The basic corporate income tax rate is: What is the corporate income tax rate? Tax base for income tax

Applying the general taxation regime, as well as in certain cases organizations under special tax regimes. Let's see what the income tax rate is today.

Corporate income tax 2019: what percentage

Corporate income tax in 2019 in most cases is calculated at the basic rate of 20% (clause 1 of Article 284 of the Tax Code of the Russian Federation). Tax payments in 2019-2024 distributed between budgets as follows:

17% goes to the budget of the constituent entities of the Russian Federation;
3% goes to the federal budget.

At the same time, the rate of corporate income tax in 2019, subject to credit to the budget of a constituent entity of the Russian Federation, can be reduced by regional legislation.

Income tax 2019: other rates

For some types of income, different income tax rates are established. What percentage they make up and in what cases they are applied is indicated in the table below.

Type of income	Income tax: rate 2019
Dividends received by a Russian organization from Russian or foreign organizations (clauses 1, 2, clause 3 of the Tax Code of the Russian Federation)	13%, but in certain cases - 0%.
Interest on a number of state and municipal securities (clause 1, clause 4, article 284 of the Tax Code of the Russian Federation)	15%
The tax base of organizations that provide medical or educational activities(except for income in the form of dividends and from transactions with certain debt obligations) (clauses 1.1, 3, 4 of Article 284, Article 284.1 of the Tax Code of the Russian Federation)	0%
Tax base for transactions related to the sale of shares in the authorized capital if certain conditions are met (clause 4.1 of Article 284 of the Tax Code of the Russian Federation)	0%

The above is not all types of income for which corporate income tax must be calculated at a rate different from the basic one. Other cases can be found in Art. 284 Tax Code of the Russian Federation.

Profit tax amount 2019

The amount of income tax in 2019, as before, is determined as the product of the tax base by the corresponding rate (clause 1 of Article 286 of the Tax Code of the Russian Federation).

Is the corporate income tax rate progressive?

A progressive tax scale involves the application of a higher rate for larger amounts of income. That is, the higher a person’s income, the higher the rate at which tax must be calculated from him.

So, the corporate income tax rate is fixed and does not depend on the amount of income received. Therefore, corporate income tax cannot be considered “progressive” from this point of view.

Organizations that are foreign organizers of the 2014 Olympic Games and Paralympic Games in Sochi, in relation to income received in connection with the organization and conduct of these games.

Income tax is also not paid by organizations that apply a simplified taxation system, pay for certain types of activities, are payers of the unified agricultural tax, as well as organizations that pay tax on the gambling business.

The object of taxation is profit received by the taxpayer.

Profit is recognized as:

for Russian organizations - income received, reduced by the amount of expenses incurred, which are determined in accordance with the Tax Code of the Russian Federation;
for foreign organizations operating in Russian Federation through permanent missions - income received through these permanent missions, reduced by the amount of expenses incurred by these permanent missions, which are determined in accordance with the Tax Code of the Russian Federation;
for other foreign organizations - income received from sources in the Russian Federation.

Classification of an organization's income

Income classification includes two groups:

income from the sale of goods (work, services) and property rights (hereinafter referred to as income from sales);

Income from sales includes (works, services) both self-produced and previously acquired, and proceeds from the sale of property rights. Sales proceeds are determined based on all receipts associated with payments for goods (work, services) sold or property rights expressed in cash and (or) in kind.

Income is determined on the basis of primary and other documents confirming receipt of income, and documents tax accounting.

Income received by the taxpayer, the value of which is expressed in foreign currency, is taken into account in conjunction with income in rubles.

See further:

Tax legislation provides 43 types of income that are not taken into account when determining the tax base for income tax.

These include, in particular, income:

in the form of property, property rights, work or services that are received from other persons in the order of advance payment for goods (work, services) by taxpayers who determine income and expenses on an accrual basis;
in the form of property, property rights that are received in the form of a pledge or deposit as security for obligations, and also that are received within the limits of the contribution by a participant in a business company or partnership (his legal successor or heir) upon leaving (retirement) from the business company or partnership or upon distribution property of a liquidated business company or partnership between its participants;
in the form of property, property rights or non-property rights having monetary value, which are received in the form of contributions to organizations;
in the form of funds and other property received in the form of gratuitous assistance (assistance) in accordance with the procedure;
in the form of fixed assets and intangible assets received free of charge in accordance with international treaties of Russia, as well as in accordance with Russian legislation by nuclear power plants to improve their safety, used for production purposes;
in the form of property received by state and municipal institutions by decision of executive authorities at all levels;
in the form of funds or other property received under credit or loan agreements, as well as funds or other property received to repay such borrowings;
in the form of property received by a Russian organization free of charge:
from an organization, if the authorized capital of the receiving (transferring) party consists of more than 50% of the contribution of the transferring (receiving) organization;
from an individual, if the authorized capital of the receiving party consists of more than 50% of the contribution of this individual.

