I Almost Lost My Life Without Knowing Taxes.

In 2002, Xiao Wang discovered business opportunities when he graduated from Wuhan University of technology.

Invest 50 thousand yuan to build a computer maintenance service department at the school gate, mainly for the school staff maintenance computer.

Due to the geographical location, investment projects and technological advantages of Xiao Wang, he recovered his investment in less than half a year.

According to Xiao Wang's joking speech to "swallow up the IT of Wuhan Industrial University", it is imperative to expand the business.

What else can I do?

Internet Bar!

In 2003, the turnover of the service department has reached more than 90 million yuan. Xiao Wang made a rough calculation of the account, removing all kinds of expenses and making a net profit of 150 thousand.

But Xiao Wang has been annoyed lately. The reason for his trouble is not that he can not find any re investment projects, but rather a tax inspection from the tax department.

The tax department's inspection shows that Xiao Wang only missed 145 thousand yuan in business tax in 2003, plus surcharge and all kinds of fines. Xiao Wang earned more than 50 thousand yuan a year.

The tax department claims that the tax and fines will be pferred to the public security organs in the past few days.

Xiao Wang said that Xiao Wang's understanding of taxation is more profound.

Not only that, Xiao Wang often used Liu Xiaoqing's tax evasion in front of his teacher and his brother.

Then how do we calculate this account?

The problem is "omission" in later Wang's business activities.

What is running together?

Run business refers to taxable items that enterprises engage in two or more than two taxable items.

For example, some hotels and guesthouses are engaged in service industry, restaurants, guest rooms, and entertainment business, such as bowling alley, Cara OK dance hall, etc.

The tax law has different stipulates for different business items in this service entertainment industry: for taxable activities with different tax purposes, the turnover of different tax items should be accounted for separately, and the high applicable tax rate should be applied to the calculation of turnover not calculated according to different tax items.

It is true that the operation of Xiao Wang Xiao Wang originally belongs to repair and repair business, and the value-added tax is paid to the state tax department at 4% tax rate.

However, the Internet cafe that Xiao Wang later invested in is no longer in the tax category under the jurisdiction of the State Taxation Department.

In January 15, 2003, the Ministry of Finance and the State Administration of Taxation jointly issued the "notice on certain policy issues concerning business tax" clearly stipulates: "unit and individual income from the establishment of Internet cafes, according to the" entertainment industry "tax collection business tax.

That is to say, the income earned by Internet cafes is paid business tax.

The business tax is administered by the local taxation department. The people who are here are the Local Taxation Bureau.

What is the tax rate for entertainment industry?

20% of operating income.

Xiao Wang's business accounting was originally a confused account, and it was unclear which income came from the repair of which income came from Internet cafes.

It belongs to both run and high applicable tax rates.

After all, Xiao Wang is a college student. He is very smart. He reminds us of the state's regulations on the preferential tax policies for business graduates.

Xiao Wang came to the Municipal Taxation Bureau's policy consulting center to find out the relevant documents, and found that there was such a provision in the local area: graduates who started their own businesses can enjoy preferential tax policies: graduates who start their own businesses in community service, with annual approval by the competent tax authorities above the county level, can be exempted from business tax and personal income tax for 3 years; urban maintenance and construction tax and education surcharge are exempted from business tax.

However, the tax consultant of the Policy Advisory Center has a statement that the business tax can be avoided according to the stipulations, but the annex stated that the scope of business tax exemption excludes construction, entertainment and advertising, sauna, massage, Internet cafes and oxygen bars.

Xiao Wang immediately made a fool of himself.

Xiao Wang's lesson is profound.

If Xiao Wang had known that the Internet bar needed to pay business tax and the entertainment industry tax rate was 20%, is the entrepreneurial plan still located on the Internet bar?

Secondly, if Xiao Wang calculates the repair business and the Internet bar separately, what kind of result will it be?

Now, tens of thousands of dollars are fined in Xiao Wang's pocket.

The case of Xiao Wang Xiao Wang illustrates that a successful entrepreneur must closely associate his project with tax revenue in his entrepreneurial plan.

As we mentioned above, tax laws and regulations are very complicated. Different investment projects correspond to different tax items and corresponding interpretations.

Before investing in venture capital, we must be careful and careful to understand the relevant tax policies clearly, make clear the preferential tax policies for the investment areas, avoid the high applicable tax rates, safeguard the taxpayers' own tax interests, and leisurely and leisurely dance with the tax revenue.

Editor's note: tax problem is a problem we often encounter in the course of business. This article is about a story drawn from taxation in business.

After the article was published in our forum, many netizens were discussed. Some netizens pointed out that the tax policy and specific practices involved in the article did not seem to be very accurate.

So the original author reviewed the manuscript again.