On The Characteristics Of Tax Accounting Adjustment Accounting

The adjustment accounting of tax accounting refers to the process that tax accounting will adjust the total profit, accounting income and payable tax according to accounting standards and accounting systems to the taxable income, taxable income and tax payable according to the accounting of tax law.

The tax accounting adjustment accounting studied in this paper has certain foresight and is the adjustment accounting after tax accounting is completely separated from financial accounting.

The current tax adjustment actually reflects the result of adjustment and does not reflect the adjustment process. Even if there is an adjustment process, it is only a very simple calculation table.

The tax accounting adjustment accounting system has a complete account book system. After making adjustment entries, it is necessary to record the tax accounting vouchers and accounts books.

In this way, the adjustment results are more verifiable, which can improve the correctness of tax treatment results and facilitate tax planning.

About taxation

First,

The difference between tax accounting adjustment and accounting refers to the adjustment accounting of tax accounting, which only adjusts the difference between tax accounting and financial accounting. There is no adjustment to the tax department which has no difference between tax accounting and financial accounting.

For those parts that need not be adjusted, tax accounting can be directly reflected in the tax accounting statements (tax returns) by directly using financial accounting.

The current tax categories are classified into two categories according to whether tax accounting needs to be adjusted on the basis of financial accounting. First, there are no tax differences between financial accounting and tax accounting in adjusting accounting. For example, fixed assets investment direction adjustment tax, vehicle and ship tax, etc., tax accounting does not need to adjust accounting, because tax laws and accounting standards are the same as those of tax categories, and the other is tax categories that are different in accounting adjustment between financial accounting and tax accounting, such as enterprise income tax, consumption tax, business tax, value-added tax and urban maintenance and construction tax.

Business can be divided into the following three situations: first, accounting must be accounted for, and tax accounting does not need accounting; for example, the interest income earned by enterprises in Purchasing Treasury bonds, the total profits in financial accounting, and the tax law does not include taxable income; the two is that accounting for tax accounts must be accounted for and financial accounting does not need to be accounted for; for example, enterprises will use self produced goods for construction projects, accounting for value-added tax can only be included in the actual cost of construction projects, and the cost of carrying goods, while tax accounting requirements are included in the relevant income and costs, and income tax is paid; three, accounting and accounting must be accounted for, but accounting is not consistent with the time and business. There are differences in tax accounting between financial accounting and tax accounting.

The difference between accounting profit and taxable income is divided into time difference and permanent difference. The difference between total profit and taxable income, business income and taxable income in tax accounting adjustment accounting is also divided into temporal and permanent differences.

Permanent differences do not have continuity, only affect the current tax accounting adjustment accounting, and have no effect on the adjustment accounting of tax accounting after each period, and time difference has continuity (or ductility), which has an impact on the adjustment accounting of the current and subsequent periods.

Similar to the offset entries compiled in the preparation of consolidated accounting statements, accounting for time differences in tax accounting is similar to the continuous compilation in the offsetting entries, because the adjustment entries in tax accounting are only recorded in tax accounting vouchers and accounts books, and do not adjust accounting vouchers and account books in financial accounting. Therefore, the adjustment of timeliness difference is more complicated since the beginning of adjustment in second, and the cumulative impact of previous years should be taken into account.