Personal income tax and income tax: regulatory contributions to the budget

Personal income tax is a tax on personal income. Taxpayers, or residents, are those who live in Russia. More precisely, he is in Russia and does not leave its borders for more than 183 days. Personal income tax is also paid by those who live abroad, but receive income from the Russian Federation.

Employers become tax agents. They withhold part of the salary, directing the money to the federal budget.

All incentives, bonuses and other additional payments fall under personal income tax. Personal income tax is also withheld:

• from the sale of property owned for less than 3 years;
• from leasing property;
• income from sources outside the Russian Federation;
• winnings in competitions and lotteries.

But not all income is taxed. Article 217 of the Tax Code of the Russian Federation contains an extensive list of things that are not subject to personal income tax. For example, you do not need to pay from government benefits, pensions, compensation, grants.

Payers and object of taxation

The personal income tax payer is the person who actually receives the income. Legislatively, such entities are divided into two categories:

• entities recognized as tax residents of Russia;
• entities that are not tax residents. In other words, non-residents.

Both categories pay personal income tax, but only at different rates. As a rule, higher rates apply to non-residents than to Russian citizens.

The object of taxation is income received by these categories of payers. At the same time, income under the Tax Code is recognized as both monetary and material forms. For example, when receiving an expensive gift, you must also pay personal income tax.

Income can be received from sources that are located both within the state and outside it (the rule is relevant for residents). If we are talking about non-residents, then they pay the fee only from sources of income located in Russia.

What type of income is subject to personal income tax:

• from the sale of property;
• from leasing assets;
• various kinds of winnings;
• other types of income received from sources outside the state. For example, dividends from shares owned by a foreign company;
• other types of income. For example, salary, remuneration, etc.

IMPORTANT: tax on the sale of property is paid only if it has been owned for less than 3 years. If real estate and other assets were owned for more than the specified period, then the subject is exempt from personal income tax.

Subjects of personal income tax taxation

All individuals who have income specified in Article 23 of the Tax Code of the Russian Federation must pay personal income tax on Russian territory. First of all, these are citizens who have tax resident status, i.e. continuously staying in Russia for at least 183 days. Individuals staying in the country for less than the specified period are not tax residents, but this fact does not exempt them from paying personal income tax.

It is important to know: if a personal income tax subject left Russia due to training or the need for treatment for a period of up to six months, he retains the status of a tax resident.

Civilians who receive all kinds of income (in national or foreign currency) from business entities operating on Russian territory are subject to personal income tax. It does not matter in what terms the payment is made - in cash, in kind or in the form of material benefits. Tax withholding by the employer is carried out for both residents and non-residents of the Russian Federation.

If an individual derives income from a source located in another state, then in order to withhold personal income tax, the citizen must have resident status.

Who is a resident and why do you need to know it?

A completely logical question arises: who is recognized as a resident and who is not? According to the law, a resident is a subject who resides in the territory of the state for more than 183 days a year. It does not matter whether such a subject is a citizen of Russia or not. For example, an individual with Russian citizenship, but living outside of Russia, will be recognized as a non-resident.

The advantage of residence is that the state has developed a list of tax deductions for such persons that reduce the base for calculating personal income tax. These are social, property and other types of deductions.

IMPORTANT: the category of the subject (resident or non-resident) affects the list of income to which personal income tax will be applied.

Tax calculation procedure

In order to calculate personal income tax yourself, you need to know two parameters:

• tax base;
• tax rate.

The first indicator is actually the amount of income received by a resident or non-resident.

The rate is a fixed amount prescribed in the Tax Code. It can be from 9 to 35%.

Having determined two indicators, you should multiply them and divide by 100.

It looks something like this: income (rubles)*rate (%)/100.

Now all that remains is to decide on the bet sizes. Most situations that happen to residents require a base rate of 13%. For example, with a salary of 10,000 rubles, the personal income tax deduction will be exactly 1,300 rubles.

A rate of 9% is used:

• dividends that were paid to shareholders before the beginning of 2015;
• interest payments on mortgage-backed bonds (the main conditions are that such bonds were issued before the beginning of 2007).

A rate of 13% is used:

• wages and other payments under the employment contract;
• payments for civil law relations;
• dividends (received after January 1, 2015);
• income from the sale of property, its rental.

Only a single type of income is taxed at a rate of 15% - dividend payments received by non-residents of Russia from domestic companies.

