U.S. company tax filing instructions
U.S. tax policy:
1. The United States adopts registration standards and divides corporate income tax payers into US companies and foreign companies. That is: all companies established under the laws of each state and registered with the state government, regardless of whether they are located at home or abroad, and whose equity belongs to them, are American companies; all companies established under foreign laws and registered with foreign governments, no matter where they are located , All the shares belong to foreign companies.
2. Tax objects: American companies' income from domestic and foreign sources and foreign companies' income from the United States.
3. Taxable income is the balance of income minus deductible expenses. The deductible expenses of federal corporate income tax mainly include: operating expenses (sales expenses, administrative expenses, attorney fees, etc.), taxes (taxes from state, local and foreign governments), business losses (bad debt losses, natural disasters, etc.), Depreciation and loss (depreciation of fixed assets, oil well loss, etc.) and other deductions. The taxable income of state corporate income tax is adjusted on this basis.
4. The federal corporate income tax rate is 15% to 30%, which is progressively levied in excess. For the income that a foreign company obtains in the United States that is not directly related to industrial and commercial operations, the paying unit will withhold tax at a proportional tax rate of 30%, and no longer apply for settlement. State corporate income tax rates range from 5% to 10%, and vary from state to state.
5. The company is allowed to select the tax year by itself, and declare tax within two and a half months after the end of the tax year. Overdue payment will be charged at five-thousandths of a day plus a late fee. Once the taxpayer's tax year is determined, it cannot be changed arbitrarily.
US corporate income tax return:
Every company limited by shares must declare its year-end business income tax to the federal within two and a half months after the end of its fiscal year. Generally speaking, when calculating net surplus or loss, a company limited by shares and other individual companies or partnerships There is not much difference between the above, but the government has some special regulations for joint stock companies:
1. 85% of the dividends received by a joint stock limited company from a joint stock limited company that is a non-related company is tax-free income, and if it is a joint stock company limited by a related company, it is 100% tax-free.
2. The federal government allows a company limited by shares if the number of shareholders is less than 15 and only one type of stock is issued, it can apply in accordance with the law to transfer the company's profits or losses in the name of a small enterprise or company, according to the dividend sharing ratio of each shareholder Each shareholder declares in his personal income tax, which can avoid double taxation, or use the company's losses to offset the personal income to achieve the goal of the lowest tax rate.
3. A company limited by shares can set up an employee retirement pension system or a profit sharing system. In the former, each employee can be given 25% of the company's total annual salary or 32,700 yuan, whichever is less. What the company pays The amount of the fund can be used as an expense, and the latter depends on the company's annual surplus. If there is a loss, there is no profit.
4. The amount donated by a joint stock company limited to charities must not exceed 5% of its year-end net profit each year, and the excess part can be deducted in the next five years. The so-called net profit here shall not include the following deductions when calculating : Donations from charities, deductions for dividend income, offsets for any previous years' losses.
5. The year-end net loss can be used to offset the net profit of the previous three fiscal years or the following seven years.
6. The dividends it distributes cannot be used as expenses of the company, and shareholders should be listed as dividend income in the personal income tax.
7. The tax rate of a company limited by shares is a progressive tax. The first 25,000 yuan of its net profit is 15%, the second 25,000 is 19%, the third 25,000 is 30%, and the fourth 25,000 is 40. %, the part exceeding 100,000 yuan is calculated as 47%.
U.S. tax relief programs:
1. Relocation expenses or transportation expenses incurred due to work relations
2. Business trip expenses.
3. The money deposited into the personal retirement savings account IRA.
4. The money deposited into the self-employed retirement plan account HR10.
5. Interest penalty for early payment
6. Maintenance expenses
7. Tax exemption of disability income
8. Other adjustment items: such as excess living expenses abroad, etc.
9. Medicine expenses, medical expenses, medical insurance expenses.
10. Taxes: City income tax, real estate tax, sales tax (purchase tax), movable property tax, car license tax, gasoline surcharge, California disability tax.
11. Interest expense: real estate mortgage loan interest, credit card interest, other loan interest
12. Charitable donations
13. Accidental loss
14. Guild dues
15. Income tax declaration fees, etc.
Partnership taxation:
The partnership enterprise must declare the income tax payable to the federal and state governments every year, and each partner declares it in its personal income tax return. The partnership itself is not obligated to pay taxes. The calculation of its year-end net surplus is similar to other forms of companies. The line numbers are roughly the same, except that partnerships cannot reduce or exempt their donations to charities, and the losses in previous years cannot be offset by the current year's net profit. The long-term investment net profit reductions can only be transferred to each partner: The amount of discount on investment in oil wells and natural gas wells cannot be deducted from their income.
The federal tax law is formulated and revised by the Congress, and the implementation rules issued by the Ministry of Finance, which are interpreted and implemented by the tax bureau; each state and local assembly can independently formulate the types of taxes and collection methods levied by each state or locality.
The three sets of tax agencies in the United States, federal, state, and local, belong to governments at all levels and perform their duties. There is no relationship between leader and led. The Director of the Internal Revenue Service must be nominated by the President and appointed after approval by Congress. The Internal Revenue Service, the State Taxation Bureau and the Local Taxation Bureau have independent enforcement powers and have the right to interpret specific issues in the implementation of the tax law in accordance with the tax law. If the taxpayer is not satisfied, he can apply for a court ruling and interpretation. The amount of tax is estimated, and the tax owe person shall bear the burden of proof if he is not satisfied.