Taxes and taxation personal income tax. What is a personal income tax
In the Russian Federation, individuals who receive certain types of income are required to pay tax on them. All of them are classified into categories for residents of the Russian Federation and foreign individuals, as well as ordinary citizens and individual entrepreneurs. The latter category includes private practitioners.
The civil service of a citizen on the territory of a foreign state is not the basis for recognition as a non-resident. Residents of the Russian Federation include Russian civil and military servants. Their income is also subject to personal income tax.
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Income tax is calculated and transferred both by the taxpayers themselves and their tax agents. It depends on the type of income received. Reporting on personal income tax is required to submit directly to the persons involved in the transfer. Therefore, it is important to know who pays personal income tax and in what time frame.
Income tax is required to pay various categories of individuals. Depending on who pays personal income tax, the timing of the transfer of tax to the budget also varies. All taxpayers must report no later than April 15 of the year following the reporting year (Clause 1, Article 229 of the Tax Code). For example, the deadline for filing a declaration for 2019 is April 30, 2019.
The table shows the categories of personal income tax payers and the timing of their tax payment:
For non-fulfillment or improper fulfillment of duties of income tax payers, the law provides for liability:
Payer category | Penalties | ||
Untimely transfer of personal income tax | Untimely submission of the report (Article 75 of the Tax Code of the Russian Federation) | ||
Up to 10 working days (Clause 1, Article 119 of the Tax Code of the Russian Federation) | More than 10 working days (subparagraph 1, paragraph 3, paragraph 11 of article 76 of the Tax Code of the Russian Federation) | ||
Ordinary individuals | 5% of the tax amount for each missed month. Not less than 1000 rubles. and not more than 30% of the tax payable. | Daily penalties | |
IP | Suspension of operations on bank accounts |
Accounted income
In accordance with Article 41 of the Tax Code of the Russian Federation, income represents the economic benefit received by a citizen in the form of money or a natural product, if it can be estimated and determined according to the rules of Chapter 23 of the Tax Code.
Russians and foreigners who receive income are required to pay taxes on them. The former pay a tax on personal income from all income, regardless of whether the source is received: Russian or foreign. The second - only from income received from Russian sources.
The list of income taxed by personal income tax is presented in article 208 of the Tax Code. Moreover, it is open, which means the inclusion in their composition of any types of income that are not classified by law as non-taxable income tax. These include income from rent, sale of property, insurance payments, dividends, interest, remuneration for services or work, etc.
The list of income that is not subject to personal income tax is established by Article 217 of the Tax Code. It is closed and includes such income, for example, as unemployment benefits, pensions, alimony.
Important process notes
Submission nuances
There are two options for calculating and paying personal income tax to the budget: an individual on his own or his tax agent.
The second case relates to the work of citizens at enterprises for a salary with which the employer is obliged to calculate the income tax and transfer it to the budget. At the same time, income includes not only direct wages, but also other remuneration, including sick leave. For withheld and paid amounts, tax agents are required to report to the IFTS.
Independently calculate and pay tax is necessary for citizens who receive income in other cases:
- from actions with property;
- from foreign sources;
- from lottery wins, etc.
In order to report to the state on income received, it is necessary to fill out a declaration in the strictly established form () and submit it to the tax service within the time limits established by law. You need to report until April 30 of the year following the year of receipt of income, and pay taxes - until July 15.
Dividend Allocation Scheme
The enterprises must report to the tax service on dividends paid and the amount of income tax withheld from them by certificates and.
Dividends of Russian citizens are subject to personal income tax at the rate of 13% if they have been paid since 2019.
Deductions are not included in the calculation. The tax is calculated not on an accrual basis, but on each payment made. The calculation is affected by the receipt by the enterprise of dividends from other legal entities.
If it does not, the formula is used:
PIT \u003d Dividend x 13%
If the organization receives dividends from other companies, the calculation procedure is as follows. First, the personal income tax deduction is determined by dividing the accrued dividends of a particular participant by the total amount of accrued dividends of all participants and multiplying them by the amount received.
Who pays personal income tax and how much
The Tax Code establishes five different income tax rates, depending on the category of taxpayers and the types of income received:
9% | Minimum bid. It is established for taxation of dividends, interest on mortgage certificates and bonds issued before 2007. |
13% | The most common bid. Most of the incomes of Russian citizens are taxed on it. |
15% | It is provided for income in the form of dividends received by Russian citizens from organizations that are not tax agents (introduced since 2008). |
30% | The income of foreigners received from Russian sources is taxed, except for equity participation in the company (15%). |
35% | Maximum bid. It is taxed on winnings, interest income, prizes, etc. Since 2008, in certain cases, interest income on fixed-term pension deposits in banking institutions. |
Specific Points in Requirements
Dismissal of an employee
The Tax Code and the Ministry of Finance explain the specifics of personal income tax payments upon dismissal of an employee in a letter No. 03-04-06 / 4831 of 2013.
The date of receipt of income from the employer in the form of earnings is the last day of the working month for which payments are accrued. If an employee is dismissed within a month, the last working day becomes such date (paragraph 2 of Article 223 of the Tax Code).
The tax agent is required to transfer income tax on the day the income is paid or on the next day in the case of settlement with the employee through the cashier of the enterprise (clause 6 of article 226 of the Tax Code). The Ministry of Finance explained that these terms should be guided in the case of the last calculation with the employee.
