Instruction manual

Learn which individual is entitled to apply in carrying out his activities. Each of the systems has its own characteristics, terms of payment of taxes and reporting forms. The entrepreneur has the right to choose a taxation and reporting system.

Consider using a general taxation system (OAS) in your business. Under such a system, an individual entrepreneur pays all necessary taxes and payments if he is not exempted from payment on appropriate grounds. Typically, this mode is used in relatively large enterprises.
Most of the taxes and contributions provided by the general taxation system are accrued and paid by you only on condition that the company is engaged in a certain type of activity and at the same time a tax base arises. Traditionally, individual entrepreneurs calculate and pay value added tax (VAT), personal income tax (PIT), property tax, insurance to the Pension Fund, Territorial Compulsory Medical Insurance Fund, Federal Compulsory Medical Insurance Fund.

The next type is the simplified tax system (STS). Its use is voluntary. As an individual entrepreneur, you are free to decide on the application of the simplified tax system and choose the object of taxation.

If you choose the simplified one, you accept the obligation to pay a single tax and are relieved of the obligation to pay:
- value added tax, with the exception of VAT payable upon import of goods into the customs territory of Russia and VAT paid in accordance with Art. 174.1 of the Tax Code.

Personal income tax (in respect of income derived from entrepreneurial activity) with the exception of tax paid on income taxed at tax rates provided for in paragraphs. 2,4,5 Art. 224 of the Tax Code of the Russian Federation.

Property tax on individuals (in relation to property used for entrepreneurial activity).

When choosing a simplified taxation system, make sure that the selected type of activity is not one of those for which it is forbidden to use STS. A list of these species is given in Art. 346 p. 2 of the second part of the Tax Code.

For some activities established in a particular region, it is possible to apply a special regime, namely the simplified tax system based on. At the same time, the region sets a fixed cost for the patent, and you, as an entrepreneur, pay it during the term of the patent. A patent is granted for a period of up to one year. In this case, you will keep a book of income and expenses, but are not required to submit a declaration. Employment is possible (no more than five people per year). A patent is valid only in the territory where it was granted.

If you are starting out as an individual entrepreneur, choose one of the types of simplified taxation system. The exception is such type of activity as or the need to transfer invoices to customers for VAT refunds from the budget.

Related videos

Sources:

• How to choose a tax system (for entrepreneurs)

Tip 2: How to choose a tax system for individual entrepreneurs in 2017

The most important stage in starting a business is the right choice of system. Existing legislation on taxes and fees allows an individual entrepreneur to choose the most suitable the system  paying taxes.

Instruction manual

The traditional or general taxation system requires the IP to pay all necessary taxes if it is not exempt from them. With this scheme, the entrepreneur must pay the following and:
  for individuals (personal income tax);
  value added tax (VAT);
  single social tax (UST);
  water tax;
  gambling tax;
  National tax;
  property tax for individuals;
  transport tax;
  land tax;
  insurance for compulsory social insurance against industrial accidents and occupational diseases.
  for compulsory pension insurance;
  and etc.
Almost all entrepreneurs pay personal income tax, VAT, UST and property tax. Payment of other taxes depends on the activities of the individual entrepreneur.

In addition to the general taxation system, there are several tax regimes, one of which is the simplified taxation system (STS). This system is and provides for the payment of a single tax, while the payment procedure remains the same. STS exempts from payment of personal income tax, VAT, single social tax and property tax of individuals.

An entrepreneur may under the UTII system (single tax on imputed income). In this case, the tax is paid only from the amount imputed by him, established by law. Such a taxation system provides for the payment of the following taxes:
  Unified social tax
  Personal income tax
  Property tax for individuals
  VAT.
At the same time, UTII does not exempt from the payment of transport, land taxes, as well as state duties, excises, etc. In addition, the taxpayer is obliged to make insurance contributions, social security contributions in case of accidents and pay personal income tax for his employees. The entrepreneur can use the UTII system if:
  In the territory where the activity is carried out, UTII has been introduced,
  The activities of an entrepreneur are referred to in local legal acts, including

Sources:

• IP: We choose the tax regime and pay taxes in 2013

It often happens that habitual work becomes unbearable, and the fast-growing internal potential of a young entrepreneur seeks a way out. In such cases, it is worth thinking about starting your own business. You should approach the implementation of your plan with all responsibility, first of all you need to carefully study the types of taxation for individual entrepreneurs and determine which one is right for you.

