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What you need to know

The tax authorities require 3-NDFL from individual entrepreneurs using the simplified tax system only if the income was received from non-entrepreneurial activities or involves working with VAT.

The declaration must also be submitted by certain other persons conducting entrepreneurial and other commercial activities. When preparing reports, in each case there are always certain nuances, all of which must be observed.

In addition to registration, it is also necessary to strictly adhere to submission deadlines. It is very important to remember that there is a separate category of persons who have some benefits when paying taxes.

In this regard, before filing a tax return, you should definitely familiarize yourself with the current legislation.

Need for reporting

It is mandatory to submit a declaration in Form 3-NDFL to the following persons:

• notaries and lawyers practicing;
• individual entrepreneurs working under the general taxation system;
• individual entrepreneurs working under a simplified system, but who received income from the sale of a car, real estate or something similar.

When?

It is very important to comply with the deadlines for filing the 3-NDFL declaration. This document must be submitted no later than April 30 of the year following the reporting year.

In order to avoid violation of deadlines, which is subject to a fairly serious fine, you must follow all the rules for filling out 3-NDFL.

Since if there are errors, the declaration is returned for revision, after which it will be necessary to submit it again (updated 3-NDFL).

You can reduce the likelihood of errors and, consequently, delays, by observing some features of filling out the declaration:

1. The document itself must be drawn up in programs specially designed for this (Excel, 1C Accounting) or by contacting organizations that provide services of this type.
2. If the declaration is filled out manually, all letters and numbers should be written as clearly as possible.
3. Indicators must be indicated in rubles with kopecks, tax amounts - without kopecks, rounded to the nearest side.
4. Empty fields must contain a dash.
5. The form should be submitted directly to the tax office or sent by email.

The last point is especially important - since the date of filing the declaration is considered the moment it is received by the tax office.

Therefore, it is not advisable to use regular mail, as there may be delays leading to violation of the deadlines for filing 3-NDFL.

Legal grounds

Filing a 3-NDFL declaration is regulated by current legislation. The Federal Tax Service has the right to require individual entrepreneurs to submit a tax return on the basis of.

According to it, there is no need to report:

• for income received as a result of activities for which UTII is paid;
• Individual entrepreneurs using unified agricultural tax.

There is no requirement to report for taxes from which, for one reason or another, an individual entrepreneur is exempt due to the use of special tax regimes. The reason for this is.

The issue regarding the taxation of individual entrepreneurs and the form of reporting to the Federal Tax Service is covered in as much detail as possible in.

The form for filing the 3-NDFL declaration is approved by law. Came into force on February 14, 2015.

It is on this that you must rely when drawing up a document of the type in question. The personal income tax itself (it is for reporting on this fee that the 3-NDFL declaration is required) is devoted to Chapter No. 23 of the Tax Code of the Russian Federation.

Is it necessary to submit 3-NDFL for individual entrepreneurs under the simplified tax system?

Today, individual entrepreneurs operating under a simplified taxation system are not required to pay personal income tax.

It is in this regard that there is no need to generate and submit a declaration in form 3-NDFL to the tax service. The reason for this is.

But there are certain exceptions. A 3-NDFL declaration for individual entrepreneurs using the simplified tax system is required by the tax authorities if an individual entrepreneur receives any income as a result of activities that have not been transferred to UTII.

If, on the contrary, the individual entrepreneur works only with UTII, then 3-NDFL is not required to be submitted (Article No. 217, Clause 24 of the Tax Code of the Russian Federation). There is one important nuance regarding the single tax on imputed income.

If an individual entrepreneur did not switch to it from the beginning of the year, then it is imperative to submit 3-NDFL, and also attach a book of income and expenses to it.

Moreover, the transition period is not important - it was carried out 11 months before the start of the new reporting period or 1 month. In any case, the formation of a 3-NDFL declaration is necessary.

Without employees

If an individual entrepreneur does not use the labor of hired workers, then he needs to report to the tax office only for himself. There is no need to take into account the wage fund, as well as contributions to insurance funds.

