To make a profit from your labor and at the same time remain clean before the state individual by law Russian Federation, registers with government agencies either by creating an enterprise or receiving the status of an individual entrepreneur. This procedure is established by the Civil Code of the Russian Federation and Federal law“On state registration legal entities and individual entrepreneurs." Making a profit without going through such procedures will lead to the imposition of fines and other sanctions.

What individual entrepreneurship is is discussed in detail in the legislative acts of the Russian Federation.

Individual entrepreneur is an individual who runs a business and has passed state registration in the manner prescribed by law without forming a legal entity.

From the moment of receipt of registration forms, the work carried out by an individual entrepreneur for the purpose of making a profit is regulated by the same parts of the Civil Code of the Russian Federation as for legal entities, however, the processes of work and interaction with counterparties and other market participants are simplified.

Aspects of entrepreneurship:

• allows you to work and receive financial gain legally;
• expands the range of possibilities;
• assigns a certain responsibility;
• from the moment of state registration, an individual officially begins to conduct business, which means that delays and excuses can no longer be allowed.

As with any business, running a business as an individual entrepreneur has its advantages and disadvantages.

Positive sides from passing the state registration procedure for individual entrepreneurs:

1. Registration of an individual entrepreneur is simpler than the establishment of a legal entity (regardless of the legal form of the latter).
2. The owner decides the tasks of an individual entrepreneur independently; the state does not regulate accounting for such persons in a special manner, accounting policies, etc.
3. The entrepreneur himself manages the activities without resorting to hiring a director.
4. Cash disciplines for individual entrepreneurs are simplified in comparison with enterprises. Expenses of funds from an individual entrepreneur are directed at the discretion of the person, with the exception of cases when taxable profit is reduced due to expenses.
5. Reporting to the Federal Tax Service and other government agencies requires less labor input when filling out and submitting.
6. Does not require strict document management.
7. It is not necessary to draw up a business plan to receive borrowed funds.
8. There are fewer claims from government agencies regarding work organization issues, lower penalties, and fewer inspections than for legal entities.
9. The ability to use state support programs (different for individual regions, details should be clarified in the structures of the subject of registration).
10. The right to conclude foreign economic contracts, like legal entities.

Despite the positive aspects, an entrepreneur is the same responsible status as that of a founder when creating a legal entity.

But it doesn’t end with only positive aspects; there are also disadvantages, which rarely anyone thinks about at the beginning of their activity.

1. It will not be possible to work with all customers, since for counterparties cooperation with an individual entrepreneur carries great risks if the latter fails to comply with its obligations.
2. In case of bankruptcy and a large volume of credit obligations, debt collection occurs from the property of such an individual.
3. There is a list of activities that an individual entrepreneur has no right to engage in.
4. There is a restriction on hiring employees; their number is determined by the requirements for the selected tax regime.
5. The individual entrepreneur is required to pay for himself monthly insurance premiums, regardless of whether he is already a pensioner or not.
6. Obligations to submit reports to government authorities, including tax authorities, within the established time limits.

Despite all the nuances of operating as an individual entrepreneur, this is the only legal way to do business without organizing an enterprise.

When submitting and preparing tax reports without violating deadlines, maintaining accounting and engaging in legal activities, there will be no problems with government agencies.

Everything that passes through government bodies is always supported by legislative acts, the concept and activities of individual entrepreneurs are no exception.

Basic laws and codes that guide a novice businessman in his activities:

1. Federal Law “On State Registration of Legal Entities and Entrepreneurs”.
2. Tax Code of the Russian Federation and laws of the region of Russia in which state registration was carried out.
3. The Law “On Licensing of Certain Types of Activities” and industry regulations, for example, legislation on tourism, if necessary.
4. Federal Law "On".
5. Federal Law No. 209 of July 24, 2007 “On the development of small and medium-sized businesses in the Russian Federation.”
6. Labor Code– when using the labor of hired workers.
7. Federal Law No. 54 of May 22, 2003 “On the use of cash registers and cash payments, as well as using plastic cards.”

