simplified tax system
The value of the deflator coefficient used for the purpose of applying the simplified tax system has been increased from 1.481 to 1.518.
Let us recall that the deflator coefficient is needed to adjust the amount of income that gives the company the right to switch and work to the simplified tax system. However, there is no need to index income limits until 2021 (Clause 4, Article 5 of Law No. 243-FZ of July 3, 2021). Therefore, a company will be able to switch to the simplified tax system from 2019 if its income for 9 months of 2021 does not exceed 112.5 million rubles. But she has the right to apply the “simplified tax” until the income from the activity exceeds 150 million rubles. (clause 4 of article 346.13 of the Tax Code of the Russian Federation).
Let us add that for 2021 the income limits (112.5 million rubles and 150 million rubles) will not be indexed.
New deflator coefficients for 2021
The values of deflator coefficients in the new year will be:
- for personal income tax – 1.729;
- according to UTII – 1.915;
- for property tax for individuals, simplified tax system and PSN – 1.518;
- for trade tax – 1.317.
Based on these figures, it can be argued that in 2019 there will be an increase in taxes by an average of 2.5% compared to 2021. For the simplified tax system for the coming year, the indexation of the maximum amount of income has been canceled and will be updated only in 2020. Let us remind you that this indicator is used to adjust:
- the limit, upon compliance with which the company has the right to switch to the simplified tax system (RUB 112.5 million for 9 months of the previous year);
- restrictions on the amount of income, the excess of which indicates the loss of the right to the simplified tax system (150 million rubles per year).
Since the income limits for the simplified tax system in 2021 remain at the same level, we will not dwell on using the deflator coefficient for the simplified tax system for 2021. Let's consider the application of these indicators in relation to other taxes and fees.
UTII
The Tax Code establishes two correction coefficients for UTII: K1 and K2.
K1 is a deflator coefficient used when calculating the “imputed” tax. The base yield is adjusted by its value. The coefficient K1 is set for the calendar year.
K2 is an adjustment factor for the basic return. It takes into account the specifics of the company or individual entrepreneur: range of goods, seasonality, operating hours, amount of income, etc. This coefficient is set by local authorities for the calendar year.
For 2021, the deflator coefficient K1 was set at 1,915 rubles. Compared to the previous value in 2021 (1.868), it increased by 2.5%. This means that even if the physical indicator for the type of activity remains the same and the local authorities set the size of K2 at the same level, the “imputed” tax will increase in 2021.
Deflator coefficient for 2021 for UTII
The indicator is involved in the transformation of basic profitability for various types of activities falling under the UTII regime. The tax calculation formula is the product of the basic profitability and physical indicator, adjusted by the deflator coefficient (K1) and the adjustment coefficient K2 established by regional legislation.
The UTII deflator coefficient for 2021 is set at 1.915 rubles; in 2021 it was equal to 1.868. This indicates that even with constant values of the physical indicator and K2, the size of UTII will increase in 2019.
Let's consider the calculation of tax taking into account the deflator coefficient K1 for 2019 using an example:
Let's calculate UTII payable for the 1st quarter of 2021. for a store with a sales area of 60 sq. m. Basic yield 1800 rub. per 1 m2, the UTII rate is 15%, K2 in the region is 1.
UTII = (1800 rub. x 60 m2 x 1.915 x 1 x 15%) x 3 months. = 93069 rub.
PSN
For PSN, which is used by entrepreneurs, the deflator coefficient adjusts the maximum amount of the potential annual income of an individual entrepreneur by type of activity.
Let us recall that the basic value of the maximum possible annual income of an individual entrepreneur is 1 million rubles (clause 7 of Article 346.43 of the Tax Code of the Russian Federation). In 2018, the coefficient was 1.481. And in 2021 it will increase to 1.518.
Therefore, the maximum amount of potential annual income for a patent business will be 1.518 million rubles (1 million rubles × 1.518). This means that the maximum cost of a patent per month in 2021 will increase and amount to 7,590 rubles (1.518 million rubles × 6%: 12 months).
By the way, regional authorities can increase the amount of potential annual income for certain types of activities by three, five or even 10 times (Clause 8 of Article 346.43 of the Tax Code of the Russian Federation).