In this case, the received property is not recognized as income for tax purposes only if, within one year from the date of its receipt, the specified property (except for cash) is not transferred to third parties;

other income in accordance with Art. 251 Tax Code of the Russian Federation.

Classification of organization expenses

The taxpayer reduces the income received by the amount of expenses incurred. Expenses incurred, as well as income received, are divided into two groups:

expenses associated with the production and sale of goods (works, services);

Expenses are recognized as justified and documented expenses incurred. Justified expenses mean economically justified expenses, the assessment of which is expressed in in cash. Documented expenses mean expenses confirmed by documents drawn up in accordance with Russian legislation, or documents drawn up in accordance with business customs applied in the foreign state in whose territory the corresponding expenses were incurred, or documents indirectly confirming the expenses incurred (in including a customs declaration, business trip order, travel documents, report on work performed in accordance with the contract). Any expenses are recognized as expenses, provided that they are incurred to carry out activities aimed at generating income.

Costs associated with production and sales are grouped into the following elements:

material costs;
labor costs;
the amount of accrued depreciation;
other expenses.

TO material costs costs include:

acquisition of raw materials, materials used in the production of goods (performance of work, provision of services);
acquisition of tools, fixtures, inventory, instruments, laboratory equipment, work clothes and other property that is not depreciable property. The cost of such property is included in material costs in full as it is put into operation;
purchase of components undergoing installation and semi-finished products undergoing additional processing from the taxpayer;
purchase of fuel, water, energy of all types spent on technological purposes, as well as costs for transformation and transmission of energy;
acquisition of works and services of a production nature, performed by third-party organizations or individual entrepreneurs, as well as for the performance of these works (provision of services) by structural divisions of the taxpayer;
other expenses.

The cost of inventories included in material expenses is determined based on their acquisition prices (excluding and ), including commissions paid to intermediary organizations, import customs duties and fees, transportation costs and other costs associated with the acquisition of inventories stocks.

When determining the amount of material costs when writing off raw materials and materials used in the production of goods (performing work, providing services), one of the following methods of assessing the specified raw materials and materials is used: the method of assessment by the cost of a unit of inventory, the method of assessment by the average cost, the method of assessment by the cost of the first acquisitions (), the valuation method based on the cost of the latest acquisitions ().

IN labor costs includes any accruals to employees in cash or in kind, incentive accruals and allowances, compensation accruals related to work hours or working conditions, bonuses and one-time incentive accruals, expenses associated with the maintenance of these employees, provided for by the norms of Russian legislation, employment agreements (contracts) and/or collective agreements.

Amounts of accrued depreciation

See further:

Taxpayer expenses for Scientific research and experimental developments related to the creation of new or improvement of manufactured products (goods, works, services), in particular the costs of invention, carried out by him independently or jointly with other organizations, are recognized for tax purposes after the completion of these research or developments (completion of individual stages of work) and signing by the parties of the acceptance certificate. The specified expenses are evenly included by the taxpayer in the composition other expenses for one year, subject to the use of the specified research and development in production and in the sale of goods (performance of work, provision of services) from the 1st day of the month following the month in which such research was completed (individual stages of research). Taxpayer expenses on R&D that did not produce a positive result are also subject to inclusion in other expenses evenly over one year in the amount of expenses actually incurred.

Other costs associated with production and sales include:

the amount of taxes and fees, customs duties and fees, insurance contributions in the case of temporary disability due to maternity, in the Federal and territorial compulsory funds health insurance, accrued in accordance with the procedure established by Russian legislation, with the exception of payments for income tax and payments for excess negative impact on the environment;
expenses for certification of products and services;
expenses for recruiting employees, including expenses for the services of specialized personnel selection organizations;
expenses for the provision of warranty repair and maintenance services, including contributions to the reserve for upcoming expenses on warranty repair and warranty service;
rental payments for leased property;
expenses for maintaining official transport. Expenses for compensation for the use of personal funds for business trips passenger cars and motorcycles within the limits established by the Government;
travel expenses;
expenses for legal, information, auditing, consulting and other similar services;
payment to a public and (or) private notary for notarization (within the limits of tariffs approved in the prescribed manner);
expenses for managing an organization or its individual divisions, as well as expenses for purchasing services for managing an organization or its individual divisions;
expenses for services for the provision of workers (technical and managerial personnel) by third-party organizations to participate in the production process, production management or to perform other functions related to production and (or) sales;
expenses for office supplies;
expenses for postal, telephone, telegraph and other similar services, expenses for payment for communication services, computer centers and banks, including expenses for fax and satellite communication services, Email, and information systems(SWIFT, Internet and other similar systems);
expenses associated with the acquisition of the right to use computer programs and databases under agreements with the copyright holder (licensing agreements). These expenses also include the costs of acquiring exclusive rights to computer programs worth less than 20,000 rubles and updating computer programs and databases;
expenses for ongoing study (research) of market conditions, collection of information directly related to the production and sale of goods (works, services);
other expenses.