All income of non-residents, except those taxed at 13%, is subject to tax at 30%.

35% applies to the following types of income:

• all types of prize payments that were made as part of advertising;
• interest savings when processing loans;
• income from interest payments from deposits that exceed the established amounts.

Based on these values, we can conclude: the average resident of Russia in most cases must pay personal income tax at a rate of 13%. An exception is the winnings received, when up to 35% of the received gift or sum of money will have to be given to the state.

On what income is tax paid?

In the simplest, but at the same time the most widespread version, personal income tax is withheld from wages by the employer’s accounting department. But income tax is taken not only from wages; taxes are also paid on bonuses and other payments to employees. In general, the Tax Code of the Russian Federation defines objects of taxation as income received by personal income tax taxpayers (Article 209):

• from sources in the Russian Federation and/or from sources outside the Russian Federation - for tax residents of the Russian Federation (clause 1);
• from sources in the Russian Federation – for tax non-residents of the Russian Federation (clause 2).

Thus, payers of personal income tax are both residents and non-residents of the Russian Federation. According to Part 2 of Art. 207 of the Tax Code of the Russian Federation, tax residents are individuals who are actually in the Russian Federation for at least 183 calendar days over the next 12 consecutive months. The period of stay in the Russian Federation is not interrupted by the period of stay abroad for short-term (less than 6 months) treatment or training, as well as for work in offshore hydrocarbon fields. Regardless of the actual time spent in the Russian Federation, Russian military personnel serving abroad and government employees seconded to work abroad are recognized as tax residents of the Russian Federation (Part 3 of Article 207 of the Tax Code of the Russian Federation).

Other types of taxable income, except payments from employers to employees:

• from the sale of property;
• from renting out property, for example, an apartment or a car;
• from transactions with securities;
• received in the form of dividends;
• received in the form of winnings from gambling and lotteries.

The list is not exhaustive. By default, personal income tax is paid on all types of income except those for which such payment is not provided. It should also be borne in mind that personal income tax in the same situation may or may not be collected, depending on the specific situation, for example, on the status of the taxpayer. So, if an apartment is given to a close relative, then the recipient does not have to pay tax (clause 18.1 of Article 217 of the Tax Code of the Russian Federation), and if not to a close relative, then personal income tax will have to be paid.

What is not subject to personal income tax

Not all incomes of citizens are subject to taxes. The list of income not subject to personal income tax is given in Art. 217 of the Tax Code of the Russian Federation, and it is very extensive, containing several dozen positions. Such income, in particular, includes:

• state benefits (except for temporary disability benefits);
• pensions;
• monthly payments in connection with the birth (adoption) of the first and second child according to Federal Law No. 418-FZ of December 28, 2017;
• income of volunteers received under civil contracts for work and services under Federal Law No. 135-FZ of August 11, 1995;
• alimony;
• some categories of one-time payments, including financial assistance;
• rewards to donors for donating blood and breast milk.

In addition, income received in specific situations is not subject to taxation. Thus, in the previous section an example was given of donating an apartment to a close relative. An example of another situation when you do not need to pay personal income tax is the sale of an apartment that was owned for at least the minimum maximum period of ownership (Article 217.1 of the Tax Code of the Russian Federation) - 5 years (Part 4), during privatization, inheritance from a close relative, upon receipt ownership under a rental agreement – ​​3 years (Part 3).

Income not subject to personal income tax

Not all income is subject to personal income tax. This is important to know. The Tax Code has approved a complete list of cases when the fee is not withheld:

• income received by the successor on the basis of the right of inheritance;
• income under a gift agreement in cases provided for by law. These cases include a gift from a close family member: spouses, children, parents, sisters and brothers, grandparents, adoptive parents. If, by deed of gift, a certain object, a sum of money, is donated, not from a close family member, the gifted person is also obliged to pay personal income tax;
• income received from the sale of property owned for more than three years.

Non-taxable income

Tax law (Article 217 of the Tax Code) provides for several categories of income of citizens, which under no circumstances are subject to personal income tax. Tax is not charged on the following payments:

• all types of social benefits (for minor children, maternity benefits, subsidies for job loss);
• compensation accruals not included in the wage fund or established by local legislation;
• pensions (labor, social, survivor) and federal regular supplements;
• alimony;
• awards and grants received as measures of support in the fields of science, art, and education;
• scholarships.