This is very important, because a lot depends on a correctly chosen taxation system; a mistake in this matter can lead to additional material and time costs.

What determines the procedure for taxation

There are several different types of taxation, each of which has its own characteristics.

General system  - individual entrepreneurs using this type of taxation pay a rather large number of various fees, which is not always convenient and most often requires a good accountant at the enterprise.

In order to simplify the taxation system a bit and reduce the number of probable fines, there are several special modes that make life easier for entrepreneurs:

• "Imputation"  - UTII - the amount of tax is calculated according to a certain formula in which the basic indicator and various factors are used;
• patent  - payments are a fixed amount, individual for each type of activity;
• "Simplified"  - USN is the most popular system by which the tax needs to be paid only once a year, while the calculation method can be chosen independently.

IP - which tax system to choose and not be mistaken

To choose the best tax system for yourself, you need to take into account many different factors. For example, it would be beneficial to choose a common system for those whose business partners work only with VAT. Taxes for the "community" will have to be transferred monthly; you will also have to worry about the more frequent submission of a variety of reports. Most likely, such a system is not suitable for those entrepreneurs whose activities are seasonal in nature.

In some situations, you can use both the OSNO and the USN, in order to make a choice, you need to carefully calculate everything. Imagine the most pessimistic option for business development: the profit is minimal, there are almost no customers, but you still have to pay taxes. In this case, a piece of paper, a pencil and a calculator will help you make the right choice. It is worth remembering that there are tax increases, and take this into account when calculating.

However, there are some types of activity when you don’t have to choose - a patent is required for their implementation. Nevertheless, there are nuances here: if the organization is registered in the form of an OJSC, LLC or ZAO, then the use of a patent system is unacceptable. Now let's talk about each CH in more detail.

Total tax

General taxation of IP provides for the payment of such types of payments:

• Personal income tax - 13%;
• VAT - 0 - 10 - 18% (depending on the type of activity);
• insurance premiums —30%;
• real estate tax if it is involved in the work.

In addition, individual entrepreneurs (general taxation system) also pay some other taxes, but their size is not so large compared to the main ones. The general taxation system is applicable to all types of activities and is not limited to anything, but for some forms of small business it is unacceptable.

VAT for individuals

Obviously, not all types of taxation for entrepreneurs provide for the payment of VAT. It can not be avoided if the entrepreneur is on a common CH. For everyone else, everything is not so obvious: paying VAT for UTII is completely voluntary and is provided for certain types of activities. If an individual entrepreneur carries out its “imputation” activities, but also carries out other work falling under the general assessment, it can be recognized as a VAT payer in this part.

An individual entrepreneur can be exempted from VAT in cases where the total revenue for the last three months does not exceed two million rubles. To receive such a "tax amnesty" you must provide the following documents:

• a book of sales, accounting of expenses and income, business transactions or extracts from them;
• copy of the journal of invoices (received and issued).

If the entrepreneur has changed the taxation regime (for example, from the simplified tax system to the general one) and wants to receive exemption from VAT, then you must also provide an extract from the SP income book that uses the simplified tax system.

STS

A simplified taxation system for entrepreneurs exempts entrepreneurs from paying personal income tax, VAT, income tax, property of individuals used to conduct business. The transition to the simplified tax system is voluntary, the entrepreneur retains the right to independently choose the object of taxation:

• 6% - from the “gross” income, that is, all income of the entrepreneur is taken into account;
• 15% - from “net” income, this means that the amount of expenses is taken away from the sum of all incomes, and what remains will be subject to taxation.