If an individual entrepreneur operating under a simplified taxation system has no employees, it is enough to simply generate a single tax return. It is important to remember that the tax itself is paid quarterly.

If the individual entrepreneur on the simplified tax system worked with VAT

According to current legislation, an individual entrepreneur is not a VAT payer.

But there are some exceptions, all of them are listed in the Tax Code of the Russian Federation, namely:

These articles take into account the fact of purchasing any goods abroad or if any transactions are carried out on the basis.

It is in the presence of any transactions related to the payment of VAT that an individual entrepreneur must submit a 3-NDFL declaration within the time limits established by law.

In order to reflect VAT as accurately as possible in your tax return when it arises, you must comply with the following rules established by the Russian Ministry of Finance:

• input VAT is included in the cost of acquired fixed assets and intangible assets;
• if goods are purchased for resale for any purpose, VAT should be written off as a separate cost item (in accordance with and);
• VAT itself must be written off as an expense as previously purchased goods are sold (based on and).

Compliance with all the rules listed above will allow you to avoid questions from the Federal Tax Service to an individual entrepreneur working under the simplified tax system and filing a 3-NDFL declaration.

When submitting a document of this type to the tax service, you must attach an invoice issued by the supplier of the goods. This will justify the write-off of expenses in “input” VAT.

An individual entrepreneur working under a simplified taxation system is not required to store and provide it anywhere. However, the Ministry of Finance thinks otherwise ().

The tax authorities require 3-NDFL from individual entrepreneurs using the simplified tax system only if goods or assets appear in circulation, the cost of which includes VAT.

In other cases, an individual entrepreneur operating under a simplified taxation scheme does not file a 3-NDFL declaration.

Situational example

IP "X" operates under a simplified taxation system. This entrepreneur provided some services to LLC U, which is a VAT payer, in the amount of 120 thousand rubles.

In this case, there was no invoice; VAT is included in the cost of services. Since “X” works according to the simplified tax system, this is quite logical. But “U” is a VAT payer, so it needs an invoice.

Most often, individual entrepreneur “X” issues an invoice, and then allocates tax based on this document. The received amount is transferred to the budget.

This point is covered in detail in. If such a situation arises, individual entrepreneur “X” is required to file a 3-NDFL declaration, despite the fact that he is not a VAT payer.

In this case, there will be no consequences for individual entrepreneurs, since a fine can only be imposed on those who are VAT payers. An individual entrepreneur working under the simplified tax system does not belong to this category. However, 3-NDFL must be submitted within the deadlines established by law - before April 30.

Personal income tax is one of the most important and mandatory types of tax. It must be paid by every citizen of the Russian Federation who receives a profit. And although this tax is mandatory for everyone, many are often interested in the question, does an individual entrepreneur pay income tax under the simplified tax system?

Payment of personal income tax must be made within a certain period of time by both entrepreneurs and employees. This requirement most often confuses many businessmen who decide to switch to a simplified taxation system.

Individual entrepreneurs who do not want to spend a lot of time preparing reporting documentation most often think about using this taxation system. The only document that must be completed and submitted to the tax office in a timely manner is the declaration.

Having decided to use the ONS, an entrepreneur is faced with a choice. He must choose the tax rate. Each has its own advantages. Thus, tax deduction at one rate is carried out on the net amount of income, while another type of rate provides for tax deduction on total profit. After choosing a rate, all work with reports for the entrepreneur ends here. One of the tax rates used under the simplified tax system eliminates the need to pay a number of other taxes, including mandatory personal income tax.

And although when using the simplified tax system a merchant is not required to pay this tax, there are situations when, when using the simplified system, he still needs to make transfers of funds under personal income tax. The Tax Code of the Russian Federation says: when using the “simplified tax”, the individual entrepreneur uses one of the rates presented in this taxation system, namely 15% or 6%. These rates allow you to avoid paying other taxes.

When does a simplifier need to pay personal income tax?