Deflator coefficient for UTII
For individual entrepreneurs and organizations that pay UTII, they use a coefficient, or as it is also called K1, to adjust the value of the basic income of a particular type of activity. The deflator coefficient for UTII for 2021 was 1.915. The increase compared to the 2021 value (1.868) was 2.5%. From which it follows that even if the value of the physical indicator by type of activity does not change and the local authorities leave the size of K2 at the same level, the tax payable to the budget in 2021 will increase.
Let's consider calculating the amount of tax for a UTII payer in 2021. For the calculation, let's take a store with a sales area of 15 m2, a basic profitability of 1,500 rubles. per 1 m2, K2 in the region is set at level 1, and the UTII rate is 15%.
(1500 * 15 * 1,915 * 1 *15%) * 3 months. = 19,389 rub.
This is how much the payer will have to pay to the budget.
Personal income tax
The deflator coefficient, which is used for personal income tax purposes, will increase from 1.686 in 2021 to 1.729 in 2021.
This coefficient is used to calculate the fixed advance payment by foreign citizens working under a patent. Foreigners who are hired by Russian citizens for personal purposes (for example, to do housework) are required to independently make a fixed monthly personal income tax advance for the period of validity of the patent in the amount of 1,200 rubles. (clause 2 of article 227.1 of the Tax Code of the Russian Federation).
Since the size of the deflator coefficient for 2021 will be 1.729, the fixed advance payment for foreign au pairs next year will increase and amount to 2,074.8 rubles. (RUB 1,200 × 1,729) per month.
The Ministry of Economic Development has changed the deflator coefficient used in calculating the “cost” of a patent
For the first time in 10 years, the Ministry of Economic Development has changed the deflator coefficient previously established for the year ahead, which is necessary for the purposes of applying Chapter 23 “Personal Income Tax.” Let me remind you that this coefficient is used when calculating the fixed advance payment (FAP) for personal income tax paid by foreign citizens working in Russia under a patent.
By order of the Ministry of Economic Development of the Russian Federation dated December 10, 2021. No. 793 “On amendments to the Order of the Ministry of Economic Development of Russia dated October 21, 2019. “On the establishment of deflator coefficients for 2021” (hereinafter referred to as the Order), the deflator coefficient is set at 1.810 instead of 1.813 previously set for 2021. Considering that Article 227.1 of the Tax Code of the Russian Federation establishes the size of the fixed advance payment at 1,200 rubles, taking into account the coefficient established by the Ministry of Economic Development, its value in 2021 will be 2,172 rubles (currently it is 2,175 rubles 60 kopecks).
The text of the document can be found on the official Internet portal of legal information: publication.pravo.gov.ru
The beauty of the situation is that regional deflator coefficients have already been approved in the constituent entities (the calculation of which was based on the value of the federal coefficient previously approved by the Ministry of Economic Development of Russia). That is, the “cost” of a patent for 2021 in the regions had already been determined and migrants began to pay the FAP (which, as a rule, amounted to a nice, even amount). The “cost” of a patent is calculated using the formula
FAP * KD1 * KD2,
where FAP = 1200 rubles, KD1 is a deflator coefficient established for the entire territory of the Russian Federation, KD2 is a regional coefficient.
Now there are 2 possible scenarios:
1. The leadership of the constituent entities will not change the deflator coefficients and the “cost” of the patent previously approved by regional laws from January 27, 2020. (date of entry into force of the Order) will decrease slightly.
2. The management of the subjects will change the value of the deflator coefficient, adjusting it to the current “tariffs”.
Taking into account the fact that regional laws are required to be published on the official Internet portal of legal information, I strongly recommend monitoring regional legislation over the next month.
However, if this is not done, only migrants will be at a disadvantage (and only a small one), since they will be forced to pay a tax that is slightly higher than required. And more is not less.
Let’s hope that the situation in the regions will “settle down” in the coming month.
Author: Evgeniy Volodin
Trade fee
Trade fee payers use a deflator coefficient to adjust the fee rate. This rate is applied to activities related to the organization of retail markets (clause 4 of Article 415 of the Tax Code of the Russian Federation).
