Excess tax refund policy

This year’s new tax refund policy has three major features: First, it focuses on “small and micro enterprises and key supported industries”; second, it refunds both “incremental tax credits and existing tax credits”; third, it is “institutional” , one-time and staged” arrangements simultaneously. Specifically, the new policy mainly includes two categories: First, the small and micro enterprise tax credit refund policy, that is, in 2022, the existing tax credits for qualified small and micro enterprises in all industries will be refunded in one go, and the incremental tax credits will be refunded on a monthly basis. The second is the tax credit refund policy for manufacturing and other industries, which applies to "manufacturing industry", "scientific research and technical service industry", "electricity, heat, gas and water production and supply industry", "transportation, warehousing and postal industry" Eligible enterprises in the six industries of "software and information technology services industry" and "ecological protection and environmental management industry" will receive a one-time refund of the existing tax credits and a full refund of the incremental tax credits on a monthly basis. Five issues are highlighted here:

First, expand the scope of the policy of monthly refund of incremental excess tax credits for advanced manufacturing industries to all small and micro enterprises and six key industries, and make it a policy long-term policy. Second, all eligible small and micro enterprises and enterprises in manufacturing and other industries will be refunded the existing retained tax credits formed before April 1, 2019. This tax refund policy for inventory destruction is a one-time policy. The “one-time” here means that after the taxpayer obtains the existing excess tax refund, he will no longer have the existing excess tax credit. Third, the universal tax refund policy implemented in 2019 sets a tax refund threshold of "the incremental tax credit for six consecutive months is greater than zero, and the sixth month is no less than 500,000 yuan." This is This tax refund threshold will be phased out for small and micro enterprises this time. Article 1 of Announcement No. 14 stipulates that the implementation period is before December 31, 2022. Fourth, the applicable subjects of the excess tax refund policy for small and micro enterprises and manufacturing industries include not only enterprises, but also individual industrial and commercial households that calculate taxes according to the general tax calculation method. Fifth, from the perspective of policy classification and conditions, there may be overlap in the applicable subjects of the tax credit refund policy for small and micro enterprises and the tax credit refund policy for manufacturing and other industries. In other words, a certain taxpayer, such as a small and micro enterprise in the manufacturing industry, can both The tax credit and refund policy for small and micro enterprises can also be applied to the tax refund policy for manufacturing and other industries. Taxpayers can choose to apply it independently, and the effect of the policy implementation is the same.