See further:

For expenses not taken into account when taxing profits, according to Art. 270 of the Tax Code, include the amounts of accrued dividends and other amounts of distributed income; fines, penalties and other sanctions transferred to the budget; contributions to the authorized capital; tax amounts, as well as amounts of payments for excess emissions of pollutants into the environment, etc.

Chapter 25 of the Tax Code of the Russian Federation provides for two methods for recognizing income/expenses in tax accounting:

accrual method;
cash method.

When using the accrual method, income/expenses are recognized in the reporting (tax) period in which they occurred, regardless of the actual receipt/outflow of funds, other property (work, services) and (or) property rights.

Organizations (with the exception of banks) have the right to determine the date of receipt of income (expenses) using the cash method, if on average over the previous four quarters the amount of revenue from the sale of goods (works, services) of these organizations, excluding value added tax, did not exceed one million rubles for each quarter. When using the cash method, the date of receipt of income is recognized as the day of receipt of funds to bank accounts or to the cash desk, receipt of other property (work, services) and (or) property rights, as well as repayment of debt to the taxpayer in another way. Expenses under the cash method are recognized after they are actually paid, taking into account the following features:

expenses for the purchase of raw materials and materials are taken into account as expenses as these raw materials and materials are written off for production;
depreciation is recognized only for depreciable property paid for by the taxpayer and used in production;
expenses for paying taxes and fees are taken into account as expenses in the amount of their actual payment.

Tax base for income tax

Tax base for income tax equal to monetary value profit of the organization. At the same time, for profits taxed at different rates, the tax base is calculated separately.

When determining the tax base, profit subject to taxation is determined on an accrual basis from the beginning of the tax period.

If a loss is incurred in the reporting (tax) period, the tax base is recognized equal to zero. At the same time, according to Art. 283 of the Tax Code of the Russian Federation, the taxpayer has the right to carry forward a loss to the future within ten years following the tax period in which this loss was received.

In addition, the Tax Code of the Russian Federation establishes the specifics of forming the tax base when carrying out the following operations (Table 14):

	Indicators	Base
	Income received from equity participation in other organizations	Article 275 of the Tax Code of the Russian Federation
	Activities related to the use of facilities of service industries and farms	Art. 275.1 NESRF
	Trust property management	Article 276 of the Tax Code of the Russian Federation
	Transfer of property to the authorized (share) capital of organizations (fund, fund property)	Article 277 of the Tax Code of the Russian Federation
	Income received by participants in a simple partnership agreement	Article 278 of the Tax Code of the Russian Federation
	Features of determining the tax base when assigning (assigning) the right of claim	Article 279 of the Tax Code of the Russian Federation
	Transactions with securities	Art. 280-282 Tax Code of the Russian Federation

Basic tax rate set to size 20% . In this case, tax calculated at a rate of 2% is credited to, and at a rate of 18% - to. At the same time, the subjects of the Federation are given the right to reduce the tax rate subject to credit to subfederal budgets for certain categories of taxpayers, but not lower than 13.5%. Thus, the minimum possible income tax rate is 15,5% . A similar benefit may apply to organizations that are residents of special economic zones.

For certain categories (foreign organizations receiving income on the territory of the Russian Federation) and types of transactions (receipt of dividends, transactions with certain types of debt transactions), other income tax rates are provided (Table 15):