Most often, a simplifier is faced with the mandatory payment of this type of tax when receiving profit from an activity that is not included in the list of the simplified tax system and the unified state register of entrepreneurs. But there may be other reasons. One of them is winning an amount exceeding 4,000 rubles. An entrepreneur can receive it by taking part in a promotion held by the manufacturer or trade organizations in order to increase interest in the products offered.

You will also need to pay tax in a situation with a borrowed amount taken from a financial institution. It is worth noting that in this case the tax rate paid will be 2/3 of the interest rate that was reflected in the refinancing agreement. This tax requirement applies to the amount borrowed in government currency. But if the amount was taken in foreign currency, then the personal income tax amount is taken from the difference obtained between the rate used, specified in the contract document, and 9%.

An individual entrepreneur working under the simplified tax system must also pay personal income tax in the case of interest and dividends received from foreign currency deposits. The rate used to calculate personal income tax is different in each deposit situation. For most types of profit, 13% is applied, but in some cases a different percentage rate is used. Thus, winnings received in a promotion or lottery are taxed at a rate of 35%.

Personal income tax payment

Every individual entrepreneur working under the simplified tax system, but who has received profit from a type of activity that is necessarily subject to personal income tax, has to deal with personal income tax. It is not difficult to understand the scheme for individual entrepreneurs working on the general taxation system with personal income tax. It provides for quarterly transfer of funds for the specified tax.

Simplified people who have received income eligible for personal income tax pay tax a little differently. In this case, it is transferred once a year until April 30 of the new year following the expired tax period. In addition to paying personal income tax, the individual entrepreneur is also required to submit a tax return with information about personal income by this deadline.

It is worth noting one more small nuance regarding deductions. Merchants operating under the simplified system are deprived of the right to apply for a deduction, even if there are compelling reasons for this procedure. But when paying personal income tax, the simplifier has the right to carry out the tax refund procedure. To do this, he will only need to prepare the appropriate documentation.

Wage-earners

Despite the fact that the simplified tax system eliminates the need to pay personal income tax, individual entrepreneurs also have to deal with it when hiring employees. By going through the registration procedure to obtain employer status, an individual entrepreneur becomes a tax agent for the workers he hires. With the receipt of this status, among his responsibilities, in addition to paying the simplified tax system, there is also the transfer of tax amounts to the budget for the employees working for him.

Despite the fact that the businessman in this situation is obliged to transfer personal income tax from the income of employees, he himself pays it only in the case of income received from sources and activities not included in the simplified tax system list.

Payment of personal income tax is a mandatory condition for every citizen of the Russian Federation who receives a profit. However, the question of whether personal income tax for individual entrepreneurs is subject to the simplified tax system is of interest to many businessmen who have chosen a simplified taxation system. As you know, it is paid by employers, employees, and even those who receive income from outside sources. However, for some businessmen an exception has been made in tax legislation. Given this fact, many individual entrepreneurs are interested in the question of whether an individual entrepreneur pays income tax under the simplified tax system for himself.

"Simplified" and taxation

If a businessman does not want to spend a lot of time on reports, he tries to choose one of the simple tax regimes, of which there are 4 for individual entrepreneurs. One of the convenient options is the simplified tax system. The good thing about the simplified system is that the entrepreneur does not have to spend much time on reports, since everything comes down to one declaration, which is submitted once a year.

Businessmen who have chosen a simplified system have a choice between paying a single tax on all profits or only on net income, that is, minus expenses. At this point, for an individual entrepreneur using the simplified tax system, work with reports can be completed. The thing is that in a standard situation, other types of fees will not have to be paid to the state treasury. This also applies to personal income tax.

However, it must be taken into account that various situations occur in the work of an individual businessman. Some of them oblige an individual businessman who works on a simplified system to pay income tax.

Russian tax legislation states that individual entrepreneurs using the simplified tax system must pay only one tax at a fixed rate of 15 or 6%. At the same time, for all types of activities indicated in a special list, which is compiled at the stage of registration with the tax authority, there is no need to pay personal income tax for individual entrepreneurs using the simplified tax system. This is one of the main advantages of “simplified”.

