What expenses can be deducted from enterprise income tax?

Expenses that can be deducted from enterprise income tax include: travel expenses, office expenses, welfare expenses, trade union expenses, employee education expenses, eligible public welfare donation expenses, advertising expenses, business entertainment expenses, consulting fees, taxes and fees, handling fees, interest expenses, and residual insurance funds.

Generally speaking, invoices that can be deducted from enterprise income tax are divided into two categories, one is expense invoice and the other is cost invoice.

The cost invoice can be deducted from the enterprise income tax.

1. production enterprise: invoices for purchasing raw materials, auxiliary materials, freight, machinery and equipment used in production, installation and debugging fees, post-maintenance fees, fuel, etc.

2. Commercial enterprises: purchase invoices.

3. Service industry: invoices for service fees and labor fees issued by other service agencies.

Expense invoices can be deducted from enterprise income tax.

1. Hospitality: invoices for meals, accommodation and gifts.

2. Office expenses: courier fees, telephone charges, property fees, utilities, broadband fees, computer accessories, office consumables, daily necessities, etc.

3. Advertising and business promotion expenses: publicity expenses, promotion expenses and invoices issued by advertising companies in the form of books, newspapers, magazines, radio, television, movies, street signs, posters, windows, neon lights and light boxes.

4. Travel expenses: accommodation, catering, car rental tickets, train tickets, boat tickets and plane tickets from other places.

5. Welfare expenses: accommodation, meals, travel expenses, employee gift expenses, league building expenses and employee medical expenses.

6. Rental fees: site rental, equipment rental, car rental and site rental invoices.

7. Handling fee: bank transfer fee, online banking service bond fee, ticket issuing fee and foreign exchange adjustment fee.

Legal basis:

People's Republic of China (PRC) enterprise income tax law

Article 12 The amortization expenses of intangible assets calculated by an enterprise in accordance with regulations shall be deducted when calculating taxable income.

Amortization expense deduction shall not be calculated for the following intangible assets:

(1) Intangible assets with self-development expenses deducted when calculating taxable income;

(2) Self-created goodwill;

(3) Intangible assets unrelated to business activities;

(4) Other intangible assets that cannot be deducted from amortization expenses.

Article 13 When calculating the taxable income, the following expenses incurred by the enterprise shall be regarded as long-term deferred expenses, which shall be amortized in accordance with the provisions and allowed to be deducted:

(1) Expenditures for renovation of fixed assets that have been fully depreciated;

(2) expenditure on reconstruction of rented fixed assets;

(3) Expenditure on major repairs of fixed assets;

(4) Other expenses that should be regarded as long-term deferred expenses.