Legal subjectivity:
The super deduction of R&D expenses is a preferential policy for corporate income tax. When applying for super deduction of R&D expenses, enterprises should pay attention to improving the application approval rate from the following three aspects. Pay attention to the scope of super deduction of R&D expenses. The scope of super deduction of R&D expenses has been expanded. On September 29, 2013, the Ministry of Finance and the State Administration of Taxation issued the "Notice on Policy Issues Concerning the Pre-tax Super Deduction of Research and Development Expenses" (Caishui [2013] No. 70) in the State Administration of Taxation's "About Issuance of Enterprise Research and Development Expenses Tax" On the basis of the scope of the super deduction of R&D expenses stipulated in Article 4 of the "Notice on Preliminary Deduction Management Measures (Trial)" (Guoshuifa [2008] No. 116), five new categories of expenses have been added. Enterprises shall pay basic pension insurance premiums, basic medical insurance premiums, unemployment insurance premiums, work-related injury insurance premiums, maternity insurance premiums and housing provident funds for employees who are directly engaged in R&D activities in accordance with the scope and standards stipulated by the relevant competent departments of the State Council or the provincial people's government. Costs for operation, maintenance, adjustment, inspection, and repair of instruments and equipment specifically used for R&D activities; purchase fees for samples, prototypes, and general testing methods that do not constitute fixed assets; clinical trial fees for new drug development; and identification fees for R&D results. When enterprises collect R&D expenses, they should include the above expenses into the scope of super deduction, increase the enterprise's tax reduction amount, and fully enjoy tax benefits. Enterprises should also pay attention to the expense items that are not included in the scope of super deduction of R&D expenses, including the following categories. Labor costs for external R&D personnel. The wages, salaries, bonuses, five insurances and one housing fund of external R&D personnel shall not be included in the scope of super deduction, but the above expenses of external employees who have worked for a total of 183 days in the year are allowed to be included in "R&D expenses" suject. Enterprises pay supplementary pension insurance and supplementary medical insurance fees for employees who are directly engaged in R&D activities. According to the provisions of Cai Shui [2013] No. 70, the five insurances and one fund that are allowed to be included in the scope of super deductions do not include supplementary pension insurance and supplementary medical insurance expenses. Rental and depreciation charges for buildings used for R&D activities. Except for instruments and equipment specifically used for R&D activities, the rental fees and depreciation expenses of other fixed assets used for R&D activities are not allowed to be included in the scope of super deduction. Conference fees, travel expenses, office expenses, foreign affairs expenses, R&D personnel training fees, cultivation fees, expert consulting fees, communication fees, patent application and maintenance fees, high-tech R&D insurance fees, etc. incurred for R&D activities. Special allocations for research and development expenses obtained from the government or parent company. Depreciation or rental fees, operation and maintenance, adjustment, inspection, and repair fees for instruments and equipment not exclusively used for R&D activities, amortization fees for intangible assets such as software, patents, and non-patented technologies, molds for intermediate tests and product trial production, Process equipment development and manufacturing costs. The super deduction of R&D expenses emphasizes being directly related to the enterprise's R&D activities and focuses on specificity. If the above-mentioned instruments, equipment, etc. of the enterprise are not only used for the research and development of new products, new processes, and new technologies, but also for the production and operation activities of the enterprise, the above-mentioned expenses cannot be included in the scope of super deduction. Pay attention to the accounting management of R&D expenses. Enterprises should conduct special account management of R&D expenses. Guoshuifa [2008] No. 116 stipulates that enterprises must implement special account management for R&D expenses. If a special R&D institution is not established or the enterprise's R&D institution also undertakes production and operation tasks, R&D expenses and production and operation expenses should be accounted for separately and accurately. 2. Calculate various research and development expenses reasonably, and if the division is unclear, no additional deductions shall be made. On December 31, 2013, the Beijing Municipal State Taxation Bureau issued the "Announcement of the Beijing Municipal State Taxation Bureau and the Beijing Municipal Local Taxation Bureau on Strengthening the Tax Administration of Research and Development Expenses of High-tech Enterprises" (Beijing Municipal State Taxation Bureau Announcement [2013] No. 27) further clarifies that the establishment of auxiliary accounts for R&D expenses by enterprises is a basic condition for enterprises to enjoy high-tech preferential treatment. Although the document does not include auxiliary accounts for R&D expenses as a necessary condition for enjoying super deductions, auxiliary accounts for R&D expenses will be the key for companies to declare super deductions and respond to tax inspections in 2014.
