Tax burden for income tax and VAT

Any entrepreneur, striving to increase his profit, feels the inevitable tax burden. It is natural to strive to reduce the cost of paying taxes, but it is important not to cross the line defined by law. However, the tax burden cannot be too low, because in this case there are almost certainly violations of tax legislation, which can be identified by a scheduled or unscheduled audit of the INFS.

What components does the tax burden consist of, what is its role in entrepreneurial activity, how to calculate it at different economic levels, whether an entrepreneur can do it on his own - all these questions are discussed below. Join us!

What percentage of revenue should the payroll fund not exceed?

Quote (MOTIVATION: FROM MODEL TO IMPLEMENTATION Pustynnikova Yu.M. “Bulletin of the HR Department”, No. 5 (23), May 2005): Analysis of the economic component of the remuneration system consists in clarifying the capabilities of the company: is it possible, in principle, without the threat of ruin, spend more on staff? The first indicator that is analyzed is the payroll, or rather, the percentage that the payroll is from the company’s gross revenue. For capital-intensive industries (for example, mechanical engineering), the payroll norm is 5-10% of revenue, for other industries and trading and manufacturing companies - 10-15%. Companies engaged exclusively in trade can afford to spend up to 25% of their revenue on payroll, and companies providing services – up to 40%. If the payroll exceeds these standards, then it must be reduced, and an increase in wages can only occur due to a strong influx of revenue, that is, an increase in sales volume. In addition, if you find “overspending” of the payroll, look for distortions in wages.

What kind of load will we consider?

The mentioned documents, in addition to informational information, can give entrepreneurs the opportunity to independently calculate the tax burden using specially developed formulas.

The first document (order of the Federal Tax Service) provides a general formula that will help in calculating the total tax burden , that is, the share of funds that were accrued for payment on the basis of tax returns in relation to the amount of revenue recorded by Goskomstat (in the income statement) .

IMPORTANT! Personal income tax is included in the calculation of such a load, but VAT is not. At the same time, contributions to extra-budgetary funds are excluded from the calculations, since not all of them are supervised by the Federal Tax Service.

The second document (letter from the Federal Tax Service) contains several calculation formulas for different taxes and certain special tax regimes.

What is the formula and how is the wage fund calculated?

Any hired labor, being the main activity of a person, must be paid. In other words, the end result of any work is receiving a reward for it. When finding employment, an employee expects a certain payment, agreed upon in advance and reflected in the relevant documentation.

In turn, the employer, when forming a staff, must calculate in advance the funds intended for wages and take this indicator into account throughout the entire functioning of the organization. The costs of hired personnel constitute the most important expense item for an entrepreneur.

Let's consider how the wage fund (payroll) differs from the wage fund (wage fund), how the payroll is formed, how to plan it correctly and using what formula to calculate it.

Absolute and relative tax burden

The concept of tax burden is used to establish the financial obligations of an entrepreneur to the state. It can be viewed as a relative or absolute value.

The amount burdening the entrepreneur due to his duties as a taxpayer, expressed in a certain figure, constitutes the absolute value of the tax burden.

Entrepreneurs need to know this figure in order to plan the ratio of expenses and income, optimize the business, and evaluate its profitability.

Tax authorities interpret the tax burden as a measure characterizing the funds that an entrepreneur allocates from business for his tax expenses. This approach is relative, as it includes many parameters taken into account by the Federal Tax Service.

That is why the relative designation of the tax burden better allows us to analyze the impact of the tax burden on the financial condition of the entrepreneur and the profitability of his business.

Sometimes the tax burden is identified with the effective tax rate - a percentage of the actual payment of a particular tax in the total tax base. When it comes to the tax burden for a specific tax, it is permissible to apply this definition, which is what is done in some regulations.

Payroll or payroll?

Remuneration involves not only the regular receipt of wages by employees. In enterprises that care about their staff, employees usually receive not only the amounts intended to be paid according to the salary or tariff schedule, but also additional funds provided for by the internal policy and/or industry characteristics of the organization.

Thus, the wage fund includes all types of payments that the entrepreneur makes in favor of employees, that is, all expenses provided for the organization’s personnel in the planned, current or past period, regardless of the reasons for the accrual. If we compare this totality with the wage fund (WF), then the latter will be part of the payroll.

The main difference between the FW is that this fund includes only those payments that are directly related to the labor operations performed by employees and their results.

NOTE! These funds will match if the organization's employees do not receive any payments other than salaries. But in practice this happens quite rarely.

FW and payroll are calculated using identical algorithms.