The simplified taxation system for IP provides for the preservation of:

• reporting procedure;
• payment of pension insurance contributions;
• payment of social insurance contributions against occupational diseases and industrial accidents;
• responsibility for the proper fulfillment of the duties of a tax agent (upon conclusion of employment contracts).

UTII

When discussing the types of taxation for entrepreneurs, one can not help but talk about the single tax on imputed income - UTII. This type of taxation does not depend on income or profit and is not applicable to all types of entrepreneurial activity. Such, for example, can be:

• repair, washing and maintenance of vehicles;
• takeaway food - “fast food” pavilions that do not have a hall for visitors;
• the provision of small household services;
• the provision of advertising services - placement on external media, head restraints in vehicles, car sides, etc .;
• trade in shops (pavilions) up to 150 m2.

The decision on the possibility of using UTII is taken by the municipal authorities. In this case, the object of taxation is imputed income (a certain assigned amount), while VAT, property tax and personal income tax are not paid. The remaining taxes due to the entrepreneur are paid in accordance with the articles of the Tax Code.

Patent

Another type of payment that IP can choose for themselves is the patent system of taxation. Such a system can be used along with OSNO, UTII or STS in those cases when your activity belongs to the list presented in paragraph 2 of Article 346.43 of the Tax Code of the Russian Federation:

• furniture repair;
• hairdressing services;
• repair and tailoring of textile, knitted and fur products;
• tutoring, organization of training courses;
• retail;
• design services;
• much more;

The procedure for carrying out IP activities (patent system of taxation) is also regulated by article 346.43 of the Tax Code of the Russian Federation.

The application of this type of taxation is impossible if:

• revenue for the year amounted to more than 64,020,000 rubles;
• activities are conducted on the basis of trust or a simple partnership agreement;
• the company employs more than 15 employees.

An enterprise operating under the conditions of PSN may not use cash registers provided that a written document is issued confirming the receipt of money: receipts, sales receipts, etc.

Unified agricultural tax

It is also necessary to mention the existence of such a form of taxation for entrepreneurs as a single agricultural tax. Only entrepreneurs who produce and process agricultural products, including forestry, fish farming, livestock farming, etc., can apply such a taxation system.

The amount of tax is calculated on the basis of the tax base multiplied by the rate of 6%, while it is possible to reduce the base by the amount of losses incurred in the previous year. The entrepreneur is exempt from property tax, personal income tax, VAT (except for imported goods).

Which is better

As you can see, the forms of taxation for individual entrepreneurs are quite diverse, and it is not possible to answer the question of which one is better or worse. It all depends on the type of activity of the enterprise, the turnover of funds, the number of employees and many other factors.

For example, the best taxation system for entrepreneurs, for which trade is the main activity (except wholesale), is most likely “simplified." If customers do not require an invoice, then this may be the least expensive and troublesome option. And if you plan to open a small hairdresser or provide services for nail extensions at home, then UTII is suitable for you. If the cost of a patent for any type of activity is lower than on other systems, then it is worth giving preference to patent taxation. Ultimately you decide, but when calculating, do not forget about some additional costs.

Other taxes

Any types of taxation for individual entrepreneurs also provide for the payment of additional contributions. In this matter, too, everything is very individual and depends on the specifics of the enterprise. Perhaps, only pension tax can be considered as general - all entrepreneurs are required to pay it, regardless of their type of activity.

Also exist in addition:

• property tax - includes property and transport taxes used in entrepreneurial activity;
• Personal income tax - is used only for basic income tax, in other cases it is charged only on the salary of employees regardless of which employer is located;
• excise;
• tax on the extraction of various minerals;
• water collection;
• land tax;
• state and customs duties;
• fees for the use of various objects of animal and aquatic biological resources;
• others.

Of course, all these payments are made only when there is an appropriate tax base, that is, the corresponding activity is carried out.

How to change the tax system

Usually, immediately after the registration of an individual entrepreneur, OSNO is applied. Further, at your request, it is possible to change the taxation of individual entrepreneurs, for which you need to submit an appropriate application within 5 business days from the date of registration or immediately in the registration process. If this has not been done, then the taxation system can be changed no earlier than the next calendar year by writing a statement within the deadlines established by law.

