Individual entrepreneur taxes in simplified form - types, rates, payment deadlines and responsibilities in 2021

Who should pay the simplified tax system for 2021?

All persons, legal entities and individuals in the status of individual entrepreneurs, who apply a simplified system when taxing their business need to pay a single tax according to the simplified tax system. This system is presented as an alternative to the main mode. Profit tax for legal entities or personal income tax for individual entrepreneurs, VAT and partially property tax are replaced under the simplified tax system with a single tax, which is calculated at the rate:

• and lower if income is chosen as the object of taxation;
• 15% and lower if the object is income reduced by the amount of expenses.

ATTENTION! In some cases, simplified tax rates may rise to 8% and 20%. Find out which ones in the guide from ConsultantPlus. If you do not have access to the K+ system, get a trial online access for free.

To be able to apply the simplified tax system, economic entities must meet certain requirements in terms of annual income, average number of employees, formation of authorized capital, etc. You can read about all this in detail here. In addition, the simplified tax system cannot be used when carrying out certain types of activities, such as insurance or banking.

So, if a business entity has applied a simplified tax regime since January 1, 2020, or since registration in 2020, based on a tax application submitted, and has remained within the specified criteria for a year, then at the end of the year it needs to transfer the tax to the state treasury. It must be taken into account that in addition to this, advances on a single tax had to be paid during the year. We will tell you in the next section what deadlines you need to meet with the payment of advances and the final payment.

Why is there no need to pay an advance payment under the simplified tax system for the 4th quarter of 2021?

The rules for paying the single tax for simplifiers are regulated by Art. 346.21 Tax Code of the Russian Federation:

• Those who work on the “profitable” simplified tax system calculate advance payments based on the income received. There are only 3 advances per year: for the 1st quarter, half a year and 9 months. However, the concept of “payment of the simplified tax system for the 4th quarter” is not provided.
• Simplified people who prefer the “income-expenses” base calculate the tax, respectively, on income adjusted for expenses. They, like “income earners,” make 3 advance payments. As you can see, again nothing is said about paying the simplified tax system for the 4th quarter.
• At the end of the tax period, which is a year, simplifiers calculate the total amount of the single tax.

Thus, there is no talk of an advance simplified tax system payment for the 4th quarter in the Tax Code of the Russian Federation, but the tax for the year must be paid.

A ready-made solution from ConsultantPlus will help you fill out a payment order using the simplified tax system. Get trial access to the system for free and proceed to the material.

Find out which object is preferable for a simplifier from this publication.

What are the deadlines for paying tax according to the simplified tax system for the year?

The simplified tax system is calculated on an accrual basis from the beginning of the year. At the end of each quarter, the advance tax payment must reach the budget no later than:

• 25th of April;
• July 25;
• the 25th of October.

The deadlines for paying the simplified tax system for the year (final payment) vary depending on the category of taxpayer:

• Legal entities must meet the deadline by March 31, 2021.
• Individual entrepreneurs must make the last payment for 2021 no later than 04/30/2021.

Both dates are working, so there will be no postponements.

The tax amount is calculated in the tax return submitted at the end of the year. If, based on its results, the amount of calculated and paid advances turns out to be greater than the amount of the final payment, then an overpayment of tax arises, which can either be returned or offset against future payments.

It is also impossible not to note one more feature of the simplified system. If the taxpayer has chosen the object “income minus expenses” and the amount of calculated tax for the year is less than 1% of total income, then he will have to pay the so-called minimum tax, which will be equal to this 1%. The deadlines for paying the minimum tax coincide with those established for the final payment.

ConsultantPlus experts explained in detail how to correctly calculate the simplified tax system. Full trial access to K+ is available for free. If you apply the simplified tax system “income”, this ready-made solution will help you, and if “income minus expenses” - then this material is for you.

All economic entities using the simplified tax system, without exception, do not need to be late in paying the single tax, because this may result in sanctions imposed by the tax authorities. We will find out further what such sanctions may be expressed in.

