Income in kind in 6-NDFL in 2021

Income tax is imposed on the income of individuals received not only in cash, but also in kind. Payment in kind can be payment for labor, payment for goods or services, food, recreation, training, etc., goods received by an individual, work performed for an individual, services provided to him free of charge or with partial payment (Clause 2 of Article 211 of the Tax Code RF).

All income paid to individuals, both in cash and in kind, as well as income tax on it, must be reflected by tax agents in the quarterly form 6-NDFL (approved by order of the Federal Tax Service of Russia dated October 14, 2015 No. ММВ-7-11/450). Our article will help you understand how to correctly show natural income in the Calculation of 6-NDFL.

What is income in kind

The list of income in kind is given in Art. 211 of the Tax Code of the Russian Federation. These include the following individual income:

goods (services) paid for in full by the employer, or partially (food, training, which are not provided for by law);
free/partially paid for by the employer goods (services) provided by the employer (gifts, certificates, gift cards worth more than 4,000 rubles per year);
goods (services) that the employer provides as wages.

Goods or any services paid by the employer in his own interests for his employees are not subject to personal income tax, provided that their receipt is related to the employee’s job duties. An example is payment of accommodation for an employee sent by the employer to another city for company purposes. Another example would be paying a bill for an employee at a restaurant he attended for a business meeting organized by the company.

Important! In order for these expenses to have a legal basis for exemption from personal income tax, the employer must issue an order with a detailed description of such events and a list of employees present at them.

If the tax was not withheld

If the tax agent was unable to withhold tax on income in kind during the calendar year, then in the annual Calculation 6-NDFL he fills out line 080 “Amount of tax not withheld by the tax agent” (clause 5 of Article 226 of the Tax Code of the Russian Federation).

In Section 2 of Form 6-NDFL, income in kind and the tax not withheld from it should be shown as follows (Letter of the Federal Tax Service of Russia dated 01.08.2016 No. BS-4-11/):

on line 100 – the date of actual receipt of income;
on lines 110 and 120, the date in the format “00.00.0000”;
on line 130 – the amount of income received in kind;
on line 140 – “0”.

Procedure for calculating personal income tax on income in kind

Calculation of personal income tax on income received by an employee in kind is carried out on the day of issue. The tax base is the cost of the transferred goods or services. If the employee pays for part of the transferred goods himself, then this amount will not be included in the tax base. Only the cost of the goods minus the amount paid is included. According to current legislation, personal income tax is withheld from an employee on a gift if its value is more than 4,000 rubles. Therefore, this amount does not need to be taken into account, but only once a year.

For each employee, the amount of personal income tax is taken into account personally. However, the employee does not always receive income in kind alone. Sometimes such income is provided for by a collective agreement for all company employees. For example, paying for a gym for employees or providing free meals to all staff. In this case, personal income tax is determined as follows: the total amounts transferred by the company to the gym (canteen) are divided by the number of employees visiting this establishment. Some organizations issue special cards/coupons that take into account everyone’s visits to the gym or canteen.

Example of personal income tax calculation

In February 2021, on the basis of the manager’s order, I gave employee Ivanov I.I. laptop. The laptop was purchased in a store for 50 thousand rubles. Ivanov’s monthly salary is 75,000 rubles. In 2021, the organization has already given Ivanov a gift worth 6,000 rubles.

Since the gift Ivanov received earlier exceeds 4,000 rubles, personal income tax must be withheld from the laptop at the full cost.

Personal income tax from a laptop will be:

50,000 x 13% = 6,500 rubles.

This amount must be withheld from Ivanov’s salary, so his salary for February will be:

75,000 – (75,000 x 13% + 50,000 x 13%) = 58,750 rubles.

And the personal income tax withheld from Ivanov and necessary for payment to the budget will be:

75,000 x 13% + 50,000 x 13% = 16,250 rubles.

What happens if you don’t fill out the 6-NDFL report for the year?

If the taxpayer does not submit reports on time, sanctions will be applied to him. A legal entity or individual entrepreneur faces a fine of 1,000 rubles for each month of delay, the period of which is counted from the moment when it was necessary to provide information until the date of submission of the declaration to the tax authority. After the deadline for filing reports, along with issuing a fine, the Federal Tax Service has the right to block the company’s bank accounts after 10 working days.

To avoid sanctions, individual entrepreneurs and legal entities should submit a correctly completed 6-NDFL report on time.

