Before starting work, each entrepreneur must solve many important issues, which include the right choice of direction of activity, and also determine the optimal tax regime. There are several systems that can be selected by beginners IP. The most commonly used simplified regimes, characterized by low taxes, ease of use and the ability to draw up simple declarations. Often, the patent system of taxation is chosen, according to which it is possible to work only in certain areas of activity.
When can I use a patent?
Often, entrepreneurs choose a patent for work. It is difficult to say which tax system is considered the best, since the advantages and disadvantages of each option should be assessed. PSN is a fairly demanded mode, but it has both pros and cons. Before writing an application for its application, it is important to assess whether the selected field of activity is suitable for this system.
If a patent system is selected, then it can be used only in certain areas of work, for example:
- creation of a photo shop;
- opening a business specializing in maintenance or car repair;
- the provision of road transport services intended for the transportation of various goods;
- shoe repair, shoe cleaning, sewing or staining;
- beauty services;
- the provision of real estate for rent, and for this you can use not only residential or commercial facilities, but also plots of land, cottages or other premises that must be properly registered for private entrepreneurship.
All types of activities in which the patent system of taxation can be used are indicated in Art. 346.43 Tax Code. Therefore, every entrepreneur before starting work must make sure that his chosen direction is included in this list.
Under the patent system of taxation, activities are strictly limited, therefore it is not allowed to work using this regime in other areas. If inconsistencies are found, employees of the Federal Tax Service will forcibly transfer the IP to OSNO, and it will not be possible to return even a part of the funds paid earlier for the patent. In addition, significant fines may be levied on the violator of the Tax Code.
How to switch to this mode?
The tax system "Patent" and its features are prescribed in the Tax Code, so entrepreneurs should carefully study Art. 346 Tax Code.
The transition to this mode is allowed by submitting an appropriate application to the department of the Federal Tax Service located at the employer's place of work. This document must be submitted 10 days before the immediate start of business.
Within 5 days after receiving the document, employees of the Federal Tax Service will create and issue a patent to the applicant. If there are grounds for refusal, the citizen shall be notified in writing of such a decision.
You can apply for a patent at the same time as applying for the direct registration of IP. If a citizen is already working on a different system, then the transition is allowed only from the beginning of the year.
Under what conditions can I use the system?
The essence of the patent tax system is that a citizen acquires a special document on the basis of which he carries out activities. Its cost depends on the chosen direction of work, as well as on the period for which it is acquired.
The use of such a system is considered beneficial for each entrepreneur, as it saves money, and it is also not necessary to regularly calculate taxes and prepare complex declarations.
The patent simplified IP taxation system is granted only on certain conditions, which include:
- private entrepreneurs should be officially employed no more than 15 people;
- revenue per year should not exceed 60 million rubles;
- during such work it is not allowed to use, in cooperation with other people or companies, a simple partnership agreement or trust management of any property.
If any of the above conditions is violated, then the employees of the Federal Tax Service may deprive the entrepreneur of the right to use a patent to calculate taxes. The same is used in case of violation of the terms of payment for a patent. It is allowed to use KKM during the application of the taxation system in the form of a patent, but at the same time it is required to issue commodity checks or receipts to customers.
If for some reason the entrepreneur loses the right to use the patent, then he can switch over not only to the basic taxation system, but also to other taxation systems provided by the STS or UTII, but for this purpose the activity must be suitable for these regimes.
System advantages
When choosing a taxation regime, many people think about buying a patent. To do this, it is advisable to study the features of each option. The differences between the general taxation system and the patent are in the number of taxes paid and documents drawn up. The same applies to the difference between a patent and the simplified tax system, UTII or the UTII.
The main advantages of using PSN include:
- It is not required to pay numerous taxes submitted by personal income tax, property tax or VAT;
- for the entire period of use of this document there is no need to prepare and submit any documents to the Federal Tax Service;
- the price of the patent does not depend on the actual profitability of the activity, therefore, if the work is successful, the fee for this document will be low, and the profit will be significant.
The tax system based on the patent is selected by entrepreneurs on their own, therefore, if they do not want to apply it even if all the requirements and conditions are met, then they can apply for the use of another regime.
PSN Cons
Such a system has not only advantages, but also some significant disadvantages. These include:
- in the first month of work, it is required to pay a certain part of the cost of the patent, and often starting entrepreneurs simply do not have funds for these purposes;
- Does not exempt a patent from the need to pay monthly payments to various state funds for themselves and officially employed workers;
- the cost of this document for insurance premiums is not reduced, which is possible when using UTII or STS.
