In form 6-NDFL, line 070 is greater than line 040 in 2021

Key points when filling out line 070

It is mandatory to fill out line 070 in 6-NDFL for all tax agents. It is located in Section 1 of the document, which provides generalized values for all indicators of interest to regulatory authorities. Numerical values must be entered without the minus sign; the correctness of the form is checked using control ratios. Page 070 in 6-NDFL is intended to reflect the amount of tax accumulated during the reporting period that was withheld.

For each period within one calendar year, the amount of personal income tax and other indicators in the Calculation must be shown as an accrual total from January 1 of the tax year. Tax in the reporting form appears in two forms:

calculated amounts;
retention.

The methodological material states that line 070 of form 6-NDFL indicates only deductions actually made. This category includes taxes that have been calculated and are due for payment. The period of actual transfer and withholding must coincide with the date of payment of taxable income to an individual (confirmation - Article 226, paragraph 4 of the Tax Code of the Russian Federation). Page 070 of form 6-NDFL cannot reflect amounts for which there is no reason to recognize income as paid.

An unreasonable action would be to include in the column with withheld tax the amounts of personal income tax calculated when issuing a salary advance. Income in this situation will be recognized as paid at the end of the current or beginning of the next month, along with the entire amount of earnings (clause 2 of Article 223 of the Tax Code of the Russian Federation). Only after this the calculated personal income tax is transferred to the withheld tax group. How to fill out line 070 in 6-NDFL - you need to take into account only those amounts that were actually withheld from the income paid.

What is page 070 of form 6-NDFL?

To find out what line 070 in 6-NDFL is equal to, find out when the tax can be considered withheld, since information about exactly such amounts is entered there. We are talking about personal income tax, which is withheld by the tax agent when paying income to employees, individuals working on a contract, landlords, etc. To understand what page 070 of form 6-NDFL is, let’s first look at the rules for withholding this tax.

According to paragraph 4 of Art. 226 of the Code, tax is withheld directly from the funds received by taxpayers at the time of their actual payment. This means that a tax agent company (IP) cannot pay personal income tax for an individual from its own funds.

This rule applies even though in paragraph 2 of Art. 223 of the Code states that the date of actual receipt of earnings is the last day of the month in which income is accrued. In Part 6 of Art. 136 of the Labor Code of the Russian Federation states that salaries must be paid in full no later than the 15th day of the month following the period in which they were accrued.

The Federal Tax Service, in a letter dated March 24, 2016 No. BS-4-11/4999, explained that if the final payment of wages was made the following month, then the tax is withheld upon the final calculation and actual payment. So, if wages are accrued and withheld in different reporting periods, then filling out line 070 in 6-NDFL should be done when the final payment was made.

For example, if a salary accrued in December was paid in full on January 11, how to fill out line 070 in 6-NDFL based on the results for the quarter? The amount withheld from the paid salary will not be included in page 070 of 6-NDFL for the reporting year, since it should be reflected in the calculation based on the results of the 1st quarter of the next year.

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Equality of accrued and withheld tax

When preparing a personal income tax calculation for any period, the accountant pays attention to the ratio in the column of the accrued tax liability and the line of the actual tax withheld - lines 040 and 070 in 6-NDFL. Equality between them is an exceptional case. This is possible provided that the accrual of income and its distribution to individuals is always carried out within one month.

The discrepancies found between the indicators for accruals and deductions are a variant of the norm. The reason is that the salary is considered accrued (and along with it the tax) as of the last day of the month. Line 070 in 6-NDFL for the half-year and any other interval will not reflect these last accrued values.

The exception is situations when wages are paid by the employer on the last working day of each current month (the actual payment occurs in the period for which income is due). In this case, in 6-NDFL, line 070 is equal to line 040.

The amounts of calculated (line 040) and withheld (line 070) personal income tax may not match. There will be inequality if any income has already been recognized, the tax on it has been calculated, but the actual payment has not yet been made. For example, the date of actual receipt of salary is considered to be the last day of the month. On this day, the amount of income is known and the amount of tax that must be withheld from this income (calculated personal income tax) is determined. However, it is impossible to withhold this amount until the actual payment of income. Therefore, the indicator for filling out line 070 will appear only after the salary is issued. A possible discrepancy between the indicators of lines 040 and 070 of form 6-NDFL is provided for by control ratios. This is confirmed by the letter of the Federal Tax Service dated March 15, 2016 No. BS-4-11/4222.

EXAMPLE: Personal income tax on the December 2021 salary, paid in January 2021, amounted to 156,219 rubles, and personal income tax on the June salary, paid in July 2021, amounted to 118,206 rubles. If the total amount of calculated tax for the half-year of 2021 was 1,410,309 rubles, then on line 040 of Calculation 6-NDFL for the half-year of 2021 the amount of 1,410,309 rubles will be reflected, and on line 070 - an amount of 1,448,322 rubles (1,410 309 + 156 219 – 118 206).

What data is written in field 070 6-NDFL

The form and procedure for filling it out have been developed by the Federal Tax Service. Order No. ММВ-7-11/ [email protected] dated 10/14/2015 indicates how to fill out line 70 in 6-NDFL, in the quarterly report - enter the total amount of the withheld income contribution into it.

The value of 070 is the total retention rate for all employees. Line 070 6-NDFL for the 3rd quarter of 2020 is filled in with a cumulative total from the beginning of the year. That is, the report for 9 months summarizes all the information from parts 140 in the second section “Dates and amounts of income actually received and withheld personal income tax.”