How to withhold personal income tax on income in kind

All remuneration received by employees in cash may be subject to income tax calculated on income received in kind. However, it should be remembered that the total amount of tax withheld should not exceed 50% of the amount received by the employee. If it is not possible to withhold the entire amount of tax at one time, the balance can be transferred to the next payment. You should also remember that the current tax should be withheld initially, and 50% from the remaining amount.

Let's look at an example:

March 21, 2021 VEGA LLC presented employee O.P. Petrova with a gift. a gift whose value is 60,000 rubles. So far in 2021, Petrova has not received any gifts. Petrova’s monthly salary is 30,000 rubles. Salaries at VEGA LLC are paid to employees twice a month: 10 main and 25 advance. Petrova's advance is 12,000 rubles.

Based on the fact that Petrova received the first gift of the year, we will determine the amount of personal income tax:

(60,000 – 4,000) x 13% = 7,280 rubles.

Now let’s determine the amount of personal income tax that can be withheld from the advance on March 25:

12,000 x 50% = 6,000 rubles.

That is, the maximum possible retention will be:

(30,000 – 30,000 x 13%) x 50% = 13,050 rubles.

The remaining amount of personal income tax (1280 rubles) will need to be withheld from the salary on the 10th, that is, Petrova will receive a salary in the following amount:

30,000 – 3900 – 12,000 – 7280 = 6,812 rubles

Withholding personal income tax

Withhold personal income tax on income paid in kind from any monetary remuneration paid to the employee. In this case, the withheld tax amount cannot exceed 50 percent of the remuneration amount. Such conditions for withholding personal income tax are established in paragraph 4 of Article 226 of the Tax Code of the Russian Federation.

Situations may arise when an organization cannot withhold personal income tax on income in kind. For example, if an employee quits or if the personal income tax amount is too large to keep until the end of the year. In this case, before February 1 of the next year, the organization is obliged to report this to the tax office and the taxpayer himself. For more information about this, see What to do as a tax agent if personal income tax cannot be withheld.

Situation: is it necessary to withhold personal income tax from the cost of the gym (swimming pool) services used by employees? The organization pays for the rent of the gym (swimming pool) using the profit remaining after taxes.

Answer: yes, it is necessary.

The object of personal income tax taxation is the employee’s income (Article 209 of the Tax Code of the Russian Federation). When paying for the services of a gym (swimming pool), income is recognized as economic benefit received in kind (clause 1 of Article 210, subclause 1 of clause 2 of Article 211 of the Tax Code of the Russian Federation). Consequently, the cost of such services is employee income received in kind and is subject to personal income tax. Responsibilities for withholding and paying personal income tax to the budget in this case must be performed by a tax agent, that is, an organization (clause 1 of Article 230 of the Tax Code of the Russian Federation). At the same time, the organization must ensure individual accounting of all employee income, including that received by them in the form of payment for the services of the gym (swimming pool).

For example, you can determine the amount of income of each employee based on the total cost of renting a gym (swimming pool) and the number of employees visiting it. In this case, the number of employees must be documented, for example, by drawing up a list of visits, which should be familiarized with them under signature. The Russian Ministry of Finance recommended doing the same when determining the income of each employee received in the form of free meals (letter of the Russian Ministry of Finance dated June 19, 2007 No. 03-11-04/2/167).

You can also organize a record of visits to the gym (swimming pool) using coupons. To do this, you should appoint a person in charge who will issue coupons for a certain time to each employee against his signature in a special statement. The cost of services provided using a coupon can be determined based on the total cost of rent and the total time of visits to the gym (swimming pool). Subsequently, the statements are transferred to the accounting department, and at the end of each month the cost of the services provided is included in the employee’s total income.

Advice: there are arguments that allow you not to include the cost of gym (swimming pool) services in an employee’s income and not to withhold personal income tax from this amount. They are as follows.

Personal income tax must be withheld from all income of a citizen paid to him both in cash and in kind (Article 209, paragraph 1 of Article 210 of the Tax Code of the Russian Federation). When paying for the services of a gym (swimming pool), income is recognized as economic benefit received in kind. To correctly calculate the tax, income must be assessed (Article 41 of the Tax Code of the Russian Federation). However, when paying for the rent of a gym (swimming pool), in which any employee can exercise, it is impossible to determine the amount of income received by each of them. In such a situation, personal income tax cannot be withheld. This point of view is confirmed by decisions of the FAS of the Volga region dated October 13, 2005 No. A57-2297/05-5, of the Moscow District dated May 20, 2002 No. KA-A40/3028-02 and paragraph 8 of the appendix to the information letter of the Presidium of the Supreme Arbitration Court of the Russian Federation dated June 21, 1999 No. 42.