When selling products grown/fed on private farms, the income received will not be subject to taxation.

Attention: received inheritance and income (monetary and material) transferred to an individual under a gift agreement are not included in the personal income tax tax base.

Who pays tax for you

According to the Tax Code, there is such a category as a tax agent. This is an individual or legal entity who is legally entrusted with the function of withholding and transferring personal income tax to the budget. The most popular tax agent representative is the employer. It is obliged to withhold income tax from wages and other accruals from all its officially registered employees.

For example, a company pays its employee a salary of 20,000 rubles. Of this, 13% will be withheld. This is 20000 * 0.13 = 2600 rubles. The company will transfer the indicated 2600 to the budget.

Important: the calculation was made without the use of tax deductions, which can also reduce the tax base even when calculating personal income tax from wages.

Also, tax agents are often organizations that hold drawings for valuable prizes. They are entrusted with the obligation to collect income tax from the subject and transfer it to the budget. This issue is especially controlled by the Federal Tax Service in case of cash prizes.

Calculation and withholding of income tax from salaries

If the employer calculates, withholds and pays tax (i.e. is a tax agent), he must be guided by the provisions of Art. 225 and 226 of the Tax Code of the Russian Federation. Income received at work consists of salary, bonus and other payments. To calculate income tax for such income of a tax resident of the Russian Federation, you need to use a simple formula for calculating personal income tax (Part 1, Article 225):

• if the total income from the beginning of the tax period does not exceed 5 million rubles, the amount of income tax is 13% of the income;
• if the total income since the beginning of the tax period exceeded 5 million rubles, personal income tax is calculated at a rate of 15% of the excess amount.

For non-residents of the Russian Federation, personal income tax will be calculated at the rate of 30% of the taxable base, with the exception of certain types of income (Part 1.1 of Article 225).

Tax is calculated and withheld monthly; personal income tax for the next month should be calculated taking into account previously calculated and withheld taxes. The tax is calculated first, after which other deductions, such as alimony, are calculated.

Who is obliged to pay personal income tax on their own and when?

When it comes to an employee, the employer pays the fee for him. But there are situations that oblige the subject to independently calculate and pay income tax. In case of violation of payment discipline, administrative liability is applied to an individual.

When you need to pay personal income tax yourself:

• renting out property to others. At the same time, for residents it makes no fundamental difference where such property is located - in Russia or abroad;
• sale of real estate and other objects if they have been owned for less than 3 years;
• receipt by citizens of various kinds of gifts from persons who are not recognized as close relatives. True, the main condition is the official nature of the gift;
• remuneration from others. As an option, payment of monetary compensation to the teacher-tutor. True, you need documentary evidence that the teacher received the money;
• winnings received as a result of a lottery, drawing, etc.;
• royalties from copyrights and other intellectual property;
• interest payments on deposits, but provided that such income exceeds the Central Bank discount rate + 5% (if the deposit is in rubles) or + 9% if the funds are kept in foreign currency.

Also, do not forget that all persons who carry out private practice are also required to pay the specified fee. That is, private lawyers, attorneys, and notaries are required to independently carry out calculations and pay personal income tax. The same obligation is assigned to individual entrepreneurs, who pay for themselves, as well as for employees.

How Russians' tax payments will change from 2021

Tax on the wealthy

Who will pay. Finance Minister Anton Siluanov gave an upper estimate of the number of Russians who will pay 15% on earnings over 5 million rubles - 1% of all workers, or about 700 thousand people. Based on Rosstat data on the distribution of income among citizens, the tax may affect fewer—200–300 thousand people. According to RANEPA experts, wealthy citizens who will be affected by the tax increase live mainly in metropolitan agglomerations (Moscow, St. Petersburg, Kazan) and oil regions (Yamalo-Nenets Autonomous Okrug, Khanty-Mansi Autonomous Okrug).

How much will the payment increase? If a person’s salary is, for example, 500 thousand rubles. per month (before personal income tax), then in total for the year the employer will withhold an extra 20 thousand rubles from her at an increased rate. The higher your income, the higher the additional payment will be.