State documents

Since the tax burden ranks first among the criteria for selecting the “lucky” ones for an on-site tax audit, its documentary regulation relates primarily to documents issued by the Federal Tax Service. The relations between tax payers and regulatory authorities are regulated by the following acts:

• Order of the Federal Tax Service of the Russian Federation “On approval of the Concept of the planning system for on-site tax audits” dated May 30, 2007 No. MM-3-06/333 and its Appendix No. 3 - information data that is replenished and updated annually;
• Letter of the Federal Tax Service of the Russian Federation “On the work of commissions of tax authorities on the legalization of the tax base” dated July 17, 2013 No. AS-4-2/12722 contains a formula for calculating the tax burden for various types of taxes and special tax regimes.

NOTE! All this information is contained on the official website of the Federal Tax Service.

Why is the payroll indicator needed?

The importance of payroll as an economic category, in addition to directly accounting for necessary expenses, helps in solving many management problems, such as:

• analysis of personnel costs of different structural divisions;
• adjusting the company's general expenses;
• a certain role in increasing profitability and reducing expenses;
• adjustment of product costs and, as a consequence, the company’s pricing policy;
• calculation of mandatory social payments - insurance contributions, pension contributions, etc.;
• budgeting expenses.

Composition of the wage fund

The wage fund is the totality of the wage fund and all other types of personnel costs. Includes the following categories:

• premium;
• “thirteenth” salary;
• sick leave;
• vacation pay of all types;
• business trips;
• bonuses for length of service;
• amounts for time that was not actually worked, but is legally subject to payment (for example, downtime);
• additional payments for part-time work, for odd or overtime work, for dangerous or harmful working conditions, etc.;
• employee compensation;
• expenses for providing the employee with discounted or free uniforms;
• preferential working hours for employed minors;
• medical examination costs;
• social payments;
• compensation (for example, for food, travel to work, etc.)

The wage fund does not include:

• annual bonuses;
• targeted payments in favor of employees;
• bonuses paid from special funds;
• separate pension benefits;
• reimbursement of vouchers, travel, etc.;
• gifts from the company;
• dividends;
• all types of financial assistance.

Terms of formation of the wage fund

Depending on the needs of the organization, the payroll can be calculated for any period of interest, even for one day. In practice, other reporting units are more often used:

• Payroll for the year is calculated for the last calendar year period, this indicator is used to determine the entire amount of the wage fund;
• Monthly payroll is more often used for various types of reports;
• Payroll per day is used as a theoretical indicator for analyzing a company’s expenses;
• Payroll per hour will be needed for those enterprises where employees work on an hourly payment system.

Calculation of annual payroll

In order to calculate the annual wage fund, you need to have the following data for calculations:

• the amount of wages paid to employees according to statements;
• number of hours worked (calculated using time sheets);
• indicators of additional costs enshrined in the company’s local regulations;
• the number of employees on the list and their salaries (fixed in the staffing table);
• forms of payment accepted at the company (salary, piecework, hourly).

Universal scheme

The universal calculation scheme involves the addition of all amounts intended for personnel. In order to calculate it as simply as possible, although somewhat approximately, use the following formula:

FOTyear = ZPs-m x Chsr-sp. x 12

Where:

• FOTyear – annual indicator of the wage fund;
• ZPs-m – average monthly salary (all amounts of payments for the year, divided by 12);
• Chsr-sp. – average number of employees (the summed number of employees for each day of the month, divided by the number of days in the month, repeated 12 times according to the number of months in the year).

When paid hourly

Payroll calculation for hourly wages is carried out according to the following scheme:

FOThour = ∑st. x RF

Where:

• FOThour – wage fund for hourly workers;
• ∑st. – the sum of the rates of hourly workers;
• RF – number of working hours.

With piecework payment

Payroll calculation for piecework wages is carried out as follows:

FOTsd. = (Vpl. x Tsed.) + K + N + Pr. + Social

Where:

• FOTsd. – wage fund for workers with piecework wages;
• Vpl. – volume of production according to plan;
• Tsed. – price per unit of production;
• K – various compensations;
• N – allowances;
• Etc. – bonuses;
• Vsots. – social payments.

FOR YOUR INFORMATION! If you need to calculate not the annual, but the monthly payroll or use another reporting unit, you need to take the corresponding indicators for the formulas, that is, do not multiply the average monthly salary by 12, but determine the average number of employees for 1 reporting month.

