What taxes are included in the construction and installation engineering fee?

Construction project tax includes business tax, urban maintenance and construction tax, education surcharge and local education surcharge. Construction and installation project tax refers to the financial income collected by the state from the producers and operators engaged in construction and installation projects according to laws and regulations.

The Notice of the Ministry of Housing and Urban-Rural Development and the Ministry of Finance on Printing and Distributing the Project Composition of Construction and Installation Costs (Jian Zong [2013] No.44) stipulates that "Tax: refers to the business tax, urban maintenance and construction tax, education surcharge and local education surcharge that should be included in the construction and installation costs according to the national tax law."

What are the stages of engineering construction?

(1) Pre-construction stage: The pre-construction stage, also called decision analysis stage, is mainly used to solve the problem of whether the project investment is reasonable (including investment intention, investment opportunity analysis, project proposal, feasibility analysis, project approval, etc.). ).

(2) Preparation stage of project construction: The preparation stage of project construction is a stage to create conditions for project survey, design and construction, including planning, land use right acquisition, demolition, construction application and project contracting. Without the application for construction, the bidding procedures and construction permits shall not be handled, and the design and construction units shall not undertake the design and construction of the project. The state advocates bidding, and if it is mandatory, it must be invited.

(3) Project construction implementation stage: including survey and design, construction preparation (the construction unit obtains the construction permit, and the construction unit prepares the technology and materials), project construction, production preparation and other links. The construction enterprise has determined that it is a prerequisite for obtaining the work permit; Those who should have been invited to bid but did not go through the bidding procedures could not get work permits. The construction enterprise shall organize the construction within 3 months after obtaining the construction permit; If the project cannot be started for some reason, it may apply to the issuing authority for an extension, and the extension shall be limited to two times, each time not exceeding 3 months. If the construction is not started on schedule, the extension is not applied or the extension exceeds the time limit, the construction permit will automatically become invalid. The winning bidder shall start work in time after obtaining the construction permit to avoid being disqualified from winning the bid.

(4) Project acceptance and warranty stage: including project completion acceptance and project warranty. Completion means that the project is completed according to the design and contract contents and standards, and the site is thoroughly cleaned up. Garden projects usually have a planting maintenance period. If the owner requires the contractor to carry out maintenance, then only the maintenance period ends and the maintenance acceptance is qualified will mean the end of the whole garden project, so the maintenance period must be reflected in the construction progress. The construction progress of many bidding documents does not reflect the maintenance period, or the duration of the maintenance period does not respond to the bidding documents, which is a waste bid. During the warranty period of the project, the contractor shall undertake the warranty and compensation liability for the quality defects in the project.

(5) Closing stage: including production and operation, post-investment evaluation and other links.

Handling methods of engineering construction disputes

(1) reconciliation

Reconciliation means that the parties to a construction project dispute communicate and understand each other on a voluntary and friendly basis, so as to solve the dispute.

(2) Mediation

Mediation refers to a method in which two parties to a construction project have a dispute over their rights and obligations stipulated in the law or contract, and the third party, based on certain moral and legal norms, urges the two parties to make appropriate concessions to each other by stating facts and reasoning, so as to settle the dispute and reach an agreement voluntarily, so as to solve the construction project dispute. Mediation mentioned here is mediation in a narrow sense, excluding mediation presided over by the trial court and the arbitration tribunal in litigation and arbitration proceedings.

(3) Arbitration

Arbitration, also known as "arbitration", refers to a way to resolve disputes by the two parties reaching an agreement before or after the dispute, voluntarily submitting the dispute to a third party, who will judge the facts and make a ruling on the rights and obligations. This kind of dispute settlement must be voluntary, so there must be an arbitration agreement. If there is an arbitration agreement between the parties, and the dispute cannot be settled through conciliation or mediation after it occurs, it shall be submitted to an arbitration institution for arbitration in time.

legal ground

The deduction items listed in Item 6 of Article 7 of the Detailed Rules for the Implementation of the Provisional Regulations on Land Value-added Tax in People's Republic of China (PRC) are as follows:

(1) The price paid for obtaining the land use right refers to the land price paid by the taxpayer for obtaining the land use right and the related expenses paid in accordance with the unified provisions of the state.

(II) The cost of developing land, new houses and supporting facilities (hereinafter referred to as the real estate development cost) refers to the actual cost of taxpayers' real estate development projects (hereinafter referred to as the real estate development cost), including compensation for land acquisition and demolition, preliminary project cost, construction and installation project cost, infrastructure cost, public supporting facilities cost and indirect development cost.

Compensation for land acquisition and demolition, including land acquisition fee, farmland occupation tax, labor resettlement fee, net compensation expenditure for removal of above-ground and underground attachments, resettlement housing expenditure, etc.

Pre-project expenses include planning, design, project feasibility study, hydrology, geology, survey, surveying and mapping, "three links and one leveling" and other expenses.

Construction and installation project cost refers to the construction and installation project cost paid to the contractor in the form of outsourcing and the construction and installation project cost incurred in the form of self-operation.

Infrastructure costs, including road development, water supply, power supply, gas supply, sewage discharge, flood discharge, communication, lighting, sanitation, greening and other projects.

Fees for public facilities, including fees that cannot be transferred without compensation for public facilities in the Development Zone.

Indirect expenses of development refer to the expenses incurred in directly organizing and managing development projects, including wages, employee welfare expenses, depreciation expenses, repair expenses, office expenses, utilities, labor protection expenses, amortization of swing space, etc.

(3) The expenses of land development, new houses and supporting facilities (hereinafter referred to as real estate development expenses) refer to the sales expenses, management expenses and financial expenses related to real estate development projects.

Interest expenses in financial expenses can be calculated and apportioned according to the transferred real estate project, and the financial institution's certificate is provided, which is allowed to be deducted according to the facts, but the maximum amount shall not exceed the amount calculated according to the loan interest rate of similar commercial banks for the same period. Other real estate development expenses shall be deducted within 5% of the sum of the amounts calculated in Items (1) and (2) of this article.

If the interest expense cannot be calculated according to the transferred real estate project or the financial institution certificate cannot be provided, the real estate development expense shall be deducted within 10% of the sum of the amounts calculated according to items (1) and (2) of this article.

The specific proportion of the above deduction shall be stipulated by the people's governments of all provinces, autonomous regions and municipalities directly under the Central Government.

(4) The appraised price of old houses and buildings refers to the price when the old houses and buildings are transferred and the replacement cost price appraised by the real estate appraisal agency approved by the government is multiplied by the new discount rate. The evaluation price must be confirmed by the local tax authorities.

(5) Taxes related to real estate transfer refer to business tax, urban maintenance and construction tax and stamp duty paid when transferring real estate. Additional education fees paid for the transfer of real estate can also be deducted as taxes.

(6) According to Item (5) of Article 6 of the Regulations, taxpayers engaged in real estate development may deduct 20% from the sum of the amounts calculated in Items (1) and (2) of this article.