Tax base for certain types of income	Bid, %
Income of foreign organizations not related to activities in the Russian Federation through a permanent representative office:
income from the use, maintenance or rental of ships, aircraft or other mobile Vehicle in connection with international transportation	10
other income (except dividends)	0
Income received in the form of dividends:
Russian organizations, provided that on the day of the decision to pay dividends, the organization receiving dividends has continuously owned for at least 365 calendar days at least 50% of the contribution (shares) in the authorized (share) capital (fund) of the organization paying dividends or depository receipts giving the right to receive dividends in an amount corresponding to at least 50% of the total amount of dividends paid by the organization.	0
Russian organizations from Russian and foreign organizations	9
foreign organizations from Russian organizations	15
Interest income:
according to state securities member states of the Union State, government securities of the constituent entities of the Federation and municipal securities, the terms of issue and circulation of which provide for the receipt of income in the form of interest, as well as income in the form of interest on mortgage-backed bonds issued after January 1, 2007, and income founders of trust management of mortgage coverage obtained on the basis of the acquisition of mortgage participation certificates issued by the mortgage coverage manager after January 1, 2007;	15
for municipal securities issued for a period of at least three years before January 1, 2007, as well as for income in the form of interest on mortgage-backed bonds issued before January 1, 2007, and income of the founders of trust management of mortgage coverage received on the basis of the acquisition mortgage participation certificates issued by the mortgage coverage manager before January 1, 2007;	9
on state and municipal bonds issued before January 20, 1997 inclusive, as well as on income in the form of interest on bonds of the state currency bond loan of 1999, issued during the novation of bonds of the internal state currency loan series III, issued in order to provide the conditions necessary for the settlement of the internal foreign currency debt of the former USSR and the internal and external foreign currency debt of Russia.	0

Tax period for income tax

The tax period for income tax is a calendar year.. Reporting periods are the first quarter, six months and nine months of the calendar year. Reporting periods for taxpayers who calculate monthly advance payments based on actual profit received are one month, two months, three months, and so on until the end of the calendar year.

Taxpayers independently determine the amount of tax at the end of each reporting period as a percentage of the tax base corresponding to the tax rate. Based on the results of each reporting (tax) period, taxpayers calculate the amount of the advance payment based on their tax rate and profit subject to taxation, calculated on an accrual basis from the beginning of the tax period to the end of the reporting (tax) period in accordance with Art. 286 Tax Code of the Russian Federation.

Procedure and deadlines for paying corporate income tax

Name of payments	Payment deadlines
Tax and advance payments paid by taxpayers
Tax paid at the end of the tax period	No later than March 28 of the year following the expired tax period
Advance payments at the end of the reporting period: a) paid monthly based on actual profit received b) paid quarterly	a) No later than the 28th day of the month following the month for which the amount of the advance payment is calculated. b) No later than the 28th day of the month following the expired reporting period.
Monthly advance payments*	Every month no later than the 28th day of the current month
Tax on income from state and municipal securities subject to taxation by the recipient of the income	Within 10 days after the end of the month in which the income was received
Tax withheld by tax agents
Tax on income paid to foreign organizations (except for income in the form of dividends and interest on state and municipal securities)	No later than the day following the day of payment (transfer) of funds
Tax on income paid to taxpayers in the form of dividends and interest on state and municipal securities	No later than the day following the day of payment

*Monthly advance payments are not paid:

organizations whose sales income over the previous four quarters did not exceed an average of 3 million rubles. for every quarter. The indicated average value is determined for each subsequent quarter;
budgetary institutions;
foreign organizations operating in the Russian Federation through a permanent representative office;
non-profit organizations that do not have income from the sale of goods (works, services);
participants of simple partnerships in relation to income received from participation in simple partnerships;
investors of production sharing agreements in terms of income received from the implementation of these agreements;
beneficiaries under trust management agreements.

Everyone, regardless of whether they have an obligation to pay income tax and (or) advance tax payments, or the specifics of calculation and payment of tax, are required to submit at the end of each reporting and tax period to the tax authorities at their location and the location of each separate division tax returns on income tax.

Taxpayers (tax agents) submit tax returns (tax calculations) no later than 28 days from the end of the corresponding reporting period. Taxpayers who calculate the amounts of monthly advance payments based on the profits actually received provide tax returns within the deadlines established for the payment of advance payments.

Tax returns based on the results of the tax period are submitted by taxpayers no later than March 28 of the year following the expired tax period.

Calculating income tax in 2020 is one of the most difficult accounting transactions. Using an example, we will show how to calculate income tax, we will provide the formula, the current rate and the calculation method.

How to calculate corporate income tax. Popular questions and step-by-step instructions

What is this tax and how much is it subject to?

Income tax legal entities They pay from income reduced by the amount of expenses. Firms are required to pay a percentage of their profits to the budget. Unless they use special regimes: simplified tax system, UTII, unified agricultural tax. Or they don’t run a gambling business. Special taxation exempts legal entities from paying income tax. Let's figure out how to calculate income tax in 2020 (an example of calculation is for LLCs that apply the general tax regime).

Who pays income tax?

Payers are:

Russian legal entities on the general taxation system;
foreign companies that operate and earn money in the Russian Federation or work through a Russian representative office.