From the foregoing, it follows that when paying the salary to the dismissed specialist, the personal income card must be transferred on the same day. In the case of remuneration from the cash desk of the organization - tax payment is allowed on the next day.
Employee-Employer Relationship
The employer calculates and pays the income tax on earnings received at the enterprise. However, he only carries out these operations and reports on them to the state. The tax burden falls on the workers themselves, i.e. 13% of income is deducted from their salary.
To the question of who actually pays personal income tax, the employee or employer, the answer is clear. The latter is a tax agent that pays tax on personal income instead of employees, but at their expense.
Details when selling an apartment
When selling personal expensive property, such as an apartment, house, land, a citizen receives income taxed by personal income tax. Therefore, it is his responsibility to independently calculate the tax and pay it to the budget. You must report on your actions to the tax office.
However, the sale of not all property is tax deductible. It is necessary to pay to the budget 13% of the income received from the sale of property held by the owner for less than 5 years. Moreover, it does not matter whether he used it or not. The time spent in the property begins the countdown from obtaining a certificate of registration.
Tax legislation provides for the possibility of reducing the tax burden on the sale of an apartment. So, the amount of tax can be reduced by using the right to property deduction. Such an opportunity is convenient when buying another residential property in the same year in which the first was sold.
It is important to know that the use of property deduction is possible only by working citizens and only once in a lifetime.
The second way to reduce tax when an apartment is sold is to take into account the expenses incurred that the seller incurred when buying a sold property.
Example: an apartment owned by a citizen for 2 years was sold by him for 2.5 million rubles. He bought it for 1.8 million rubles. As a general rule, the tax amount will be 325,000 rubles (2,500,000 x 13%). It is possible to reduce the tax base due to the costs of buying this apartment, i.e. 1.8 million rubles. Consequently, the tax will be (2,500,000 - 1,800,000) x 13% \u003d 91,000 (rubles).
To use this opportunity, the payment made for the apartment must have an official confirmation: a contract of sale with a reflection of the cost of housing.
Loans and leases
It is only necessary to pay income tax under a loan agreement if a profit is received from it, which the recipient can dispose of. This rule follows from the provisions of Articles 41 and 210 of the Tax Code. Such a loan is taxed at the usual rate of 13%.
Upon receipt of an interest-free loan, the borrower does not have economic benefits. Therefore, there is nothing to tax personal income tax. But, if such a loan is received from a legal entity, the borrower receives a benefit in the form of savings on interest on a bank loan. According to tax legislation, it is a direct income - a material benefit, and is subject to personal income tax.
In the case of a legal entity leasing premises from a citizen, it becomes a tax agent. Therefore, the company has an obligation to calculate, withhold and pay income tax on rent to the budget (clause 2 of article 226 and article 228 of the Tax Code). It is impossible to transfer this duty to the lessor, even on the terms of the contract.
The tax is calculated according to the usual rules at a rate of 13% (lessor is a citizen of the Russian Federation) or 30% (lessor is a foreigner) of the amount of the rent. It is necessary to carry out tax accrual upon making each payment. In fact, the lessor needs to transfer the amount minus personal income tax.
Insurance and service agreement
With the remuneration of contractors - individuals who are not individual entrepreneurs, the company must withhold and pay personal income tax. In addition, insurance contributions to the PFR and the FMS are paid from them. Payments to the FSS, when applicable, are not taxed.
The company pays insurance premiums for compulsory insurance against accidents at the enterprise and the receipt of occupational diseases, if this is provided for under a service agreement.
Remuneration of a citizen received under an agency agreement is subject to income tax at the rates of 13% and 30% for residents of the Russian Federation and non-residents, respectively.
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Personal income tax (personal income tax)
Personal income tax is a tax that is levied on the salary and other income of individuals, as well as on the income of individual entrepreneurs on the general taxation system (the old name is “income tax”). In most cases, the tax rate is 13%. Today we are publishing an article on Chapter 23 of the Tax Code of the Russian Federation “Personal Income Tax”. It is available in a simple language describes the procedure for calculating and paying personal income tax, tax rates, tax deductions for personal income tax and the timing of reporting. This material is part of the cycle "Tax Code" for dummies "." Please note: the articles in this series give only a general idea of \u200b\u200btaxes; for practical activities it is necessary to refer to the source - the Tax Code of the Russian Federation
- individuals who are tax residents of the Russian Federation (that is, individuals who are actually in Russia for at least 183 calendar days for the next 12 consecutive months). Residents are taxed on income earned both in the Russian Federation and abroad.
- individuals who are not tax residents of the Russian Federation (that is, individuals who are actually in Russia for less than 183 calendar days for the next 12 consecutive months). For non-residents, only income derived from sources in Russia is subject to taxation.
Tax base for personal income tax (what tax is charged on)
PIT is accrued on income, which is divided into two categories: received from sources in the Russian Federation and received from sources outside of Russia. “Russian” personal income tax income includes salaries, remuneration for work and services performed in our country, dividends and interest paid by Russian companies, proceeds from the sale or leasing of property located in the Russian Federation, and some other types of payments.
The list is open, and it contains such a clause as “other income received by the taxpayer as a result of his activities in the Russian Federation”.
The list of income from foreign sources resembles the list of "domestic" income. It is also open and contains a clause on “other income”.
What income is not subject to personal income tax
Chapter 23 of the Tax Code, devoted to personal income tax, lists income exempted from personal income tax. Among them are state benefits (except for sick leave) and statutory compensation payments.