When registering as an entrepreneur, the first issue faced is what taxation to choose for an individual entrepreneur. To understand this important issue, we will consider taxation systems and briefly dwell on important features.

Tax systems

An entrepreneur can apply five tax systems:

• general (chapters 21 and 23 of the Tax Code);
• four special:

2) a single tax on imputed income (Chapter 26.3 of the Tax Code);

4) a single agricultural tax (chapter 26.1 of the Tax Code).

In order to choose which tax system is best for entrepreneurs, you need to know, at least briefly, about the systems used and most importantly, the entrepreneur needs to determine the criteria for his business.

What should an entrepreneur determine? Type of activity, approximate income, ratio of income and expenses, number of employees. These important factors will be needed when choosing taxation for individual entrepreneurs.

It can be said right away that if an individual entrepreneur is an agricultural producer, then it is necessary to consider a single agricultural tax (UTIF). For other IPs, this tax is not applicable, therefore, we dwell on other taxes, the choice between which IPs usually make.

An important point - now the IP has the right to voluntarily choose any of the special modes, if it meets the criteria. If not chosen, then applies the general taxation system.

Brief description of tax systems

The General System of Taxation (OSNO) is characterized by the fact that it is necessary to pay all taxes, keep records, submit quarterly reports. And if an application for the choice of taxation is not filed, then the IP automatically applies the basic tax liability. Often the main difficulty for entrepreneurs is VAT, nevertheless often entrepreneurs deliberately choose this system if they work with taxpayers on the tax liability, there are foreign counterparties, VAT is paid upon import, or entrepreneurs pay VAT as a tax agent.

Special tax regimes are characterized by the fact that they provide certain requirements for application. General - reporting is simpler, tax rates are lower, replace a number of taxes, albeit with certain reservations. For example, agent VAT must be paid for any tax system.

The simplified taxation system (STS) is very common in small and medium-sized businesses, primarily due to the fact that it applies to all types of activities, it is simple to keep records, a declaration must be submitted once a year.

However, if the tax system of the simplified tax system is selected during registration of an individual entrepreneur, then you must immediately select the object of taxation:

• income (tax rate from 1% to 6%) or
• income minus expenses (tax rate from 5% to 15%).

The tax rate is set by the law of the subject, while tax holidays can be introduced, that is, the rate is reduced to 0% under certain conditions - as a rule, refers to the first registered individual entrepreneur in relation to a certain type of activity.

Not only the tax rate, but also the balance between income and expenses should be taken into account when choosing a taxation system, which is better - a simplified tax system with an income object or a simplified tax system with an income minus expenses object.

In the event that the costs are more than 60 - 70%, it is preferable to choose the simplified tax system “income minus expenses”, however, it is necessary to take into account the need for documentary evidence of expenses.

The single imputed income tax (UTII) and the patent taxation system (PIT) are characterized in that the tax must be paid on the basis of the amount of income that the state has established. This is beneficial if the revenues are high in order to pre-determine the amount of tax and plan the costs of doing business. But it must be borne in mind that even if the entrepreneur did not receive this income, it is nevertheless necessary to pay tax. In addition, there are more stringent restrictions for these taxation systems - they apply only to certain types of activities, the number of employees is less than with the simplified tax system, physical indicators can be limited (for example, in the case of UTII - no more than 20 cars by type of activity “freight transportation” )

When and how to choose taxation for individual entrepreneurs

It is recommended to choose a tax system before registering an IP. First you need to decide on the types of taxation that IP can choose. And this applies only to special modes. You need to know the restrictions for each of the special modes, as well as the advantages and disadvantages of the special mode. Otherwise, the entrepreneur will face the fact that tax payments are higher than what he expected, and in order to change the system, one must wait until next year. The fact is that, for example, one of the conditions of the simplified tax system is the choice of taxation for individual entrepreneurs during registration.