However, in cases where an entrepreneur receives profit from activities that are not included in the list and the Unified State Register of Individual Entrepreneurs, he will have to pay income tax.

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In what cases is personal income tax paid using the simplified tax system?

Will not be exempt from paying income tax under the simplified tax system for individual entrepreneurs and in some other situations. For example, a businessman is in any case obliged to pay this tax if he receives a winning amount exceeding 4,000 rubles. We are talking about those promotions that are organized by manufacturers and trade organizations to attract interest in their products.

A simplified individual entrepreneur must pay income tax if he received a loan from a financial institution. The rate in this case will be 2/3 of the interest rate under the refinancing agreement. If the funds were issued in foreign currency, then the amount of personal income tax will be equal to the difference between the contract rate and 9%.

In addition to the fact that an individual entrepreneur working under the simplified tax system must pay income tax on profits from activities that were not indicated during registration, funds received by the individual entrepreneur from other organizations must also be added to the tax base.

Here we are most often talking about interest on foreign currency deposits and dividends.

Interest rates are determined based on where the profit was earned. For personal income tax, 13% is mainly used, but larger payments are also provided for some profits. For example, from the material benefits received by participating in promotions and lotteries, individual entrepreneurs will have to pay 35% to the state treasury.

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Payment of income tax using the simplified tax system

As mentioned above, the simplified tax system relieves an entrepreneur of the need to pay personal income tax, but this applies only to the profit that was received from a specific type of activity specified when registering with the tax office. The remaining income of the individual entrepreneur will have to pay income tax on a general basis.

If businessmen working on the general tax system are required to pay personal income tax every quarter, then for those who have chosen the “simplified tax system” and received additional income on which they need to pay income tax, the frequency of this procedure does not exceed once a year.

An individual entrepreneur can pay until April 30 of the year following the expired tax period. In addition, he will have to file a personal income tax return. This must also be done no later than April 30.

In addition, it is worth noting that in a normal situation, an individual entrepreneur using a simplified taxation system does not have the opportunity to issue a deduction even when he has grounds for this.

In a situation where personal income tax has been paid to them, the businessman has the right to receive the due tax refund by filling out all the paperwork for this.

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Personal income tax for employees

Despite the fact that an individual businessman working on a simplified tax system does not have to pay income tax in most cases, if he has hired employees, then payments must be made for them.

If an entrepreneur registers with the Pension Fund as an employer, he becomes a tax agent for his employees. That is, his responsibilities now include paying contributions to funds and the state treasury for his employees.

Personal income tax is calculated based on the tax base. For hired employees, it is the salary accrued for the month. From this amount it is necessary to calculate income tax and pay it to the state budget. The interest rate is presented in two options. For residents of the Russian Federation it is 13%, and for non-residents of the country - 30%.

It is mandatory to submit a personal income tax return within the established time frame. It must be submitted to the tax office for review once a year.

In conclusion, it is worth noting that in all special regimes, including the simplified system, the payment of personal income tax for the individual entrepreneur himself is not provided. That is, income tax is not paid either on a patent, or on UTII, or when using the Unified Agricultural Tax. Mandatory transfer of 13% of all income is provided only under the general taxation system. But even here you need to take into account some nuances, since the interest rate can vary from 9 to 35%.

Personal income tax (NDFL) is the main type of direct taxes levied on individuals based on the funds they own. In the structure of expenses of individual entrepreneurs, a significant part is made up of taxes and contributions to extra-budgetary funds. At the stage of starting a business, you need to familiarize yourself with the list of taxes that an individual entrepreneur is required to pay and the procedure for calculating them.

Regardless of the taxation system, individual entrepreneurs are required to pay the following taxes:

• Transport tax;
• personal income tax;
• Land tax;
• Property tax for individuals and other taxes established by the Tax Code of the Russian Federation.