In particular, personal income tax is not subject to compensation related to dismissal (with the exception of compensation for unused vacation) and reimbursement of travel expenses. At the same time, some types of business trips are not subject to personal income tax in full (for example, travel to and from destination), while others are within a certain limit. So, per diem is limited from personal income tax. For Russian business trips no more than 700 rubles. per day, with foreign - no more than 2,500 rubles. in a day.
Other types of non-taxable income are mentioned in the list. We add that the list is closed.
Personal Income Rates
The main personal income tax rate is 13 percent. It is it that applies to income in the form of wages and in the form of revenue from entrepreneurial activity received by individual entrepreneurs. The same rate from 2015 applies to dividends paid to residents of the Russian Federation.
For some types of income, other values \u200b\u200bare entered. For instance, for winnings and prizes in the amount of more than 4,000 rubles. per year - a rate of 35 percent.
Calculation of personal income tax
To calculate personal income tax, you need to determine the tax base (that is, the amount of taxable income) and multiply it by the corresponding tax rate. As a result, you will receive the amount of personal income tax. For income falling under different rates, the bases are determined separately. Please note: the tax base for dividends must be determined separately from other income. That is, when calculating personal income tax on dividends and personal income tax on salaries, two different tax bases should be calculated (despite the fact that the rate on these payments has been the same since 2015).
The tax base is calculated on an accrual basis from the beginning of the tax period, which is equal to one calendar year. In other words, the base is determined during the period from January 1 to December 31 of the current year, then the calculation of the tax base begins from zero.
For payments taxed at a rate of 13 percent, the base is reduced by the so-called tax deductions. In this case, it is necessary to summarize all taxable income, subtract tax deductions, and multiply the resulting figure by 13%. If it turned out that there are fewer incomes than deductions, then the base is taken equal to zero. In this case, the negative difference between income and deductions in the general case is not carried forward to the next year, and losses of previous years do not reduce the tax base of the current period.
For payments taxed at different rates, tax deductions are not applicable. Here the value of personal income tax is determined by direct multiplication of taxable income and rates. With respect to income from equity participation in an organization (that is, dividends received by tax residents of the Russian Federation) tax deductions are also not applicable (although the rate on them is 13%).
PIT tax deductions
There are five types of personal income tax deductions: standard, professional, and investment.
Standard deductions are listed in the Tax Code article. According to it, all individuals with children are entitled to receive a monthly deduction of 1,400 rubles. for the first child, 1,400 rubles. for a second child and 3,000 rubles each. on the third and each subsequent child. “Children's” deductions are provided up to the month in which the employee’s salary for the given employer, calculated on an accrual basis from the beginning of the year, exceeded 350,000 rubles.
Standard deductions for personal income tax apply only to income received from one of the employers of the choice of the taxpayer. In other words, if a person works in two or more jobs, he can receive standard deductions only in one of them.
Professional deductions are granted to individual entrepreneurs and those engaged in private practice. Also, the right to this type of deduction is available to persons performing work or services under contract agreements, and those who receive royalties (article of the Tax Code of the Russian Federation).
Professional deductions for the amount are equal to documented expenses associated with the relevant activities. In fact, the definition of such deductions for individual entrepreneurs is similar to the determination of expenses at. If there are no documents confirming expenses, deductions are provided according to the standards (for entrepreneurs this is 20 percent of the income received).
Social and property deductions for personal income tax will be of interest to those who have heard about the return or refund of personal income tax - for example, the return of personal income tax for training. Persons who have spent money on education, treatment, charity, non-state pension insurance, voluntary life insurance and additional contributions for the funded part of the retirement pension can apply for (article of the Tax Code of the Russian Federation).
Property deductions are granted to those who incurred expenses in connection with the sale, purchase or construction of real estate (article of the Tax Code of the Russian Federation).
Since January 1, 2015, the Code has been supplemented by Article 219.1 of the Tax Code of the Russian Federation “Investment tax deductions”. An investment deduction is possible, in particular, in the amount of a positive financial result obtained from the sale (repayment) of securities traded on the organized market if they have been owned by an individual for more than three years.
When a taxpayer independently calculates personal income tax
Individual entrepreneurs and private practitioners (notaries, lawyers, etc.) themselves take into account the income from their activities, calculate personal income tax and pay it to the budget.
In the general case, those who receive income from the sale and rental of property, income from winning the lottery or other gambling, as well as income from any foreign sources (the latter applies only to residents), independently calculate the tax.
In addition, the following persons must calculate and transfer taxes to the budget themselves: those who receive gifts from individuals who are not registered as individual entrepreneurs (with the exception of property, cars, and shares donated by relatives); copyright heirs to works of art, scientific discoveries, etc.
Finally, individuals are required to pay personal income tax if they receive money from an employer (or other tax agent) who, for one reason or another, has not withheld tax. In 2015 and earlier, an individual was required to independently calculate the amount of tax and file a declaration. Since 2016, tax authorities have been making calculations. They fix the received value in the notification, which is sent to the address of an individual. The latter can only transfer money based on the notification received. It is not necessary to submit a declaration.
When the tax agent is involved in calculating personal income tax
Organizations and entrepreneurs paying salaries to their employees are tax agents on personal income tax in relation to them. This means that it is the employers (and not the workers themselves) who must accrue personal income tax on the amount of salary, withhold tax and transfer it to the budget. The same rule applies to dividends that the company pays to its founders - individuals.
In practice, accounting is usually involved in the calculation, as well as withholding of personal income tax and its payment.