Moreover, it is necessary to submit an application for the application of the simplified tax system within 30 days after registration, in case of failure to submit the regime, it will be possible only from the next calendar year. Moreover, if the taxpayer wants to change the object of taxation within the selected system, that is, using the simplified tax system, change the object “income” to the object “income minus expenses”, this can also be done only from the next calendar year. So with reference to Art. 346.14 of the Tax Code of the Russian Federation is explained in the Letter of the Ministry of Finance and the Federal Tax Service of the Russian Federation dated 02.06.2016 N SD-3-3 / 2511.

For OSNO, there are no restrictions - it applies to all types of activities, any income, the number of employees. And no wonder, since this regime is considered the most “strict” type, where all taxes and types of reporting apply. Therefore, if an application for choosing a taxation system for individual entrepreneurs was not submitted during registration, then when working with the special modes of UTII and PSN, the entrepreneur is automatically obligated to apply OSS to other operations (for example, when selling property).

And vice versa - if an individual entrepreneur uses OSNO, subject to the requirements, he can apply UTII or PSN even in the middle of the year when he determines the income and expenses of doing business. Therefore, we will briefly dwell on the criteria that must be determined when choosing a taxation system after registering an IP.

Type of activity and other conditions for the transition to UTII and PSN

The requirements for each tax are indicated in the corresponding chapter, we consider the main ones.

It is necessary to clearly define what kind of business an entrepreneur will be engaged in not only for registration, but also for taxation, since this is the first criterion for which type of tax to choose for individual entrepreneurs. It is necessary to find out whether this type of activity falls under the UTII (Clause 2, Article 346.26 of the Tax Code of the Russian Federation) or PSN in the territory where the individual entrepreneur plans to conduct business, whether these taxes are introduced by the laws of the subjects, and to find out indicators that affect the tax. For example, in Moscow UTII is not introduced. Therefore, if an individual entrepreneur lives and works in Moscow, then no matter how beneficial this tax is to him, he will not be able to apply it. Or, for example, online stores can not use UTII and PSN, regardless of the type of product. This means that if the type of activity is not included in the list, then it will be possible to choose which taxation is best for individual entrepreneurs only between the simplified and general taxation systems.

If UTII or PSN can be applied to activities, then there are a number of other restrictions.

So, PSN can be used only if:

• employees no more than 15 people;
• income limit - 60 million rubles per year.

And these data are summarized for all types of activities conducted by individual entrepreneurs. There are many nuances. For example, although trade can be taxed according to a patent or UTII, but when trading according to samples or under a supply contract, it is possible to use only the basic tax law of the simplified tax system (Letter of the Ministry of Finance dated 06.04.2015 N 03-11-11 / 19020).

When choosing a preferential regime, it is important to consider that in case of violation of the requirements, the individual entrepreneur will lose the right to apply this regime, income will be recalculated according to the general or simplified taxation system.

General and differences for special modes

When the IP determines which special modes it has the opportunity to apply, in order to decide which tax to choose when opening the IP, it is necessary to calculate the tax burden for each option for comparison.

UTII and PSN are paid in a fixed amount, if there is data to calculate - the type of activity and physical indicators, you can calculate the exact amount of tax. Calculation of a patent can be done on the website of the Federal Tax Service https://patent.nalog.ru/info/.

With regard to reporting, the most attractive from this point of view is the SPE, with this system reporting is not necessary at all, the individual entrepreneur receives a patent with the calculated tax amount from the tax authority. Confidence in the correct calculation of the tax, the lack of the need to prepare reports is a very serious argument for many entrepreneurs.

Another criterion is cost accounting. For STS with the object “income”, UTII and PSN production costs are not taken into account. That is, an individual entrepreneur may not document the expenses, which is a positive factor. At the same time, the individual entrepreneur can deduct the paid insurance premiums from the tax amount in all modes, except for PSN. That is why it is necessary to calculate all payments that an individual entrepreneur will have to make in order to compare options.

Thus, when asked what taxation to choose for individual entrepreneurs, it is necessary:

• find out all the requirements of each special mode;
• calculate the tax burden;
• compare the amount of tax and take into account the features of each regime.