Read on RBC Pro

What tax innovations have the authorities prepared for src=»https://s0.rbk.ru/v6_top_pics/media/img/5/36/756337447457365.jpg» class=»aligncenter» width=»1536″ height=»960″[/ img]Swimming shallow: how does the thinking of a leader differ from the thinking of a performer

The Russian insurer is going for an IPO with a valuation of up to $1 billion. What is important to know

“Commodity prices could collapse”: Cathie Wood on risks in stock markets

Putin announced a new personal income tax rate and repeated payments for children Economy

What income is exempt from the 15% personal income tax. The increased rate will apply only to “periodic and active” income in excess of RUB 5 million. per annum, including salaries, dividends and sales of securities, and will not apply to one-time or irregular income, such as from the sale of personal property, including real estate.

What will the money be used for? Personal income tax from wealthy Russians, in contrast to the general rule, will not go to regional budgets - the funds will be used specifically for the treatment of children from rare and serious diseases. A special non-profit foundation will select patients and distribute these funds for treatment.

Savings tax

Who will pay . There are 5.9 million accounts in Russia with balances over 1 million rubles. (1% of all accounts), the Deposit Insurance Agency reported in March. The total amount of funds in such accounts is 17.95 trillion rubles. (57% of the total amount of deposits of Russians). If a person has several deposits in different banks (each of which is less than 1 million rubles), but in total they exceed the threshold value, then personal income tax in the amount of 13% will still be levied on the income received during the year minus the non-taxable income from 1 million rubles. Therefore, there is no point in splitting savings among different banks in order to avoid taxes. Even investors who are not tax residents of Russia will have to pay tax. “Expected budget revenues in 2022 from this measure will amount to 100 billion rubles,” the press service of the Ministry of Finance told RBC.

As it was before . Income from deposits was formally subject to taxation, but only if the interest rate on the deposit exceeded the key rate of the Central Bank plus 5 percentage points. There were practically no such rates on the market, so taxes were not paid.

Banks complained to the Central Bank about customer statements about closing deposits Finance

How will the payment be calculated? It doesn’t matter when the deposit was opened: interest income on deposits for the year will be taxed. But an amount equal to the product of 1 million rubles will be deducted from it. and the key rate of the Central Bank as of January 1 of the year for which the tax is levied (now it is 42.5 thousand rubles). For example, an individual has one ruble deposit worth 1.5 million rubles. with a rate of 5% per annum, and interest is paid at the end of the validity period - December 1. Such a contribution will bring 68,750 rubles. income per year. At the Central Bank key rate as of January 1, 2021, 4.25%, non-taxable income is 42.5 thousand rubles. As a result, the tax payable is equal to (68,750 - 42,500) x 13% = 3,412.5 rubles.

If the account is in foreign currency, then interest income will be recalculated into rubles at the official Central Bank exchange rate on the day the income is actually received. Exchange rate differences are not taxed.

When to pay. Banks will pay interest on deposits in full without deducting tax. Investors will have to pay the tax themselves. But there is no need to submit income declarations on deposits: all Russian banks will have to report interest paid to individuals to the tax authorities no later than February 1 of the year following the reporting year. The tax office itself will calculate the amount of tax and send a notification to the citizen (as is the case with transport, land taxes or property taxes). Tax payments for 2021 will be due by December 1, 2022.

Which accounts are exempt from taxation ? Income from ruble accounts with a rate below 1% per annum, in particular current and salary accounts, is exempt from tax. Also, interest income on escrow accounts (a special bank account in which citizens’ funds for real estate are frozen until construction is completed) will not be taxed. When a deposit has a floating interest rate depending on the validity period (for example, 4–11 months - 0.6% per annum, from 12 months - 1.1% per annum), tax will be levied on all interest income (even received at a rate less than 1%), if during the deposit period the rate exceeds this threshold value.

Where will the tax money go? State revenues will go to the federal budget, although, as a general rule, personal income tax goes to the budgets of the constituent entities. The funds will be targeted towards payments to families with children and the unemployed.

Tax on income from investments in securities. From 2021, tax breaks on income on certain types of bonds have also been cancelled. As a result, all coupons of any bonds (OFZ, regional bonds, corporate securities) will be taxed at a rate of 13% for residents and 30% for non-residents, regardless of the amount of investment. The broker will withhold taxes, as is the case now. Tax on bond coupons will not be collected from Russian residents if their bonds are held in an individual investment account of type B with a deduction for income.

How to pay tax yourself

The main thing to understand is that the responsibility for calculation and payment rests with the payer who received the profit. Therefore, even if the tax office does not send a notification with the amount due, the entity must independently calculate and pay the money.