We give an example. Suppose that employee Fedorov’s remuneration for the worked month was 40,000 rubles. The accounting department calculated that Fedorov's payroll tax is 5,200 rubles. (40 000 rub. X 13% *). The accountants transferred this amount to the budget, and Fedorov was given 34,800 rubles in his hands. (40,000 - 5,200).
When calculating personal income tax, the accounting department of the organization - the tax agent (or IP-tax agent) does not take into account the amounts paid to the employee by other organizations or entrepreneurs. At the same time, in relation to own payments, the condition must be met: the amount of tax withheld should not exceed 50 percent of the amount of payment to the employee. Agents are required to keep records of income, deductions and withholding tax for each individual in specially designed tax registers. As a rule, the basis of such a register is Form 1-PIT and is added to it with information about the dates of withholding and transfer of tax to the budget.
In addition, agents must, at the request of individuals, issue them income statements.
Agents are not entitled to transfer personal income tax at their own expense. It is also not allowed to prescribe in the agreements that the agent undertakes to pay personal income tax. If the agent, for whatever reason, could not withhold tax from the income of an individual, then no later than March 1 of the next year, the accountant must notify both the individual and his tax office in writing (for this, the usual income statement in the form 2-personal income tax).
If the agent withheld excess tax, he must inform the employee within 10 days. He, in turn, has the right to write a request for a refund, and the agent is obliged to return the money within three months. Refund is possible due to upcoming payments on personal income tax, not only for this employee, but also for other employees of the company. In the case when this money is not enough for a refund, the agent can submit an application to his tax office, and she will transfer the missing amount from the budget.
Payment of personal income tax by an employer who hired employees
An individual entrepreneur who pays salaries to hired employees acts in two ways. He must independently calculate the tax on his income, as well as withhold personal income tax from staff salaries. Thus, IP is both a taxpayer and a tax agent. Accordingly, he needs to fulfill the obligations related to the calculation of “his” tax (calculate, pay to the budget and report to the inspection), as well as fully fulfill the duties of an agent.
Some individuals not only receive a salary, but also have other sources of income (for example, they are engaged in business, rent property, etc.). In this case, you need to distinguish between income for which you need to calculate the tax yourself, and income from which the tax is withheld by the employing agent. For "independent" income it is necessary to accrue personal income tax, pay it to the budget and report to the tax office.
When and where to list personal income tax
Now we will tell you what the terms for transferring personal income tax to the budget depend on. In general, tax agents transfer personal income tax monthly no later than the day following the day the income is paid. An exception is made for vacation pay and temporary disability benefits (including caring for a sick child). The tax withheld from these payments should be transferred to the budget no later than the last day of the month in which they are paid
Income tax must be paid to the budget at the place of registration of the tax agent. If the employing organization has one, then the tax on the salaries of its employees must be transferred to the budget at the location of the unit. In the event that a separate unit has entered into a civil contract, personal income tax with remuneration should be transferred to the budget at the location of the unit. Entrepreneurs at PSN and “imputed” must pay the tax on the salaries of their employees at the place of business (and not at the place of residence).
When paying personal income tax agents must comply with the following rule. The amount of tax in excess of 100 rubles should be transferred in the usual manner, and the amount less than 100 rubles. pay later, along with tax for the next month.
Entrepreneurs and those engaged in private practice transfer advance payments on personal income tax three times a year. The first time - for January-June no later than July 15 of the current year, the second time - for July-September no later than October 15 of the current year and the third time - for October-December no later than January 15 of the next year. The basis for the transfer of personal income tax is a tax notice sent by the inspection. Tax specialists calculate the amount of advance payments themselves on the basis of a declaration filed by the entrepreneur. The total amount of personal income tax for the tax period must be transferred to the place of registration of individual entrepreneurs no later than July 15 of the next year.
Persons who independently calculate personal income tax, but do not engage in entrepreneurship or private practice (lessors, copyright heirs, etc.) do not make advance payments. They transfer money once (no later than July 15 of the next year) at their place of residence.
Fines and penalties for personal income tax
In case when the tax agent transferred the tax late, he is obliged to pay interest on personal income tax for each calendar day of delay. The first day of delay is the date following the day when the employer was supposed to transfer (did not transfer) income tax. The last day of delay is the date preceding the date of tax transfer.
The amount of interest depends on the current Central Bank refinancing rate. Tax agents - individuals (including entrepreneurs) must pay penalties for each day of delay in the amount of one three hundredth refinancing rate, multiplied by the amount of arrears of personal income tax.
The following rules are established for tax agent organizations. If the delay does not exceed 30 calendar days, the amount of penalties for each calendar day of delay is one three hundredth of the refinancing rate, multiplied by the amount of arrears of personal income tax. If the delay exceeds 30 calendar days, the interest shall be composed of two parts. The first part is equal to one three-hundredth of the refinancing rate, multiplied by the amount of arrears of personal income tax, for each calendar day of delay, starting from the 1st and ending with the 30th (inclusive). The second part is equal to one-fiftieth refinancing rate, multiplied by the amount of arrears of personal income tax, for each day of delay, starting from the 31st.
We add that penalties in the amount of one three-hundredth of the refinancing rate for each calendar day of delay must be paid by those individuals who themselves transfer personal income tax from their income.
In addition, inspectors will impose a personal income tax penalty on tax agents who do not withhold tax from the salaries of employees and (or) do not transfer it on time to the budget. The same will happen if income tax is withheld and / or not fully paid. This penalty is provided for in an article of the Tax Code of the Russian Federation and amounts to 20% of the amount of tax subject to withholding and (or) transfer.