We must remember the fundamental difference - regardless of the size of the income, and even with losses, the tax on UTII and PSN will need to be paid, and the tax on the simplified tax system and the basic tax payable only on the basis of actual income.

You open a retail store and come very close to registering a business: you already decide on the tax system. The tax regime determines the amount of mandatory payments, the frequency of reporting and the amount of indirect costs for its preparation. In other words, how much to give money, how often to report and how to respond in case of violations.

Tax systems differ not only. The main difference in orientation is that each type is convenient for a certain activity. Let's figure out how to use the taxation system to the benefit of your business.

The algorithm for determining the tax system

There is no universal recipe for choosing a tax system, but there is an algorithm that will help you navigate and choose the right one.

First step. Describe your company:

• Where will you conduct your business?
• Who are your customers: individuals or legal entities?
• What annual revenue do you expect?
• How much are the assets?
• What costs will you bear?

Second step. Analyze the tax system in Russia in relation to your type of activity: you need to determine what fees and mandatory taxes you have to pay.

Third step. Determine the optimal tax system. It is tempting to choose a system where there are fewer mandatory payments. This is logical, but not always correct. It is often more profitable to lower profits today to achieve a global goal tomorrow. For example, if you plan to actively attract investments and expand your business in the future, then it is better to immediately select an LLC and work on a common system.

5 tax regimes

In Russia, there are only five taxation regimes. Four are suitable for trade: UTII, Patent, General and Simplified systems.

OSNO, UTII, STS and PSN are suitable for trade.

The Unified Agricultural Tax (UPC) is an analogue of UTII for those who independently grow, process and sell agricultural products. For trade, in a broad sense, it is not suitable.

OSNO: a lot of documents and payments

The general taxation system is automatically applied for individual entrepreneurs and LLCs, if during the registration an application for the application of a special regime was not submitted.

A business that lives according to the OSNO rules needs a professional accountant who knows in which cases 10% VAT is applied, in which - 18%, and in which 0% at all. LLC need to fully maintain accounting and tax records, and IP - books of income and expenses, business transactions. The general tax system is not the best option for a novice businessman.

Mandatory taxes:

• At a profit. Of the amount of the difference between income and expenses - 20% or 13% of personal income tax for individual entrepreneurs.
• On property. If the organization owns real estate.
• Value added tax. Usually accounts for 18% of goods and services sold. VAT can be reduced by the amount of VAT you paid to the supplier.

The argument for and against OSNO is VAT. If you are going to work with large companies, then it is better to choose OSNO, if you are engaged in small or medium retail - choose one of the special modes.

STS: tax - once a quarter, report - once a year

The simplified tax system is the most popular: instead of three general taxes, there is only one simplified tax system. The entrepreneur pays tax per quarter, and reports once a year. Under the simplified tax system, individual entrepreneurs do not pay personal income tax and property taxes.

In the USN mode, there are two options for paying tax:

• From income  - from 1 to 6%. Suitable if you have a small amount of expenses or do not confirm them with documents.
• Revenues minus expenses  - from 5 to 15%. The option is beneficial if the share of regular expenses is up to 80% of revenue. Suitable for trading.

The size of the tax rate depends on the region, the amount of income and type of activity. For entrepreneurs there are no restrictions on the application of the simplified tax system - it is enough for an entrepreneur to write a statement about the transition to this mode.

There are restrictions for LLC:

• Staff up to 100 employees;
• Income for 9 months does not exceed 45 million rubles, and for the year - 60 million rubles .;
• There are no branches and representative offices;
• Not subject to agricultural tax.

The amount of tax can be reduced to 100% due to insurance premiums for employees. The mode is suitable if you are not going to open branches in other cities.

UTII: a fixed amount of taxes

The single imputed income tax is paid quarterly. The amount depends on the volume of retail space, the number of employees and transport, but does not depend on the actual amount of profit. UTII apply for certain types of activities, which include trade. The main disadvantage of UTII is the inability to file a zero return: even if you have not made a profit, you still have to pay taxes.

