Which organizations are entitled to income tax benefits?

Income tax benefits for organizations: medical and educational

Benefits for educational and medical organizations are valid until 2021 inclusive.

Conditions for providing a zero rate:

1. Inclusion in a special list that does not include services related to sanitary treatment.
2. Availability of a license for the relevant type of activity.
3. Provision of services subject to preferences in a volume of at least 90%.
4. The number of employees during the year is at least 15.
5. Possession of a special certificate for at least 50 employees per year.
6. Absence of bill transactions and fixed-term contracts.

How to get a tax benefit

The application to the tax service is submitted before the next tax period begins. Relaxations begin to apply both from the very date and at any time while it continues to operate. The only additional documents required are an official license. The application is sent no later than 30 days before the start of the expected specified period.

Typically, reimbursement is expected for expenses related to the following areas of work:

• Modernization of fixed assets.
• Update.
• Purchase of additional equipment.
• Additional construction of objects.

Receiving the benefit itself involves performing a small number of actions.

1. Contacting tax officials with a complete package of documents within the specified period.
2. At the end of the reporting period, certain papers are also submitted. Typically this is a declaration by a specific participant in the system along with evidence in favor of fulfilling all the conditions associated with confirming the right to benefits.

Important! A mandatory requirement is to report on income received for activities falling under the exemption.

Specific conditions and specifics of activity are most often determined by local legislation.

Preferences for social organizations and cultural institutions

For organizations providing social services to the population and cultural institutions, the tax exemption is valid until January 1, 2021.

Conditions of release:

1. Compliance of the services provided with the approved list.
2. Entry into the regional register of organizations providing social services.
3. Presence of at least 15 employees on staff for one year.
4. The presence of turnover of social services is no less than 90%.
5. Absence of bill transactions and fixed-term contracts.

In addition, the following benefits are provided for budget-supported theaters, museums, concert and library organizations:

1. Instead of charging depreciation, they can write off expenses that are incurred during business activities as a lump sum.

Such expenses include:

• expenses for the purchase or creation of objects subject to depreciation;
• expenses for reconstruction, modernization, technical re-equipment of operating systems.

The exception is real estate.

The Tax Code of the Russian Federation identifies a number of objects that are not subject to depreciation by cultural institutions, among which, for example, there are objects and works of art, books.

• They do not calculate and are not subject to payment of advance payments on profits.
• The tax return is submitted only at the end of the year.

Benefits for small businesses and private entrepreneurship

Small businesses and private entrepreneurship can count on tax benefits under the following conditions:

Small businesses

Enterprises included in the list of small ones must meet the following basic criteria:

• The authorized capital, in which the participation of the Russian Federation, as well as organizations related to public, religious and charitable organizations, does not exceed 25%.
• The participation of enterprises that are not small should also be no more than 25%.
• The number of employees per year in the agricultural sector cannot be more than 60 units, and among builders and industrialists - more than 100.

Small enterprises are exempt from income tax for two years if they:

• They combine production and processing of agricultural products.
• They produce food, consumer goods, building materials, medical equipment, medicines, and are engaged in construction and repairs.
• Income from these activities accounts for more than 70% of total revenue.

Then the conditions change. Two out of three indicators remain the same, but the requirements for revenue volume increase. Read also the article: → “The procedure for calculating and paying income tax under the simplified tax system”

If the eligible revenue reaches more than 90% of the total, then:

• in the third year of operation, the percentage of the income tax rate will correspond to 25%,
• on the fourth – 50%.

Individual entrepreneurs

Although this group does not pay income tax, it is worth mentioning the benefits provided to it.

In the period of time limited to January 1, 2015 and December 31, 2021, private entrepreneurs who first started operating can take advantage of tax holidays for two tax periods. The income tax rate for them will be 0%.

Conditions for granting preferences:

1. Registration for the first time after the entry into force of the law of the subject.
2. Mode – patent or simplified system.
3. Compliance with the types of activities specified in regional laws.

Who is eligible for tax preferences?

In 2021, various types of income tax benefits at the federal and regional levels remain in effect. To a greater extent, preferences apply to socially significant organizations and entities with a low level of protection.

Agricultural enterprises

The use of OSNO from 01/01/13 allows you to be exempt from the mandatory fee, provided:

• sales of agricultural products after first or industrial processing;
• part of the proceeds must be at least 70% of turnover.

  
  General tax regime

Medical and educational organizations

Preferences are also relevant for the current reporting period. If the requirements are met, institutions have the right to receive a zero rate:

• current status on the special list;
• activity license;
• the list of services specified in the conditions ranges from 90%;
• number of personnel within 12 months. — from 15;
• More than 50% of employees have certificates;
• there are no fixed-term contracts and transactions on bills of exchange.

Participants of SEZs and special zones

Firms located in certain economic zones and forming a cluster have the right to apply a rate of 0% for contributions to the federal budget. The only condition is to maintain separate records inside and outside such areas.

Special economic zones

FEZ participants

For such participants, the federal budget rate is 0%, and the regional budget rate is 10%. Organizations should treat projects like Skolkovo. The validity period according to the law on income tax benefits is 10 years.