It is possible that a tax agent who did not withhold personal income tax from the salary and transferred it to the budget from its own funds would also have to pay a fine under an article of the Tax Code. The same applies to employers who have paid income tax before they are paid salaries. Although this is not explicitly stated in the Tax Code, this is exactly what inspectors think. Judicial practice is controversial. There are decisions made in favor of the Federal Tax Service (see ""), but there are decisions made in favor of employers (see "").
For entrepreneurs and private practitioners, there is also a penalty for non-payment or incomplete payment of personal income tax. The penalty is 20% of the unpaid tax amount. If the inspectors consider that the tax was not intentionally paid, then the amount of the sanction will be 40% of the unpaid tax amount (article of the Tax Code).
Personal income tax declaration and deadlines for reporting
The most important issue for a taxpayer or accountant is the deadline for submitting reports on personal income tax. Let's see who, how and when reports on personal income tax.
Entrepreneurs and private practitioners are required to file tax returns. Those who began to receive income in the middle of the year file a declaration indicating the estimated income. If it subsequently turns out that the actual income deviates by more than 50 percent from the expected (or from the income for the previous year), it is necessary to file another declaration, where the new estimated income should be indicated.
According to the results of the year, individual entrepreneurs and private traders submit a declaration no later than April 30 of the next year. In the case when the activity ceased in the middle of the year, the declaration must be submitted within five days from the date of termination (the tax accrued on such a declaration must be paid no later than 15 calendar days from the date of submission of the declaration).
Persons who independently calculate personal income tax, but do not engage in entrepreneurship or private practice, are required to submit a tax return on the results of the tax period no later than April 30 of the next year. In addition, those who claim social or property deductions submit an annual declaration.
Tax agents must once a year, no later than April 1, submit to the Inspectorate income statements for the past tax period in the form of 2-NDFL. They are generally filled out for each individual who received income from this company or entrepreneur. In addition, starting in 2016, tax agents are required to submit quarterly estimates for. It includes summarized information for all individuals who have received income from a tax agent. The calculation is presented during the month following the first quarter, six months and nine months. At the end of the year, 6-personal income tax is submitted no later than April 1 of the year following the reporting year.
If the company has a separate subdivision, then reporting on personal income tax in general should be submitted at the place of registration of such divisions. Entrepreneurs using PPS or "imputed", submit reports to the inspection, where they are registered at the place of business. 126 of the Tax Code). For tax agents who did not submit timely settlements in the form of 6-personal income tax, a sanction is provided for in paragraph 1.2 of article of the Tax Code of the Russian Federation. Its size is 1,000 rubles. for each full or incomplete month from the day set for the calculation.
If a tax agent obliged to report on personal income tax in electronic form, provides certificates or calculations "on paper", he will be charged a fine under article 119.1 of the Tax Code. The amount of the fine is 200 rubles. for each reference and each calculation.
Personal income tax payers, who independently submit reports on this tax, will also be held liable for the late submission of a declaration in the form of 3-personal income tax. The amount of the fine is 5% of the unpaid amount of income tax payable on the basis of this declaration for each full or incomplete month from the day that is set for the submission of the declaration. Moreover, the size of the sanction cannot exceed 30% of this amount, and should not be less than 1,000 rubles. (Clause 1, Article of the Tax Code of the Russian Federation).
* For simplicity, we considered a situation where an employee is not provided with tax deductions.
Characteristic
Individual income tax - This is a direct tax that is directly related to the income of taxpayers.
Taxpayers Individual income tax is recognized for individuals who are tax residents of the Russian Federation, as well as individuals who receive income from sources in the Russian Federation who are not tax residents of the Russian Federation.
Legal basis
In accordance with Article 57 of the Constitution of the Russian Federation, everyone is required to pay legally established taxes and fees. Laws that impose new taxes or worsen the situation of taxpayers do not have retroactive effect.
The constitutional obligation to pay taxes and fees is universal, applies to all (the principle of equality of taxpayers). The Decree of the Constitutional Court of the Russian Federation of March 21, 1997 N 5-P states - in order to ensure tax regulation in accordance with the Constitution of the Russian Federation, this principle of equality requires the mandatory consideration of the actual ability to pay tax, based on the legal principles of justice and proportionality. Also, in the field of tax relations, it is not allowed to establish additional, as well as higher tax rates, depending on the form of ownership or the legal form of entrepreneurial activity, as well as the location of the taxpayer and other discriminatory grounds.
As you know, the tax system of the Russian Federation consists of three groups of taxes: federal, regional and local.
Personal income tax (PIT) is a federal tax, that is, it is established by the Tax Code of the Russian Federation, and is mandatory for payment throughout the Russian Federation.
Individual income tax is the main tax paid by individuals. The rest are in the nature of property taxes or duties, and do not have such regularity in payment. Personal income tax is paid monthly by the absolute majority of citizens, and is also often recounted and paid at the end of the calendar year.
In accordance with Article 11 of the Tax Code of the Russian Federation, individuals are:
1. Citizens of the Russian Federation. According to Article 5 of the Law of May 31, 2002 N 62-ФЗ "On Citizenship of the Russian Federation", citizens of the Russian Federation are:
a) persons who have the citizenship of the Russian Federation on the day the said Law comes into force:
b) persons who acquired the citizenship of the Russian Federation in accordance with this Law.