The simplified tax system is a tax regime for small and medium-sized businesses. The simplified tax system assumes a minimal tax burden and simplified accounting. The main taxes paid by entrepreneurs in other taxation systems are replaced by a single tax under the simplified tax system. Accounting is kept in a special book for recording income and expenses, the individual entrepreneur’s declaration is submitted once a year, advance payments are made once a quarter.

Under the simplified system, the taxpayer independently selects the object of taxation and pays a single tax at the established rate:

• Income – tax rate 6%;
• Income reduced by expenses – tax rate 15%

Do individual entrepreneurs need to pay personal income tax using the simplified tax system?

Some taxes established by the Tax Code of the Russian Federation are not paid by individual entrepreneurs using the simplified tax system. These include:

• personal income tax;
• Property tax (if the property is not reflected in the cadastre).

An individual entrepreneur can carry out its activities either independently, that is, alone, or hire employees. That is why disputes arise regarding the obligation of individual entrepreneurs to pay personal income tax.

Let’s dot the “i”s by considering 2 situations:

• An entrepreneur works independently - in this case, the individual entrepreneur is exempt from paying personal income tax, since it is included in the tax paid by the individual entrepreneur annually under the simplified tax system. At the same time, individual entrepreneurs using the simplified tax system are not exempt from paying fixed contributions to the Pension Fund and the Federal Compulsory Medical Insurance Fund. Today, an individual entrepreneur is required to contribute 23,153 rubles 33 kopecks per year to extra-budgetary funds.
• An entrepreneur hires external workers - in accordance with the legislation of the Russian Federation, the employer is obliged to calculate and transfer personal income tax for each employee. The amount of personal income tax is 13% of wages.

Also, the individual entrepreneur must transfer contributions to extra-budgetary funds for each employee. Moreover, if an individual entrepreneur pays contributions for himself once a year, then for employees it is necessary to do this every month. Personal income tax is also paid every month.

Summarize. Individual entrepreneurs who are on a simplified taxation system are exempt from paying personal income tax if they work alone without hiring employees.

When hiring employees, an individual entrepreneur is required to pay monthly personal income tax for each employee in the amount of 13% of wages and make payments to extra-budgetary funds - the Pension Fund and the Federal Compulsory Medical Insurance Fund.

Individual entrepreneur - taxes and other payments

When starting your own business, it is very important to choose the right tax system. For example, for federal companies, especially with foreign participation, it is important that counterparties are VAT payers, so for some individual entrepreneurs VAT is a necessity. It is much easier to pay taxes under the simplified tax system, so some individual entrepreneurs, having initially chosen, for example, UTII, can switch to a simplified tax system. The simplified tax system allows you to quickly receive, process documents necessary for, etc.

The list of taxes and the procedure for their calculation are determined based on the taxation system used. Today there are 4 types of individual entrepreneur taxation:

• OSNO – pays personal income tax, VAT, property tax;
• STS – pays a single tax once a year, does not pay personal income tax, VAT, property tax;
• – pays a single tax, is exempt from VAT, personal income tax, property tax, etc.;
• Individual entrepreneur on a patent - pays the cost of the patent for a period of 1 month to a year, the cost of the patent depends on the potential income

It is worth noting that UTII and the patent system are applicable to certain types of activities specified in the Tax Code of the Russian Federation.

Changes in the Tax Code in 2017

Traditionally, the beginning of the year is marked by changes in various areas of activity of Russians. This also applies to Tax legislation. According to experts, despite the difficult economic situation in the country, a significant increase in the tax burden is not expected in 2017.

Other sources will be sought to finance the budget deficit, since small and medium-sized businesses will no longer bear additional expenses.

The main innovation of 2017 is the return of the Unified Social Insurance Tax (ESS). It will replace contributions to pension and health insurance for individual entrepreneurs and LLCs, which are currently administered by the Pension Fund. The ESSS will improve payment discipline, thereby increasing tax collection. The responsibility for collecting the ESSS passes to the Federal Tax Service, which has significantly more tools than the Pension Fund. The Tax Service will administer current payments and collect arrears for the previous year.