This process can be divided into two stages:

• filing a personal income tax return. This paragraph applies to those persons who have not received any notifications from the Federal Tax Service. They are required to submit a declaration to the Federal Tax Service by April 30 of the year following the one in which the operation was performed. For example, if an apartment was sold in 2019, then the declaration must be submitted by April 30, 2021.

IMPORTANT: if April 30 is a holiday or day off, the payment deadline is postponed to the next first working day.

• payment of the tax calculated in the declaration. A person must pay his debts by July 15 of the following year.

The difference between the deadline for filing a declaration and payment is created purposefully. Federal Tax Service employees will be able to conduct a desk check of documents and, if necessary, inform the payer about the mistake.

Results

The deadline for transferring personal income tax from salary depends on the date of actual receipt of income. Since 2021, this deadline has become the same for all forms of salary payment: no later than the day following the day of its actual issuance, taking into account the possibility of postponement due to weekends. An exception is established for sick leave and vacation pay, the deadline for paying tax on which corresponds to the last day of the month of their payment.

Unlock access to the private part of Clerk with a Premium subscription. Get hundreds of webinars and online courses, unlimited consultations and other proprietary content for accountants.

Hurry up to subscribe with a 20% discount until October 15, 2021. Read more about “Premium” here.

How is tax calculated?

The formula was already presented in the article earlier. The principle is simple: the amount of income is multiplied by the rate.

Important: it is not the income that is actually taxed, but the payer’s profit. Therefore, if a person can prove previously incurred expenses, then he does so. Otherwise, he can use various tax deductions. They reduce the tax base and, accordingly, the personal income tax itself.

Example: a car owner sells a car for 1 million rubles. He owned it for 1 year. How much should he pay?

There are two calculation options here:

• if the owner has documents confirming the purchase of the car. For example, a purchase and sale agreement, which states that the car was purchased for 500,000 rubles;
• if there are no documents.

First option:

1. The actual profit from the transaction is 1,000,000-500,000 = 500,000 rubles - this is the basis for calculation.
2. Personal income tax will be 500,000 * 13/100 = 65,000 rubles.

Second option:

1. The income is 1,000,000 rubles, but the Tax Code provides the citizen with the opportunity to use a deduction - a maximum of 250,000 rubles. Therefore, the base will be equal to 1,000,000-250,000 = 750,000 rubles.
2. Personal income tax = 750,000*13/10 = 97,500 rubles.

Conclusion: the first option is more profitable than the second. Therefore, you should always keep papers confirming the costs of purchasing valuables.

State benefits for personal income tax

A rather voluminous article in the Tax Code of the Russian Federation is devoted to a significant number of deductions that the state provides to reduce personal income tax due. In particular, individuals can use various types of deductions:

• property;
• standard;
• professional;
• social.

Property deductions

A reduction in personal income tax is possible for citizens who have made transactions with their own real estate or other assets. When selling property, the former owner has the right to underestimate the tax base by 1 million rubles. In this case, it is necessary that the period of possession of the property be 3 years or less.

Important: if the property was purchased in 2021, then in order to receive a property deduction when selling it, the ownership period is increased to five years.

For citizens purchasing housing or carrying out individual construction, a deduction is provided in the amount of actual expenses for the purchase or construction of an apartment (house, share). The maximum amount for which personal income tax can be “refunded” is limited to 2 million rubles.

You can receive property deductions after the tax period (year) has ended. Working individuals can submit an application to their employer and attach supporting documents, and unemployed citizens must contact the territorial tax authority. In addition to contracts, receipts and payment documents, you will need to attach a completed declaration in Form 3-NDFL to your application.

EXAMPLE 1 In 2014, an individual purchased an apartment worth 1,895,000 rubles. Since the amount paid for real estate is less than the maximum tax deduction, a citizen has the right to declare his right to use the benefit in full. The deduction amount will be 1,895,000 x 13% = 246,350 rubles.

Standard deductions

This type of government benefit applies to

• citizens engaged in military service,
• persons who have the highest state awards or other services to the Motherland,
• taxpayers raising children.

The standard deduction is applied on a regular basis and is reflected monthly in the employer’s tax registers and the 2-NDFL certificate.

The amounts that the tax agent accepts as standard tax deductions vary for each category of “beneficiaries” - from 500 rubles per month for people who became bone marrow donors to 3,000 rubles for parents with many children or Chernobyl victims.