When to pay the simplified tax system

The deadlines for advance payments under the simplified tax system for legal entities and individual entrepreneurs are the same. Payment must be made within 25 days after the end of the reporting period.

As already noted, for the advance payment under the simplified tax system for the 4th quarter there is no deadline for payment, since there is no obligation to pay it. At the end of the year, simplifiers must calculate the total tax amount for the year and, minus the advances paid, transfer it to the budget.

The tax must be paid no later than the last day established for submitting a tax return (Clause 7, Article 346.21 of the Tax Code of the Russian Federation). The deadlines for submitting reports are differentiated for different categories of payers (Article 346.23 of the Tax Code of the Russian Federation).

The ready-made solution from K+ will tell you in detail how an organization can fill out a declaration under the simplified tax system. To get answers to all your questions, sign up for a free trial access to the system.

The law provides for four reporting dates:

• March 31 of the year following the reporting year - for enterprises;
• April 30 of the year following the reporting year - for entrepreneurs;
• The 25th day of the month after the month in which the individual entrepreneur or organization ceased to carry out activities for which the simplified tax system was applied;
• The 25th day of the month after the quarter in which the individual entrepreneur or organization lost the right to use the simplified procedure.

Thus, legal entities that continue to apply the simplified tax regime must pay the simplified tax system for the 4th quarter by 03/31/2021, individual entrepreneurs - by 04/30/2021. Those who lost the right to use the simplified tax system in the 4th quarter of 2021 and stopped working in December report and pay tax by 01/25/2021. For those who ceased operations in September and October, the deadlines have already passed - 10/26/2020 and 11/25/2020, respectively. Those that stopped functioning in November have until December 25, 2020.

What is the liability for late payment under the simplified tax system for the year?

If the deadlines for simplified taxation payments for 2021 are violated, the taxpayer will be charged penalties determined as follows:

• for legal entities - in the amount of 1/300 of the refinancing rate established by the Central Bank for each day of delay for the first 30 days and in the amount of 1/150 for each day starting from the 31st day;
• for individual entrepreneurs - in the amount of 1/300 of the refinancing rate for each day of delay.

If non-payment or incomplete payment of the single tax is revealed during an audit, then there will be a fine. Such a fine can be 20 or 40% of the tax amount, depending on the absence or presence of intent that led to this violation (Article 122 of the Tax Code of the Russian Federation). This may result in administrative liability for company officials, also expressed in the form of fines.

IMPORTANT! Tax officials can fine an organization or entrepreneur only for non-payment or incomplete payment of taxes at the end of the year. No fines are assessed for the amount of unpaid advances (clause 3 of Article 58 of the Tax Code), but penalties are charged on them.

When to make payments

The reporting periods for the single tax on the simplified tax system are quarter, six months and nine months. Advance payments for “simplified” tax must be transferred no later than the 25th day of the first month following the reporting period (that is, quarter, half-year and nine months). Accordingly, as a general rule, the tax must be transferred to the budget no later than April 25, July 25 and October 25, 2021. Such deadlines follow from Article 346.19 and paragraph 7 of Article 346.21 of the Tax Code of the Russian Federation. At the end of the year - the tax period for a single “simplified” tax - organizations and individual entrepreneurs use the simplified tax system to summarize and determine the total amount of the single tax; for the object “income minus expenses” - a single or minimum tax. Organizations transfer these payments to the budget no later than March 31 of the following year, individual entrepreneurs - no later than April 30 of the next year.

It is possible that the “simplified” payment deadline will fall on a weekend or non-working holiday. In this case, a single tax or advance payment according to the simplified tax system can be sent to the budget no later than on the next working day after the last (Clause 7, Article 6.1 of the Tax Code of the Russian Federation).

Results

Persons who have chosen this tax regime will pay a single tax according to the simplified tax system based on the results of 2021. The tax must be paid by legal entities by March 31, 2021, and by individual entrepreneurs by April 30. The tax base and the tax itself are calculated in the declaration submitted to controllers at the end of the year. If taxpayers fail to pay the simplified tax system for the year within the allotted time frame, they face sanctions imposed by the tax authorities in the form of penalties and fines.

