In the insurance industry, more than half of the vehicle and vessel tax, individual tax 20%-40%, does the VAT lack the input tax burden?
The insurance industry refers to an industry in which funds collected through contracts are used to compensate the insured’s economic interests. The insurance market is a place where both parties sign insurance contracts when buying and selling insurance. It can be a concentrated tangible market or a decentralized intangible market.
For the insurance industry, it is important to understand the corresponding taxation knowledge. After all, the tax burden has caused certain pressure on the taxpayers in the insurance industry. Taxpayers also want to reduce their own tax burdens. This is done in a reasonable way, which is also called tax planning. So how should the insurance industry conduct tax planning reasonably? And what tax burdens will the insurance industry face?
1. Common vehicle and vessel taxes in the insurance industry
Vehicle and vessel tax means that vehicle owners must pay vehicle and vessel use tax at the same time when they apply for vehicle insurance. Vehicle and vessel use tax is generally paid by insurance companies. Vehicle owners do not need to go to the national taxation department to complete vehicle and vessel tax payment. Therefore, the vehicle and vessel tax in the insurance industry is very large. So, what policies can the insurance industry enjoy?
The so-called vehicle and vessel tax refers to a tax that should be paid by owners or managers of vehicles and ships within the territory of the People's Republic of China in accordance with the Vehicle and Vessel Tax Law of the People's Republic of China.
Starting from July 1, 2007, some car owners need to pay vehicle and vessel tax when insuring compulsory insurance.
When a car owner buys a car, the insurance agency company can be entrusted by the car owner to pay the vehicle tax for the car owner.
2. Tax chain issues
The insurance broker company is in the role between the upstream insurance company and the downstream insurance broker. The upstream insurance company needs the broker company to issue an invoice when it provides the insurance business cost to the broker company, while the downstream insurance broker cannot issue the invoice to the broker company when it receives a sales commission. (It must be issued by the national tax agency, the staff is too many and scattered, in fact, the insurance broker company cannot obtain the invoice)
3. Personal tax issues of insurance brokers
When insurance brokerage companies pay commissions to insurance brokers, they have the obligation to withhold and pay individual taxes; if insurance brokerage companies allow brokers to report tax on labor income, the tax rate is 20%-40%, and the tax burden is too heavy, leading to brokers The possibility of leaving the brokerage company increases, and the cost is too high if the brokerage company bears it.
Fourth, the brokerage company transaction record restoration problem
Because of the deduction chain and tax issues, most insurance brokerage companies deal with commissions in the form of private accounts. In this way, the real transaction scale cannot be confirmed, the brokerage company transactions cannot be restored, and there are compliance risks.
5. The brokers of the brokerage company are not employees of the labor contract, and the brokerage company is not obligated to purchase social insurance for them. Therefore, there are social security issues for these brokers, and the brokerage company also has hidden risks.
Reasonable tax planning plan for the insurance industry
1. The VAT input is missing, and the VAT deduction invoice is missing;
2. The invoice is missing and the company cannot obtain the entry voucher;
3. Optimize personal income tax and reduce the burden of social security expenditure;
4. The individual income structure is single, and the personal tax burden is heavy;
5. The scale of the enterprise is large, the disability insurance payment is high, and the disability insurance payment is reduced.
6. Headquarters economy model
At present, the preferential tax policies in Shanghai, Chongqing, Hubei, Jiangsu, Qinghai and other places in China are quite mature. Enterprises can set up new companies, branches, subsidiaries or relocate to the park. The investment in the park has been stable for a long time. Enterprises receive tax support in a certain proportion, and foreign enterprises can also enjoy it, regardless of geographical restrictions. In addition, the investment in the park adopts the form of headquarters economy, which does not require enterprise entities to enter the park, and does not change the main company's existing business methods and business addresses. From now on, all limited companies entering the park can apply for free, and all fees are free. .
Case analysis: limited company preferential policies
A consulting service company in Beijing plans to open up the East China market and wants to find a park with preferential tax policies in Jiangsu. According to the 2018 corporate settlement data, the corporate profit is 60 million and the value-added tax is 10 million. What about the corporate tax burden?
The company originally paid taxes:
Corporate income tax: 15 million
Value-added tax: 10 million
The actual amount of tax to be paid is 25 million
You can directly settle in Hubei, Shanghai, Chongqing, Jiangsu, Qinghai, Jiangxi and other tax preferential parks to establish a branch or new company, and use the new company to undertake part of the external business through the method of "dividing rivers and water management":
VAT support can be as high as 4.2 million
Corporate income tax support can be as high as 3.5 million
Individual taxes paid by shareholders can enjoy 40%~70% support retained by the local government
Tax incentives for vehicle and vessel tax
Vehicle and vessel tax: 70%-80% of the total tax payment is supported!
From now on, all limited companies entering the park can apply for free, and all fees are free.
In addition to the preferential tax policies for limited companies, there are also tax incentives for the verification and collection of corporate income tax, personal income tax and individual sole proprietorships with high dividends. Tax planning through the establishment of individual proprietorship enterprises and tax planning through business diversion, applying for Shanghai and Hubei Approved expropriation, through approved expropriation, such as the establishment of related studios, or technology centers, enterprise management centers and other enterprises enjoy preferential policies. Individual production and operation income tax is levied at 0.5%-2.1% (small-scale taxpayers, the invoiced amount is controlled below 5 million), 0.5%-3.1% (general taxpayers), preferential tax rate Corporate income tax: 0%, a small-scale audit The maximum comprehensive tax burden imposed on an individual company is not more than 5.18%. Compared with a limited company with the same business volume, it can save about 80% of the tax. Compared with the 25% corporate income tax paid by a limited company, it has a great tax saving advantage. .
As long as the company is registered in the preferential policy of our industrial park, the proportion of individual tax incentives such as executives and dividends can reach 80%, and large taxpayers can "discuss one thing, one thing." In addition, it is possible to register as a sole proprietorship (the approved individual tax rate is 0.5%-1.95%), and the comprehensive tax burden (value added tax + surcharge + personal income tax) after the approved collection is as low as 4.86%.