Article 4 of the "Notice of the State Administration of Taxation on Issuing the "Administrative Measures for Pre-tax Deduction of Enterprise Research and Development Expenses (Trial)" (Guo Shui Fa No. 2015119) stipulates that enterprises engaged in "high-tech enterprises with key national support" Technology Fields" and the "Guidelines for Key High-tech Industrialization Fields of Current Priority Development (2007)" promulgated by the National Development and Reform Commission and other departments stipulate that for the research and development activities of the project, the following expenses actually incurred in a tax year are allowed When calculating taxable income, additional deductions are implemented in accordance with regulations:
(1) New product design fees, new process specification formulation fees, and technical book and material fees and material translation fees directly related to R&D activities.
(2) Material, fuel and power costs directly consumed in research and development activities.
(3) Wages, salaries, bonuses, allowances and subsidies for on-the-job personnel directly engaged in R&D activities.
(4) Depreciation or rental fees for instruments and equipment specifically used for research and development activities.
(5) Amortization expenses of intangible assets such as software, patents, and non-patented technologies specifically used for research and development activities.
(6) Development and manufacturing costs of molds and process equipment specifically used for intermediate testing and product trial production.
(7) On-site test fees for exploration and development technology.
(8) Fees for demonstration, review, and acceptance of R&D results.
Article 7 stipulates that if an enterprise converts or capitalizes R&D expenses incurred based on financial accounting and the actual situation of the R&D project, it may calculate the super deduction in accordance with the following provisions: (1) ) If R&D expenses are included in current profits and losses but do not form intangible assets, 50% of the actual amount of R&D expenses incurred in that year is allowed to be directly deducted from the taxable income of that year.
(2) If R&D expenses form intangible assets, they will be amortized before tax at 150% of the cost of the intangible assets. Unless otherwise provided by law, the amortization period shall not be less than 10 years.
According to the above regulations, the above eight research and development expenses incurred by enterprises, regardless of whether they are included in current profits and losses or intangible assets, are allowed to implement super deductions in accordance with regulations when calculating taxable income. The research and development expenses that allow for super deduction include the demonstration, review, and acceptance fees for R&D results, but do not include patent application fees, patent agency fees, and certification fees for R&D results.