Article 247 of the Tax Code of the Russian Federation defines profit, which is subject to taxation, as the difference between income and production costs. Thus, the more expenses of an enterprise with the same income, the less income tax it will pay. You can minimize your profits by increasing your expenses. The list of costs is given in chap. 25 of the Code, use the legal basis to reduce the tax base.
Instructions
Step 1
Chapter 25 provides for the possibility of creating enterprise reserves. They can be formed, for example, as reserves for doubtful debts, deductions to the reserve for upcoming vacation payments and length of service to employees, to reduce the value of securities owned by the company. Please note that minimizing profits will depend on what method of recognition of income and expenses is used in the established accounting policy: cash or accruals. The main one for taxpayers is the accrual method. The cash method can be used only by those enterprises whose revenue excluding VAT during the year did not exceed 1 million rubles in each quarter.
Step 2
Another option for minimizing profits is overstating the cost of renting premises and those that accompany the current activities of the enterprise. You can also overestimate the costs of cleaning the premises, garbage disposal and those items that can be attributed to costs associated with production and sale.
Step 3
Increase costs for the benefit of the further activities of your enterprise: pay for the services of marketers and consultants. They can also be attributed to production and distribution costs. Write off marketing research on an item of expenditure related to the current study (research) of market conditions, information collection. But they must necessarily relate to production and sale and be relevant for the enterprise at this stage, otherwise the tax audit will doubt their feasibility.
Step 4
Why don't you increase your costs by ordering a trademark? If your company is successfully developing and confidently occupies not the last place in the market, this is simply necessary. Consider such expenses as periodic (current) payments for the use of rights to the results of intellectual activity and means of individualization. The same article can include the costs of paying for the rights used, which arise from the use of patents for inventions, industrial designs and other types of intellectual property. Do not forget that you have the right to increase the amount of expenses under this item only after the trademark of the enterprise is registered in the prescribed manner.
