General taxpayers and Small-scale taxpayers differences

Many newly established companies may not be able to differences between small-scale taxpayers and general taxpayers when they choose bookkeeping agents. At present, my country’s tax categories can divide into small-scale taxpayers and general taxpayers. For small-scale taxpayers, It means that the annual sales volume is below the specified standard. The accounting calculation is not perfect, so it cannot submit according to the regulations.

Here are the articles to explain, The difference between small-scale taxpayers and general taxpayers.

Many newly established companies may not be able to distinguish between small-scale taxpayers and general taxpayers when they choose bookkeeping agents. At present, my country’s tax categories can divide into small-scale taxpayers and general taxpayers.

1. Small-scale taxpayers, Refer to the value-added taxpayers whose annual sales are below the prescribed standards. The accounting is not perfect, and his relevant tax information cannot submit according to the regulations.
2. General taxpayers refer to enterprises and corporate units. Whose annual sales of value-added tax exceed the standard for small-scale taxpayers stipulated by the Ministry of Finance. The characteristic of general taxpayers is that the input VAT amount can deduct from the output VAT amount.

So, what is the difference between general taxpayers and small-scale taxpayers?

The identification standards are different.

After the implementation of the New Policy, the standard for small-scale VAT taxpayers in my country has been adjusted to an annual value-added tax payable of 5 million yuan or less, while general taxpayers are distinguished from small-scale taxpayers. However, it should be noted that if the company does not meet the certification standards, but hopes that the company will develop and become bigger, it will have an advantage in bidding in the future, or it will do business with large companies in the future, and it can also take the initiative to apply to become a general taxpayer.

The conditions to meet are different.

In general, the accounting of small-scale taxpayers is not perfect, and the policy requirements are relatively broad. General taxpayer enterprises, must meet the following conditions, that is, have a fixed production and business site. Be able to set up account books by the national unified accounting system. And be able to provide accurate tax information based on legal and valid vouchers.

The applicable tax rates for the two are different.

Currently, general taxpayers tax at 6%, 11%, 13%, and 17%. While small-scale taxpayers, commercial enterprises, and industrial enterprises exist uniformly levied at a rate of 3% (except tax-exempt ones).

Different invoices use.

In daily business activities, there are also differences in the invoices used by small-scale taxpayers and general taxpayers. Small-scale taxpayers can only use ordinary invoices for sales, and cannot issue special value-added tax invoices. If the other party requires a special value-added tax invoice, they need to go to the tax bureau to issue a 3% special value-added tax invoice. General taxpayers can issue both ordinary invoices and special value-added tax invoices. The special value-added tax invoices obtained by general taxpayers can use for the deduction.

The accounting treatment of the two after receiving the special value-added tax invoice is different.

General taxpayers pay the cost according to the amount, and the tax part goes into the account of “tax payable-value-added tax payable-input tax”. Small-scale taxpayers pay the full amount into the cost.

Different tax policies.

The difference between general taxpayers and small-scale taxpayers also reflect in tax policies. Small-scale taxpayers have levied a 3% VAT rate, and those with monthly sales of no more than 30,000 yuan or quarterly sales of no more than 90,000 yuan do not need to pay taxes, but they need to declare. Taxes only require if the above-mentioned standards exceed, and small-scale taxpayers usually file quarterly. The general taxpayers are different, their tax returns must stand done on time every month.

The calculation method of tax payable is different.

General taxpayers calculate taxes according to the “deduction system”, that is, pay taxes on the balance of output minus input. Small-scale taxpayers calculate the tax payable by dividing the sales income by (1+applicable tax rate) and multiplying the tax rate.

The above are the specific differences between general taxpayers and small-scale taxpayers. In the real social economy, whether an enterprise chooses to be a small-scale taxpayer or a general taxpayer. It still needs to make a reasonable choice according to its actual situation. However, it should note that general taxpayers have more advantages. Than small-scale taxpayers in developing customers. Hope the above answer can help you!