interest 20,000
Credit: Bank Deposit 20000
Tax-related treatment. VAT: Not involved.
Corporate Income Tax: Welfare expenses are deducted up to 14% of the gross taxable salary.
Individual income tax: It is incorporated into wages and salaries to pay individual income tax.
Summary
Looking at it this way, the company pays benefits on holidays, whether it is directly sending money or gifts, it is the same in paying taxes, and there is no one that is more tax-efficient.
3. Pay travel allowanceIn the travel expense reimbursement form, the reasonable travel expenses incurred by the enterprise related to its business activities are allowed to be deducted before tax with true and legal vouchers, and the name of the business traveler, the place of business trip, the time of the business trip, the payment voucher and other materials shall be provided.
Note: Transportation and accommodation expenses on business trips can only be deducted if you obtain an invoice.
4. Meal allowanceIf the employee is unable to eat at the work unit or return to eat due to official business, the meal allowance will be given: no invoice is required, and no individual income tax is paid.
Materials to be provided by the company:
5. Liquidated damages for non-performance of the contractThe payment of liquidated damages for non-performance of the contract is not a VAT taxable act, and there is no need to obtain an invoice, but it can be relied on by virtue of the signed agreement on taxable goods or taxable services, the compensation agreement, the receipt issued by the payee, or some need a court judgment or mediation document, an arbitration institution's ruling, etc.
However, there are exceptions, and some regions stipulate that some businesses must still obtain invoices to be deducted before tax, which is subject to local conditions.
Must have an invoice to do so
12 expenses deducted before tax
According to Article 9 of the Announcement of the State Administration of Taxation on Issuing the Administrative Measures for the Pre-tax Deduction Vouchers of Enterprise Income Tax (Announcement No. 28 [2018] of the State Administration of Taxation), if the expenditure items incurred by an enterprise in China are VAT taxable items (hereinafter referred to as "taxable items"), the other party is a VAT taxpayer who has gone through tax registration, and its expenditure shall be invoiced (including invoices issued by the tax authorities in accordance with the regulations) as the pre-tax deduction voucher.
Regardless of other circumstances, the invoice is used as a pre-tax deduction voucher if the following three conditions are met at the same time:
1.Expenditures incurred domestically;
2.It is a VAT taxable item, that is, the other party needs to pay VAT;
3.The other party is a VAT taxpayer who has gone through tax registration.
Specifics
1.Banks charge handling fees, commissions, remunerations, management fees, service fees, handling fees, account opening fees, transfer fees, settlement fees, transfer fees and other fees, and use invoices as pre-tax deduction vouchers, and general taxpayers can deduct input tax according to regulations when they obtain special bills.
2.To pay the interest expenses of banks and other units, the invoice is used as the pre-tax deduction voucher, and the general taxpayer is advised to obtain an ordinary invoice even if the special ticket cannot be deducted according to the regulations.
3.The discount fee of enterprise expenditure bills is used as a pre-tax deduction voucher, and even if the general taxpayer obtains a special bill, it is recommended to obtain an ordinary invoice.
4.For the handling fee of the WeChat account and Alipay account of the unit, the invoice is used as the pre-tax deduction voucher, and the general taxpayer can deduct the input tax according to the regulations when he obtains the special ticket.
5.Unit POS machine handling fee, to the acquirer to obtain an invoice, with the invoice as a pre-tax deduction voucher, general taxpayers can obtain a special ticket to deduct the input tax according to the regulations.
6.The invoice shall be used as the pre-tax deduction voucher for the refund fee and handling fee for airplanes (other than train tickets), and the general taxpayer can deduct the input tax according to the provisions when obtaining the special ticket.
7.The refund fee and handling fee of the train ticket shall be based on the railway ticket printed by China Railway Corporation and its affiliated transportation enterprises (including branches) as the pre-tax deduction voucher.
8.The ETC road and bridge toll of the unit car shall be deducted from the input tax according to the provisions of the invoice as the invoice shall be used as the pre-tax deduction voucher, and the general taxpayer shall obtain the electronic invoice to deduct the input tax according to the regulations.
9.The property and commercial insurance premiums paid by the unit shall be deducted from the input tax according to the provisions by using the invoice as the pre-tax deduction voucher, and the general taxpayer can deduct the input tax according to the provisions when obtaining the special ticket.
10.The communication expenses such as ** fee and Internet access fee paid by the unit shall be deducted from the input tax according to the provisions with the invoice as the pre-tax deduction voucher, and the general taxpayer can deduct the input tax according to the provisions when obtaining the special ticket.
11.Units purchasing supplementary cultivated land indicators shall use invoices as pre-tax deduction vouchers, and general taxpayers can deduct input tax according to regulations when they obtain special invoices.
12.The unit pays the handling fee or commission income of the auction house, pays VAT in accordance with the "brokerage service", and uses the invoice as the pre-tax deduction voucher, and the general taxpayer can deduct the input tax according to the provisions when obtaining the special ticket.