2. Foreign citizens. In accordance with Article 3 of the Law of May 31, 2002 N 62-ФЗ "On Citizenship of the Russian Federation" they are persons who are not citizens of the Russian Federation and have citizenship (citizenship) of a foreign state;
3. Stateless persons, that is, persons who are not citizens of the Russian Federation and do not have proof of the presence of citizenship of a foreign state (Article 3 of the Law of May 31, 2002 No. 62-FZ "On Citizenship of the Russian Federation")
Based on Article 207 of the Tax Code, personal income tax payers are divided into two categories:
1. Individuals who are tax residents of the Russian Federation. If they are in this case the payers of personal income tax, it is understood that they received income related to the object of taxation. Tax residents are individuals who are in fact in the Russian Federation for at least 183 calendar days for the next 12 consecutive months. At the same time, the period of an individual’s stay in the Russian Federation is not interrupted for periods of his departure outside the Russian Federation if the trip was carried out for short-term (that is, less than six months) treatment or training.
It should be borne in mind that Russian military personnel serving abroad, as well as employees of state authorities and local self-government bodies sent to work outside the Russian Federation are recognized as tax residents of the Russian Federation, regardless of how long they actually stayed in the Russian Federation .
2. Individuals receiving income from sources in the Russian Federation, and at the same time not being tax residents of the Russian Federation. Accordingly, this applies to other persons who, according to Article 208 of the Tax Code of the Russian Federation, have received, including:
Dividends and interest from a Russian organization, and in addition - interest received from Russian individual entrepreneurs and (or) a foreign organization in connection with the activities of a separate division of such an organization in the Russian Federation;
Insurance payments upon the occurrence of an insured event, including periodic insurance payments and (or) payments related to the insurer's participation in the insurer's investment income, in addition - redemption amounts from a Russian organization and (or) from a foreign organization received in connection with its activities a separate division in the Russian Federation;
Revenues from the use in the Russian Federation of copyright or other related rights;
Income from leasing or other use of property located in the Russian Federation.
Subject of taxation
The subject of taxation is understood to mean persons on whom the Tax Code of the Russian Federation is entrusted with the obligation to pay this or that tax. The main category of subjects of taxation are taxpayers and payers of fees. Taxpayers and payers are recognized as organizations and individuals who are obligated in accordance with the Tax Code of the Russian Federation to pay taxes and (or) fees, respectively.
Object of taxation
According to Article 209 of the Tax Code of the Russian Federation, the object of taxation is recognized as income that was received by taxpayers - individuals, if they are tax residents of the Russian Federation, from sources in the Russian Federation and (or) from sources outside the Russian Federation.
Tax rate
In accordance with Art. 53 of the Tax Code of the Russian Federation, the tax rate is the amount of tax accruals per unit of measure of the tax base.
The tax period for personal income tax is one calendar year, and the tax rates for personal income tax are set by Art. 224 of the Tax Code of the Russian Federation. In accordance with this article, four different tax rates are provided for different types of income:
1) the general tax rate of 13%;
2) the tax rate on dividends is 9%;
3) the tax rate on mortgage transactions is 9%;
4) the tax rate on income of persons who are not tax residents of the Russian Federation, in the amount of 30%;
5) a special tax rate on certain types of income in the amount of 35%:
the cost of winnings and prizes, in part exceeding 4000 rubles;
interest income on deposits with banks regarding the excess of the amount calculated based on the current refinancing rate during the period for which interest is accrued on ruble deposits and 9% per annum on deposits in foreign currency
the amount of savings on interest upon receipt of borrowed funds in excess of the established amount
in the form of fees for the use of funds of members of the "credit consumer cooperative" (shareholders), as well as interest for the use of the "agricultural credit consumer cooperative" funds raised in the form of loans from members of the agricultural credit consumer cooperative or associate members of the agricultural credit consumer cooperative, in excess certain sizes
Taxable period
The tax period is equal to the calendar year. (Article 216 of the Tax Code)
Terms of payment
Tax agents transfer the amount of tax no later than the day of actual receipt of cash at the bank for the payment of income or the day the income is transferred to the taxpayer account with the bank.
Reflection in accounting (accrual and transfer)
Tax agents keep records of income received from them by individuals in the tax period, tax deductions provided to individuals, calculated and withheld taxes in tax accounting registers.
Until April 1 of the year following the expired tax period, tax agents shall submit to the tax authority at the place of their registration information on the income of individuals of the past tax period (Form 2-NDFL).
The specified information is submitted by tax agents in electronic form or on electronic media. With the number of individuals who received income in the tax period, up to 10 people, tax agents can provide such information on paper. (as amended by the Federal Law of 29.06.2012 N 97-FZ)
Certain categories of individuals pay tax at the place of registration of the taxpayer no later than July 15 of the year following the expired tax period. In this case, advance payments are paid by such taxpayers on the basis of tax notifications:
for January - June - no later than July 15 of the current year in the amount of 1/2 of the annual amount of advance payments
for July - September - no later than October 15 of the current year in the amount of 1/4 of the annual amount of advance payments;
for October - December - no later than January 15 of the following year in the amount of 1/4 of the annual amount of advance payments.
PIT How many percent is the amount of income? How to pay this tax and what determines its size? These and other issues related to the tax on wages and other income of an individual are considered in this article.
What is the income tax in Russia and who should pay it?
Personal income tax is a direct tax that is calculated from the difference between all income received by individuals and expenses, which are confirmed by documents drawn up in accordance with applicable law, or tax deductions.
