The additional deduction is a preferential policy for value-added tax, which is now applicable to four service industries, postal services, telecommunication services, modern services, and life services. The first three are collectively referred to as production services. These four fiscal and taxation documents collectively refer to them as production and living services.
Among them, production clothing can be reduced by 5%, and 1 million yuan can be deducted by 1.05 million. Life services can be expedited and reduced by 10%, and the input of 1 million can be reduced by 1.1 million.
Among the productive services, modern services are mainly related to everyone, including R&D and technical services, information technology services, cultural and creative services, logistics auxiliary services, leasing services, assurance consulting services, radio, film and television services, business auxiliary services, and other modern services.
Life services include cultural and sports services, education and medical services, tourism and entertainment services, catering and accommodation services, daily services for residents, and other life services.
Why is the production and living service industry allowed to be deducted?
One is the epidemic consideration, these services are relatively close to everyone's life and have a greater impact on the people, especially life services, so the deduction ratio of life services is five percentage points more than that of production services.
The second is to make up for the input, this kind of service industry has always lacked input tickets, and a lot of costs are manpower. Labor costs do not form input tax.
The higher the proportion of manpower in a company, the more it lacks VAT input, and the additional deduction is to a certain extent to alleviate the defects of this kind of service industry.