In order to correctly guide the direction of consumption, the state selects some consumer goods on the basis of the general collection of value-added tax, and then levies a consumption tax. Consumption tax is levied on two methods: ad valorem rate and ad valorem rate. The consumption tax payable by an enterprise when selling products should be dealt with on a case-by-case basis: if the enterprise sells the products directly to the outside world, the consumption tax payable on the external sales of the products shall be subject to "taxes and surcharges".
The enterprise calculates the consumption tax payable according to the regulations:
Borrow: Taxes and surcharges.
Credit: Tax Payable - Excise Tax Payable.
If an enterprise uses taxable consumer goods for construction projects, non-production institutions, long-term investment, and other aspects, the consumption tax payable according to regulations shall be included in the relevant costs. For example, if an enterprise uses taxable consumer goods for a construction project in progress, the consumption tax payable will be included in the cost of the construction in progress
Borrow: fixed assets, construction in progress, non-operating expenses, long-term equity investment, etc.
Credit: Tax Payable - Excise Tax Payable.
When an enterprise entrusts the processing of taxable consumer goods, when the entrusting party picks up the goods, the entrusted party withholds and pays the tax, and the entrusted party debits the accounts of "accounts receivable" and "bank deposits", and credits the account of "tax payable - consumption tax payable".
Debit: accounts receivable, bank deposits, etc.
Credit: Tax Payable - Excise Tax Payable.
If the taxable consumer goods are directly used for sale after the processing of taxable consumer goods is recovered, the entrusting party shall include the consumption tax withheld and paid in the entrustment.
The cost of processed taxable consumer goods shall be debited to the items of "commissioned processing materials", "cost of main business", "self-made semi-finished products", etc., and credited to the accounts of "accounts payable" and "bank deposits". If the taxable consumer goods entrusted for processing are recovered and used for continuous production of taxable consumer goods, and the deduction is allowed according to the regulations, the entrusting party shall debit the account of "tax payable - consumption tax payable" and credit the account of "accounts payable" and "bank deposit" according to the consumption tax withheld and paid.
Debit: Tax Payable - Excise Tax Payable.
Credit: accounts payable, bank deposits, etc.
When an enterprise needs to pay consumption tax on imported products, it should include the consumption tax paid in the cost of consumer goods of the project, debit the account such as "material procurement", and credit the account such as "bank deposit".
Accounting treatment of the consumption tax payable in the current month
Debit: Tax Payable - Excise Tax Payable.
Credit: bank deposits, etc.
When an enterprise receives a refund of consumption tax, it shall be based on the amount actually received.
Borrow: bank deposits, etc.
Credit: Taxes and surcharges.