About objects that fall under this tax, read in articles heading for personal income tax:
- "Object of taxation" ;
- “Income not subject to personal income tax (2018-2019).”
Personal income tax payers are individuals who are divided into 2 groups for the purpose of calculating tax:
- Residents of the Russian Federation - those who receive income and stay in Russia for at least 183 calendar days during the year without a break. They pay a tax of 13% of the salary (the amount of personal income tax on other income will be discussed below).
- Non-residents of the Russian Federation - those who are in the Russian Federation for less than 183 days and receive income on its territory. The amount of income tax on their income in the general case is 30%. However, for some types of non-residents, the personal income tax rate is 13%. Non-residents whose income from their main labor activities are taxed at a rate of 13% include (Clause 3, Article 224 of the Tax Code of the Russian Federation):
- workers from the EAEU countries (see an important nuance);
- patented;
- highly qualified specialists;
- refugee foreigners or asylum seekers in Russia;
- participants in the State program to assist in voluntary resettlement to the Russian Federation;
- crew members of ships flying the State flag of the Russian Federation.
How much percent of salary and other income is income tax
How much income tax will be in the end depends on what rate is subject to personal income tax. Art. 224 of the Tax Code provides 5 interest rates for personal income tax:
- 9% of the income in the form of interest on mortgage-backed bonds issued before 01.01.2007. The same rate is set from the income amounts of the founders of trust management of mortgage coverage received on the basis of the acquisition of mortgage participation certificates issued before 01.01.2007.
- 13% of personal income tax on the amount of personal income (wages, remuneration under civil law contracts, income from the sale of property, etc.). Since 2015, the same rate applies to dividends. The dividend tax base should be calculated by separating it from other income taxed at a rate of 13%.
- 15% of the amount of dividends received by individuals - non-residents from equity participation in Russian organizations.
- 30% of the sum of all other income received by non-resident individuals.
- 35% of the sums of winnings, prizes and participation in any competitions, the amount of interest on deposits in banks (regarding exceeding the established rates of the CBR rate), the amount of savings on interest on loans received, etc.
Since 2015, special rules have been in force regarding the payment of advance payments on tax from foreigners, which carry out activities on the basis of the patent system of taxation. When obtaining or renewing a patent, they must make an advance payment based on the amount of 1,200 rubles multiplied by the deflator coefficient established for the corresponding year and by a coefficient that takes into account the particularities of the regional labor market. In the subsequent calculation of personal income tax for such an employee, the advance payments paid by him must be taken into account.
NOTE! The deflator coefficient for 2019 is 1.729. The reason is the order of the Ministry of Economic Development of 10.30.2017 No. 579.
About who pays the tax on income of an employee working abroad, read the material “Personal income tax from the salary of a distance traveler working abroad: who pays?” .
How to reduce 13%: personal income tax deduction
Individuals - residents of the Russian Federation have the opportunity to use a tax deduction to reduce the income taxed by personal income tax. The most widely used of these are deductions provided to citizens for children until they reach a certain age from income to a certain amount.
There are also tax deductions with which you can return the previously paid 13% of personal income tax upon the acquisition of property, payment for training, treatment, etc. (Articles 218-221 of the Tax Code of the Russian Federation). From 01.01.2014, it became possible to receive a repeated property deduction, but with one limitation: the total amount of such deductions cannot exceed 2 million rubles.
To return from the budget previously paid 13 percent of personal income tax, it is necessary to submit to the Federal Tax Service a declaration in the form of 3-personal income tax and documents justifying the receipt of a tax deduction. Some types of deductions can be obtained from the employer.
Has personal income tax changed in 2019
The percentage of personal income tax in 2019 and, accordingly, the size of this tax have not changed. Some changes in taxation have occurred in prior periods.
So, the changes in 2017 affected fees for an independent assessment of the qualifications of an employee:
- it does not fall under the personal income tax withheld from the employee if paid by the employer (paragraph 21.1 of article 217 of the Tax Code of the Russian Federation);
- for its amount, a social deduction can be declared if it is paid by the employee (subparagraph 6, paragraph 1, article 219 of the Tax Code).
In 2018, amendments were adopted to paragraph 60 of Art. 217 of the Tax Code of the Russian Federation, which makes it possible not to tax, subject to certain conditions, the income received by an individual upon liquidation of a foreign company (law dated 19.02.2018 No. 34-FZ). These changes apply to legal relations arising from 01/01/2016.
Summary
Tax rates on personal income tax in 2019 did not change. The last change in tax rates on personal income tax was in 2015, when the rate for dividend income was increased from 9 to 13%.
Despite the relative constancy of personal income tax rates, the legislation is regularly amended regarding the procedure for calculating tax, or new tax reporting forms are introduced and the rules for filling them out are changed.
This section is devoted to the procedure for paying personal income tax (otherwise personal income tax, income tax). Such questions as:
Who is the payer of personal income tax;
Types of taxable income;
Types of income tax-free;
The concept of tax rate and tax base, types of tax rates;
The procedure for paying personal income tax.
Individual income tax payers
In accordance with tax legislation, personal income tax is a type of direct tax applicable to individuals receiving official income. This tax is the main of the main group of taxes. According to the current tax legislation of the Russian Federation, tax is calculated in the form of a certain percentage, which is taken from the total aggregate income of a citizen of the Russian Federation, with the exception of expenses that have been documented. So who is the person who must pay personal income tax to the state budget?
