1000 Business Lessons Every Businessman Must Know

Chapter 64 Tax Planning: Off-the-book Operations, Legal Tax Avoidance (2)
First, if a taxpayer sells taxable consumer goods, self-produced taxable consumer goods for self-use, sells or consigns self-produced taxable consumer goods to other counties (cities), the tax payable shall be paid consumption tax at the taxpayer's accounting place and local tax authority;
Second, if the head office and the branch are not located in the same county (city), the consumption tax shall be paid at the place where the branch producing taxable consumer goods is located. The competent tax authority of the place where the institution is located shall pay;

Third, for the tax payable on entrusted processing of taxable consumer goods, the entrusted party shall pay the consumption tax to the local competent tax authority;
Fourth, the tax payable for imported taxable consumer goods shall be declared and paid by the importer or agent to the customs at the customs declaration place.

516. Using consumption tax calculation formulas for tax planning

The calculation formula of consumption tax is mainly based on the method of ad valorem pricing:

Tax payable = sales x tax rate
The sales amount refers to the taxable income, the total price and extra-price fees charged to the buyer for the sale of taxable consumer goods, excluding the value-added tax charged to the buyer.Extra-price fees refer to funds collected outside the price, fund-raising fees, return of profits, subsidies, liquidated damages and handling fees, packaging fees, storage fees, quality fees, transportation and loading and unloading fees, collection payments and other extra-price fees of various natures.However, opportunities for tax savings exist in the following situations:
First, for the taxable consumer goods produced by the taxpayer for its own use, the sales volume shall be determined according to the sales price of the same kind of consumer goods. When determining the sales price, the sales tax shall be saved at a lower price. Composition taxable price determination.The composition taxable price is:

Composite taxable price = (cost + profit) ÷ (1 - consumption tax rate)

From the perspective of tax saving, reducing costs and profits is conducive to tax saving.

Second, when entrusting the processing of taxable consumer goods, the sales volume shall be determined according to the price of the consignee's similar consumer goods.At this time, the entrusting party can cooperate with the entrusting party to obtain tax-saving opportunities when determining the price, and use price determination as a tax-saving means.If there is no sales price of similar consumer goods, it shall be determined according to the taxable price of the components.The composition taxable price is:

Composite taxable price = (material cost + processing fee) ÷ (1 - consumption tax rate)

Among the taxable prices above, material costs and processing fees have tax-saving opportunities, and the entrusting party can obtain the assistance of the entrusting party to reduce material costs and processing fees, thereby saving consumption tax.

Third, for imported taxable consumer goods, the taxable price shall be calculated according to the composition.The composition taxable price is:

Composite taxable price = (duty-paid price + customs duty) ÷ (1 - consumption tax rate)

In the above formula, tariff and consumption tax rates have no opportunity for tax savings, but the duty-paid price of tariffs has strong flexibility, so there is an opportunity for tax savings.Generally speaking, the smaller the duty-paid price, the more beneficial it is to save taxes.Therefore, tax savers are required to reduce the landed price and other factors that constitute the duty-paid value as much as possible and obtain customs approval.

Fourth, if the value-added tax is not deducted from the taxpayer's sales, or if the price and the value-added tax are collected together because the special value-added tax invoice cannot be issued, the sales amount excluding the value-added tax should be converted. The conversion formula is :

Sales = Sales including VAT ÷ (1 + VAT rate)

In the above formula, there are two points worthy of consideration by tax savers: one is to use the value-added tax-included sales as the tax calculation basis for consumption tax; the other is to pass the compressible value-added tax-included sales directly through the formula Conversion.Both of these situations are not conducive to saving business tax.

517. Planning strategy for sales of taxable consumer goods in foreign exchange

If a taxpayer sells taxable consumer goods in foreign exchange, the taxable amount shall be calculated according to the formula after the foreign exchange market price is converted into RMB sales.From the perspective of tax saving for enterprises, the exchange rate for RMB conversion can be either the national foreign exchange rate on the settlement day or the current month’s national foreign exchange rate. Therefore, there is a possibility of comparison.This choice is necessary, the lower the RMB exchange rate to calculate the tax payable, the more conducive to tax saving.