Don't pay:

Individual entrepreneurs and organizations on special regimes.

What are the income tax rates?

Before you understand how income tax is calculated, you need to find out its size. The general rate is 20% of profit. Of these, in 2016, 2% received the federal budget, 18% received the regional budget. However, on December 28, 2016, the order of the Federal Tax Service of the Russian Federation N ММВ-7-3/572@ October 19, 2016 came into force, which introduced a new declaration form and changed the procedure for distributing interest between budgets. In 2020, 3% will go to the federal treasury, 17% to the regional treasury. At the local level, authorities can lower the tax rate, but only in that part that goes to the local budget: 3% is added on top. The rate in a constituent entity of the Russian Federation cannot be lower than 13.5%. Together with payments going to the federal budget, the lower threshold is now 16.5% (13.5 + 3) - it has increased compared to 2016.

In Moscow, a rate of 13.5% is paid by certain categories of taxpayers who:

use the labor of disabled people;
produce cars;
work in a special economic zone;
are residents of technopolises and industrial parks.

In St. Petersburg, 13.5% of profits is paid only by residents of the special economic zone who operate on its territory.

In most regions, the rate has been reduced for at least some types of activities. how to calculate income tax

In addition to the main rate, there are special rates. Income tax at such rates is fully directed to the federal budget.

They are used for enterprises with a certain status or for special types of income:

20% is paid by foreign companies without Russian representation, hydrocarbon producers and controlled foreign companies;
10% - foreign companies without a representative office in the Russian Federation from income from leasing vehicles and in international transportation;
13% - local organizations from dividends of foreign and Russian companies, and from dividends from shares on depositary receipts;
15% - foreign organizations from dividends of Russian companies; and all owners with state income. and municipal securities (CB);
9% - from interest on municipal central banks and other income from paragraphs 2 p 4 Article 284 of the Tax Code of the Russian Federation;
0% rate for medical and educational institutions, residents of special economic zones (EZ), participants in regional investment projects, free EZ in Crimea and Sevastopol, residents of the territory of rapid socio-economic development.

Calculation of corporate income tax: sample formula with tables

Example. Your organization is on OSN and received income for the calendar year of 4,500,000 rubles. At the same time, she incurred expenses of 2,700,000 rubles.

Your profit: 4,500,000 - 2,700,000 = 1,800,000 rubles.

From the amount of 1,800,000 you need to pay. See further, How to calculate income tax using an example.

If the regional rate in your area is basic and equal to 18%, then at the end of the year you will pay:

to the local budget:

to the federal budget:

If a reduced rate of 13.5% is applied in the region, then the calculation is as follows:

to the local budget:

to federal:

The example shows that the amount for receipt of the federal budget does not change - 3% of income ends up there in any case.

Advance payments

Income tax is paid in advance payments every month or quarter, and then at the end of the year. Those companies whose sales revenues do not exceed 15 million rubles per quarter over the previous 4 quarters have the right to transfer advances quarterly in 2020. Other legal entities pay advances monthly. We described how to calculate advances for income tax in a separate article. Quarterly advances are calculated from actual income, and monthly advances are calculated from estimated income (based on data for the previous quarter).

Expenses and income

What is considered income?

Income is your revenue from your main activity (sales, provision of services or performance of work) and from additional sources (bank interest, rental of property). When calculating income tax, income is taken into account without VAT and excise taxes and is confirmed by: invoices, payment orders, entries in the book of income and expenses, and accounting registers.

What counts as an expense?

Expenses are confirmed and justified expenses of the company. They are associated with production activities:

employee salaries;
cost of raw materials and equipment;
depreciation;
etc.

But there are also those not related to production:

legal costs;
difference in exchange rates;
interest on loans;
etc.

What expenses are deducted from income?

Accountants pay close attention to documents that confirm income tax expenses, since income can be reduced by expenses only if the following conditions are met:

expenses must be justified - prove economic feasibility;
Primary documents (book of income and expenses, tax registers) must be completed correctly.

At the same time, there is a list of costs that cannot be taken into account when reducing the base.

Subtracted from income:

commercial, transport, production costs (raw materials; wages; depreciation; rent; services of third-party lawyers; representation expenses);
interest on debts;
expenses on advertising (with a limitation - only 1% of sales revenue is written off);
insurance costs;
spending on research (to improve products);
expenses for education and training of personnel;
expenses for the purchase of databases and computer programs.

What expenses cannot be deducted?