Therefore, enterprises should follow the standards and caliber of Article 4 (2) of the "Notice of the Ministry of Science and Technology, the Ministry of Finance, and the State Administration of Taxation on Issuing the "Guidelines for the Recognition and Management of High-tech Enterprises" (Guokefahuo [2008] No. 362) , conduct special account management of R&D expenses in accordance with accounting requirements. R&D expenses should be allocated on a project-by-project basis. Guoshuifa [2008] No. 116 stipulates that if an enterprise conducts multiple research and development activities within a tax year, the amount of research and development expenses that can be super-deducted should be collected according to different development projects. The scope of the super deduction of R&D expenses emphasizes direct relevance, specialization, and accuracy. Only by aggregating R&D expenses by project can an enterprise ensure the correlation between R&D projects and R&D expenses. The R&D expenses that can enjoy the super deduction must be in the "Catalogue of High-tech Fields Supported by the State (2011 Edition)" and the "Guidelines for Key High-tech Industrialization Fields of Current Priority Development (2011 Edition)" published by the National Development and Reform Commission and other departments. )" stipulates the expenditure on research and development activities of the project. Therefore, when an enterprise initiates an R&D project, it should choose a field that meets the requirements for R&D project approval, in order to successfully pass the enterprise R&D project appraisal. The super deduction policy for R&D expenses has been adjusted in five aspects: First, the scope of R&D activities that enjoy preferential tax policies has been relaxed. The original super deduction policy for R&D expenses required that R&D activities to enjoy preferential treatment must comply with two catalogs: "High-tech Fields Supported by the State" and "Guidelines for Key High-tech Industrialization Fields Currently Prioritized." This policy adjustment is not based on positive enumeration, but reverse enumeration, based on the practices of some other countries. Except for those R&D activities that should not be included, other R&D activities can be included in the preferential scope as super deduction R&D activities. This means that in terms of operation, including the clarity of the policy, the original positive enumeration has become a reverse enumeration. Some emerging business types can implement super deductions as long as they are not within the scope of exclusion. The second is to expand the scope of expenses that enjoy the preferential tax deduction policy. Originally, the preferential R&D expenses were limited to the expenses of full-time R&D personnel, as well as the expenses of materials, depreciation of instruments and equipment, amortization of intangible assets, etc. specifically used for R&D, and did not include the labor expenses of external R&D personnel. This has resulted in some R&D activities, including some R&D activities jointly undertaken by the enterprise, not being fully included in the scope of R&D expenses. This policy adjustment, on the basis of the original scope of allowed deductions, also includes external personnel labor fees, trial product inspection fees, expert consulting fees, high-tech R&D insurance premiums, and travel expenses and conference fees directly related to R&D. The scope of super deduction for R&D expenses has been determined. The third is to simplify the collection and accounting management of R&D expenses. It turns out that to enjoy the preferential super deduction, companies must set up a separate special account for R&D expenses. However, many companies may not have a separate special account for accounting and are not eligible when reporting. This adjustment only requires that auxiliary accounts be set up according to R&D accounts on the basis of existing accounting accounts. The auxiliary accounts are much simpler than special accounts, so that enterprise accounting management is more simplified. Fourth, it is clarified that enterprises’ eligible R&D expenses can be retroactively entitled to the policy. There may be some enterprises that met the conditions but did not declare them during the actual implementation process. When doing accounting this year, they found that these activities can be included in the super deduction of R&D expenses, and they can also apply to the tax authorities, as long as they meet the then super deduction. The tax deduction policy stipulates that the deduction can be traced back 3 years. The fifth is to reduce the review procedures. It turns out that to enjoy the preferential super deduction, enterprises must provide all valid certificates to the tax authorities when making annual declarations. If the tax authorities have objections to the R&D projects declared by the enterprise, the enterprise is required to provide an appraisal certificate from the science and technology department. The adjusted procedure is that the super deduction for enterprises is simplified to post-recordation management. The relevant information is retained by the enterprise for future reference and does not need to be obtained from the tax authorities. It will be provided when the tax authorities require verification. If there are objections to the R&D project, the tax authorities will directly negotiate with the science and technology department, which will provide an appraisal. It is more convenient, direct and efficient for enterprises to enjoy policy channels.
Legal objectivity:
Article 12 of the "Enterprise Income Tax Law of the People's Republic of China" When calculating taxable income, the amortization expenses of intangible assets calculated by the enterprise in accordance with regulations are allowed to be deducted. The following intangible assets shall not be deducted from amortization expenses: (1) Intangible assets for which self-developed expenditures have been deducted when calculating taxable income; (2) Self-generated goodwill; (3) Intangible assets unrelated to operating activities; ( 4) Other intangible assets for which amortization expenses cannot be calculated and deducted.