The standard child deduction applies to both parents, even if they are legally divorced.

A father/mother deprived of the rights to raise a child by court can use a tax deduction if they pay the established alimony.

EXAMPLE 2 An employee is raising two school-age children. Her annual income is 332,118 rubles. For each of two children, a deduction of 1,400 rubles per month is provided. Thus, without taking into account the deduction, the amount of personal income tax would be 332,118 x 13% = 43,175 rubles. Taking into account the standard deduction, personal income tax is calculated in a smaller amount: 332,118 - (2800 x 12 months) = (332,118 - 33600) x 13% = 38,807 rubles.

Professional deductions

Deductions related to the professional activities of the taxpayer are accepted in the amount spent on services/work. Professional deductions are used when assessing personal income tax on the income of the following categories of citizens:

• officially received the status of a notary, lawyer, individual entrepreneur;
• performing work/services under GPC agreements;
• who are the authors of works of art.

The tax return must be accompanied by supporting documents confirming the actual expenses incurred. If a citizen cannot provide expense receipts, then the deduction may be 20%-40% of the proceeds (income) received.

The standard for expenses accepted for professional deduction depends on the category of taxpayer and is specified in Art. 221 Tax Code of the Russian Federation.

EXAMPLE 3 An individual entrepreneur made expenses for the year in the amount of 99,542 rubles with an income received of 327,110 rubles. All costs are documented and therefore accepted in full. The amount of personal income tax intended for payment will be: (327,110 – 99,542) x 13% = 29,584 rubles.

EXAMPLE 4 The annual income of an individual entrepreneur was 420,540 rubles. Justified expenses in the amount of 48,230 rubles were documented. The amount of personal income tax when applying a professional deduction for the amount of actual expenses will be: (420,540 – 48,230) x 13% = 48,400 rubles. If an individual entrepreneur chooses the option of using a professional deduction in a standardized amount, then the benefit will be 20% of income, i.e. RUR 84,108 Personal income tax in this case will be: 420,540 – 84,108 = 43,736 rubles.

Important: if an individual entrepreneur cannot fully confirm a documentary tax deduction, then it may be more profitable to use a cost standard for calculating income tax. The combined use of both standards and expenditure documents is not permitted.

Social deductions

The tax base for personal income tax can be reduced by the amount of social tax deductions, which include:

• charitable contributions to social institutions (orphanages, boarding schools for the elderly);
• contributions made to non-state pension funds as additional insurance;
• sums of money spent on education (of oneself or minor children), the purchase of medications according to a specialized list, or treatment of the taxpayer himself or his family members.

EXAMPLE 5 The annual income of an employee with a minor child was 369,520 rubles. The child's education at college cost the parent 42,000 rubles. The amount of personal income tax is calculated in this case taking into account the deduction: (369,520 – 42,000) x 13% = 42,578 rubles.

Remember: contributions to charity and treatment costs are deductible in full (documented). The social deduction for education is 50 thousand rubles per year. In this case, the educational institution must be accredited and licensed.

Personal income tax payment deadline

If a tax agent is involved in the payment process, then the payment deadline is considered to be the day following the payment day. For example, if the salary was paid on August 5, then on August 6 the employer must transfer the tax to the budget.

If a person is obliged to pay the payment on his own, then the deadline is until July 15 of the year following the year in which the income was received.

INTERESTING: now every citizen of the Russian Federation has the opportunity to pay taxes, fines and other fees both for themselves and for their relatives. In this case, payment can be made from one card.

You can pay personal income tax yourself in several ways:

1. Through the official website of the Federal Tax Service. To do this, you need to have a personal account on the website.
2. Through the portal "State Services". Likewise, an authorized profile is required.
3. In any bank, using a mobile application, Internet banking or simply by coming to the branch. The main thing is to have a payment order for payment, since it indicates the necessary details of the specific Federal Tax Service. You can also generate a payment document on the Federal Tax Service website or the State Services portal.

How money is transferred

The employer’s responsibility is to calculate, withhold and pay tax to the budget. The entire procedure is prescribed in Art. 226 Tax Code of the Russian Federation.

Personal income tax must be transferred from an employee’s salary once a month during the final calculation of his income. The employer withholds the calculated tax, and only after that other deductions are deducted from the salary - alimony, loan repayment and others.

There are many nuances with personal income tax. For example, if the amount of deductions exceeds the tax base for the month, then the personal income tax may be zero or negative. In this case, the excess tax withheld can be offset in the next month or returned to the employee upon his application.

