Simplified taxation system (STS) for individual entrepreneurs

Timely payment of taxes, according to the legislation of the Russian Federation, is the direct responsibility of every entrepreneur. Moreover, every entrepreneur has the right to choose the taxation system that is more convenient for him.

And most entrepreneurs opt for the simplified taxation system. This is due to the lowest tax and administrative burden under this system.

You will learn how to calculate the simplified tax system in 2021 from our publication today.

Tax base for the simplified tax system

1. For the simplified tax system “income”, the tax base for determining the tax is income. 2. For the simplified tax system “income reduced by the amount of expenses”, the tax base is the monetary expression of income reduced by the amount of expenses.

For both options, the procedure for determining and the composition of income is the same; income under the simplified tax system is recognized as:

income from sales, i.e., proceeds from the sale of goods, works and services of own production and previously acquired, and proceeds from the sale of property rights;
non-operating income specified in Art. 250 of the Tax Code of the Russian Federation, such as property received free of charge, income in the form of interest on loan agreements, credit, bank account, securities, positive exchange rate and amount differences, etc.

Expenses recognized under the simplified system are given in Art. 346.16 Tax Code of the Russian Federation. The list of expenses is quite long. If necessary, you can familiarize yourself with it directly in the Tax Code of the Russian Federation.

Articles 346.15 to 346.17 of the Tax Code of the Russian Federation specify the procedure for determining and recognizing income and expenses under the simplified tax system.

Tax simplified tax system at a rate of 15 percent: general formula

When choosing the object “income minus expenses,” the taxpayer calculates tax on the difference between income and expenses. In general, a rate of 15% applies. Legislators of constituent entities also have the right to establish differentiated rates from 5 to 15% depending on the category of taxpayers.

When paying the simplified tax system according to the “income minus expenses” scheme, the advance payment is calculated using the formula:

STS (AV) = (RESS - EXPENSES) × ST - STS (ADVANCE) for previous reporting periods, where:

DOH - the taxpayer’s income on an accrual basis;

EXP - costs on an accrual basis.

ATTENTION! The list of costs is closed and is named in Art. 346.16 Tax Code of the Russian Federation. Read what can be considered expenses for the simplified tax system here.

The annual tax will be calculated using the formula:

STS (YEAR) = (DEX (YEAR) − EXPENSE (YEAR)) × ST − STS (ADVANCE), where:

DOKH (YEAR) - annual income of the taxpayer;

EXPENSE (YEAR) - annual expenses of the taxpayer.

Insurance premiums and vehicle insurance under the simplified tax system payment scheme under consideration are always included in expenses on a general basis with any other types of expenses that can be used when calculating the tax base.

Formula for calculating the simplified tax system

1. For the simplified tax system “income”: Income X Tax rate. 2. For the simplified tax system “income minus expenses”: (Income minus expenses) X Tax rate.

These are the general formulas used to calculate the simplified tax system in 2020. These formulas do not take into account the following important details:

1. Recognition and accounting of expenses for calculating the tax base on the simplified tax system Income minus expenses:

In order for expenses under the simplified tax system “income minus expenses” to be confirmed, it is necessary to formalize them in accordance with the law. Otherwise, the tax authority will not take them into account when calculating the simplified tax system.

To confirm expenses, the following documents must be completed:

payment document (receipt, account statement, payment order, cash receipt);
a document confirming the transfer of goods or the provision of services and performance of work (invoice for the transfer of goods or an act for services and work).

2. Reducing the single tax on the simplified tax system due to paid insurance premiums:

under the simplified tax system, “income” can be reduced by the single tax itself (advance payment);
under the simplified tax system “income minus expenses”, insurance premiums can be taken into account when calculating the tax base (included in expenses).

EXAMPLE 1

Initial data:

1. LLC "Salut". 2. The amount of income is 270,000 rubles. 3. The amount of expenses supported by documents is 225,000 rubles:

employee salary - 60,000 rubles;
mandatory insurance premiums - 21,300 rubles;
advertising expenses - 20,000 rubles;
expenses for stationery - 5,000 rubles;
expenses for postal and telephone services - 2,000 rubles;
expenses for maintaining official transport - 19,000 rubles;
expenses for renting premises - 50,000 rubles;
expenses for paying the cost of goods purchased for further sale, reduced by the amount of VAT on paid goods purchased by the taxpayer and subject to inclusion in expenses - 47,000 rubles.