The basic value of this rate is 550 rubles per 1 square meter of retail market area. The deflator coefficient for calculating the trade fee in 2021 was approved in the amount of 1.317 instead of last year’s coefficient of 1.285.
Consequently, in 2021 the trade tax rate will increase and amount to RUB 724.35. (550 rubles × 1,317) per 1 square meter of retail market area.
DEFLATOR COEFFICIENT FOR NDFL
For personal income tax, the deflator coefficient is used to adjust payments of foreign citizens from “visa-free countries” working on the basis of a patent for hire from individuals (in particular, for personal, household and other similar needs not related to business activities). These foreign workers are required to independently make monthly fixed advance payments for personal income tax for the period of validity of the patent in the amount of 1,200 rubles (Clause 2 of Article 227.1 of the Tax Code of the Russian Federation). The size of the deflator coefficient for 2021 for these purposes was 1.686. And for 2021 it has increased and is 1.729.
Property tax for individuals
Let us recall that since 2014, property tax for individuals has been calculated taking into account the deflator coefficient (Article 404 of the Tax Code of the Russian Federation). This coefficient adjusts the inventory value of the property, which the technical accounting authorities submit to the tax inspectorates.
For 2021, the deflator coefficient has been increased and is 1.518. In 2018, its value was 1.481.
Keep in mind: the deflator coefficient for 2021 will be included in the calculation of citizens' property taxes for 2021.
As we can see, an increase in the “property” deflator coefficient will contribute to an increase in property taxes on citizens and an increase in local budget revenues.
Order of the Ministry of Economic Development of Russia dated October 30, 2018 N 595
MINISTRY OF ECONOMIC DEVELOPMENT OF THE RUSSIAN FEDERATION
ORDER
dated October 30, 2021 N 595
ON ESTABLISHING DEFLATOR COEFFICIENTS FOR 2021
In accordance with Article 11 of the Tax Code of the Russian Federation (Collection of Legislation of the Russian Federation, 1998, N 31, Art. 3824; 1999, N 28, Art. 3487; 2003, N 52, Art. 5037; 2004, N 31, Art. 3231 ; 2006, N 31, Art. 3436; 2007, N 22, Art. 2563; 2010, N 31, Art. 4198; N 48, Art. 6247; 2012, N 26, Art. 3447; 2013, N 26, Art. 3207; 2014, N 48, Art. 6657; 2021, N 1, Art. 6; N 27, Art. 4176; 2021, N 49, Art. 7307, 7315; 2021, N 32, Art. 5087) set to 2019:
deflator coefficient required for the purpose of applying Chapter 23 “Income Tax for Individuals” of the Tax Code of the Russian Federation, equal to 1.729;
deflator coefficient required for the purpose of applying Chapter 26.2 “Simplified Taxation System” of the Tax Code of the Russian Federation, equal to 1.518 <*>;
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<*> In accordance with Part 4 of Article 5 of the Federal Law of July 3, 2021 N 243-FZ “On amendments to parts one and two of the Tax Code of the Russian Federation in connection with the transfer to tax authorities of powers to administer insurance contributions for compulsory pension, social and medical insurance" the provisions of paragraph two of paragraph 2 of Article 346.12 and paragraph four of paragraph 4 of Article 346.13 of the Tax Code of the Russian Federation are suspended until January 1, 2021, in connection with which the value of the maximum amount of income of the organization, limiting the right of the organization to switch to a simplified taxation system, is not subject to indexation by the deflator coefficient established for 2019, necessary for the purposes of applying Chapter 26.2 of the Tax Code of the Russian Federation.
deflator coefficient required for the purpose of applying Chapter 26.3 “Taxation system in the form of a single tax on imputed income for certain types of activities” of the Tax Code of the Russian Federation, equal to 1.915;
deflator coefficient required for the purpose of applying Chapter 26.5 “Patent taxation system” of the Tax Code of the Russian Federation, equal to 1.518;
deflator coefficient required for the purpose of applying Chapter 32 “Property Tax for Individuals” of the Tax Code of the Russian Federation, equal to 1.518;
deflator coefficient required for the purpose of applying Chapter 33 “Trade Fee” of the Tax Code of the Russian Federation, equal to 1.317.
Minister
M.S.ORESHKIN