Standard and social deductions can be transferred from one month to another only within a calendar year. Excess property deductions are transferred to the new year - then the employee must write a new notice of the right to deduction.

Where does personal income tax go?

All taxes go to the budget. The only difference is what level of budget. All taxes of individuals and legal entities form first the budget of the constituent entities of the Russian Federation, and then the general federal budget.

Regarding personal income tax, the proportion is somewhere like this: 85% of all deductions go to the regional budget of the constituent entity of the Russian Federation, and the rest is already distributed between local budgets. This is an approximate distribution. Each year this proportion can be adjusted, but not significantly.

Regional taxes: list 2021

As we noted above, regional taxes include obligations credited directly to the budget of a constituent entity of Russia. Such obligations include only three fees. So, regional tax is payments by taxpayers for:

1. Transport.
2. Property.
3. Gambling business.

The key rules for the application of these regional taxes in the Russian Federation are established by deputies of the constituent entities. Consequently, the rules defined for one region may differ significantly from the rules established for another region. Let's consider the features of each obligation from the list of regional taxes.

Tax deductions

A tax deduction is a kind of fixed discount from the state for its citizens. Its size and possibility of application depend on the specific situation. In general, the algorithm of use is simple:

NFDL = (Income – Deduction amount)*13%/100.

In addition, the deduction allows the taxpayer, under certain circumstances, when expenses are incurred, to return some part of them.

There are these types of deductions:

• standard;
• social;
• investment;
• property;
• professional;
• deductions for transactions with the Central Bank.

What amounts are not subject to income tax?

The Tax Code of the Russian Federation does not contain certain benefits for personal income tax. But it provides for certain amounts:

• in the form of income that is not taxed at all;
• which are not taxed in the prescribed amount and are deducted from the income received (deductions). That is, the income received is reduced by the amount of the deduction and income tax is withheld from the balance.

There are deductions:

1. standard (children's deductions);
2. property (for the acquisition/sale of property);
3. social (for treatment, training, pensions);
4. professional (only for individuals performing work under GPC contracts, as well as individual entrepreneurs, self-employed persons, etc.);
5. investment (for individuals who open investment accounts and also receive income from the sale (redemption) of securities traded on the Ordinary Securities Market).

The procedure for obtaining a tax deduction

In order to apply a deduction when paying personal income tax, it is enough to indicate it in the declaration itself. In some cases, papers confirming the right to use it may be required.

If we are talking about deductions that are compensated from the budget, then there is a slightly different algorithm. The subject actually collects documents confirming his expenses, for example, for medical care, fills out the same 3-NDFL declaration and submits it to the Federal Tax Service. The tax office checks the papers and transfers the due refund to the bank account.

What happens if you don’t pay personal income tax?

What happens if you don't pay? This is the question that interests many citizens. There are several options for the development of events:

• First, additional fines and penalties are assessed. We remember that the penalty is charged for each day of delay and depends on the key rate of the Central Bank - 1/300 of the key rate per day. The fine will be up to 40% of the debt amount. At the same time, they are fined not only for non-payment, but even for failure to submit a declaration;
• then representatives of the Federal Tax Service will go to court and involve bailiffs in the work. Then seizure of property, blocking of accounts, and a ban on traveling abroad may be applied.

In exceptional cases, not administrative, but criminal liability may arise. True, it arises only if the total tax debt for three years amounts to 900 thousand rubles. or 2.7 million for the entire period.

Gambling business encumbrance

If a company conducts gambling activities, then it has obligations to the budget to pay a fee for the gambling business. The objects of taxation are:

1. Gaming equipment, as well as machines and gaming tables specialized for gaming activities.
2. Sweepstakes, bookmakers, betting processing centers with bookmakers.
3. Game bets acceptance point.

Since taxes and fees, as well as other payments credited to the treasury of the subject, are recognized as regional, the specifics of taxation are established at the level of a given region. However, there are general rules that apply throughout the country. For example, only two working days are allotted for the procedure for registering a taxable object with the Federal Tax Service. Moreover, the days are counted until the installation of gaming equipment or the opening of a point (bookmaker's office or betting point). A similar period for notifying the Federal Inspectorate is established for any change in the number of objects.

