What are the benefits of annual settlement? Does everyone have to do it?

At present, the settlement of individual taxes is still in full swing. Many people don't know the benefits of annual tax settlement, and don't know whether it meets the requirements. Next, Deep Space will explain them one by one for you.

What are the benefits of annual settlement?

1. Better protect the legitimate rights and interests of taxpayers.

2. Calculate the annual personal income tax payable by taxpayers' comprehensive income more accurately.

3. Pre-tax deduction that can be enjoyed during annual settlement.

4 taxpayers and their spouses, minor children eligible for serious illness medical expenses.

5. Taxpayers meet the conditions of children's education, continuing education, housing loan interest or housing rent, special additional deduction for supporting the elderly, expense deduction, special deduction and other deductions determined according to law.

Taxpayer's eligible donation expenditure

For example; Taxpayers who fail to declare and deduct the eligible donation expenses in the withholding and prepayment stage can enjoy the deduction through the annual final declaration, and will also involve the adjustment of the tax payable to eliminate the "difference".

Does everyone need to make an annual settlement?

Not everyone needs to apply for annual settlement, and the conditions are as follows:

1, the annual comprehensive income is less than 60,000 yuan, but personal income tax is usually paid in advance.

2. There are special additional deductions that meet the enjoyment conditions, but they are not deducted when paying taxes in advance.

3. Inconsistent preferential tax policies are caused by employment, resignation or no income in certain months.

4. If you are not employed by the company and only get the income from labor remuneration, manuscript remuneration and royalties, all kinds of pre-tax deductions will be made through annual settlement.

5. The withholding tax rate of remuneration for the use of intermediary services, remuneration for manuscripts and royalties is higher than the annual applicable tax rate for comprehensive income.

6. When paying taxes in advance, he did not enjoy or did not fully enjoy the comprehensive income tax preferential treatment.

7. There are eligible charitable donations and expenditures, but taxes have not been deducted in advance.

Who needs to deal with it?

According to the provisions of the tax law, taxpayers need to apply for annual settlement in any of the following circumstances:

(a) the advance tax is greater than the annual tax payable and applies for tax refund;

(2) The annual comprehensive income exceeds 6,543,800 yuan+200,000 yuan, and the amount of tax payment exceeds that of 400 yuan.

Enjoy pre-tax deduction

The taxpayer may apply for deduction or supplementary deduction during the annual settlement period if the following pre-tax deduction items have not been declared or fully deducted to a certain extent:

(a) taxpayers and their spouses, minor children meet the conditions of serious illness medical expenses;

(2) Taxpayers' eligible special additional deductions such as children's education, continuing education, housing loan interest or housing rent, and support for the elderly, as well as expenses deduction, special deduction and other deductions determined according to law;

(3) Taxpayers' eligible donation expenses.