According to the Notice of the State Administration of Taxation on Printing and Distributing the Measures for the Treatment of Enterprise Income Tax for Real Estate Development and Operation Business (Guo Shui Fa 2009 No. 31).Article 32 stipulates that, except for the following withholding (payable) expenses, the taxable cost shall be the actual cost incurred: if the contracted project has not been finally settled and the full invoice has not been obtained, the insufficient amount of the invoice can be withheld on the premise of sufficient supporting materials, but the maximum shall not exceed 10% of the total contract amount; If the public supporting facilities have not been built or completed, the construction costs can be reasonably withheld according to the budget cost. Such public facilities must comply with the conditions that have been expressly promised to be built irrevocably in the sales contract, agreement or advertisement, or model, or must be built in accordance with laws and regulations; The construction application fees and property improvement costs that should be submitted to ** but have not yet been handed over can be withheld according to the regulations.
It can be seen that the relevant policies and regulations of real estate enterprises can best reflect the judgment principle of "actual expenses incurred in the current period":
oneThe contracted project has been actually completed, and the other party has actually delivered the corresponding products to the taxpayer in accordance with the contract, but because the completion settlement has not yet been completed, the final project payment amount cannot be finalized, but the taxpayer needs to withhold the corresponding project cost in the current period according to the provisional amount from the accrual principle and the principle of prudence, although the amount of such withholding cost may not be very accurate, but such withholding expenses are essentially the actual expenses incurred in the current period. For such withholding expenses, even if the taxpayer is unable to obtain the corresponding invoice before the deadline for final settlement, the tax bureau also specifically stipulates that the taxpayer can deduct such withholding expenses before tax, but in order to avoid overestimating the cost and expense of tax payment, resulting in the tax not being deposited in time, from the perspective of prudence, the tax bureau only stipulates that the maximum deduction limit for withholding expenses is 10% of the total contract amount.
II. II. IIEven if the construction of the public supporting facilities project has not yet occurred, it can be seen that the real estate development enterprise has the performance obligation to construct such public supporting facilities according to the relevant documents, although the construction of such public supporting facilities has not yet occurred, the project payment has not been actually paid, and the invoice has not been obtained, since the real estate enterprise has actually borne the relevant obligations in the current period, the construction cost of such public supporting facilities will definitely occur in the future, so the construction cost of such public supporting facilities is also an actual expense incurred in the current period. According to the relevant policies, even if the real estate enterprise does not obtain the corresponding invoice within the deadline of the final settlement, it can still make a pre-tax deduction when the current final settlement is made.
ThreeIt is the cost of approval and construction and property improvement that should be submitted to ** but has not yet been handed over. Property maintenance expenses refer to property management, public maintenance, or other special projects that should be borne by the enterprise according to the regulations.
*: Yihai Finance and Taxation.
Author: Zhao Hui.
*Editor: Mu Lin Financial News.