If the entrepreneur simply does not have the means to pay for the patent, then this becomes the basis for him to be forcibly transferred to the OSNO. If an individual entrepreneur paid the full cost of the patent, and after that he lost the right to use it for any reason, he will not be able to return even a part of the funds paid.
What taxes are not paid when using PPS?
Individual entrepreneurs may not pay many taxes if they have purchased a patent. It is difficult to say which tax system is best suited for an entrepreneur, but with PPS, you can avoid paying many fees:
- Personal income tax. But this only applies to income that a citizen receives as a result of his entrepreneurial activity, and if he is officially employed by another company, this fee is transferred from his salary.
- Property tax. When paying this tax, certain conditions are taken into account. If the patent is combined with the OSNO, then the property tax will have to be paid with the real estate that is used in the main system.Also, if the property used under the PSA is included in the special list by the regional authorities, then for it you still have to transfer the fee.
- VAT. There are certain exceptions, so IPs on PSNs must pay VAT if they combine this regime with OSSO or import goods from other countries into Russia. Also, this fee should be calculated and transferred to the budget, if undertaken, invoices to its counterparties.
Often, entrepreneurs combine several taxation regimes at once. In this case, it is required to share all income, since for personal income on PSN it is not necessary to pay personal income tax, but on the basic tax expense it is necessary to calculate and pay this fee.
How long is a patent valid?
The patent-based taxation system involves the acquisition of this document for different periods of time.
Its validity period can vary from 1 month to 1 year. At the end of the period for which the patent was acquired, it should be renewed and paid, and this should be done directly at the Federal Tax Service.
Automatic renewal of a patent is not allowed.
Payment order
The patent simplified taxation system involves the purchase of a patent, which must be paid for when certain rules are taken into account.
If you purchase a document for a period not exceeding six months, then you must immediately pay the full cost of the patent. If a document is drawn up for a period of 6 to 12 months, then it is allowed to deposit funds in two payments.
How is the value of a patent determined?
The patent system of taxation implies the need to pay tax, which is calculated according to a special formula: basic rate of return * 6%. In this mode, the actual profitability of a particular business is not taken into account.
The rate is 6%, and it is maximum for PPS. Each region has the ability to reduce this indicator, and even the use of a zero rate for certain taxpayers is allowed.
The patent system of taxation for individual entrepreneurs takes into account the basic profitability when calculating the tax. It is installed separately by each region of the country. It is represented by potential income that can be received by an entrepreneur for a year of effective work. Depends on the chosen line of business.
The maximum base yield for a patent is 1 million 425 thousand rubles. Regional authorities can increase this size, which takes into account the profitability of different types of business. But such an increase cannot exceed ten times the size of the established maximum.
The basic yield is determined by the regional authorities annually, and often these values remain unchanged for several years.
Due to the low tax rate, many people often choose a patent tax system. Calculation of the value of a patent is made by employees of the Federal Tax Service, but entrepreneurs themselves can make sure that this value is correctly determined by self-calculation.
How is the tax rate set?
The maximum is 6%, but it can be significantly reduced.
Typically, regional authorities reduce this indicator for entrepreneurs working in important areas for a particular city. Additionally, individuals belonging to privileged categories, for example, invalids or parents with many children, can count on a reduction.
How long is a patent issued?
The patent system of taxation assumes that the entrepreneur himself decides on how long he acquired this document.
A maximum of 12 months is granted, and a minimum of 1 month. The last date a document can act is December 31.
Payment details
Payment of a patent for the right to use the patent system of taxation implies that if it is purchased for a period not exceeding six months, then its entire price must be paid within 25 days after receiving the document.
If a patent is bought for a longer period, then initially a third of its value must be paid within 25 days. Further, the remaining funds are paid, but this must be done 30 days before the moment when it expires.
Directly in the issued document contains information on how much money should be paid. Previously, if an entrepreneur violated these terms, then this led to his automatic transfer to OSNO. From 2017, IPs can now continue to work on PSN, but at the same time a penalty for late payments is charged. It is calculated for every day when funds for a patent are not transferred.
How are insurance payments made?
The patent system of taxation for entrepreneurs does not exempt from the need to pay insurance premiums. At the same time, there is no way to reduce the size of the patent fee using such payments. This is considered a significant drawback of this mode, since when using UTII or STS, you can reduce the tax due to insurance payments.
For entrepreneurs working on PPS, preferential rates for insurance premiums are used, presented below:
- PF transfers 20%;
- the Social Insurance Fund does not require payment of funds in case of a child’s birth or temporary disability, but 0.2% is paid for compulsory insurance against illnesses or accidents at work;
- no money is required at the MHIF.