Sources: Tax Code of the Russian Federation

You can find more complete information on the topic in ConsultantPlus. Free trial access to the system for 2 days.

Tax calendar 2021: tax payment deadlines

Deadlines for payment of advance payments and the final amount of single tax

The deadline for making advances to the budget is the 25th day of the month following the end of the reporting period (paragraph 2, clause 7, article 346.21 of the Tax Code of the Russian Federation). Given that such periods end in March, June and September, the cut-off dates for advance payments will generally be April 25, July 25 and October 25. As we have already found out, there is no deadline for paying the simplified tax system for the 4th quarter.

If the deadline falls on a weekend or holiday, the deadline is moved to the next working day. In 2021, all three deadlines are shifted: to April 27, July 27 and October 26, respectively.

For the deadlines for paying advances in 2021, taking into account the short notices provided due to the coronavirus, see ConsultantPlus. Trial access to the system can be obtained for free.

For more information about the calculation and payment of advances under the simplified tax system, read the article “Advance payments under the simplified tax system: calculation, payment terms, BCC.”

The total amount of the single tax must be paid to the budget before the same dates provided for the simplified taxation system (STS) declaration (paragraph 1, clause 7, article 346.21 of the Tax Code of the Russian Federation). In this case, the date of submission of the declaration depends on several circumstances (Article 346.23 of the Tax Code of the Russian Federation):

• For legal entities, the deadline for submitting the simplified taxation system report is March 31 of the year following the end.
• For individual entrepreneurs - April 30 of the following year.
• Those who have lost the right to the simplified tax system will have to report no later than the 25th day of the month following the quarter in which the opportunity to work under the simplified tax system was lost.
• For those who have ceased their simplified taxation system activities, a special date has been established for the final report - the 25th day of the month following the one in which the official notification of the termination of business activities was received.

Considering that in 2021 both March 31 and April 30 are working days, taxes for 2021 must be paid exactly on these dates, without postponements.

IMPORTANT! In the event of reorganization, the deadlines for making tax payments and sending reports do not change: legal successors are obliged to pay off all tax debts to the budget for the reorganized entity (clauses 1, 2 of Article 50 of the Tax Code of the Russian Federation).

Find the KBK for paying tax according to the simplified tax system here.

Advances and tax for 2021

Organizations and individual entrepreneurs during 2021, based on the results of reporting periods, had to pay advance payments to the budget. Advance payments for the single tax in 2021 were required to be transferred to the budget no later than the 25th day of the first month following the reporting period (quarter, half-year and nine months). That is, no later than April 25, July 25 and October 25, 2018 (Article 346.19 and paragraph 7 of Article 346.21 of the Tax Code of the Russian Federation). However, due to holidays and weekends in 2021, the deadlines were shifted. For more information about this, see “Deadlines for payment of the simplified tax system in 2021.”

Deadline for payment of the simplified tax system for 2021 for LLC

Simplified organizations must pay tax advances and annual taxes, as well as submit annual and interim reports. As for other tax payments and reports under any tax systems, under the simplified tax system the rule of the Tax Code of the Russian Federation applies to postponing the deadline if it falls on a non-working day. In this case, the deadline is moved forward to the next working date. Read more about the deadline for paying the simplified tax system for 2021 for LLCs and other legal entities in Table 1.

An online calendar will help you pay the simplified tax system on time and submit reports. Just click the button below.

Answers to frequently asked questions

Question. Do I have to pay a penalty for late payment of advance payments?

Answer. According to paragraph 3 of Article 58 of the Tax Code of the Russian Federation, if advance payments are not paid on time, then no fines are provided.

Question. What sanctions are provided for late payment of advance payments?

Answer. In case of late payment of advance payments, it will be necessary to calculate and pay penalties to the budget. This follows from paragraph 3 of Article 58 of the Tax Code of the Russian Federation. Penalties must be calculated based on Article 75 of the Tax Code of the Russian Federation.