VAT tax burden formula

The algorithm for determining the tax burden for VAT, recommended by the Federal Tax Service, is essentially similar to the formula for calculating this indicator for income tax: this is the quotient, expressed as a percentage, of dividing the amount accrued for payment according to the tax declaration by the volume of the tax base for it, established according to the data of the same declaration . However, for VAT, the tax base can be calculated in two ways, and, accordingly, there will be two formulas for calculating the amount of the burden.

The first method, when the calculation is made in relation to the tax base for the domestic market:

NNnds = 100 × Nnds / NBrf,

Where:

NNnds – tax burden for VAT;

VND – VAT due for payment on line 040 of section 1 of the declaration;

NBRF – tax base, calculated according to the figures in section 3 of the declaration (market of the Russian Federation).

The second method, in which the tax base is determined as the sum of the tax bases for the domestic market and for sales outside the Russian Federation:

NNnds = 100 × Nnds / (NBrf + NBexp),

Where:

NNnds – tax burden for VAT;

VND – VAT due for payment on line 040 of section 1 of the declaration;

NBRF – tax base, calculated according to the figures in section 3 of the declaration (market of the Russian Federation);

NBexp is the tax base, calculated as the sum of all lines 020 of section 4 of the declaration (export).

The tax base for section 3 (market of the Russian Federation) of the VAT return, based on the content of its current form, approved by order of the Federal Tax Service of Russia dated October 29, 2014 No. ММВ-7-3 / [email protected] , must be determined as the result of adding lines 010–070 columns 3, i.e. as the sum of bases by:

• sale of goods (works, services) at all applicable rates;
• sale of the enterprise as a complex;
• construction and installation work;
• advances received.

The taxpayer, based on his own goals, may choose a different base for calculating a similar indicator for this tax. For example, sales revenue taken from accounting records with VAT included.

Don't save on payroll

Any entrepreneur strives to reduce his expenses, including through salary funds and wages. Of course, you can cut salaries, cancel compensation payments, remove bonuses, etc.

However, one should not get carried away with such a reduction. An employee has the right to expect fair remuneration. Financial motivation is one of the strongest factors influencing staff turnover, their qualifications, and the efficiency of performing work duties. A meager wage fund can provoke workers to commit crimes in order to somehow make up for the lost funds in an illegal manner.

To put it simply, the vast majority of employees work exactly as their employer pays them.

In this post, I want to give a specific example of how to calculate salary from revenue so that it is clear to both the business owner and the employee.

We implemented this technique at one of our enterprises, and it showed itself well in the end. Let's first look at why we tie wages to revenue?

Nuances of the tax burden for different types of entrepreneurs

1. IP . An individual entrepreneur must calculate the tax burden for personal income tax. To do this, you need to divide the indicator in your declaration by the 3-NDFL given in the declaration.
2. Payers of the simplified tax system must take the level of their load accrued in accordance with the declaration and divide it by income in accordance with 3-NDFL.
3. Entrepreneurs on the unified agricultural tax divide, accordingly, their tax indicators by the amount of income according to the 3-NDFL declaration.
4. Those who chose OSNO add up VAT and income tax and find the ratio of the amount received to the total revenue reflected in the income statement.

IMPORTANT INFORMATION! If a businessman, in addition to those listed, pays other taxes, for example, land, water, property, etc. (except for personal income tax), then all these taxes will participate in the calculation of the total burden.

If the level of the tax burden turns out to be low, this does not mean mandatory penalties: they can only be imposed based on the results of an audit, the risk of which naturally increases in such a situation.

Pros of salary from revenue

• Personnel are interested in revenue growth;
• The staff becomes more proactive and responsible. An understanding of the common cause comes. Everyone becomes interested in the success of the enterprise;
• “Freeloaders and parasites” and pessimists are eliminated. The team gets healthier, the truly responsible employees remain;
• When properly developed and explained, costs are transparent for the owner and understanding on the part of the employee;
• Reduce wage costs when results are poor.

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Disadvantages of salary from revenue

• At the initial stage, general nervousness of the staff. Passes over time after receiving 2-3 salaries at or above the previous norm;
• Rising wage costs with high incomes. In fact, this is an imaginary minus, since not only expenses are growing, but also income. Accordingly, profits increase;
• Labor intensity in calculations compared to regular salary;
• Unevenness of salary costs throughout the year;
• Transparency of the enterprise's performance results for all personnel. For many Russian enterprises this may be a disadvantage.

Understanding the tax burden

Tax burden (or tax burden) is a fairly broad concept and is considered in two aspects:

• As an absolute value: a specific amount of tax payments due. This indicator may be of interest to the direct payers of these taxes.
• As a relative value: the share (percentage) of taxes payable in a certain base. This indicator can be used much more widely: for all kinds of calculations, analysis and forecasts.

