1, VAT. Sales of goods are subject to 3% value-added tax and services are subject to 5% business tax. If the monthly income is below 100000 yuan, it can be exempted from value-added tax or business tax, as well as urban construction tax and education surcharge. Those who fail to reach the threshold of value-added tax may also be exempted from value-added tax, urban construction tax and education surcharge.
2. Personal income tax. The income tax rate of individual industrial and commercial households is 5% to 35%, depending on the income of the current year. If the annual taxable income does not exceed 6,543,800 yuan, individual income tax may be levied by half.
3. Additional taxes and fees. Urban construction tax is paid at 7% of the paid business tax, education surcharge is paid at 3% of the paid business tax, and local education surcharge is paid at 1% of the paid business tax.
4, approved the taxable income rate. Individual industrial and commercial households that implement the method of collecting the approved taxable income rate shall calculate the taxable income according to the total income multiplied by the approved taxable income rate, and then collect individual income tax at the excessive progressive tax rate of 5%-35%.
5. Quota collection. Individual industrial and commercial households that implement the quota collection method directly levy personal income tax by multiplying the approved turnover by the approved collection rate.
The process for individual industrial and commercial households to pay taxes by means of audit collection is as follows:
1. After examination and registration, obtain the tax registration certificate issued by the tax authorities;
2, determine the clear tax registration personnel, in accordance with the provisions of the local tax management system, the use and registration of invoices;
3. Declare to the tax authorities on time and provide relevant materials for pre-tax registration;
4. Go to the tax bureau to pay taxes with the business invoice and accounting books.
To sum up, under normal circumstances, the income tax rate of individual industrial and commercial households is 5% to 35%. If the self-employed need to pay personal income tax on a monthly or annual basis at an excessive progressive tax rate, they also need to pay business tax at a rate of 5%. In addition, individual industrial and commercial households pay taxes by means of audit collection, report to the tax authorities on time and provide relevant information for pre-tax registration, and pay taxes at the tax bureau with business invoices and accounting books.
Legal basis:
Individual Income Tax Law of the People's Republic of China
essay
Personal income tax rate:
(1) For comprehensive income, the excess progressive tax rate of 3% to 45% is applicable (the tax rate table is attached);
(2) For operating income, the excess progressive tax rate of 5% to 35% shall apply (the tax rate table is attached);
(3) Income from interest, dividends and bonuses, income from property leasing, income from property transfer and accidental income shall be subject to the proportional tax rate of 20%.