Task 1.

How to calculate an advance payment under the simplified tax system “income”, with a tax rate of 6%.

Answer:

270,000 (income) X 6% = 16,200 rubles.

The advance payment is subject to reduction by the amount of insurance premiums paid, but not more than 50% of the calculated advance payment:

16,200 - 21,300 = 16,200×50% = 8,100 rubles.

We get 16,200 - 8,100 = 8,100 amount of the advance payment of the simplified tax system, income payable.

Task 2.

How to calculate an advance payment under the simplified tax system “income minus expenses” at a tax rate of 15%.

Answer:

(27,000 - 225,000) X 15% = 6,750 rubles.

In this case, the advance payment is not subject to reduction by the insurance premiums paid, since the amount of insurance premiums is already taken into account in expenses.

CONCLUSION:

In comparative examples with the same initial data, the simplified taxation system “income minus expenses” is more optimal. But this only happens if the entrepreneur has large expenses.

***

Quite a lot of business entities use the simplified tax system in their work with a tax base calculated on the basis of income. The choice of this mode is due to the simplicity of calculating fiscal payments and the relatively low tax burden. There were no significant changes in the algorithm for calculating tax under the simplified tax system in 2021, however, restrictions on the parameters of an organization’s activities for applying the special regime were adjusted.

Deadline for payment of the simplified tax system

Despite the fact that, according to the Tax Code of the Russian Federation, the tax period for calculating tax on the simplified tax system is a calendar year, the obligation to pay this tax arises quarterly. The calculation is carried out on a cumulative basis: 1st quarter, half-year, nine months of the calendar year, calendar year.

Deadlines for payment of advance payments for single tax:

based on the results of the first quarter - April 25;
based on the results of the half year - July 25;
based on the results of nine months - October 25;
at the end of the year - until March 31 for organizations; until 30.04 for individual entrepreneurs. When calculating the simplified tax system at the end of the year, advance payments paid are taken into account.

How to calculate the 6% simplified tax system on income

Like other algorithms for calculating the amount of payments to the budget, the calculation of tax according to the simplified tax system for the object “income” includes several sequential elements. To determine the amount due to the treasury you need:

Generate the total amount from which the fiscal payment will be calculated. The base is formed based on the receipt of funds to the cash desk and to the current account.
Determine the amount of tax advances to be transferred.
At the end of the tax period, calculate the total amount of tax and find out how much is left to pay to the budget, taking into account advances.

Each of the described steps for calculating the 6% simplified tax system has clear implementation rules. The rate may change, since local authorities have the right to reduce it, but the new level cannot be less than 1%. However, regions are interested in filling their budgets, so in most cases the maximum possible percentage is applied.

Examples of calculations of advance payments and single tax on the simplified tax system

How to calculate the simplified tax system “Income” with examples of calculation for the 1st quarter is described above.

The calculation of the advance payment based on the results of the half-year is similar to the calculations for the 1st quarter. Then you need to multiply the tax base obtained based on the results of 6 months (from January to June inclusive) by the tax rate, and from this amount subtract the advance payment already paid for the first quarter. In the case of the simplified tax system “income”, the amount received must be reduced by insurance premiums (but not more than 50%). The resulting balance will be an advance payment for the six months.

We do the same when calculating the advance payment of the simplified tax system “income minus expenses”, except for reducing the advance payment due to insurance premiums.

At the end of the year, the single tax is calculated as follows:

We multiply the tax base for the entire year by the tax rate. From the resulting amount we subtract all three advance payments. The resulting difference is the annual simplified tax system.

Interest retained by the bank upon acquiring

When making payments to buyers using bank cards, the seller organization enters into an acquiring agreement with the bank. In addition, the bank charges a commission for its services. Is the bank commission taken into account as part of the organization’s income on the simplified tax system, withheld by the bank during acquiring?

The fact is that the “simplified” ones, when determining the object of taxation, take into account income from sales and non-operating income (Article 346.15 of the Tax Code of the Russian Federation). And sales revenue is determined based on all receipts associated with payments for goods (work, services) sold or property rights (Article 249 of the Tax Code of the Russian Federation). As for the amount of the bank's commission, it is the cost of paying for the services of a credit institution. The above means that the seller using the “simplified tax” must include the entire amount of revenue in taxable income without deducting bank interest.

