The legal provisions of a sole proprietorship are that it must comply with the provisions of our country's laws before a sole proprietorship can be established. First of all, the investor is generally a natural person, and must have a legal name of the enterprise and a specific declared investment. Regarding the question of what the legal provisions are for sole proprietorships, I will give you a detailed answer below.
1. What are the legal provisions for sole proprietorships? 1. The legal provisions for sole proprietorships are that they must comply with the provisions of our country’s laws before they can establish a sole proprietorship. First of all, the investor is generally a natural person, and must have a legal name of the enterprise and a specific declared capital contribution; 2. The establishment and dissolution procedures of the enterprise are simple; 3. The operation and management are flexible and free, and the business owner can completely The individual's will determines the business strategy and makes management decisions; 4. The owner has unlimited liability for the debts of the enterprise. When the assets of the enterprise are insufficient to pay off its debts, the owners use their personal property to pay off the debts of the enterprise. It is helpful to protect the interests of creditors, but sole proprietorships are not suitable for industries with high risks; 5. The scale of the enterprise is limited, the limited operating income of the sole proprietorship, the limited personal property of the business owner, the limited work energy and management level of the business owner are all restricted With the expansion of the business scale; 6. The existence of the enterprise lacks reliability. The survival of the sole proprietorship completely depends on the personal gain and loss of the business owner, and the life of the enterprise is limited. In modern economic society, sole proprietorships play an important role; 7. Legal basis: Article 8 of the Sole Proprietorship Law: Article 8 The establishment of a sole proprietorship shall meet the following conditions: (1) The investor is a natural person; (2) ) has a legal enterprise name; (3) has capital contributions declared by investors; (4) has a fixed production and operation site and necessary production and operation conditions; (5) has necessary employees.
2. How to declare income tax for sole proprietorships 1. There are two methods for tax authorities to collect personal income tax for sole proprietorships. One is audit collection, which is suitable for relatively complete accounting, and the other is verification. collection. The specific collection method to be adopted shall be determined by the competent tax authority; 2. If the audit collection method is adopted, the taxable income shall be the balance after deducting costs, expenses and losses from the total income in each tax year, and then based on the personal income tax The tax payable is calculated based on the corresponding tax rate in the determined tax rate table; 3. The approved collection method is used. According to the relevant regulations issued by the State Administration of Taxation, the taxable income is calculated by multiplying the enterprise's sales revenue by the taxable income rate, and then the tax payable is calculated based on the corresponding tax rate in the tax rate table determined by the personal income tax.
3. What are the similarities between a sole proprietorship and an individual industrial and commercial household? 1. The investment entities of the two are basically the same. The investment subject of both can only be natural persons, not legal persons or other organizations; 2. Sole proprietorships and individual industrial and commercial households implement a declaration system for invested assets and do not need to go through capital verification by a statutory capital verification agency. Since both bear unlimited liability, there is no emphasis on the actual payment of physical objects, industrial property rights, non-patented technology and land use rights as capital contributions; 3. The form of legal liability for both is the same, and both must be in the form of individuals or families. Property carries unlimited liability. If divided by the way of investment, individual industrial and commercial households can be divided into two forms: personal operation and family operation; and sole proprietorships can also be divided into sole proprietorships invested with personal property and sole proprietorships invested with family property; 4. As An economic organization. Both sole proprietorships and individual industrial and commercial households must have necessary funds, premises, employees and production and operation conditions. This is also a necessary condition for individual industrial and commercial households and sole proprietorships to enter the market as market entities;