Situation: is it necessary to withhold personal income tax from employees when organizing a festive corporate event?

If the organization does not have the opportunity to personalize the economic benefit and determine the amount of income received by each employee, personal income tax does not need to be withheld.

The object of personal income tax taxation is the employee’s income (Article 209 of the Tax Code of the Russian Federation). When organizing corporate events, economic benefits received by an employee in kind can be recognized as income. In order to correctly calculate the tax, income must be assessed (Article 41 of the Tax Code of the Russian Federation) and documented receipt of it by a specific employee (subclause 2, paragraph 1, Article 223 of the Tax Code of the Russian Federation).

If the benefit of the employee is obvious, then the organization must fulfill the duties of a tax agent provided for in paragraph 1 of Article 230 of the Tax Code of the Russian Federation and ensure individual accounting of all employee income. Including those received by them in kind during a corporate holiday (see, for example, letters of the Ministry of Finance of Russia dated August 14, 2013 No. 03-04-06/33039, dated April 3, 2013 No. 03-04-05/6 -333, dated April 15, 2008 No. 03-04-06-01/86, Federal Tax Service of Russia for Moscow dated December 22, 2006 No. 21-11/113019, dated July 27, 2007 No. 28-11/ 071808). In a similar situation related to the provision of free meals to employees, the Russian Ministry of Finance recommends that tax agents determine the amount of income of each employee based on the total cost of food and the work time sheet (see, for example, letter of the Russian Ministry of Finance dated June 19, 2007 No. 03-11 -04/2/167).

However, in practice, when holding corporate events, it is very difficult to establish exactly how much income was received by each employee. Therefore, in the situation under consideration, this method is not applicable. The fact is that holding a corporate holiday includes not only food for employees, but also entertainment events (for example, a concert program, watching a movie, etc.). By participating in these events, employees also receive income in kind. Therefore, to calculate personal income tax, it is necessary to take into account not only the costs of the holiday, but also the degree of participation of each employee in it.

If an organization does not have the ability to personify economic benefits and determine the amount of income received by each employee, it will have no basis for calculating and withholding personal income tax. This, in particular, is stated in letters of the Ministry of Finance of Russia dated August 14, 2013 No. 03-04-06/33039, dated April 3, 2013 No. 03-04-05/6-333, dated May 13, 2011 No. 03-04-06/6-107 and dated April 15, 2008 No. 03-04-06-01/86. The same position is reflected in paragraph 8 of the information letter of the Supreme Arbitration Court of the Russian Federation dated June 21, 1999 No. 42. And although it also concerned income tax, the conclusions of this letter have not lost their relevance even now. This is confirmed by later arbitration practice (see, for example, decisions of the FAS Moscow District dated September 23, 2009 No. KA-A40/8528-09, Northwestern District dated November 1, 2006 No. A56-2227/2006, West -Siberian District dated March 1, 2006 No. F04-685/2006(20075-A45-6), Volga District dated November 16, 2006 No. A12-4773/06-C36, Ural District dated May 11, 2004 No. F09 -1773/04-AK). When making decisions to refuse additional personal income tax assessment, judges explain that the receipt of income from participation in corporate events by each individual employee must be proven by the tax inspectorate (clause 6 of Article 108 of the Tax Code of the Russian Federation).

Situation: is it necessary to withhold personal income tax from the amounts with which the organization, from its own funds, compensates an employee’s expenses for maintaining a child in kindergarten?

The answer to this question depends on the way in which the organization compensates the employee’s expenses for maintaining a child in kindergarten.

In practice, two options are possible:

– the organization pays certain amounts directly to the employee;

– the organization pays for the child’s maintenance under an agreement concluded with the kindergarten.

In the first case, personal income tax must be withheld from income paid to the employee. The fact is that compensation for part of parental fees, provided for in paragraph 7 of Article 65 of Law No. 273-FZ of December 29, 2012, is exempt from taxation only if the source of this compensation is funds from regional budgets. This follows from the provisions of paragraph 42 of Article 217 of the Tax Code of the Russian Federation. Compensation paid to parents by their employers does not fall under this standard. Consequently, the amounts of such compensation are subject to personal income tax.