Let's give a simple example: revenue amounted to 6,000 rubles, and the bank commission was 180 rubles, 5,820 rubles were credited to the seller's account. Under such circumstances, the taxable income of the seller using the simplified tax system is equal to 6,000 rubles.

Tax calculation simplified tax system Income 6%:

Example 3

Initial data:

1. Individual entrepreneur with no employees. 2. Taxation system of the simplified tax system “income”. 3. Tax rate 6%. 4. Income:

1st quarter - 150,000;
half-year - 350,000;
nine months - 550,000;
twelve months - 800,000.

Payment of fixed insurance contributions for oneself was made in equal parts, based on the fact that fixed contributions for 2019 are determined within the following limits: for pension insurance 29,354 rubles; for medical insurance 6,884 rubles. Payments were made within the following terms:

until March 31 - 9059.50 rubles;
until June 30 - 9059.50 rubles;
until September 30 - 9059.50 rubles;
until December 31 - 9059.50 rubles.

Example of calculating the simplified tax system Income:

Advance payment of the simplified tax system for the 1st quarter:

150,000 × 6% - 9059.50 = - 59.50 rubles, therefore, there is no need to pay an advance payment for the 1st quarter of 2021;

Advance payment of the simplified tax system for the six months:

(350,000×6%) - (9059.50 + 9059.50) = 2881 rubles.

Advance payment of the simplified tax system for nine months:

550,000 × 6% - (9059.50 + 9059.50+ 9059.50) - (2881) = 2941.00 rubles.

Payment of simplified tax system for the year:

800,000 × 6% - (9059.50 + 9059.50+ 9059.50+ 9059.50) - (2881+ 2941.00) = 5940 rubles.

If the amount of tax payable was in kopecks, then it would be necessary to round the resulting amount: a tax amount of less than 50 kopecks is discarded, and a tax amount of 50 kopecks or more is rounded to the full ruble.

Since the individual entrepreneur received an annual income of 500,000 rubles and thereby exceeded 300,000 rubles, he is obliged to pay an additional 1% of the excess amount to the Pension Fund. Such a payment must be made before July 1 of the year following the reporting year, but can be made in the current year, thereby immediately reducing the advance payments by the amount paid.

Example 4:

The initial data are the same as in example 3. i.e. at the end of nine months, the income amounted to 550,000 rubles.

(550,000 - 300,000) X 1% = 2,500.00 rubles.

If the individual entrepreneur pays this amount before September 30, then the advance payment for 9 months will be:

550,000 × 6% - (9059.50 + 9059.50 + 9059.50) - (2941.00 + 2500.00) = 380.50 rubles. In this case, the amount of the advance payment must be rounded and paid 381 rubles.

The advance payment will be reduced by 2,500 rubles due to an additional contribution to the Pension Fund in the amount of 1% of the difference in excess income and 300,000 rubles.

How to calculate the simplified tax system - income for advance transfers

At the end of each reporting period, simplified companies need to make a partial preliminary payment of tax. In this case, the amount of the advance at the end of each quarter is determined by the cumulative total using the formula:

AP = BO × 6%,

Where:

AP - the amount of the calculated advance payment for the reporting period;

BO - tax base - the amount of income on an accrual basis from the beginning of the year.

The amount of the advance to be transferred to the budget is determined by the following formula:

APupl. = AP – NV – APpred.,

Where:

APupl. — amount of advance payment;

NV - the volume of tax deductions associated with the payment of trade taxes, insurance premiums and payment of benefits for temporary disability and in connection with maternity;

APpred. — the amount of the advance paid based on the results of the previous quarter.

The amount of deduction taken into account when calculating the 6% simplified tax system for individual entrepreneurs without hired workers is not limited in any way and can lead to the fact that the total amount payable equals 0. If an entrepreneur conducts his business using hired labor, then the amount of deductions should not be exceed 50% of the tax amount calculated from the tax base. However, the given limit when calculating the simplified tax system of 6% applies only to contributions and sick leave. Trade tax may be deducted from your tax amount without limitation.