IP

Preferences are provided as part of the tax holiday in the period from 01/01/15 to 12/31/20. The rate on revenue at this time is 0%.

The Tax Code of Russia identifies categories of objects that are not subject to mandatory collection - cultural institutions that have objects of art, books, etc. on their balance sheet.

Social service organizations

The use of income tax benefits means a 100% exemption until 01/01/20 for enterprises providing social services to the population. Organizations must meet the following criteria:

• presence in a unified register;
• staff from 15 people within 12 months;
• turnover from services from 90%;
• there are no transactions on bills of exchange or fixed-term agreements.

Organizations involving people with disabilities

Non-profit structures can count on relief when accounting for income in the following items:

• opening amounts;
• targeted account replenishment;
• patronage;
• provision of free services;
• inheritance;
• means involved in achieving the goals of the Charter;
• property rights and money received for charity.

Innovative enterprises

Since 17, investment organizations at the regional level (RIP) and special contracts with the participation of the Russian Federation can use the relaxation. Contributions to the federal budget - 0%, in the subject - 0 or 10% RIP enterprises are exempt from paying the mandatory fee on revenue in the FB.

Innopolis SEZ in Tatarstan

This is a special economic zone, the participants of which are entitled to relaxed income tax rates. Tax benefits are as follows.

TASED

The amount of preferences is 0% if the organization is a participant in the PSEDA.

Map of TASED zones

Other

Organizations located in regions with a radioactive background (for example, the Chernobyl nuclear power plant) are exempt from mandatory taxes on revenue received from the following activities:

• design;
• design;
• construction;
• logistics;
• repair.

Tax breaks for organizations with the participation of people with disabilities

An organization of people with disabilities will be recognized as such if:

• Its members include no less than 80% disabled people, including persons representing them in accordance with the law.
• The authorized capital is formed from contributions from public organizations with the participation of people with disabilities.
• The average composition of working disabled people includes no less than 50%.
• The component of the wages of disabled people in the general wage fund is no less than 25%.

Subject to these conditions, such an organization, as a non-profit organization, may not include in the profit base:

• entrance and membership fees;
• targeted revenues;
• donations;
• free services;
• inheritance;
• funds allocated from the budget related to the implementation of statutory goals;
• property, including money, and rights to it, granted for charitable events.

In addition, organizations with the participation of people with disabilities receive government support aimed at the social protection of their members:

• Art. 264 of the Tax Code of the Russian Federation indicates the composition of special expenses associated with such protection (for example, the manufacture and repair of prostheses, treatment, training and employment). They can be used to reduce profits subject to tax.
• The right is granted to create a reserve for such expenses for five years.

Regional relaxations

The concept of income tax benefits is not formally enshrined in legislation. However, in fact, there are several situations in which the amount of contributions to the budget under this item can be significantly reduced. One such case is a regional tax rate reduction.

The distribution of income tax, namely its standard rate of 20%, occurs in the proportion of 2% and 18%, credited respectively to the federal budget and the budget of the constituent entities of the Russian Federation. Article 284 of the Tax Code gives regional authorities the authority to reduce the income tax rate in “their” part, reducing it from 18% to 13.5%.

As a rule, regional laws on reducing the income tax rate determine the specific specifics of activities, as well as other conditions that must be observed by organizations applying for a reduction in the tax burden. Thus, this is not a universal use of a reduced rate, but rather a certain benefit that can be taken advantage of by one or another company that meets certain legal requirements. Thus, by Moscow Law No. 12 of March 5, 2003, a reduction in the income tax rate in its regional part to 13.5% is provided for public organizations of disabled people with the participation of such persons at least 80%, as well as for organizations with authorized capital which consists entirely of contributions from public organizations of disabled people, and companies employing the labor of disabled people, if the average number of disabled people among their employees is at least 50%, and their share in the wage fund is at least 25%. Another example: in St. Petersburg, reduced rates of 13.5% or 15.5% are provided for by local Law No. 81-11 of July 14, 1995, and this legislative act provides income tax benefits to a number of companies at once, depending on the type of their activity, the volume of investment in non-current assets and the general specifics of doing business. There are similar legislative acts in most other regions of the country.

Profit benefits for participants of special economic zones

A special economic zone is a territory where special preferential conditions for activities apply.

Among these zones are:

1. Technology and innovation, according to which the tax break on profits is valid from 2012 to 2021 inclusive.
2. Tourist and recreational, with tax preferences from 2012 to 2022 inclusive.

Enterprises located in such zones connected in a cluster apply a rate corresponding to 0% in the part sent to the federal budget. The condition is to maintain separate records of activities carried out inside and outside the specified zones.

Tax benefits for innovative enterprises

There is also a system of tax incentives for innovative enterprises:

RIP participants

Starting in 2021, participants:

• investment projects at the regional level (RIP) and
• special investment contracts, where Russia is one of the parties, receive benefits relating to both the federal - 0%, and regional - 0% and 10% of the budgets.