This is what is included in line 070 6-NDFL with a cumulative total from the beginning of the reporting year:

In the 1st quarter - the sum of all cells 140 from the same form.
In the half-year - the total cell indicator is 140 from this report and the value is 070 from the 1st quarter.
For 9 months - all current cells 140 and 070 from the semi-annual form.
For the year - 140 from the current and 070 from the previous quarterly form.

Deductions for fixed advances of employees are not reflected in column 070. Field 050 is intended for this.

IMPORTANT!

In section 1, indicators are formed on an accrual basis, and in section 2 - only for the reporting quarter.

Transactions on non-cash income

Individuals can receive material rewards:

in monetary measures;
in kind.

Income tax on the value of issued non-monetary resources must be assessed. It is impossible to transfer funds to the budget at the time of delivery of the reward in kind.

The operation of repaying the tax liability is postponed to the nearest date of payment of cash income. When filling out 6-NDFL for the six months, line 070 includes income tax from non-monetary sources of income of individuals on the date of actual deduction from other resources to be issued to this person. For deductions from earnings, there is a limit of 50% of the accrued amount in cash equivalent.

Personal income tax on the December 2021 salary, paid in January 2019, amounted to 156,219 rubles, and personal income tax on the June salary, paid in July 2021, amounted to 118,206 rubles. If the total amount of calculated tax for the half-year of 2021 was 1,410,309 rubles, then on line 040 of Calculation 6-NDFL for the half-year of 2021 the amount of 1,410,309 rubles will be reflected, and on line 070 - an amount of 1,448,322 rubles (1,410 309 + 156 219 – 118 206).

What is line 070 for in form 6-NDFL?

According to Order No. ММВ-7-11/ [email protected] , line 070 contains the total amount of personal income tax withheld from income received by individuals. In this case, the total value for this line should be entered only as a cumulative total, calculating it from the beginning of the calendar year.

In order to understand what exactly to reflect on line 070, you need, first of all, to decide what the concept of “withheld personal income tax” includes. In accordance with Russian legislation, when a tax agent pays income to an individual, he must withhold personal income tax from this payment. Accordingly, it can be assumed that the withheld tax is a tax on the income paid.

It should be taken into account: when determining the withholding tax, it is necessary that the income itself is not only paid to the individual, but also received.

For example, when an employer pays staff an advance against future salaries, income is not considered received, but tax is withheld, since receipt of income will only be recognized at the end of the month.

Accordingly, a difference may appear between lines 040 (calculated personal income tax) and 070 (withheld personal income tax). As a rule, it is due to the fact that the salary tax for the last month of the quarterly period relates to income that is paid in the next month after the reporting period. In this case, the amount indicated on line 040 will be greater than on line 070.

Can the values in lines 040 and 070 of section 1 be identical?

According to the control ratios, approved. by letter of the Federal Tax Service dated March 10, 2016 No. BS-4-11/ [email protected] , comparison of indicators pages 070 and 040 is excluded. Why is line 040 of section 1 not equal to line 070 of the same section?

Line 040 shows personal income tax, calculated on an accrual basis from the beginning of the year. But the month of accrual of income and tax on this income is rarely equal to the month of withholding personal income tax, since payment of income and withholding of tax for the last month of the quarter falls on the first month of the next quarter. Therefore, calculated personal income tax is shown in line 040 from January to the end of the quarter, for example March, and withheld personal income tax is shown in line 070 from January to the 2nd month of the quarter, for example February.

Matching tax amounts on line 040 and line 070 when filling out 6-NDFL for the 1st quarter of 2021 are possible if the income was paid in the last month of the quarter and the deadline for paying income tax withheld in March (June, September or December) falls on the last working day day of this month.

How to fill out 6-NDFL correctly

The mentioned order of the Federal Tax Service describes the basic requirements for filling out the 6-NDFL report for any reporting period. It contains an algorithm for entering all the information.

The answer to the question about line 070 6-NDFL - whether on an accrual basis or not - can be seen in both explicit and hidden form. For example, the order of the Federal Tax Service contains the following important provisions:

Appendix No. 1 to the order shows the codes for the periods for submitting the report to the tax authorities, and on their basis you can understand the correct procedure for filling out 6-NDFL: information is increased for a quarter, six months, 9 months and a year, accordingly, the amounts in these reports are gradually increased;
A specific indication of the cumulative total is reflected in the 3rd section of the filling rules: it directly states that it is necessary to reflect the total values as a cumulative total.

6-NDFL is not the only form of tax and accounting reporting in which the law requires compliance with the cumulative total. Other similar documents include:

balance sheet;
income tax return;
some other types of reporting.

Lines 070 and 140 in 6-NDFL

From March 26, 2021, reporting in form 6-NDFL (hereinafter referred to as form 6-NDFL) is submitted on an updated form. Changes to the form approved by order of the Federal Tax Service dated October 14, 2015 No. MMV-7-11/ [email protected] were made by another order of this department, dated January 17, 2018 No. MMV-7-11/ [email protected] . As for the conditions for entering data into lines 70 and 140, the changes in 2021 did not affect them.
From the 1st quarter of 2021, reporting in Form 6-NDFL changes. Lines 070 and 140 are not there in the value under consideration. We submit payments for 2020 using the old form.

Read about what the updated calculation on form 6-NDFL looks like and how to fill it out in 2021 in the ready-made solution “ConsultantPlus”. You will receive even more relevant materials if you sign up for a free trial access to K+.

Line 70 is included in the 1st section of the report on f. 6-NDFL. It indicates the total total value of the tax on personal income withheld by the tax agent, calculated incrementally from January 1. This means that each quarter the displayed amount will increase by the tax withholdings made.

Line 140 is in section 2 of the report. This displays the total total value of the personal income tax withheld by the tax agent on the date indicated in line 110. In this section f. 6-NDFL displays information for the reporting quarter.