Example of calculating the simplified tax system Income minus expenses 15%

The procedure for calculating advance payments and tax under the simplified tax system “Income minus expenses” is similar to the previous example, except for the following points:

expenses must be justified in accordance with Article 346.17 of the Tax Code of the Russian Federation;
Expenses are recognized on a cash basis, except for expenses when paying for the cost of goods. Such expenses are taken into account as goods are sold (clause 2.2 of Article 346.17 of the Tax Code of the Russian Federation);
on the last day of the reporting period, expenses for the acquisition of fixed assets are recorded.
the simplified tax system tax is not reduced by insurance premiums, since they are taken into account in expenses;
when calculating the additional 1% contribution to the Pension Fund, the tax base is only income, expenses are not taken into account;
the obligation to pay a minimum income of 1% in the event of a loss or in the case when the accrued tax of the simplified tax system for the year is less than the minimum.
The tax base at the end of the reporting period is subject to reduction by losses received in previous periods.

Who is the simplified tax system “Income” suitable for?

STS “Income” or STS 6% is one of the types of simplified taxation system. You need to pay turnover taxes on it, so you don’t have to worry about accounting for expenses - they won’t reduce the tax. To apply this regime, you must comply with the limits, which we described in detail in the article “What is the simplified tax system.”

The simplified tax system “Income” is suitable for business with minimal expenses. For example, for individual entrepreneurs, copywriters, programmers, consulting companies, outsourced accountants. In these areas, costs are limited: salaries, rent and utilities. Basically, the simplified 6% option is chosen by those who provide services. But for production, where you need to constantly purchase raw materials and repair equipment, the simplified tax system “Income minus expenses” is more suitable.

Remember, simplified ones are not VAT payers. Therefore, companies on OSNO do not seek to cooperate with them, since when purchasing goods or services, companies on the general regime will not be able to deduct VAT.

Accountants are inclined to believe that the simplified tax system “Income” is worth choosing if expenses amount to no more than 60% of annual turnover.

Example. Alpha LLC has annual income of 25 million rubles, and expenses of 17.5 million rubles. For the simplified tax system “Income”, the tax is 6% of revenue - 1.5 million rubles. On the simplified tax system “Revenues minus expenses” the rate is 15% of the difference between revenues and expenses, that is (25 million rubles – 17.5 million rubles) × 15% = 1.125 million rubles. In this case, the simplified tax system of 15% is more profitable.

Let's consider a situation where expenses increased to 22 million rubles. Then, on the simplified tax system of 6%, the tax payable is still the same 1.5 million rubles, and on the simplified tax system of 15% - 450,000 rubles. The “Income” system is in the lead.

This might also be useful:

What taxes does the individual entrepreneur pay?
simplified tax system for individual entrepreneurs in 2021
Tax system: what to choose?

Tax calendar for 2021
What reporting must an individual entrepreneur submit?
Fixed payments for individual entrepreneurs in 2021 for themselves

Is the information useful? Tell your friends and colleagues

Dear readers! The materials on the TBis.ru website are devoted to typical ways to resolve tax and legal issues, but each case is unique.

If you want to find out how to solve your specific issue, please contact the online consultant form. It's fast and free!

Taxes and deductions

There are not very many deductions and payments for taxes, they are as follows.

Payments to the pension fund

If an individual entrepreneur works on his own, then he must pay fixed payments established by the state to the Pension Fund for himself, as well as 1% to the Pension Fund of the amount of income that exceeds 300 thousand rubles, which is described in more detail in our separate article. It is also necessary to pay payments to the Pension Fund for employees, if individual entrepreneurs have them; organizations always have employees - at least a director.

Individual entrepreneurs’ contributions for themselves can be paid as this amount, immediately for the year, or divided evenly into each quarter. The latter option is more profitable, since you will not need to withdraw the entire payment amount from circulation, but will do it gradually.

But if you decide to make one payment, for example, in January, then, unlike UTII, you will be able to reduce the amount of tax by it, since the calculation is carried out on an accrual basis.

Important! The deadline for paying individual entrepreneurs’ contributions for themselves is no later than December 31 of the current year. At the same time, 1% from excess income of 300 thousand rubles. must be paid no later than April 1 of the following reporting year, but it is better to do this also before December 31, since you can reduce the tax amount for the current year by this amount. Otherwise, the tax for the next year is reduced. Read more about fixed payments to the Pension Fund for individual entrepreneurs in 2021 here.

Advance payments according to the simplified tax system

Entrepreneurs and organizations must make quarterly tax payments, paid in advance. At the same time, advance payments under the simplified tax system “income” and the simplified tax system “income minus expenses” are calculated in the same way. The only difference is in the order of formation of the tax base.