The basis for calculating the relative value can be any of the economic indicators with which they want to compare the amounts of tax payments, assessing the degree of their influence on the profitability and profitability of the object in question for a certain period. For example, with:

• Revenue (with or without VAT).
• Income from sales, non-operating income or their total amount (according to accounting or tax records).
• Tax base for calculating a specific tax.
• Profit (accounting or tax), costs (cost, commercial or administrative expenses).
• Planned amounts of revenue, income, expenses, tax base or profit.

The tax burden indicator, calculated as a percentage, serves as one of the criteria both for analyzing the actual indicators formed over the period and for making forecasts at various levels: from a specific taxpayer to the country as a whole.

The share of taxes can be determined not only in relation to their total amount, but also in relation to individual taxes, and calculated both for one tax (or reporting) period and for several periods. In the case of calculations for several periods, the data involved in the calculation is summarized.

If there are no taxes to pay, then the total (cumulative) tax burden will be zero. The same is true when calculating the burden of individual taxes.

For information on how the total tax burden is calculated, read the article “Calculation of the tax burden in 2020-2021 (formula)” .

If you need to calculate the tax burden according to the simplified tax system, a ready-made solution from ConsultantPlus will help. A free trial of full access to the legal system is available.

We count

First, we need to determine the revenue for the last 12 months. Let the average monthly revenue be 770 thousand rubles. This year we plan to increase revenue by 10%, which will amount to 847,000 rubles. We round up and get the average monthly revenue plan for the next year - 850,000 rubles per month.

Let's take an example when an employee is paid hourly - 100 rubles per hour. We will pay him exactly 100 rubles per hour with our planned revenue, that is, with 850,000 rubles.

We take the minimum wage at 30 rubles per hour. As a result, our employee’s salary will be calculated using the formula:

Salary = (30 + 70 (Current month revenue/Planned revenue))*number of hours worked

Let's look at a specific example. Let the employee work 170 hours per month. With a stable salary, he will receive 17,000 rubles. If we tie salary to revenue, then different options are possible. For example, the enterprise performed terribly and the revenue amounted to 500,000 rubles. In this case, employees will receive (30+70*(500/850))*170=12,100 rubles. If the company worked very well and exceeded the plan by 300,000, then the employee will receive (30+70*(1150/850))*170=21,200 rubles.

What trick is used here? By introducing a minimum wage of 30 rubles, we are killing two birds with one stone - we guarantee the employee will receive the minimum wage even in the worst case scenario. The second hare is that wages are growing slower than revenue. In our example, revenue increased from 850,000 to 1,150,000 - by 35.2%. The wage rate increased by 24.7%.

Who needs it and why?

Determining how much money is spent on taxes is an important point that determines the activities of economic entities at various levels:

• taxpayers themselves can assess the effectiveness of their activities, determine how great the risk of a tax audit is, decide on the optimal tax regime, and predict further actions;
• The federal tax service uses these figures to design its regulatory activities, and also has the opportunity to influence the modernization of the tax system as a whole;
• The Ministry of Finance and other economic government agencies, based on tax burden indicators, study the economic situation at the regional and state levels, planning and forecasting the country's future financial policy.

How to make everything clear and transparent

It is often difficult for an ordinary employee to understand all these formulas, so for convenience we are compiling a table for calculating the hourly rate depending on revenue. Our basic formula is still the same (30 + 70 (Current month revenue/Planned revenue)

As a result, you will end up with a table something like this:

There are 2 tricks to use here. First, round up your salary to make calculations easier. Secondly, break down the revenue (in our example, the revenue is divided into intervals of 50,000 rubles). With this approach, in the last days of the month, staff will try their best to jump to the next payroll rung. We saw with our own eyes how on the 31st the revenue was 898,000 rubles and 2,000 was missing for the next salary increase. The staff themselves cooperated, and as a result, revenue increased not by a couple of thousand, but by as much as 25,000 rubles. It really works, tested in combat conditions.

A spoon of tar

On the one hand, with this payroll option, all employees are interested in the overall result. On the other hand, personal results are eroded. It turns out to be a kind of communism, when work is carried out for a common good goal. To stimulate the most active and responsible employees, it is necessary to introduce personal bonus points so that the best employees feel their contribution to the overall result. And these feelings must be supported by the ruble. This technique is already complex for one blog entry. As a rule, this is developed individually depending on the nature of the revenue, the psychology of the employee, the number of personnel and other important factors.

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