The activities of an individual entrepreneur, despite their simplicity in comparison with legal entities, still impose on the individual quite a lot of responsibilities in accordance with the specified regulations legislation of the Russian Federation.

Some activities are subject to additional regulations, information about what other laws the entrepreneur needs to study when choosing his OKVED code.

Each entrepreneur is an independent person, and he has the right to choose a taxation system based on his own convictions, and also, if necessary, voluntarily change it in the manner prescribed by law.

A change in the tax regime for individual entrepreneurs may occur automatically due to exceeding the norms allowed by the current regime.

In total, the Tax Code defines 5 modes under which an individual entrepreneur can operate:

1. BASIC ( general system taxation) – implies maintaining a full-fledged accounting, payment of income tax, filling large quantity tax returns. At the same time, the entrepreneur gets the opportunity to conduct commercial activities without restrictions, recover VAT and engage in all types of activities, except those that are generally prohibited in the country or for individual entrepreneurs.
2. STS (simplified taxation system). It also has a number of difficulties in terms of accounting, but it turns out to be simpler than OSNO. Within USN entrepreneur can choose 2 tax base options: 6% of the total turnover or from 5 to 15% (the rate is determined by the laws of the constituent entity of the Russian Federation in which the activity is conducted) of income minus expenses. In this case, there are some restrictions.
3. UTII (imputed tax). May be applicable by some individual entrepreneurs for state-defined types of activities. In this case, taxation is determined by the rate established by the state using coefficients. The mode has restrictions, so it is used by entrepreneurs less often than others.
4. Patent system. Most often used by entrepreneurs involved in trade to the final consumer and the provision of services to the public. The tax in this case is fixed, accounting is limited to filling out a ledger of income and expenses. It has strict limits in terms of income, staff and OKVED.
5. Unified Agricultural Sciences. Suitable for agricultural producers only.

Individual entrepreneurs have the right to apply several forms of taxation simultaneously, for certain types of activities. This allows you not to exceed the limits established by law under the simplified tax system and patent, and to avoid restrictions on engaging in one or another type of business.

Due to the fact that individual entrepreneurship is a simplified form of state business registration, it has a number of limitations. May be applicable to all entrepreneurs or depending on the chosen taxation system.

OKVED involves dividing all types of activities into 4 groups:

• permitted - all entrepreneurs and legal entities can engage in them without additional restrictions and approvals;
• licensed - you can work in the field of these codes only by obtaining a special license from the relevant government agencies;
• prohibited - types of activities that can be carried out by a limited number of enterprises (most often the public sector);
• unlicensed, but requiring additional permits - it is possible to conduct activities under these OKVED codes only by obtaining permits from regulatory authorities (for example, a sanitary station for public catering), and are available for individual entrepreneur registration.

Prohibited types of activities that, regardless of the form of taxation, individual entrepreneurs cannot engage in:

• production and wholesale distribution alcoholic products;
• production of narcotic drugs, psychotropic and pharmaceutical drugs;
• sale of electricity to civilians;
• space activities (flights);
• activities in the segment of non-state pension insurance and investment funds;
• employment of citizens of the Russian Federation abroad;
• establishment of security companies and provision of related services;
• air transportation;
• conducting examinations in the field of industrial safety;
• activities aimed at managing hydrometeorological or geophysical processes;
• production and distribution of explosives and pyrotechnic products;
• storage, production, sale and development of ammunition, weapons and components, including chemicals;
• development and production of aviation equipment and dual-use equipment, its repair and maintenance.

You will need to obtain a license before starting work for the following activities:

1. Pharmaceuticals.
2. Sales of tobacco products.
3. Private detective activities.
4. Transportation by ground or by sea transport etc., if provided by law.

Depending on the form of taxation, restrictions on work may also be imposed.

Table 1. Limitations on the activities of individual entrepreneurs based on the tax base chosen during registration

*According to UTII, the Tax Code of the Russian Federation has a number of additional restrictions, including the size of retail premises should not exceed 150 square meters. m, the number of cars in the fleet for individual entrepreneurs providing transportation services cannot exceed 20 units.

