Conference fees a daily costs that all enterprises will be involved in, is able to open VAT invoices, but the fiscal treatment needs to pay attention to individual matters.?

1, the state document stipulates: ?

(1) According to the "Ministry of Finance State Administration of Taxation on the full promotion of business tax to value-added tax pilot notice" (Cai Shui 〔2016〕 No. 36): conference and exhibition services, refers to the business activities for the circulation of goods, promotion, display, economic and trade negotiations, civil exchanges, corporate communication, international exchanges, etc., held or organized to arrange for the business activities of all kinds of exhibitions and conferences. The applicable tax rate is 6% and the collection rate is 3%.?

(2) According to Article 10 of the Circular of the Ministry of Finance and the State Administration of Taxation on Clarifying the Value-added Tax Policies on Financial Real Estate Development Educational Auxiliary Services, etc. (Cai Shui [2016] No. 140), the activities of hotels, inns, hostels, resorts, and other business accommodations that provide conference venues and ancillary services are subject to value-added tax in accordance with the "conference and exhibition services". " to pay VAT. Since May 1, 2016, it has been implemented. ?

(3) Pursuant to Article 2 of the Provisions on the Application of Zero Rate and Exemption Policies for VAT on Cross-border Taxable Behavior, Annex 4 of the Circular of the Ministry of Finance and the State Administration of Taxation on the Comprehensively Pushing Forward the Pilot Project of Changing Business Tax to Value-added Tax (Cai Shui [2016] No. 36), the conference exhibition services provided by units and individuals within the territory with conference and exhibition venues outside the territory are exempted from the levying of value-added tax ("VAT"), except for those activities for which the Ministry of Finance and the State Administration of Taxation (SAT) stipulate the application of zero-rate VAT.

According to the Announcement on Certain Levy and Administration Issues of the Pilot Program of Camp Reform and Reinforcement (SAT Announcement No. 53 of 2016), the following acts occurring by units or individuals outside the country are not sales of services or intangible assets within the country: ?

(i) Postal services, collection and delivery services provided outside the country for outbound letters and parcels; ?

(ii) construction services, engineering supervision services provided to domestic units or individuals whose construction sites are outside the country; ?

(C) to domestic units or individuals to provide engineering, mineral resources outside the engineering survey and exploration services; ?

(d) to the domestic units or individuals to provide the location of the conference and exhibition outside the territory of the conference and exhibition services. Summarize: Taxpayers can obtain VAT invoices (including special invoices and general invoices) for VAT conference and exhibition services occurring in the country, and can obtain pro forma invoices for conference and exhibition services occurring abroad in the host country.

Summary of conference fee:

1. Evidence of conference fee should be kept sufficiently, and it is better to stick the information behind the vouchers according to the relevant regulations or the internal management requirements of the enterprise for inspection.

2, meeting expenses should not be confused with business entertainment expenses and other limited deduction or non-deductible items. Often companies will be business entertainment expenses into the meeting expenses reimbursement processing.

3, conference fee invoices and catering invoices are best issued separately, catering services are not deductible input tax. Some areas of the caliber of the provisions of catering services shall not issue VAT invoices, not in line with the provisions of the 36th document, shall not be deductible is not the same as shall not issue special invoices.

4, not all invoices for catering services are hospitality (it is recommended that the catering expenses incurred during the meeting do not issue a separate invoice, so as not to be recognized by the tax authorities as hospitality), catering expenses incurred during the meeting are included in the accounting for conference fees, deducted before income tax in accordance with the provisions.

5, the scope of expenditure of the conference fee with reference to the central documents, do not exceed the scope of expenses.

6, the conference fee shall not be confused with the staff travel expenses, not in the name of the conference in the name of tourism.

Enterprises in the financial accounting of conference fees financial staff must pay attention to the accounting vouchers after the information to comply with the regulations, including but not limited to: the name of the meeting, time, place, purpose and roster of participants in the meeting, the meeting materials (meeting agenda, discussion of the special pieces, leadership speeches), value-added tax (VAT) invoices, the meeting site photographs or video information, payment of the water bill, and so on.

According to Article 52 of the Circular of the State Administration of Taxation on the Issuance of the Measures for Deduction before Enterprise Income Tax (Guo Shui Fa [2000] No. 84, currently repealed), a taxpayer shall be able to provide proof of the authenticity of the reasonable travel, conference and board of directors' fees incurred by a taxpayer in connection with his or her business activities if the competent tax authorities request the provision of supporting information. legal documents, otherwise, they shall not be deducted before tax. The supporting materials for meeting expenses shall include: meeting time, place, attendees, content, purpose, cost standard, payment vouchers, etc.?

According to the Announcement of Hebei Local Taxation Bureau on Several Business Issues of Enterprise Income Tax (No. 1, 2011): xiv. For the conference expenses incurred by the taxpayer during the year, if the following conditions are met at the same time, the deduction is allowed when calculating the enterprise income tax. (i) the name, time, place, purpose and roster of participants of the meeting; (ii) the materials of the meeting (agenda of the meeting, special documents for discussion, speeches of leaders); (iii) special invoices for the service industry issued by the hotels (restaurants, hospitality offices) in the place where the meeting is held (changed to value-added tax invoices after the change of the business model). If the enterprise can not provide the above information, the conference expenses incurred shall not be deducted.

References

Oriental Tax Language. Oriental Tax Language . Unknown: unknown, unknown

Sohu.com. Sohu.com[cited 2018-1-9]