How to pay income tax

The object of taxation for income tax - the amount of the received income, reduced by the amount of expenses incurred. This is the formula of calculating the profit tax for Russian companies. Foreign companies pay income tax on the value of income derived through their permanent representative offices in Russia, reduced by size of expenses. If a foreign organization has permanent establishment in Russia, it pays income tax on income received from sources in Russia (e.g., immovable property).

Income is divided into sales and non-sales. The first group includes revenue from sale of goods and services, property rights. Second, the income derived from the difference in exchange rates, rental property to rent and other charges are determined by the Tax code as "economically justified costs". They should be documented. Expenses and income are divided into sales and non-operating, the principle of separation is the same.

Important for calculation of profit tax is the concept of depreciable property. Is any property owned by the company by right of ownership, with the term of use for more than a year, the cost of which exceeds 40,000 rubles and reduced by depreciation. For example, medical equipment. Depreciable property is distributed according to certain groups for calculating depreciation. Each group has its own factors established by law. Depreciation is an expense and, therefore, deducted from income to determine the tax base.

The tax rate on profits is 20%. For some companies, may establish special, reduced rate. This applies to resident companies of the special economic zone of Russia. Foreign organizations that do not have a permanent establishment in Russia pay income tax at the rate of 10% for international transportation in the case of detention of vehicles. In all other cases they applied to them the same rate as for the Russian companies is 20%. For certain types of income the law establishes different tax rates. For example, income in the form of dividends-this rate will be 9%.

The tax period for profit tax is one calendar year. Accounting periods for companies in the first quarter of the year, six months (half-year) and nine months. At the end of each accounting or tax period, the taxpayer must submit a Declaration to the tax authorities. The taxpayer calculates the amount of income tax independently.

In General, the amount of income tax is the product of taxable profits and tax rates. Taxable income, respectively, equal to the difference between taxable revenues and taxable expenses. If the company suffers losses for the previous tax period, they are also deducted from taxable income. Here is an example:
revenue from sale of goods amounted to 1 000 000 rubles (after deduction of value added tax). This is her income.

Costs: the salary of employees 200 000 rubles., amortization - 50 000 rubles, the funds for the purchase of raw materials for production - 300 000 RUB Total 550 000 RUB.

The tax base: 1 000 000 - 550 000 = 450 000 RUB

The amount of income tax: 450 000 x 20% = 90 000 RUB.