It is preferable for an individual entrepreneur to decide on the types of activities and form of taxation before undergoing state registration. Restrictions on certain OKVED will not allow you to operate within the law and obtain the necessary certificates, and for violation of these parts of the law, criminal liability is provided.

If everything with the types of activities and the form of taxation has been decided, then the entrepreneur must go through the procedure of mandatory state registration; for this, the following is submitted to the registration authority:

1. Statement of the established form.
2. Passport of a citizen of the Russian Federation or a foreigner (with translation).
3. Taxpayer identification number.
4. And other forms established for individual categories individuals.

Within 5 days after submitting the full package of papers, if there are no claims against the entrepreneur from government agencies, he receives a certificate of state registration, and information about him is entered into the register, where all data about the individual entrepreneur will be stored until the termination of activity.

An individual, regardless of citizenship, who has reached the age of majority and is recognized as legally capable, can become an individual entrepreneur. For foreigners, it is mandatory to have documents confirming the legal grounds for staying on the territory of the Russian Federation (TRP or permanent residence permit).

In some cases, individual entrepreneur status can be obtained by persons under 18 years of age if they are recognized by authorized bodies as adults ahead of schedule, as a result of marriage, or with permission from parents or other legal representatives (guardians).

Individual entrepreneurs, as well as legal entities, have the right to use the labor of hired workers. In order to gain the legal opportunity to hire people to perform work, an individual entrepreneur (the requirements were in force until 2017) must go through the procedure of registering as an employer with the Pension Fund, FFOMS and Social Insurance Fund, having received the appropriate certificates.

Since 2017, an individual entrepreneur is required only when employing the first employee to submit information to the Social Insurance Fund that he has begun an employment relationship with an individual. This must be done within the time period established by law – 30 calendar days. Otherwise, fines are provided for 90 days of delay - 5,000 rubles, over - 10,000 rubles.

The sequence of actions for registering an employee as an individual entrepreneur is not very different from the standard procedure at enterprises of other forms of ownership:

Accept from the future employee a package of documents that includes:

• Passport of a citizen of the Russian Federation, or an alternative, for foreign citizens. Employment of foreigners involves the preparation of an expanded package, with the attachment of permit forms, as well as the completion of additional procedures, including at the Federal Migration Service;
• SNILS;
• employment history;
• education diploma and certificates (if required to perform work).

If an individual has not previously been employed, registration of SNILS and a work book is the obligation of the individual entrepreneur as the first employer for such an employee:

1. Accept the application for registration with the state.
2. Draw up an employment or civil law contract (used only for one-time work, in this case a work book is not required).
3. Issue an order for recruitment and commencement of work duties.
4. Create a personal employee card.
5. No later than a week from the date of signing the employment contract, make an entry in work book.

If the employee did not work for 5 days and quit, an entry in the employment record may not be made.

Termination of IP

In cases where an individual entrepreneur decides to stop conducting business activities, he must close the individual entrepreneur in accordance with the procedure established by law. The procedure for terminating a business, as well as registration, is regulated by the Federal Law “On State Registration of Legal Entities and Individual Entrepreneurs.” The procedure is determined by Art. 22.3 of the said act. In cases of forced termination of activity or death of an individual entrepreneur, registration authorities are guided by the data received from government agencies, courts or notary.

Concerning voluntary order, then the individual entrepreneur must submit the following documents to the structures:

1. Application made in in the prescribed manner.
2. Payment confirming payment of the state duty.
3. Evidence that he submitted Required documents to the Pension Fund.

Before the official termination of the entrepreneurial activity an individual remains obligated to pay taxes and fees provided for by law, regardless of whether business is being conducted or not, so it is worth considering that such completion of work is unacceptable for the individual entrepreneur himself.

Conducting activities and receiving financial benefits from them in Russia without going through state registration procedures is an illegal form of income. At the same time, the formation of an enterprise is a complex and lengthy process. If the type of business activity allows it, then most individuals choose to register as an individual entrepreneur. The opportunities obtained in this case are slightly less than those of legal entities, and there are no complaints from authorities and order.