For example:

某纳税人2月5日取得10万美元销售额。如果采用当天汇率（假设为1美元=8.70元人民币），则折合人民币为87万元；如果采用2月1日汇率（假设为1美元=8.5元人民币），则折合成人民币为85万元。因此，当税率为30%时，后者比前者节税（20000×30%=6000元）6千元整。

518. Packaging strategy
Taxable consumer goods that adopt the ad valorem pricing method to calculate the taxable amount are sold together with packaging, regardless of whether the packaging is priced separately, and regardless of how the accounting handles it, it should be incorporated into the sales volume to calculate the consumption tax amount.Therefore, if an enterprise wants to save consumption tax on packaging, the key is that the packaging cannot be priced and sold along with the product, but a "deposit" is collected, and this "deposit" is not included in the sales to calculate the consumption tax.

For example:

A company sells 1000 car tires, each worth 2000 yuan, including packaging worth 200 yuan. If it is sold together with the packaging, the sales volume will be 2000×1000=2000000 yuan; the consumption tax rate is 10%, so it should be paid The amount of consumption tax on automobile tires is 200 million x 10% = 20 yuan.If the enterprise adopts the method of collecting a deposit for packaging, and collects a "deposit" for the packaging of 1000 car tires separately, it will save 2 yuan in taxes.

519. Tax-saving strategies for deducting the purchase price of purchased taxed consumer goods
According to the "Regulations on Some Specific Issues of Consumption Tax", the consumption tax can be calculated by deducting the purchase price of purchased taxed consumer goods.Therefore, from the perspective of tax saving, enterprises must first understand which consumer goods are allowed to be deducted, and secondly, they must deduct as much as possible from sales, so as to reduce the basis for tax calculation.

Consumables that are allowed to be deducted include:
——Cigarettes produced by outsourcing taxed shredded tobacco;

——purchasing taxed wine and wine produced from alcohol;
- Cosmetics produced by outsourcing taxed cosmetics;

——Skin care and hair care products produced by outsourcing taxed skin care and hair care products;

——Precious jewelry and jewelry produced by outsourcing taxed jewelry;

—— Purchase taxed firecrackers and pyrotechnics produced by firecrackers and pyrotechnics.

For example:

某白酒厂外购散装粮食白酒5000千克装瓶后销售（其进项税额为2750元），其外购散装粮食白酒单价为每千克3.5元（不含增值税），装瓶后的白酒共9500瓶，以每瓶3元的价格全部出售，结果该企业，由于不懂此项节税方法：误缴的消费税为（9500×3）×25%=7125元。如果该企业懂得外购已税酒和酒精生产的酒允许扣除，则可节税4375元（7125－2750）。

520. Tax-saving strategies for deducting consumption tax already paid on raw materials

According to the "Regulations on Some Specific Issues of Consumption Tax", the consumption tax paid on raw materials can be deducted from the payable consumption tax amount for the following consumer goods:

——Cigarettes produced from taxed shredded tobacco that has been consigned for processing;
- Liquor produced from taxed liquor and alcohol recovered by entrusted processing;

- Cosmetics produced from taxed cosmetics that have been consigned for processing and taken back;
——Production of precious jewelry and jewels and jade with the taxed gemstones recovered by entrusted processing as raw materials;
——Firecrackers and fireworks produced from taxed firecrackers and fireworks recovered by entrusted processing;
- Automobile tires produced from taxed automobile tires recovered by entrusted processing;

——Motorcycles produced from taxed motorcycles recovered by entrusted processing;

——Golf weighing rods produced from taxed club heads, shafts and grips that have been recovered through entrusted processing;
——Wooden disposable chopsticks produced from the taxed disposable chopsticks recovered by entrusted processing;
——Produce solid wood flooring from the taxed solid wood flooring recovered by entrusted processing;

——Taxable consumer goods produced from taxed naphtha recovered from entrusted processing;

—— Lubricating oil produced from taxed lubricating oil recovered by entrusted processing.

Some enterprises pay more consumption tax because they do not understand that the withholding consumption tax in the process of entrusted processing can be deducted from the consumption tax payment in the final processing and sales.

For example:

A jewelry factory purchased a batch of gemstones at a price of 10000 yuan. The factory entrusted another gemstone factory to grind the gemstones and took them back. It paid a total processing fee of 7000 yuan. The other party withheld consumption tax of 1888.89 yuan. After the sale, a total of 60000 yuan was obtained for the sale. As a result, the factory paid a consumption tax of 60000×10%=6000 (yuan).

If the factory knows that the consumption tax withheld by the other party can be deducted, then the factory actually only needs to pay: (6000-1888.89) = 4111.11 (yuan).