A list of expenses that do not reduce income is given in Article 270 of the Tax Code of the Russian Federation. This:

remuneration for members of the board of directors;
contributions to the authorized capital;
contributions to the securities reserve;
payments for exceeding the level of emissions into the environment;
losses associated with economic activities in the communal, housing and socio-cultural spheres;
penalties and fines;
money and property transferred to pay for loans and borrowings;
fees for notary services above the tariff;
prepayment for a product or service;
repayment of loans for employee housing;
voluntary membership contributions to public funds;
the amount of revaluation of the Central Bank with a negative difference;
the cost of property that was given free of charge, transfer costs;
payment for employee travel to work and home, if it is not provided for by production features and contract;
pension benefits;
vouchers for treatment and rest of employees;
payment for vacations that are not provided for by law, but are specified in the contract with the employee;
payment for sports and cultural events;
payments for personal consumption goods purchased for employees;
the cost of subscriptions to newspapers, magazines and other literature not related to production;
payment for food for employees, unless this is provided for by law or collective agreement.

Moment of recognition of income and expenses

The moment of recognition is the period of time in which income or expenses are reflected in income tax accounting. There are two such moments. They depend on the method of recognizing income and expenses:

cash method;
accrual method.

The company chooses one of the methods, and before December 31 (without waiting for the start of the next tax period) informs the territorial body of the Federal Tax Service of Russia about its choice.

When applying methods, firms take into account amounts at different points in time. Let's look into the nuances.

The cash method assumes that:

income is taken into account at the time of receipt at the cash desk or in the company's current account, not earlier;
expenses are taken into account at the time of debiting from the account or paying from the cash register, not earlier;
When paying tax, amounts are taken into account according to the dates of receipt or write-off.

Accrual method:

income is taken into account at the time of occurrence (under contracts or payment orders), and not upon direct payment;
expenses are taken into account at the time of occurrence, and not when funds are written off from accounts;
When paying tax, amounts are taken into account based on documented dates, even if payment actually occurred later.

Kolibri LLC issued an invoice for office rent in March, but payment was made only in June. Under the cash method, the accountant of Kolibri LLC reflects the expenses for renting an office in June - upon the transfer of money. In tax accounting, this expense is written off in the 2nd quarter. Under the accrual method, the accountant of Kolibri LLC takes into account rental expenses in March, when the company should have paid it. In tax accounting, this expense is reflected in the first quarter.

All enterprises can use the accrual method. But the use of the cash method is limited:

Banks are prohibited from using it;
Firms recognize income and expenses in fact only if revenue does not exceed 1 million rubles. for each of the last four quarters;
if the limit is exceeded when applying the method, then the company is obliged to switch to the accrual method from the beginning current year.

What is the tax base if the company suffers a loss?

According to tax accounting rules, the profit of an organization cannot be negative. Even if there is a loss at the end of the year, the tax base is recognized as zero. The tax in this case is also zero. Tax accounting registers must confirm the correctness of the tax base calculation. It is mandatory to submit a declaration, even if the amount is zero.

Income tax calculation

Let's look at an example of calculating income tax for dummies to understand how the tax is calculated.

Kolibri LLC produces and sells soft toys. Let's calculate the income tax that the company will pay for 2020 if:

The LLC received a bank loan for 500,000 rubles;
sold toys for 1,200,000 rubles including VAT;
used raw materials for production worth 350,000 rubles;
paid wages to workers in the amount of 250,000 rubles;
insurance premiums amounted to 40,000 rubles;
carried out depreciation in the amount of 30,000 rubles;
paid interest on the loan in the amount of 25,000 rubles;
wants to take into account last year’s loss of 120,000 rubles.

Expenses of Kolibri LLC in 2020:

Since income is calculated without VAT, it will be 1,000,000 rubles at a VAT rate of 20%. And 200,000 rubles is the amount of VAT that the LLC will transfer to the state. Loan amounts are not subject to income tax; they are simply not included in the tax base according to paragraphs. 10 p. 1 Art. 251 Tax Code of the Russian Federation. Therefore, 500,000 rubles of a loan are not considered income.

Then the profit of Kolibri LLC in 2020:

This is income minus expenses and minus last year's loss.

Tax payable is calculated using the formula:

Of which:

go to the budget of the Russian Federation;

go to the regional budget.

You can also automatically calculate taxes in a convenient application; you do not need to monitor changes in rates, the service is updated automatically, taking into account the latest changes in legislation. The program will warn you about the deadlines for submitting reports and paying taxes, and will tell you what needs to be done and how.

Why do you need a calculator?

The calculator will help a novice businessman decide which taxation scheme is more profitable to use. Using an online calculator will relieve accountants and managers from difficulties when calculating the amount of money to be paid. Enter data into the lines and watch the result on the screen.