Entrepreneurs are trying to reduce costs not only for tax deductions, but also for accounting. These reasons explain the choice of one of the special tax regimes. The most common among them is the simplified tax system. The transition to a simplified taxation regime raises a number of questions regarding personal income tax deductions: does an individual entrepreneur pay personal income tax for himself under the simplified tax system in 2019 or only for employees. The article will tell you in detail about the obligation to pay personal income tax.

Before moving on to the question of whether to pay personal income tax to an individual entrepreneur using the simplified tax system, it is necessary to understand what personal income tax and the simplified tax system are, and what obligations an individual entrepreneur has “in simplified terms.”

For entrepreneurs, tax legislation allows the use of special tax regimes that allow replacing several taxes with one and reducing the size of the tax burden, these include:

• Simplified tax system – the use is beneficial for individual entrepreneurs with a small number of employees, the distinguishing feature is the simplicity of accounting;
• UTII - use is permitted for a limited number of activities. Income is assessed by physical indicators;
• PSN – is based on obtaining a patent, which gives the right to conduct certain activities for a period of up to 1 year. There is no need to submit declarations;
• Unified agricultural tax - intended only for individual entrepreneurs engaged in agricultural activities.

The listed forms imply payment of a single tax, which exempts individual entrepreneurs from:

• Personal income tax (with the exception of some income);
• property tax for individuals;

“Simplified” makes it possible to significantly reduce the amount of budget contributions, make reporting a simple and understandable process, and also independently choose the tax base.

At the same time, it is mandatory for entrepreneurs to make 4 groups of payments to the budget:

1. When working alone, contributions to the Pension Fund and health insurance are made “for oneself” (starting from 2017, contributions must be made to the Federal Tax Service).
2. For hired employees.
3. Profit tax based on the applicable tax base (“income” or “income minus expenses”).
4. Other deductions - fees according to the line of business, for example, companies engaged in the extraction of mineral resources, production and sale of excisable goods are required to make tax payments.

Russian legislation determines the obligation of entrepreneurs to pay tax at a fixed rate of 6 or 15%, depending on the chosen base. The main document of an individual entrepreneur on the simplified tax system is the Book of Income and Expenses.

In turn, personal income tax refers to direct taxes, the calculation is carried out as a percentage of total income. The rate is 13% for residents, 30% for non-residents.

Tax payers are:

1. residents - persons staying more than 183 days per year on the territory of the Russian Federation;
2. non-residents who receive income from sources in Russia;
3. Individual entrepreneurs are a separate category of payers.

Personal income tax is an alternative to income tax when entrepreneurs apply the main tax regime.

Individual entrepreneurs have the right to act as an employer, hire staff, and make entries in work books. When employees appear, the individual entrepreneur has an obligation to make insurance contributions.

Should an individual entrepreneur pay personal income tax for himself under the simplified tax system? As previously mentioned, the simplified tax system exempts from payment of personal income tax on income received from the main and additional areas of business, if they were recorded during registration. However, there are exceptions under which personal income tax for individual entrepreneurs on the simplified tax system, who do not have employees, is required to be paid.

Individual entrepreneurs must pay personal income tax to the simplified tax system in 2019, despite the fact that the activity is carried out without employees, in the following cases:

• upon receipt of winnings in competitions organized by manufacturers and trade organizations to promote products, over 4,000 rubles;
• when applying for loans from financial companies. The rate is 2/3 of the refinancing rate and the interest rate under the agreement, the difference between 9% and the actual rate for loans in foreign currency;
• when deriving income from activities not specified during registration, as well as from dividends and foreign currency deposits.

The income tax of individual entrepreneurs in such cases is calculated at 13%, however, a higher rate can also be used, for example, if you win the lottery, the individual entrepreneur will have to pay 35%. In the above cases, the entrepreneur must report on the income received by submitting a declaration in form 3-NDFL.

The use of a simplified taxation regime does not exempt an entrepreneur without hired personnel from making mandatory contributions “for himself.” In 2019, their amount is fixed, amounting to 26,545 rubles. and 5840 rubles, pension and health insurance, respectively.