For this obligation, fixed rates are established, and gradation is provided according to the types of taxable objects. The minimum and maximum values ​​are enshrined in Article 369 of the Tax Code of the Russian Federation. Note that if the region has not established a specific value for the rate, then taxpayers must apply the minimum values.

What is a 2-NDFL certificate?

Certificate 2-NDFL is a document that also contains information about the tax in question. But this is a paper that is generated by the employer and provides information about the actual accrued and received income of an individual for a specific period of time.

The document may be needed in various situations:

• when applying for social benefits;
• when applying for a visa, traveling abroad;
• when receiving a loan;
• when receiving a tax deduction.

IMPORTANT : 2-NDFL and 3-NDFL are completely different documents.

Personal income tax reporting

Fiscal authorities require entities performing the duties of a tax agent to regularly prepare income tax reports.

Help 2-NDFL

The main type of personal income tax reporting is a certificate in form 2-NDFL. This document is generated on the basis of registers filled out by the tax agent for each employee. The deadline for submitting form 2-NDFL is April 1 of the following reporting year.

In addition to the set of certificates, the tax agent is required to submit to the Federal Tax Service a register of submitted information.

For organizations/individual entrepreneurs with more than 25 employees, the law stipulates the obligation to provide all types of personal income tax reporting in electronic format.

Declaration 3-NDFL

The report on Form 3-NDFL is filled out and submitted to the tax authority by individuals. It is mandatory to submit a declaration for the following categories of citizens:

• Individual entrepreneurs and private practitioners who have not received entrepreneurial status;
• Russian tax residents – when receiving funds outside the state;
• individuals who have generated additional income by selling property, receiving prizes and winnings, and providing asset rental services.

In addition to the listed cases, a declaration in form 3-NDFL is part of the package of documents for filing an application for a property or social tax deduction.

Report 6-NDFL

This type of reporting has been in effect since 2021 and is a summary of accrued income, withheld and transferred taxes. The uniqueness of the 6-NDFL report is that it must indicate specific dates for the payment of income and payment of personal income tax to the budget.

A report in Form 6-NDFL is required for all business entities that use hired labor. The frequency of generating and submitting the report is once a quarter.

Penalties for personal income tax

The tax legislation specifies the types of violations and penalties for the preparation and submission of income tax reports:

• late submission of the report in Form 6-NDFL – 1000 rubles for each overdue month;
• erroneous or unreliable information in 2-NDFL certificates – 500 rubles for each document;
• failure to provide a 2-NDFL certificate – 200 rubles (each document).

Violation of the deadline for submitting personal income tax reports for a long period (more than 10 days) entails the possibility of blocking bank accounts.

Declaration 3-NDFL - terms and procedure for tax payment

Subjects who are independently required to calculate and pay the fee fill out the 3-NDFL declaration. This is a unified form. Other forms are not accepted. available on the Federal Tax Service website. The declaration can be filled out manually or on a PC. There are many free services that help you fill out a document automatically.

The deadline for filing the declaration is April 30 of the following year.

What information is indicated in 3-NDFL:

• personal data;
• the type of income and its amount that was received last year;
• type and amount of tax deduction, if any;
• calculation of personal income tax itself.

You can submit a declaration in paper form, directly visiting the Federal Tax Service office or sending it by mail, as well as through your personal account of the Federal Tax Service, by email. But if the subject uses a tax deduction in the calculation, then he is additionally obliged to provide documents confirming this right. Such documents are not always required, since Federal Tax Service employees have access to various databases, but upon request, the citizen must submit them (if he did not submit them by photocopier during the initial application).

Current personal income tax rates

The dominant (standard) rate at which personal income tax is calculated for tax residents is 13% of the income received. However, tax law limits the application of other tax rates depending on the type of income received and the status of an individual.

Read more about personal income tax rates in a separate article.

When calculating income tax, the amount should be calculated for each type of income received and at the rate determined by law.

Comfortable! You can make a quick calculation using a special personal income tax calculator.

Electronic services

The most popular services for calculating and paying personal income tax are:

• taxpayer account on the official website of the Federal Tax Service;
• portal "Government Services".

Here you can not only download the declaration form, find out your tax debts, but also even pay your independently calculated personal income tax liability.

Thus, personal income tax is a mandatory tax on personal income, which is paid by all persons who received income both in Russia and abroad. Rates are ranked by population, although the most popular rate is 13%. Concealing income and non-payment of fees may result in administrative and even criminal liability.