R&D expenditures need to be accounted for separately in accounting, and auxiliary accounting should be carried out according to R&D projects, so as to enjoy the policy of additional deduction. Here are some examples of how to account for R&D expenditure and additional deductions:
1.Company A has launched a new R&D project and invested personnel and funds in R&D work. The accounting department established an independent R&D expenditure account for the project, and carried out detailed accounting of personnel salaries and experimental expenses related to the project. In this way, enterprise A can deduct the salaries, benefits, social security and other expenses of direct R&D personnel and auxiliary R&D personnel in accordance with the provisions of the tax law to reduce the taxable income.
2.The R&D project of enterprise B encountered difficulties at the planning stage and it was decided to suspend the project for the time being. However, personnel in the R&D department still need to pay salaries, benefits, etc. In terms of accounting treatment, enterprise B includes this part of the expenditure in the R&D expenses, but according to the provisions of the tax law, the suspended R&D projects do not meet the conditions for additional deduction, so this part of the expenditure cannot enjoy the preferential policy of additional deduction.
It is worth noting that the amount of R&D expenditure calculated by accounting is usually greater than the additional deduction amount stipulated in the tax law, because all the expenses for R&D services will be included in the accounting of R&D expenditure, while the tax law only allows the additional deduction of wages, benefits, social security and other expenses of direct R&D personnel and auxiliary R&D personnel. Therefore, when enjoying the additional deduction policy, enterprises should strictly calculate according to the provisions of the tax law to ensure that the prescribed additional deduction amount is met.
In short, R&D expenditures must be accounted for and separately accounted for according to R&D projects in order to enjoy additional deductions. For the amount of R&D expenditure accounted for, enterprises need to compare with the additional deduction amount stipulated in the tax law to ensure that they enjoy the corresponding preferential policies. February** Dynamic Incentive Program