In the second case, an employee whose children are kept in kindergarten at the expense of the employing organization receives income in kind. The taxation of this income depends on what services the organization pays for.

Invoices for payment for kindergarten services may separately indicate:

– cost of educational services;

– the cost of childcare and childcare services.

If an organization pays for educational services, then in relation to these amounts the employee has the right to the benefit provided for in paragraph 21 of Article 217 of the Tax Code of the Russian Federation. But only if the kindergarten implements the basic general education program of preschool education.

If an organization pays for childcare services, the employee does not have tax benefits. Personal income tax must be withheld from these amounts on a general basis.

If the cost of various services is not divided in the kindergarten accounts, personal income tax must be withheld from the entire amount of payment that the employing organization transfers to the preschool institution.

Similar clarifications are contained in letters of the Ministry of Finance of Russia dated February 27, 2015 No. 03-04-06/9977 and No. 03-04-05/9979.

Situation: is it necessary to withhold personal income tax from the bank commission that the organization pays when making a non-cash transfer of a loan issued to an employee or for withdrawing these amounts in cash?

Answer: yes, it is necessary.

The object of personal income tax is the citizen’s income received in the form of economic benefits in cash or in kind (Articles 41, 209 of the Tax Code of the Russian Federation). Income paid in kind includes, in particular, payment by an organization for services provided in the interests of citizens (subclause 1, clause 2, article 211 of the Tax Code of the Russian Federation).

In order to correctly calculate the tax, income must be assessed (Article 41 of the Tax Code of the Russian Federation) and documented confirmation of its receipt by a specific person (subclause 2, paragraph 1, Article 223 of the Tax Code of the Russian Federation).

In this situation, income is recognized as the commission that the organization pays to the bank for the service of transferring the loan amount to the employee’s account or for issuing these amounts in cash. The costs of paying the commission are not related to the activities of the organization. The organization bears them in the interests of its employee. Therefore, the amount of the commission must be included in the employee’s income subject to personal income tax.

Similar clarifications are contained in the letter of the Ministry of Finance of Russia dated November 25, 2008 No. 03-04-06-01/351.

Situation: is it necessary to withhold personal income tax from the bank commission, which the organization pays when transferring dividends (profit shares) by wire transfer to the founders or for issuing these amounts in cash?

Official explanations from regulatory agencies on this issue are ambiguous.

According to the Russian Ministry of Finance, in the situation under consideration, such income is the commission that the organization pays to the bank for the service of transferring dividends to the accounts of the founders or for issuing these amounts in cash. Representatives of the financial department believe that the organization bears these expenses in the interests of the founders. Consequently, she is obliged to include the amount of the commission in their income subject to personal income tax (letter dated November 25, 2008 No. 03-04-06-01/351).

However, the letter of the Federal Tax Service of Russia dated September 15, 2010 No. ШС-37-3/11236 reflects a different point of view. According to representatives of the tax department, payment by an organization of such a commission does not lead to the formation of income in kind, subject to personal income tax. This position is based on the provisions of paragraph 2 of Article 29 of the Law of February 8, 1998 No. 14-FZ and paragraph 1 of Article 42 of the Law of December 26, 1995 No. 208-FZ. According to these norms, the organization is obliged to ensure that the founders receive the dividends due to them in any way that does not contradict the law. For example, by transferring dividends to the bank accounts of the founders. And since the bank’s services for transferring dividends are provided to the organization itself and in its interests, it is unlawful to include the cost of these services in the income of the founders. This conclusion is confirmed by judicial practice (see, for example, the resolution of the Federal Antimonopoly Service of the Volga-Vyatka District dated November 8, 2010 No. A43-2399/2010).

Considering the ambiguity of explanations from regulatory agencies, the organization must make the final decision in this situation independently. At the same time, it is possible that if the organization does not withhold personal income tax from the amount of the bank commission, the tax inspectorate will hold the organization accountable for failure to fulfill the duties of a tax agent. In this case, the organization will have to defend its position in court (Article 138 of the Tax Code of the Russian Federation).

Income in kind in 6-NDFL

Companies must report on personal income tax withheld from an employee every quarter. This should be done by those employers who in this case act as a tax agent.

