In the accounting process, it is one of the basic principles to truly reflect the occurrence of economic transactions. Even in the absence of invoices, the occurrence of any economic transaction should be accurately reflected in the accounts. In China, the main role of invoices is reflected in taxation, mainly used for input tax deduction and pre-tax deduction. However, invoices are not the only basis for accounting.
Accounting of the business
According to accounting standards, even in the absence of invoices, economic transactions that occur need to be accounted for. This treatment helps to reflect changes in accounting elements, such as a decrease in assets and an increase in expenses. Accountants need to understand and clearly identify which expenses can be used as pre-tax deduction vouchers even without invoices, mainly including but not limited to the following:
1.Small sporadic expenditures:If the expenses paid by the enterprise to individuals fall within the taxable scope of VAT but the amount does not exceed 500 yuan, it is a small and sporadic expenditure. (It must be noted that the small and sporadic expenses here are for individuals with business income, not labor services, etc., and small sporadic expenses require names, ID numbers, and receipts signed by the parties).
2.No payment from the tax registration unit is required:Paid to units that do not need to go through tax registration according to law, although it is within the scope of value-added tax, no invoice is required.
3.Non-VAT Scope Payment:The internal payment of the enterprise does not belong to the scope of VAT taxability.
4.Agricultural Purchases:Enterprises that purchase agricultural products produced and sold by farmers may issue invoices for the purchase of agricultural products for tax treatment.
5.Overseas Services & Goods Procurement:Use overseas invoices, tax bills or foreign exchange payment vouchers as pre-tax deduction vouchers.
6.Joint service acceptance and asset leasing: When multiple parties jointly accept labor services or leased assets, the "Split Order" is used as a pre-tax deduction voucher.
7.Use of Specific Notes:Specific bills, such as train tickets and air itinerary receipts, can be used as invoices and are applicable to pre-tax deductions and input tax credits.
8.Corporate Profits and Donations:Enterprises without invoices make profits and accept donations, and after paying enterprise income tax according to the regulations, no invoices are required for pre-tax deduction in the later stage.
Even in addition to the above-mentioned circumstances, accounting should be carried out, but when the income tax is settled, it shall not be regarded as a pre-tax deduction and shall be treated as a tax increase.
Roles and responsibilities of accountants
Accountants should clearly communicate to management the importance of obtaining invoices and the tax implications that may arise from failing to obtain invoices. However, accountants should not take the responsibility of the business or management as their own. Proper accounting and transparent communication are the primary responsibilities of accountants to ensure the accuracy and compliance of the business's finances.
What do you think? Invoices