Persons paying income tax (tax payers) are individuals who can be divided into two main groups:
- Persons, citizens of the Russian Federation who have tax resident status, that is, are (reside) in Russia for at least 183 days (calendar). Moreover, these 183 days should be lived in Russia for a period equal to 12 months following each other.
- Persons who are not residents described above, but who receive income in the territory of the Russian Federation
It is important to remember that the Russian legislature has set a date - April 30 - which is the deadline for submitting revenue information to the tax authorities. This date applies to certain categories of citizens of the Russian Federation who are required to submit such information. But, we note that people who are not required to report on their income in the prescribed manner have the right to file a tax return throughout the calendar year, not limited to the date of April 30.
So, we will consider how, according to the Tax Code (hereinafter - the Tax Code), all individuals are divided into categories of taxpayers. Independently submit information to the tax authority on income no later than April 30 must:
- Individuals engaged in entrepreneurial activities on an individual basis (individual entrepreneurs, individual entrepreneurs);
- Persons using professional knowledge involved in income-generating activities are lawyers or notaries;
- Persons who received any remuneration without the participation of tax agents;
- Persons who received certain amounts through the sale of property;
- Persons with tax resident status of the Russian Federation on income received outside the country;
- Persons who received income, but without timely payment of tax on it with the help of a tax agent;
- Persons who win the lottery and receive winnings through the organizers of risk-based games;
- Persons who have received income from remuneration paid on condition that they are the heirs of the authors of works in literature, science or art, as well as inventions;
- Persons receiving income in the prescribed manner of donation.
Types of income from which personal income tax is levied
Not all types of income received by individuals on the territory of the Russian Federation (or outside it, as described above) are subject to income tax. The income that is subject to personal income tax include:
- Income received by an individual who has carried out a transaction for the sale of property, provided that it (property) has been in the property of the taxpayer for less than 3 years;
- Income that an individual receives from renting out his property;
- Income received from various sources located outside the Russian Federation, a citizen of Russia;
- Lottery winnings;
- Other types of income.
Types of income from which personal income tax is not paid
- Income received by an individual from the sale of property owned for at least 3 years;
- Income that was received in accordance with the legislation of the Russian Federation inheritance;
- Income regulated by the Family Code of the Russian Federation. This refers to a deed of gift concluded between members of the same family or close relatives. This rule also applies to half-children, that is, those children who have only a common father or mother.
- Other types of income.
The concept of tax rate and tax base. Types of rates in the Russian Federation
The current tax legislation of Russia in relation to individuals determines several types of tax rates. There are currently five of them. And the tax base (that is, the amount of income that will be taxed) is determined for each of the types of rates in a separate order.
- The rate of 9% is established in the following cases:
Upon receipt of income by an individual in the form of interest on ownership of bonds with the status of mortgage coverage, moreover, with the condition of issuing before January 1, 2007;
Income received by the founders of special programs for trust mortgage coverage, and an important condition is the acquisition of a certificate of participation no later than January 1, 2007.
2. A rate of 13% is established under the following conditions:
Income from the sale of property, wages, various remuneration regulated by legal acts, as well as some other types of income will be taxed by personal income tax in the amount of 13% for residents of the Russian Federation.
If the individual is not a tax resident of the Russian Federation, then a similar rate is assigned in the following cases:
Labor activity;
Labor activity, according to the law, which gives the exclusive right for foreign citizens who are highly qualified specialists to receive this personal income tax rate;
Labor activity carried out by citizens of compatriots living abroad, but independently resettled in the Russian Federation on a permanent basis. This right is enshrined in a special state program at the federal level;
Labor activity performed by the citizens of the Russian Federation as the crew of a vessel flying the flag of Russia.
Since 2015, the income of an individual in the form of dividends is taxed at a rate of 13%. Previously, such income was taxed at a rate of 9%.
3. The rate of 15% is set in the only case, upon receipt of income by citizens without the status of a tax resident of the Russian Federation in the form of dividends from Russian companies.
4. The rate of 30% is settax legislation of the Russian Federation for individuals without the status of a resident of the Russian Federation for other types of income (excluding dividends);
5. 35% rateis the maximum possible in the territory of our country and is established in the following cases:
Income in the form of a lottery prize received from its organizer;
Income from interest on deposits with banks in Russia in case of exceeding the established amount;
Income received in the form of percentage savings in obtaining a loan or a loan by a taxpayer by a resident of the Russian Federation, in excess of the specified part
Income received in the form of payment for the use of loan funds or credit to shareholders. In addition, this also includes interest on funds received from members of an agricultural cooperative in the form of a loan, again in the part when the fact of exceeding the established sizes has been proved.
The procedure for paying income tax
Personal income tax is usually calculated by the employer and paid at the same time as payroll. However, sometimes a citizen needs to independently calculate and pay tax, for example, when renting real estate. To do this, a person needs to independently fill out a declaration in the form of 3-personal income tax.
You can use several methods to pay personal income tax.
Firstly, the official website of the Federal Tax Service has a web service with which you can generate payment documents when paying personal income tax, as well as a tax return in the established form of 3-personal income tax.
Secondly, you can draw up and hand over a package of documents in person at the tax office at your place of residence. You can also find the address of the nearest tax office on the official website of the Federal Tax Service. A tax return form will be provided by the tax office.
In a number of cases provided by law, the tax paid on personal income can be returned by filling out a tax deduction. For more information about the types of tax deductions and the features of their provision, see "