1. What is the tax rate for subcontracting invoices?
According to Chinese laws, the contractor shall pay 5% business tax and 1% individual tax. However, due to the different economic levels of specific places, the tax rate to be paid may be different, and the specific situation still depends on the local actual situation.
Second, what are the forms of subcontracting?
1, with its own labor contract
Refers to the formal employees in the enterprise who have passed the training and examination of the enterprise and become the foreman. In principle, the laborers shall be recruited by the foreman, and they shall take care of themselves such as accommodation and transportation. The personnel are managed by the enterprise in a unified way. Wages are paid by the enterprise under the supervision of the foreman or the payroll table compiled by the foreman is paid directly by the enterprise.
In this form, the company entrusts some of the projects undertaken by the company to its employees in the form of signing contracts, and the contractor hires people. Formally, the contractor is responsible for the construction and management of the project, and the remuneration of the workers is also paid by the contractor, which seems to have formed the labor relationship between the contractor and the workers. But the point is that the contractor is an employee of the company, performs the contract in the name of the company, and has a legal relationship with others, so the contract belongs to an internal contract. Contract management is the change of enterprise internal management mode, and does not cause the change of construction contract performance subject. The contractor's employment of workers should be regarded as the company's behavior, and there is a labor relationship between the hired workers and the company, but there is no labor relationship with the contractor.
2. Decentralized labor subcontracting
Refers to the temporary employment of enterprises, often workers recruited temporarily for a project.
In this form, the legal status of the contractor should not be equal to that of the subcontractor, but should be defined as labor relations or labour relation, that is, the status of workers or services, according to whether the labor service operators have employment qualifications. The reason is that the contractor is only engaged in labor cost contracting, generally engaged in a single type of work in the project, and his personal income is directly linked to the construction benefit, but he does not independently manage the project construction, nor does he take lifelong responsibility for the project quality, but only bears the "qualified" quality responsibility to the employer. Temporary workers during the period when the contractor provides services are not responsible for injury accidents and quality and safety problems during the construction.
3, the establishment of labor subcontracting
Refers to contracting labor services in the form of enterprises from construction general contracting enterprises or professional contracting enterprises.
In this form, it goes without saying that the labor contract is subcontracting in nature, and the position of the contractor is equal to that of the subcontractor.
In life, subcontracting is very common in many construction companies. In this way, the construction company can let other companies do some unimportant projects, which can reduce the burden for the company. One of the invoices that will also be used is the labor subcontracting invoice, and the tax rate paid is not fixed, which varies according to different places.
I hope the above content can help you. Please consult a professional lawyer if you have any other questions.
Legal Basis: Measures for the Administration of Issuing Special VAT Invoices by Tax Authorities (for Trial Implementation) Article 8 After receiving the declaration form, the tax collection post shall review the following matters:
(a) whether it belongs to the VAT taxpayer under the jurisdiction of the tax authorities;
(2) Whether the VAT rate on the Declaration Form is filled in and the tax amount is calculated correctly.
After the audit is correct, the tax collection post should input the relevant information of the declaration form through the anti-counterfeiting tax control generation billing collection subsystem, collect taxes according to the tax amount indicated on the declaration form, issue tax payment vouchers, charge the special invoice fee at the same time, issue relevant tickets in accordance with the regulations, and timely transmit the relevant tax electronic information to the billing post.