Corporate income tax is paid by legal entities using the general taxation system. By general rule tax is charged on the difference between income and expenses. In most cases the tax rate is 20%. This material, which is part of the “Tax Code “for Dummies”” series, is dedicated to Chapter 25 of the Tax Code of the Russian Federation “Organizational Income Tax”. Available in this article, in simple language describes the procedure for calculating and paying income tax, tax rates, as well as the deadlines for submitting reports. Please note that the articles in this series provide a general understanding of taxes only; for practical activities it is necessary to refer to the primary source - the Tax Code of the Russian Federation

Who pays

All Russian legal entities (LLC, JSC, etc.).
Foreign legal entities that operate in Russia through permanent representative offices or simply receive income from a source in the Russian Federation.

What is tax charged on?

On profit, that is, on the difference between income and expenses.

Income is revenue from the main activity (income from sales), as well as amounts received from other activities. For example, from leasing property, interest on bank deposits, etc. (non-operating income). When taxing profits, all income is taken into account without VAT and excise taxes.

Expenses are justified and documented expenses of the enterprise. They are divided into costs associated with production and sales (employee wages, purchase price of raw materials, depreciation of fixed assets, etc.) and non-operating costs (negative exchange rate differences, court and arbitration fees, etc.). In addition, there is a closed list of expenses that cannot be taken into account when taxing profits. These are, in particular, accrued dividends, contributions to the authorized capital, loan repayments, etc.

During tax audits, most problems arise precisely because of expenses: inspectors declare that expenses are not economically justified, primary documents are drawn up incorrectly, etc., etc. Therefore, accountants, as a rule, pay increased attention to documents confirming expenses.

What is not subject to tax?

On profits from activities transferred to the unified tax on imputed income (UTII), as well as on the profits of enterprises that have switched to a simplified taxation system or to pay a unified agricultural tax.

At what point to recognize income and expenses when calculating income tax?

There are two ways to recognize income and expenses: the accrual method and the cash method.

The accrual method provides that income and expenses are generally recorded in the period in which they arise, regardless of the actual receipt or payment of money. For example: an organization under a contract must pay office rent for August no later than August 31, but the rent payment is transferred only in October. Under the accrual method, the accountant must record this amount as an expense in August rather than in October.

Under the cash method, income is generally recognized when money is received in the current account or cash register, and expenses are recognized when the organization pays off its obligation to the supplier. So, if office rent for August was actually paid in October, then using the cash method, the accountant will show expenses in October, and not in August.

The organization has the right to choose which of the two methods - accrual or cash - it will use. But there is a limitation: any enterprise can use the accrual method, and banks are prohibited from using the cash method. In addition, in order to switch to the cash method, the following condition must be met: sales revenue excluding VAT on average for the previous four quarters cannot exceed one million rubles for each quarter. The same limit must be maintained during the time when the company uses the cash method. If the maximum revenue is exceeded, the organization is obliged to switch to the accrual method from the beginning of the current year. The chosen method is fixed in the accounting policy for the corresponding year and is applied during this year.

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Tax rates

The basic income tax rate is 20%. In the period from 2017 to 2020 inclusive, 3% is credited to the federal budget, and 17% to the regional budget.

For some types of income, different values have been introduced. Of these types of income, in practice, an accountant most often deals with dividends received, for which, in general, a rate of 13% applies (the full amount is credited to the federal budget). Note that before January 1, 2015, the dividend rate was 9%.

How to calculate income tax

You need to determine the tax base (that is, the profit subject to tax) and multiply it by the appropriate tax rate. For profits subject to different rates, the bases are determined separately.

The tax base is calculated on an accrual basis from the beginning of the tax period, which corresponds to one calendar year. In other words, the base is determined during the period from January 1 to December 31 of the current year, then the calculation of the tax base begins from scratch.

If at the end of the year it turns out that expenses exceeded income and the company incurred losses, then the tax base is considered equal to zero. This means that the amount of income tax cannot be negative; the amount of tax must be either zero or positive.

The correctness of the calculation of the base must be confirmed by entries in the tax registers. Each enterprise develops these registers independently and consolidates them in its accounting tax policy. In practice, tax accounting registers are similar to registers accounting. Two types of accounting - tax and accounting - are needed to reflect the different rules for the formation of income and expenses that apply respectively in tax and accounting. In some cases, “tax” and “accounting” income may be the same.

How to calculate advance payments for income tax

During the year, the accountant must calculate advance payments for income tax. There are two ways to calculate advance payments.

