Many people want to start their own business, and at the very beginning of their work they most often choose the organizational form of business in the form of individual entrepreneurs. This choice is due to many advantages. This includes the ability to work in simplified modes, the ease and speed of execution, as well as the absence of the need to report where the funds received as a result of the activity go. Newcomers to the business should be well versed in what taxes should be paid by an individual entrepreneur. For this, the selected tax system is taken into account.
Types of taxation regimes
Before starting work, each entrepreneur must decide which system for calculating taxes will be used by him in the process of doing business. It depends on what taxes the individual entrepreneur will pay.
In Russia, entrepreneurs can switch to different taxation regimes if they meet their requirements. Therefore, you can choose one of the options:
- OSNO - a standard general system by which it is required to calculate and pay personal income tax, VAT and property tax on the entrepreneur.
- STS - a simplified regime, on the basis of which the IE pays only a single fee on a quarterly advance payment, and it is also required to submit one declaration per year.
- UTII allows you to pay a single tax on a quarterly basis, and its size does not depend on available cash receipts, since the calculation uses the basic rate of return established by the state with an interest rate, different ratios and a physical indicator of the business.
- PSN involves the purchase of a patent for a certain period, and during its validity it is not required to come to the Federal Tax Service at all, pay taxes or submit any reports.
- Unified agricultural tax is applied exclusively to agricultural producers, and under this regime only 6% of the profit is charged.
For each selected system, specific taxes are paid. An individual entrepreneur is additionally obliged to transfer certain funds for himself to the PF, as well as pay taxes for his officially employed workers.
Legislative regulation
The basic information on the rules for the payment of various taxes is contained in numerous articles of the Tax Code.
An entrepreneur can choose either one mode or several different systems. The Tax Code contains important information for every businessman:
- types of tax regimes in force in the Russian Federation;
- the types of fees that IP requires to transfer to the budget;
- tax calculation procedure;
- a mechanism by which you can switch from one system to another;
- the procedure for the formation and submission of reports;
- liability for offenses.
In order to determine what taxes an individual entrepreneur pays for a particular regime, one should study the basic provisions of the Tax Code:
- ch. 26.2 of the Tax Code describes the procedure for using the simplified tax system, and the tax rate is established by Art. 346.2 Tax Code;
- ch. 26.3 of the Tax Code contains information on the application of UTII;
- The patent system is governed by the provisions of Ch. 26.5 Tax Code;
- ch. 21 Tax Code includes data on the rules for calculating and transferring VAT;
- PIT is described in chap. 23 Tax Code;
- information on the rules for determining excise taxes is contained in Sec. 22 Tax Code.
Most of all taxes are paid by an individual entrepreneur when choosing OSNO. If simplified regimes are chosen by the entrepreneur, then there is usually no need to report property tax. An exception will be the situation when there is real estate for which the cadastral value is determined, and at the same time, the calculation on this indicator for different types of real estate is applied in the region. Under such conditions, it is required to calculate and pay property tax even when using simplified regimes.
What taxes are paid on the DOS?
This tax regime is considered the most complex and specific. It requires you to calculate and pay all common fees. What taxes does the sole proprietor pay on DOS? These include:
- Personal income tax. It replaces the corporate income tax. Charged from the income that the businessman receives in the process of work. Charged from the tax base 13%.
- VAT. It is calculated based on the margin available. The rate may be 10 or 18% depending on the type of activity.
- Property tax. This fee will have to be paid if the cadastral price of real estate has already been determined by BTI employees, and also in the region where the entrepreneur works, a law must already apply, on the basis of which this tax should be calculated depending on the cadastral value of the objects.
- For himself, the entrepreneur additionally makes insurance payments to the PF and FSS.
- For wage earners will have to pay personal income tax and contributions to the PF and FSS.
It requires not only the payment of taxes by an individual entrepreneur, but also the delivery of numerous and complex reporting. Therefore, if such a taxation regime is chosen, then from the very beginning of work it will be required to use the services of a professional accountant. This mode is usually chosen by entrepreneurs planning to open a serious company in which there will be a significant turnover of funds. Additionally, the IP system is suitable, which requires cooperation with counterparties that apply VAT. This is due to the fact that if the individual entrepreneur does not pay VAT, then he may lose many profitable partners.
An additional tax is paid on the income of individual entrepreneurs. In this case, the individual entrepreneur can count on a property deduction or other types of benefits and concessions from the state. This is due to the fact that he can confirm his income.
Types of taxes on the simplified tax system
STS is considered the most popular system among entrepreneurs. It is presented in two forms, therefore taxes by an individual entrepreneur can be paid in different amounts:
- 6% of all cash proceeds of the business;
- 15% of the amount received after reducing income on expenses.
You can use this mode only if certain conditions are met:
- annual income cannot exceed 150 million rubles;
- the value of assets should also not be more than 150 million rubles;
- the company should not officially work more than 100 people.
A feature of this regime is that a single tax replaces all other fees. Moreover, the tax paid by an individual entrepreneur is simple to calculate. For this, 6% can be calculated from total cash receipts, and it is also possible to determine first the difference between income and expenses, and then pay 15% from the amount received.
Reporting is submitted only once a year until April 30 of the following year. At the same time, drawing up a document is quite simple, so often entrepreneurs engage in this process on their own. It is not required to use the help of professional accountants in this mode.