521. Excise tax saving strategy when importing goods

According to the relevant provisions of the "Interim Regulations on Consumption Tax of the People's Republic of China" promulgated by the State Council, from January 1994, 1, the collection of product tax, value-added tax, unified industrial and commercial tax and special consumption tax on imported goods will be replaced by value-added tax and consumption tax.All taxable consumer goods declared to enter the customs territory of the People's Republic of China shall be subject to consumption tax.The consignee of the imported goods or the unit or individual who handles the customs declaration formalities is the taxpayer of the consumption tax on imported goods.In the actual implementation process, the Customs collects consumption tax on imported goods in accordance with the "Manual for Customs Import and Export Tariffs and Import Taxation Comparison Manual".Through the "Import Link Consumption Tax Rate (Tax Amount) Table", the consumption tax can reach up to 1% of the classified sub-item differential tax rate, which determines that it occupies an important position in the tax-saving planning of enterprises.Especially with the in-depth development of reform and opening up, the people's living standards have been greatly improved, and the level of consumption tends to be internationalized. Therefore, the demand for imported consumer goods is increasing day by day. Tax-saving planning provides the necessary conditions.

Tariff Composition Taxable Price = Duty-Paid Price of Duty + Tariff 1 - Consumption Tax Rate

Taxable amount = component taxable price × consumption tax rate

If we carry out tax-saving planning from the motive of paying less tax, since the consumption tax rate is fixed for specific imported consumer goods, we can only plan the numerator of the calculation formula.Therefore, as long as we can reduce the numerator, we can reduce the taxable price of the composition, thereby reducing the tax payable and achieving the goal of tax saving.

In addition, according to the "Tax Law", if the following situations exist, tax shall be levied at the highest tax rate among the applicable tax rates:
When a taxpayer concurrently operates taxable consumer goods with different tax rates, that is, imports, manufactures and sells taxable consumer goods with more than two tax rates, it shall separately calculate the import value (sales value) or sales volume of taxable imported consumer goods with different tax rates.If it cannot be accounted for separately, it shall be taxed at the highest tax rate;
If the taxpayer does not separately account for taxable consumer goods and non-taxable consumer goods, as well as taxable consumer goods applicable to different tax rates, the tax shall be levied at the highest tax rate.

522. Tax planning for concurrent sales and mixed sales
Concurrent sales Concurrent operation refers to the taxable items that the taxpayer engages in two or more tax items.For taxable activities with different tax items, the turnover of different tax items should be calculated separately.Because the standards for determining the turnover of different tax items are different, the tax rates applicable to different tax items are also different.If the turnover is not accounted for separately according to different tax items, the higher tax rate will be applied.

Where a taxpayer concurrently operates taxable labor services and goods or non-taxable labor services, it shall calculate the turnover of taxable labor services and the sales of goods or non-taxable labor services separately.If it is not accounted for separately or cannot be accounted for, its taxable labor services and goods or non-taxable labor services shall be levied value-added tax together, and business tax shall not be levied.

Mixed sales A sale that involves both taxable services and goods or non-taxable services is called mixed sales.The mixed sales of enterprises engaged in the production, wholesale or retail of goods, enterprise units and self-employed persons are regarded as sales of goods and do not pay business tax; the mixed sales of their units and individuals are regarded as providing taxable services and shall pay sales tax.The term "enterprises, enterprise entities and individual operators engaged in the production, wholesale or retail of goods" includes enterprises, enterprise entities and individual operators mainly engaged in the production, wholesale or retail of goods and concurrently engaged in taxable labor services. Inside.The so-called mainly engaged in the production, wholesale or retail of goods refers to the taxpayer’s total annual sales of goods and non-value-added tax taxable labor service turnover, where the annual sales of goods exceed 50%, and the non-value-added tax taxable labor service business The amount is less than 50%.

For example:

A department store sells a water heater at a price of 3000 yuan, and installs it on site for customers, and an additional installation fee of 100 yuan is required.

According to the tax law, the sale of water heaters falls within the scope of value-added tax, and the installation fees obtained belong to the taxation scope of the construction industry tax item in business tax, that is, the sales behavior involves two types of taxes, value-added tax and business tax.However, the water heaters sold and the installation fees collected in this sales behavior were incurred due to the same sales business.Therefore, this sales behavior of the department store is actually a mixed sales behavior.Since the store is a wholesaler and retailer of goods, the installation fee income of 100 yuan obtained by the store should be incorporated into the price of the water heater to pay value-added tax, and no business tax will be paid.

(End of this chapter)