The first method is established for all organizations by default and provides that the reporting periods are the first quarter, half a year and nine months. Advance payments are made at the end of each reporting period. The payment amount based on the results of the first quarter is equal to the tax on profits received in the first quarter. The advance payment at the end of the half-year is equal to the tax on the profit received for the half-year, minus the advance payment for the first quarter. The amount of payment based on the results of nine months is equal to the tax on profit for nine months minus advance payments for the first quarter and half of the year.

Plus, monthly advance payments are made during each reporting period. At the end of the reporting period, the accountant withdraws the advance payment based on the results of this period (we have given the calculation rules above), and then compares it with the amount of monthly payments made within this period. If the total monthly payments are less than the final advance payment, the company must pay the difference. If there is an overpayment, the accountant will take it into account in future periods.

Monthly advance payments are calculated according to the following rules. In the first quarter, that is, January, February and March, the accountant calculates the same monthly advance payments as in October, November and December of the previous year. In the second quarter, the accountant takes tax on the profit actually received in the first quarter, and divides this figure by three. The result is the total of the monthly advance payments for April, May and June. In the third quarter, the accountant takes the tax from the actual profit for the six months, subtracts the advance payment of the first quarter, and divides the resulting figure by three. The amount of monthly advance payments for July, August and September comes out. In the fourth quarter, the accountant takes tax from the profit actually received for nine months, subtracts advance payments for six months, and divides the resulting value by three. These are advance payments for October, November and December.

The second way is based on actual profit. The company can adopt this method voluntarily. To do this, you need to notify the tax office no later than December 31 that during the next year the company will switch to calculating monthly advance payments based on the actual profit received. With this method, the reporting periods are one month, two months, three months, and so on until the end of the calendar year. The advance payment for January is equal to the tax on profits actually received in January. The advance payment for January-February is equal to the tax on profits actually received in January and February minus the advance payment for January. The advance payment for January-March is equal to the tax on profits actually received in January-March minus advance payments for January and February. And so on until December.

An organization that has previously chosen the second method of calculating advance payments (that is, based on actual profits) has the right to refuse it and return to the first method from the beginning of next year. To do this, you need to submit a corresponding application to the Federal Tax Service no later than December 31 of the current year. If you return to the first method, the advance payment for January-March will be equal to the difference between the advance payment for the results of nine months and the advance payment for the results of half a year of the previous year.

Companies whose sales revenue excluding VAT during the four previous quarters did not exceed an average of 15 million rubles per quarter must accrue only quarterly advance payments. This rule, regardless of the amount of revenue, also applies to budgetary, non-profit and some other organizations.

Newly created organizations accrue not monthly, but quarterly advance payments until a full quarter has passed from the date of their state registration. Then the accountant must look at what the sales revenue is (excluding VAT). If it does not exceed 5 million rubles per month or 15 million rubles per quarter, the company can continue to accrue only quarterly advance payments. If the limit is exceeded, the company switches to monthly advance payments from the next month.

When to transfer money to the budget

If the reporting periods are a quarter, half a year and nine months, then advance payments based on the results of the reporting periods are made no later than April 28, July 28 and October 28, respectively. The monthly advance payment for January should be transferred no later than January 28, for February - no later than February 28, and so on until December inclusive.

If the company makes advance payments based on actual profits, then the advance payment for January is made no later than February 28, for January-February - no later than March 28, and so on, until January 28 of the next year.

Regardless of the chosen method of calculating advance payments, at the end of the calendar year, the accountant displays the total amount of income tax for the past year. Then he compares it with the amount of advance payments accrued at the end of the reporting periods. If the total amount of advance payments is less than the final tax amount, the company pays the difference to the budget. If there is an overpayment, the accountant will take it into account in the following periods. The total amount of income tax must be paid no later than March 28 of the following year.

How to report income taxes

Companies whose activities are completely transferred to one or more special tax regimes (UTII, simplified system or payment of a single agricultural tax) may not report income tax.

All other legal entities that have made at least one transaction involving the receipt or expenditure of cash or non-cash funds, regardless of whether they have income, must submit income tax declarations to the inspectorate based on the results of the reporting and tax periods.

The income tax return for the tax period (year) must be submitted to the inspectorate no later than March 28 of the following year. Non-profit organizations that do not have an obligation to pay tax submit a simplified form of declaration. All other enterprises, regardless of their obligation to pay tax, submit year-end declarations in full form.

Companies whose reporting periods are quarterly, half-yearly and nine months report in a simplified form no later than April 28, July 28 and October 28, respectively. Organizations for which the reporting periods are one month, two months, and so on, report in a simplified form no later than February 28, March 28, and so on until January 28 of the following year.