Important! Calculation of 6-NDFL for a quarter is submitted only if in a given tax period the employee was paid income from which personal income tax was withheld and transferred.

When an employee’s taxable income appears only in the middle of the year, for example, in the third quarter, then there is no need to submit calculations for the 1st quarter and half of the year. The tax is reflected on a 9-month basis and on an annual basis.

The deadlines for submitting the 6-NDFL calculation are as follows:

for the 1st quarter – until April 30
for half a year - until July 31
9 months – until October 31
a year - until April 1.

If the last day for submitting a report falls on a holiday or weekend, it will be postponed to the next working day. The report is submitted to the tax office at the place of registration of the tax agent. Accordingly, if an organization acts as a tax agent, then at the place of its registration. The 6-NDFL calculation is presented on a title page and two sections. All calculation sheets must be completed.

Section 1 contains the following information:

income accrued to employees;
deductions provided to employees;
the number of employees;
accrued, withheld personal income tax.

All indicators are formed on a cumulative basis for all employees. Section 2 contains information about the tax withholding date. In this case, all income is grouped according to the date of payment and the period of transfer to the budget.

Lines in 6-NDFL	How to fill
Line 100	To fill out, the actual issuance of income in kind is used, the date on which the amount is written off to pay the employee.
Line 110	The date on which personal income tax is withheld is reflected. This indicator should not coincide with the date of payment, since tax is withheld from subsequent cash payments.
Line 120	The date of the next day after the tax is withheld is indicated; this is the period within which the tax must be transferred to the budget.

Quarterly report

Form 6-NDFL represents quarterly reporting on personal income tax. A special form has been developed and approved for it (Order of the Federal Tax Service dated October 14, 2015 No. ММВ-7-11/450). The same regulatory act also establishes the electronic format of the report and the procedure for filling it out.

All organizations and individual entrepreneurs who are tax agents must submit calculations using Form 6-NDFL (clause 2 of Article 230 of the Tax Code of the Russian Federation). If the company did not have accruals and payments, then it actually does not have the status of a tax agent. This means that there is no need to submit a report on Form 6-NDFL to the tax office.

However, to prevent inspectors from blocking the current account, it is safer to submit a zero calculation or write a letter stating that the company is not a tax agent (clause 3.2 of Article 76 of the Tax Code of the Russian Federation). The letter can be composed in any form.

Answers to common questions

Question: Will goods purchased from an employer at a reduced cost be considered income in kind?

Answer: Yes, but not always. If an employer gives one employee a personal discount, but others in the same situation are not given a similar discount, then the difference in price is considered income in kind. And you need to pay tax on it. But when an employee buys a product at a discounted price, then his purchase takes place under general conditions, which means he does not receive income. In this case, the employer must have a document confirming that the purchased goods have been marked down.

Question: From what payment is personal income tax withheld from an employee’s gift: from an advance payment or from wages?

Answer: From the payment that will be the first after the employee receives the gift. But this takes into account the 50% limit. If it is not possible to withhold the entire amount at once, then personal income tax is withheld from the next payment.

The company employs foreigners with a patent

The company employs Russian citizens and foreign patent employees. The company withholds personal income tax on all income at a rate of 13 percent.

The salaries of residents and foreigners on patent are subject to personal income tax at a rate of 13 percent. This rate is established by different standards. For residents' salaries - clause 1 of Article 224 of the Tax Code of the Russian Federation. And for foreigners - paragraph 3 of Article 224 of the Tax Code of the Russian Federation. Because of this, the tax authorities do not require you to fill out several blocks with a rate of 13 percent. The company has the right to show all income in one line 010–050.

For example

B - 7 resident employees and 5 foreigners with a patent. She did not reduce the calculated tax on advances for the patent. For the first half of the year, the company accrued income to foreigners - 630,000 rubles, calculated and withheld personal income tax - 81,900 rubles. (RUB 630,000 × 13%). She accrued income to residents - 940,000 rubles, calculated and withheld personal income tax - 122,200 rubles. (RUB 940,000 × 13%). The company recorded the income of foreigners and residents in one block of lines 010–050. In line 020 - 1,570,000 rubles. (630,000 + 940,000), in lines 040 and 070 - 204,100 rubles. (81,900 + 122,200). The company filled out Section 1 as in sample 94.

Sample 94. How to reflect the income of foreigners and residents in the calculation:

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