1. Paid-in capital refers to all kinds of property invested by investors as capital, which is the source of all legal capital registered by enterprises, and it shows the basic property right relationship between owners and enterprises.
2. Capital reserve refers to the accumulation fund formed by enterprises in the course of operation due to donations, share capital premium and revaluation and appreciation of legal property. Capital reserve is a creditor's right related to capital and has nothing to do with enterprise income. Capital reserve refers to the capital invested by investors or others, which belongs to investors and the investment exceeds the statutory capital.
Extended data:
An enterprise shall, in accordance with the articles of association, contracts, agreements or relevant regulations, confirm the invested capital according to the actually received monetary, physical and intangible assets. The establishment of a company must be verified by a certified public accountant in China.
1. For monetary investment, it is mainly confirmed and verified according to the receipt voucher. For foreign investors' foreign exchange investment, they should obtain the certificate from the foreign exchange administration department of the profit source.
2. Where buildings, machinery, equipment, materials and other physical assets are used as capital contribution, it shall be confirmed on the basis of all relevant documents, and physical inventory and field investigation shall be conducted to verify the relevant capital contribution. Houses and buildings should have property rights certificates.
3. Where intangible assets such as patent right, proprietary technology, trademark right and land use right are used as capital contribution, all relevant vouchers and documents shall be used as the basis for confirmation and verification. The industrial property rights and know-how contributed by a foreign party must meet the prescribed conditions.
Baidu encyclopedia-capital reserve
Baidu Encyclopedia-Paid-in Capital