When an individual entrepreneur’s income for the year exceeds the standard of 300 thousand rubles, it is necessary to additionally pay 1% of the difference between the actual and standard volume.

If an individual entrepreneur has decided to hire personnel, it is necessary to register with the Pension Fund as an employer. From this moment on, he acts for hired personnel as a tax agent, i.e., a person who is entrusted with the responsibility for calculating, withholding and transferring taxes to the budget. Personal income tax is required to be withheld from employees with whom contractual relations or GPC have been concluded.

Since the beginning of 2016, tax agents have made personal income tax deductions no later than the day following the day on which the income was paid to the taxpayer. This procedure is the same for all categories of remuneration payments, except for the tax withheld from payments for sick leave (including for caring for a sick child), which is transferred no later than the last day of the month in which the payment was made. Payment of an advance is not the basis for calculating personal income tax. The tax can be calculated according to the formula:

Personal income tax = (monthly total income of the employee - tax deductions) x 13%

Providing tax deductions is available to certain categories of citizens, for example, those who purchased an apartment or spent money on their own education or the education of a child. They are divided into several categories: social, professional, property and standard.

Tax agents are required to submit reports on employees to the following authorities:

• Federal Tax Service (6-NDFL, 2-NDFL, average number of employees, calculation of insurance premiums);
• Pension Fund (information about insurance experience, SZV-M);
• FSS (4-FSS).

6-NDFL – a report is compiled and submitted to the Federal Tax Service quarterly. The form has been approved by the tax authorities. Information about the employer, remuneration paid, the amount of deductions, the date of actual receipt of income by employees (for the entire period), deductions and transfers to the budget are entered.

It must be filled out according to regulated rules, the main ones of which are:

• Handwriting is permitted only in purple, blue and black ink. The use of a corrector is prohibited;
• There should be no empty cells, they must be filled in with dashes;
• income is indicated in ruble equivalent, in fractional numbers, indicating kopecks;
• the tax is reflected in rubles, without indicating kopecks, rounding is carried out according to a general mathematical principle;
• one OKTMO – one report;
• numbering on a continuous basis.

2-NDFL certificates must be drawn up based on information from the tax register individually for each employee. It must be submitted to the tax authorities before April 1, once a year.

It is possible to submit a certificate:

• in paper form – if the number of employees is less than 25 people. It can be delivered in person or by registered mail. With the latter method, tax officials draw up an act in two copies, which serves as confirmation of the transfer of information;
• electronically – on removable media or via the Internet (with more than 25 employees). If you choose the latter method, the tax authorities will notify you of receipt of the report by reply letter within 24 hours.

Information on the average number of employees must be submitted once a year, before January 20. Information on insurance experience is also required to be submitted once a year, before March 1. An innovation is the SZV-M report, which was introduced in the spring of 2016. Rented every month, contains information about the employer and employee data: full name, SNILS, INN. Form 4-FSS is designed to reflect information about contributions for employees for injuries that were accrued and paid by individual entrepreneurs.

For violation of deadlines for submitting reports, as well as the lack of information on any of the employees, or if the information is unreliable, a fine is imposed on the individual entrepreneur. Also, in cases where 6-NDFL is not received by the Federal Tax Service within 10 days from the established date for filing the report, the tax authorities have the right to suspend transactions on the current accounts of individual entrepreneurs.

When starting your own business, it is important to make the right choice of taxation system. For example, if you plan to cooperate with federal companies, it is important to be a VAT payer. At the same time, calculating taxes using the simplified tax system is easier, as is keeping reports. When choosing this mode, it is important to remember about mandatory payments: deductions “for yourself” and employees, as well as personal income tax. Summing up the article, we can answer businessmen who are wondering whether an individual entrepreneur pays income tax under the simplified tax system about the importance of analyzing factors whether they are personal income tax payers or act as tax agents. It is important to remember that only compliance with tax laws will help you conduct business without additional costs of fines and penalties.