Accommodation invoice tax rate
According to the relevant provisions of Annex I "Implementation Measures of the Ministry of Finance for the Pilot Reform of State Taxation Administration of The People's Republic of China Business Tax to VAT" (Caishui [2016] No.36):
1. The VAT rate for accommodation services is 6%.
2. The 3% VAT rate is applicable to small-scale taxpayers' accommodation service industry.
In addition, according to the relevant provisions of the Announcement of State Taxation Administration of The People's Republic of China on Expanding the Pilot Scope of Small-scale Taxpayers Issuing Special VAT Invoices by themselves (State Taxation Administration of The People's Republic of China Announcement No.8), small-scale taxpayers in the accommodation industry can issue special VAT invoices by themselves according to 3% of the sales.
Summary: if the hotel is a general taxpayer, the invoice will be issued at the tax rate of 6%; If the hotel is a small-scale taxpayer, a special VAT invoice can be issued at the rate of 3% of the sales.
Note: According to the Ministry of Finance? Announcement of State Taxation Administration of The People's Republic of China on Supporting Individual Industrial and Commercial Households to Return to Work for Value-added Tax Policy (Ministry of Finance? AnnouncementNo. 13 of State Taxation Administration of The People's Republic of China and Announcement No.24 of State Taxation Administration of The People's Republic of China of the Ministry of Finance "Announcement on Extending the Implementation Period of the VAT Relief Policy for Small-scale Taxpayers" (Announcement No.24 of State Taxation Administration of The People's Republic of China of the Ministry of Finance) stipulate that from March 1 day to February 1 day, the taxable sales income of small-scale taxpayers in Hubei Province with a VAT collection rate of 3% shall be exempted from VAT; VAT prepayment with 3% withholding rate shall be applied, and VAT prepayment shall be suspended. Except Hubei Province, small-scale VAT taxpayers in other provinces, autonomous regions and municipalities directly under the Central Government collect taxable sales income at the rate of 3%, and collect VAT at the reduced rate of 1%; The withholding rate is 3%, and the withholding value-added tax is reduced by 1%.
Therefore, from March 1 day to February 1 day, if the hotel is located outside Hubei (Hubei is tax-free), the taxable sales income will be calculated at the rate of 3%, and the value-added tax will be levied at the rate of 1%. Small-scale taxpayers who meet the above conditions can provide accommodation services and issue invoices at the tax rate of 1%.
How to make accounting entries for accommodation expenses incurred during business trip?
Borrow: overhead-travel expenses
Loans: bank deposits, etc.