|
No.
|
Deduction Items
|
Standard of Deduction /Proportion of Limit
|
Remark
|
|
9
|
Interset expense (borrow money from individuals)
|
Interest of loan of same type within the same period is deductable ( loan between non-related parties )
|
Sign a loan contract, interest of loan of same type within the same period can be deducted
|
|
Within 5 or 2 times of equity investment (Individuals of related relationship )
|
|
|
Actual amount ( Individuals of related relationship )
|
Provide documents to prove the transaction complies with the principle of independent transaction
|
|
10
|
Interset expense (Fails to pay full amount of capital within the prescribed time-limit)
|
Part of interest may not be deducted
|
Non-deductable interest= loan interest in current period *unpaid capital/loan amount in current period
|
|
11
|
Interagency payment of interest within a non-bank enterprise
|
Non-deductable
|
|
|
12
|
Housing provident fund
|
Actual amount
|
Deductabke within the prescribed scope
|
|
13
|
Fines, forfeited property losses
|
Non-deductable
|
|
|
14
|
Overdue fine of tax
|
Non-deductable
|
|
|
15
|
Sponsorship
|
Non-deductable
|
|
|
16
|
All kinds of social security contributions
|
Actual amount
|
Deductable within the prescribed scope
|
|
17
|
Supplementary pension insurance
|
5%
|
Gross payroll
|
|
18
|
Supplementary medical insurance
|
5%
|
Gross payroll
|
|
19
|
Expenses irrelated to operating income
|
Non-deductable
|
|
|
20
|
Expenses incurred from use of paid with non-taxable income
|
Non-deductable
|
|
|
21
|
Special funds of environment protection
|
Actual amount
|
Accrued according to the regulations; once purpose of expense altered is non-deductable
|
|
22
|
Property insurance
|
Actual amount
|
|
|
23
|
Personal safety insurance for workers of special types of work
|
Deductable
|
|
|
24
|
Other commercial insurance
|
Non-deductable
|
Except deductable items as stipulated by the competent financial and tax authorities under the State Coucil
|
|
25
|
Rental for fixed assets
|
Deduct evenly based on the lease period
|
Operation lease
|
|
26
|
Expenses for labour protection
|
Actual amount
|
Reasonable
|
|
27
|
Management fees between enterprises (For example： management fees paid to headquarters)
|
Non-deductable
|
|
|
28
|
The interagency rental paid within an enterprise
|
Non-deductable
|
|
|
29
|
The loyalities paid within an enterprise
|
Non-deductable
|
|
|
30
|
Dividends and other equity investment income paid to investors
|
Non-deductable
|
|
|
31
|
Corporate income tax
|
Non-deductable
|
|
