The tax rate table of a sole proprietorship enterprise is: 5% for the amount not exceeding 30,000 yuan, 10% for the amount exceeding 30,000 yuan to 90,000 yuan, 20% for the amount exceeding 90,000 yuan to 300,000 yuan, 30% for the amount exceeding 300,000 yuan to 500,000 yuan and 35% for the amount exceeding 500,000 yuan.
Second, analysis
Individual proprietorship enterprises are exempt from enterprise income tax, and only individual income tax is levied on the income obtained by investors from production and operation. The collection of individual taxes is divided into two types: audit collection and verification collection. In order to better enjoy preferential treatment, the method of approved collection is generally adopted. If it is a small-scale sole proprietorship enterprise, the value-added tax rate is 3%, and the comprehensive tax rate will not exceed 6.65%, which is much lower than that of a limited liability company. Personal income tax shall be calculated from the interest, dividends and bonus income of a sole proprietorship enterprise, and the proportional tax rate shall be applied, and the tax rate shall be 20%.
What are the advantages and disadvantages of a sole proprietorship?
The advantage of a sole proprietorship enterprise is that it is relatively easy to set up, and it does not need to negotiate with others to reach an agreement, and only needs a small registered capital. The fixed cost of maintaining a sole proprietorship enterprise is low. The government has little supervision on it, and there is no limit on its scale. It is easier to coordinate within the enterprise. There is no need to pay corporate income tax. But it also has obvious shortcomings, such as difficulty in raising a large amount of funds. Because a person's funds are limited after all, it is more difficult to borrow money in his own name. Therefore, wholly-owned enterprises restrict the expansion and large-scale operation of enterprises. Secondly, investors are very risky. The unlimited liability of enterprise owners to enterprises not only hardens the budget constraints of enterprises, but also brings the problem that owners take too much risks, thus limiting the investment activities of owners in high-risk departments or fields.