Does the company need to pay taxes when borrowing from a legal person?

Corporate loan means that this person is the representative of the corporate bill holder and can exercise the loan authority. Company loans are in the name of the company with the consent of the legal representative, and personal loans are in the form of assets in their own names. In this case, other receivables should be obtained. It should be reminded that this kind of loan must be returned before the end of the year, otherwise the tax bureau will consider it a disguised dividend and levy personal income tax of 20% of the loan amount.

The turnover of taxpayers provides taxpayers with taxable services, transfers intangible assets or sells real estate, as well as all the prices and other expenses. However, the following exceptions are made:

(1) If the taxpayer subcontracts the contracted transportation business to other units or individuals, the turnover shall be the balance of the total price and other expenses obtained by the taxpayer after deducting the transportation expenses paid to other units or individuals;

(2) If a taxpayer engages in tourism business, the turnover shall be the balance of the total price and extra-price expenses obtained by him after deducting the accommodation fees, meals, transportation fees, tickets for tourist attractions and travel expenses paid to other package tourism enterprises for tourists;

(3) If a taxpayer subcontracts a construction project to other units, the turnover shall be the balance of the total price and other expenses obtained after deducting the subcontracting money paid to other units;

(4) For the business of buying and selling foreign exchange, securities, futures and other financial commodities, the turnover shall be the balance of the selling price minus the buying price;

(five) other circumstances stipulated by the competent departments of finance and taxation of the State Council.

The legal representative of the company needs to pay personal income tax if he has income from dividends, wages, buying and selling personal property, etc. If the company's profits are not distributed to shareholders, there is no need to pay personal income tax, but the company's business tax and other taxes.

Legal basis:

Article 2 of the Individual Income Tax Law of People's Republic of China (PRC) shall pay individual income tax:

(1) Income from wages and salaries;

(2) Income from remuneration for labor services;

(3) Income from remuneration;

(4) Income from royalties;

(5) Operating income;

(6) Income from interest, dividends and bonuses;

(7) Income from property lease;

(8) Income from property transfer;

(9) Accidental income.