Changes in the simplified tax system in 2018
Numerous changes are regularly made to tax laws. Therefore, the rules for calculating taxes and fees by an individual entrepreneur working on a simplified tax system have been slightly changed:
- Citizens who register IPs for the first time and switch to the STS can rely on tax holidays lasting up to two years, during which they do not have to transfer any funds to the Federal Tax Service;
- the tax rate can be reduced by the regional authorities to 5 or 1%, therefore, in some regions, the application of this tax regime is considered truly beneficial;
- the number of taxpayers who can use this regime has expanded, but it is still not allowed to use this system for companies with different divisions;
- a new declaration form on the simplified tax system is introduced from April 10, 2018, and such changes are due to the ability to apply new tax rates, so it will be possible to indicate a rate of 0% in the document;
- VAT will not be taken into account when calculating taxes payable, which has also become possible since 2018.
Due to the above changes, a lot of taxpayers have really appeared who want to use this regime. In simplified taxes, an individual entrepreneur can easily calculate and pay independently. The fee is small, so a low tax burden is ensured.
What taxes are paid on UTII?
This tax regime is also considered simplified. According to it, an individual entrepreneur is required to pay tax, which depends on the physical indicators of the business, basic profitability and various regional ratios. It replaces all other types of fees.
The amount of tax does not depend on how much money an entrepreneur receives during his work, therefore, does not change with time. Only private individuals operating in suitable activities, such as public catering, domestic or veterinary services, as well as passenger or freight transportation, can apply the regime.
The tax rate is 15%. When using this mode, you do not need to issue a CCP and do not even need to use the online cashier until 2019. You can work without opening a current account. To apply the regime, it is important to choose the appropriate direction of work, as well as the number of officially employed workers should not exceed 100 people.
The main changes in this regime in 2018 include:
- subjects can reduce the tax amount of an individual entrepreneur, for which the rate is not 15%, but 7.5%;
- the size of the deflator coefficient changes regularly; therefore, in 2018, K1 is equal to 1.798;
- a new declaration form for UTII has been established, which must be submitted quarterly.
The application of this regime is considered relevant only if there is information about the exact amount of income. If there are losses, you still have to pay the full fee. This is due to the fact that the size of the payment is not affected by the result of the activities of an individual entrepreneur. Taxes can be high. For example, if the hall in the cafe by quadrature exceeds 60 square meters. m, then the physical indicator will be significant. Therefore, it is not always advantageous to use UTII.
How are taxes calculated at the UST?
This fee is intended for entrepreneurs engaged in the production, processing and sale of agricultural products. Fishery companies are also included.
For this type of tax for individual entrepreneurs, a rate of 6% is established. The fee must be paid twice a year, and reporting is submitted at the end of each year.
The condition for the transition to this regime is that the income from activities in agriculture should be more than 70% of all funds received. Since 2018, it is allowed not to take VAT into account in calculating the fee.
What are the fees for PSN?
The patent system can only be used in relation to a limited number of fields of activity. They are installed at the federal level. The principle of applying such a regime is to purchase a patent for a period of one month to a year. During this time, you do not need to hand over any puffiness or transfer funds to the budget.
The price of a patent is calculated in each region in its own way, for which potential income from activities is taken into account. There are certain restrictions on the use of this mode. These include the fact that the company should not employ more than 15 people, and also the maximum profit per year is set by regional authorities. You do not need to use CCP, but it requires the Federal Tax Service from entrepreneurs to keep a book of cost and income.
Other payments
When registering an IP, a legal entity is not formed, an individual entrepreneur is an individual. The taxes paid by him are determined by the chosen taxation regime, but regardless of this system, it is required to pay mandatory payments for themselves and officially arranged workers. These payments include:
- The PF pays for itself the amount of 17,328.48 rubles. You can deposit funds in parts. If according to the reports the annual income exceeds 300 thousand rubles, then an additional 1% is paid from the difference to the Pension Fund. All funds must be paid before April 1 of next year.
- The FFOMS is paid annually 3399.05 rubles. for health insurance. At the same time, contributions do not increase with high business returns.
- For employees you have to pay 13% in the Federal Tax Service. Additionally, social insurance contributions in the amount of 2.9% and 0.2% are transferred for them. The Pension Fund pays 22% of the salary. The medical contribution is 5.1%.
When using simplified tax regimes, it is possible to reduce the tax base due to the above contributions. If there are no employed workers, then the base can be reduced by 100% of the insurance premiums paid. If there are employees, the base is reduced by only 50% of all funds transferred.
Conclusion
The choice of a specific tax regime depends on the existing line of work and other features of the activity. Based on numerous factors, it is wisely chosen which tax an individual entrepreneur will pay. If large-scale production is planned, then it is advisable to choose OSNO. For a beginner, the USN or UTII is like. For producers of agricultural products, the UCN is considered an ideal option. For hairdressers or specialists in similar areas, it is advisable to choose PSN.
The amount of taxes that have to be transferred to the state, the rules for their calculation, and the tax returns handed down depend on the choice of regime. Therefore, every entrepreneur should be responsible in choosing this parameter. When choosing simplified modes, there is no need to formalize an accountant at the first stages of work, but if OSNO will be used, then this specialist can not do.