For LLC and IE, the same restrictions in the application of UTII are:

• Staff up to 100 employees;
• The area of \u200b\u200bthe trading floor does not exceed 150 square meters. m .;
• The share of another organization in the charter of an LLC does not exceed 25%;
• Not subject to agricultural tax or patent;
• UTII allowed in the subject of the federation.

At UTII, FE and LLC can reduce tax by up to 50% due to insurance premiums that are paid for employees. When making settlements with customers, the use of cash registers is not yet necessary - it is enough to issue a sales receipt.

PSN: received a patent and is free

The patent system of taxation can be adopted by individual entrepreneurs who are engaged in activities from chapter 25.5 of the Tax Code, where retail trade is mentioned, including.

Limitations for the use of PSN:

• Staff up to 100 employees;
• The area of \u200b\u200bthe trading floor does not exceed 50 square meters. m;
• Income for the year is less than 60 million rubles.

An entrepreneur working on an income tax system has withdrawn its obligation to report to the tax authorities every quarter and to pay periodic taxes. To conduct business, it is enough for him to buy a patent on time for a period of 1 month to 1 year and keep an income book.

The cost of a patent is set by local authorities, which calculate it based on possible income. Usually it is equal to 6% of the amount of possible income. PSN is beneficial for temporary and seasonal trading.

conclusions

1. If you work with legal entities that are counting on the offset of VAT, your choice is EASY.
2. A small store without branches and representative offices - USN;
3. A small store with a large and constant profit - UTII;
4. Seasonal trade, fairs - PSN.

Memo to determine the tax system.

The revenues that own business brings are subject to mandatory taxation. In Russia today, there are several fundamentally different schemes for calculating and levying taxes applicable to business entities. Individuals are entitled to make a choice between tax regimes personally, focusing on the specifics of their business.

In order to make a fair decision regarding the future tax system, it is necessary to consider all types of taxes for entrepreneurs in 2018.

Types of taxes IP applying the general taxation system

In order for an individual entrepreneur to become a taxpayer on the basic taxation system (general taxation system), there is no need to perform any additional actions. It is enough to go through the registration procedure and get a Certificate. The general regime applies to all newly made IPs in a non-declaring manner.

Taxes of an individual applying a special taxation regime

To simplify interaction with the tax service, as well as save on payments to the budget, an entrepreneur can choose one of the special tax regimes.

Important! Before filing a notice to the tax authority on the application of a particular taxation system, an individual entrepreneur must compare the type of activity he carries out with the conditions for transition to this system. In addition, some of the special regimes impose restrictions on the number of employees involved and the amount of total annual income.

Mandatory taxes for individual entrepreneurs on the simplified tax system in 2018

UTII for IP in 2018

When calculating the cost of a patent, the Federal Tax Service uses the potential income of an individual entrepreneur for the year as a tax base and calculates 6% of its value. Moreover, if a patent is acquired for a period of less than a year, its value is linked to the number of months of its validity.

Details about the benefits of PSN and the rules for its use are described in the following video:

Taxes of IP using the Unified Agricultural tax

A single agricultural tax payer may be a limited number of entrepreneurs, which includes exclusively agricultural producers.

The rules for calculating tax for this category of individual entrepreneurs are quite simple: calculate 6% of the difference between business income and operating expenses.

Obligatory taxes and contributions of individual entrepreneurs not related to the tax regime

In addition to taxes levied by the state in connection with the use of IP of a particular tax regime, there are other mandatory payments. These include:

• Personal income tax -: if an individual entrepreneur has employees, he is obliged to withhold 13% of their salary and pay to the treasury;
• contributions for compulsory insurance of employees, if any;
• contributions for compulsory pension and health insurance for themselves;
• property taxes paid by the individual entrepreneur as an ordinary individual (land, etc.);
• taxes related to industry specifics (water tax, excise taxes, etc.).

With regard to compulsory insurance contributions, it should be noted that the individual entrepreneur must make contributions for himself even if his activity is suspended. Such payments will be fixed. Their value for IP this year will be.