RIP participants are completely exempt from profit deductions to the FB.

They are entitled to a tax benefit when they:

• indicated in a special register;
• receive revenue from the sale of goods provided for by these projects, amounting to at least 90% of the total income.

The preferential rate for the regional budget is subject to application for 10 tax periods, starting from the period of receiving the first profit from the specified goods:

• Those participants who implement RIPs in the Far Eastern Federal District and 6 regions of the Siberian Federal District, in the amount of 0%. They also enjoy benefits immediately after submitting an application, without registering in the register, if they have already made capital investments in the required volumes.
• Participants in investment contracts - in the amount of 0%.

For RIP participants located outside of these regions, the tax may be reduced to 10%.

As for regional benefits, then:

• the rate should not be higher than 10% for 5 tax periods from the beginning of the sale of goods;
• cannot be less than 5% in the next 5 periods.

The benefit is valid until January 1, 2027.

Skolkovo

Organizations that have received resident status of the Skolkovo project are completely exempt from tax for 10 years.

They carry out research, development and commercialization of projects. We are talking about profit that was received after the participant stopped using benefits in accordance with Article 246.1 of the Tax Code of the Russian Federation.

The restriction regarding profits exceeding 300 million rubles and (or) a project participant who has lost their status does not apply to profits received from 01/01/2017 to 12/31/2021 inclusive.

Innopolis

"Innopolis" is a special economic zone located in the Republic of Tatarstan, among other technology-innovation zones, has tax preferences indicated in the table:

The duration of the benefit is equal to the life of the zone and is 49 years.

Example of income tax calculation

Almaz LLC, a developer of information and communication technologies, has been registered in the Innopolis zone since 2021. The profit he received in the 1st quarter amounted to 9 million rubles. The tax rate until 2021 within both budgets is set at 0%. Income tax – 0%.

Also, a tax break is the ability to attribute expenses on research and development work (including those carried out with a negative result) in the amount of actual expenses during the period of their implementation.

Who is entitled to exemption from income tax?

The right to be exempt from paying income tax in accordance with Art. 246.1 of the Tax Code of the Russian Federation is given to organizations participating in:

• in the Skolkovo project;
• innovative scientific and technological projects.

The exemption is of a declarative nature, i.e. a notification in the prescribed form and supporting documents must be submitted to the inspection. Moreover, Skolkovo participants will have to submit documents for income tax benefits annually along with an application to extend the exemption. By default, the right to release is not extended.

This tax benefit for corporate income tax is time-limited - it can be used no more than 10 years from the date of receipt of the status of a participant in one of the listed projects.

Involuntary refusal of release occurs together with:

• with loss of participant status;
• growth of annual revenue in excess of 1 billion rubles.

After exceeding the revenue limit, Skolkovo residents can take advantage of a benefit in the form of a zero rate on income tax (paragraph 1, clause 5.1, article 284 of the Tax Code of the Russian Federation).

Benefits for enterprises operating in areas affected by radiation

Enterprises that moved to regions contaminated with radioactive waste during the Chernobyl and other similar disasters are exempt from tax on profits received from the following:

• design and engineering;
• construction;
• transport;
• repair work.

And also from the production of building structures, in a situation where the volume of work aimed at eliminating harmful effects is no less than 50% of the total.

If the 50% requirement is not met, only the profit from the specified work falls under preferences.

The benefits are valid until the work is completed.

Example of income tax calculation

1. In the 4th quarter of 2021, Stroitel LLC produced building structures worth 100 million rubles and performed 40 million rubles worth of work that is not subject to tax benefits.

The total revenue is 140 million rubles.

1st type of work amounted to 71.4%.

No income tax is charged.

Questions and answers

Question No. 1. What documents must we provide to receive corporate income tax benefits as agricultural producers?

If everything is clear to the tax authorities regarding the tax regime, then you need to confirm the share of income from the sale of agricultural products, which must be at least 70 percent.

Question No. 2. We are an educational organization and use the simplified tax system. Can we count on corporate income tax benefits?

This benefit can only be used by organizations applying the general tax regime.

Switching to special modes

Special regimes make it possible to significantly reduce tax deductions for several types of taxes, replacing them with a general payment specific to each special case. In this case, certain criteria and conditions must be met.

For the “imputed” and “simplified” payments, in which income is taken as the base, a reduction in the advance payment and the imputed quarterly payment is provided in the event of payment of insurance accruals for employees in the reporting period, and for the individual entrepreneur for himself.

From 2021, local authorities have the right for those who pay UTII and the simplified tax system to reduce the rate, under the first regime - from 15% to 7.5%, under the second - from 6% to 1%.

How to pay income tax

In addition to paying income tax through a current account, an organization that is a legal entity can use:

Before making a payment, you need to check the correctness of the data and click on the “Pay” field. Payment information will be included in the Federal Tax Service database within 24 hours. The result of crediting payments is reflected in your “personal account” within 10 working days.

To receive a paper confirmation, you need to send a request from the “Profile” section in your personal account or from the “Taxpayer Documents” section in the “Electronic Document Flow” field.