Thus, the majority of entrepreneurs working on PPS pay only 20% for insurance. For some types of work, other payments are required:
- renting out various property belonging to the entrepreneur on the basis of the right of ownership;
- retail sale of goods using stationary retail facilities, the area of which does not exceed 50 square meters. m .;
- retail sale through stationary objects that do not have a trading floor;
- the provision of catering services that are provided on premises whose area does not exceed 50 square meters. m
In these areas of work it is necessary to transfer 22% for employees in the PF, and 5.1% in the MHIF. Compulsory insurance is paid 0.2% to the Social Insurance Fund, and 2.9% is paid for maternity and disability.
Specifics of accounting
A simplified patent-based taxation system suggests that entrepreneurs should not keep accounting. They do not need to submit any declaration or additional complex reporting.
For each patent used, a book of income and expenses is required. There is no need to transfer it to the Federal Tax Service or to certify it.
Specificity of obtaining a patent
To obtain a patent for a certain type of activity, the entrepreneur performs sequential actions:
- initially you need to decide on the direction of work;
- it turns out whether it is possible to use PSN for the selected business;
- then you need to contact the Federal Tax Service with an application for a patent, and the document indicates the period for which this document must be issued;
- you should contact the department of the Federal Tax Service at the employer's place of work;
- in the absence of any reason for the IP refusal, a patent is issued which indicates its validity period, as well as the deadlines by which a citizen must deposit funds to pay for this document.
It is taken into account that the patent is valid only in one region of the country, therefore it is important to decide in advance in which city the entrepreneur will work.
It is allowed to buy several patents at once, if you plan to work in different directions.
Application Form Rules
To obtain a patent, it is required to compile and submit to the Federal Tax Service a correctly prepared application. For this, special form No. MMV-7-3 / 544 @ is applied, approved by the tax inspectorate on July 11, 2017.
The rules for the preparation and submission of a document include:
- it contains all the information about the entrepreneur;
- prescribes for how long a patent should be obtained;
- submit a document 10 days before the immediate start of work in the chosen direction;
- it is allowed to switch to an SPE to an entrepreneur at the same time as registering the IP, therefore the application is attached to other documents intended for registration actions.
Entrepreneurs do not always receive approval for the grant of a patent, since there are certain grounds for refusal contained in Art. 346.45 Tax Code.
Why may a patent be refused?
The refusal to grant a patent may be due to various reasons. About them must be notified in writing to the entrepreneur. The main reasons for making such a decision by the employees of the Federal Tax Service are:
- it is planned to work in an area in which the use of PPS is not allowed;
- the application shall indicate the duration of the patent in excess of 12 months;
- An individual entrepreneur has no right to apply this system for any reason, for example, he employs more than 15 people, or his revenue from another system exceeds 60 million rubles a year;
- the entrepreneur has not yet paid the price of the previous patent;
- There may be errors or incomplete required fields in the application.
It is allowed to re-submit the application after correcting the inaccuracies, but the terms within which the document should be prepared should not be violated.
Differences from the simplified tax system
Every entrepreneur should understand how the patent differs from the simplified tax system. The main differences include:
- It is not required to submit the declaration quarterly;
- the amount of tax does not depend on income;
- the basic profitability of the selected business is not taken into account in the simplified tax system;
- even with losses on PSN, the full cost of the patent must be paid.
In certain situations, it is considered more advantageous to use PSN, but most novice entrepreneurs prefer to register STS. This is due to the fact that they are not sure of their future income, therefore they want the size of the tax to completely depend on the profit or revenue received.
Under what conditions can one lose the right to use an SPE?
Individual entrepreneurs operating under SPEs may lose the right to use a patent on various grounds. The main reasons include:
- late payment of funds to pay for a patent;
- annual revenue exceeded 60 million rubles;
- The entrepreneur was forced to officially employ more than 15 people.
If you lose the right to use PSN, you can again become a payer under this regime from the beginning of next year.
Thus, PSN is a fairly demanded tax system. It involves the purchase of a patent, for which tax is paid, depending on the basic rate of return and the rate established at the regional level. Each entrepreneur should understand well under what conditions it is possible to draw up and use this tax regime. It has not only advantages, but also some disadvantages. It has significant differences from the simplified tax system and other taxation systems. It is important to understand not only the rules for the transition to PSN, but also the reasons why you can be denied this process. It takes into account the grounds for losing the right to use a patent.
