How To Make Use Of Tax Preferences In Software Manufacturing Enterprises

At present, the high and new technology represented by information technology is advancing rapidly, and the comprehensive national strength competition characterized by the development level of the information industry is becoming increasingly fierce.

As the core of information industry and the foundation of national economic informatization, software industry and IC industry are attracting more and more attention from all over the world.

Faced with the new situation of China's entry into the WTO, it is urgent to formulate policies to encourage the development of the software industry and IC industry.

For this reason, the State Council issued a notice on the policy of encouraging the development of software industry and integrated circuit industry (6 [2000]18) in 2000, and put forward the need to speed up the development of the software industry and IC industry.

In September of the same year, the Ministry of finance, the State Administration of Taxation and the General Administration of Customs issued the notice on tax policy to encourage the development of the software industry and integrated circuit industry (fiscal and taxation [2000]25). The two documents have increased the tax revenue of the software industry in China. The main contents are: 1, from June 24, 2000 to the end of 2010, after the VAT general taxpayers sell their own software products developed by themselves, and impose vat by 17% of the statutory tax rate, they will implement the policy of imposing or returning the value of their value-added tax more than 3%.

2, the newly established software manufacturing enterprises are exempt from enterprise income tax in the first and second years, and the enterprise income tax is reduced by half from third to fifth years. Enterprise income tax is paid to the key software production enterprises in the layout of the state if the tax exemption is not granted at that time, and the enterprise income tax is reduced at 10% tax rate; the wages and training expenses of the software production enterprises can be deducted from the actual amount of taxable income; the software purchased by the enterprise can be calculated according to the fixed assets or intangible assets if the purchase cost reaches the standard of fixed assets or the intangible assets are acquired, and the years of depreciation or amortization can also be shortened appropriately, and the shortest can be two years.

3, the technology and matching parts imported by the software manufacturers to import their own equipment and imported equipment can also enjoy the preferential tariff and import value-added tax.

The national preferential policies for the software industry are time limited. Before 2010, the state gave lenient policies to enable enterprises to have ample room for development. Enterprises should seize this opportunity.

How can software manufacturers really enjoy the benefits of this preferential policy?

First of all, software manufacturing enterprises or software products must be identified by accreditation bodies. The conditions are: self development, personnel engaged in software development, the total number of employees must be over 50%, development funds account for more than 8% of annual software revenue, and annual software sales revenue accounts for more than 35% of total revenue. Among them, self produced software revenue accounts for more than 50% of software revenue, and can not be regarded as software enterprise if it fails to meet the target.

Secondly, the preferential policies of the state for software enterprises are not applicable to hardware. Enterprises that run both hardware and software must clearly distinguish themselves. Mixed accounting is regarded as hardware.

In addition, we should pay more attention to the software manufacturers that enjoy the preferential policies of "levy and retreat". The tax paid to the tax authorities over 3% should be used for research and development of software products and the expansion of reproduction.