(IP) is one of the ways to generate income using your own capabilities and strength. This is very relevant, for example, if you are a teacher who is able to tutor, give individual or group lessons, or an artist, writer, photographer. For people with land, there is an opportunity to grow vegetables and receive profit from sales.

Basic concept

Let's figure out what an individual entrepreneur is. This is one of the forms small business. are individuals who are registered in a certain manner established by law. They can carry out their private activities without forming a legal entity. Previously, in Russia they used the equivalent concepts of PE PBOYUL (without the formation of a legal entity). Nowadays, these terms have been replaced by the concept of individual entrepreneurs. What is an individual entrepreneur and why is its registration necessary? This procedure has great importance if you want to earn money legally. Registration of an individual entrepreneur takes place at the individual’s place of residence. However, he can carry out his activities at other addresses.

There is one more feature that not everyone knows about: the place of residence should not be used for activities that are related to any industrial production. The fact is that it is intended only for the residence of citizens. But this provision must be interpreted restrictively: it does not prohibit activities in these premises that do not contradict the rights of all persons living there and neighbors. For example, if your activity is related to intellectual work, for example, collecting data, writing scientific papers or drawing, programming, accounting, tutoring, auditing, consulting, then this can be done at your place of residence without breaking the law. In addition, as noted above, you can live at one address and conduct your business in another place.

When do people think about entrepreneurship?

Many people begin to think about what an individual entrepreneur is only when they begin to be dissatisfied with something in the work of an ordinary employee at an enterprise. I would like to have more income. At the beginning of independent work, you will have to work hard to achieve a good profit. But if everything works out, then in the future the person will become independent. There will be no need to work for the owner, since in this case you yourself are your own boss. The law allows only adults to engage in entrepreneurship. An individual who operates as an individual entrepreneur must be registered under his own name. It is an independent subject of business and civil law, like any commercial organization. After registration, a person is the owner of the labor force with the tools of production; he can independently organize his work and manage its results. So, what is an IP? This is an opportunity to become an independent worker within the limits of the law.

New in IP since 2013

From this year there is no need to provide the following reports to the tax authorities:

Quarterly.

Six months.

For 9 months of work.

For individual entrepreneurs, other things happened in 2013 significant changes. The amount of the insurance (fixed) premium has increased. You can reduce the amount of the single tax by the amount of contributions under the insurance contract. New concepts have appeared: patent activity and deflator coefficient. However, many entrepreneurs have decided to leave business this year, since social contributions for them have almost doubled.

Registration and operation of an individual entrepreneur has a number of risks, but it provides the opportunity to start your own business, which allows you to become independent!

Nowadays, everyone knows the abbreviation IP - individual entrepreneur. But not everyone imagines the legal status of this individual entrepreneur. The question is often asked: “Is an individual entrepreneur an individual or a legal entity?” Let's try to figure it out.

Who can do business?

By law any commercial activities you can engage in confirmation of your own legal status in accordance with legislative acts. As you know, this includes any type of it aimed at making a profit. In Russia, it can be dealt with by legal and

As is known, the forms of legal entities are state (as well as municipal unitary) enterprises and commercial organizations. Another category that is allowed to do this is individual entrepreneurs. The Civil Code states in black and white: “An individual entrepreneur (IP) carries out his activities without forming a legal entity (legal entity).” But why, in this case, is the question increasingly asked: “Is an individual entrepreneur an individual or a legal entity?” Is it really all about our blatant legal illiteracy?

About problems and confusion

It turns out that everything is not so simple. The reason for such doubts is that the same Civil Code, after defining an individual entrepreneur, almost immediately informs that the same provisions and rules that govern the activities of legal entities apply to his activities. Often, tax authorities impose requirements on entrepreneurs that are similar to those on commercial organizations. This is where confusion arises, in which both the individual entrepreneurs themselves and the regulatory authorities to which they are accountable become confused in the numerous types and forms of reporting required from legal entities and entrepreneurs.

An individual entrepreneur has to defend his rights in the tax office through lengthy complaints and proceedings. Some confusion also reigns in the activities of banks related to individual entrepreneurs. Not all banks clearly understand: is an individual entrepreneur an individual or a legal entity? What guidelines apply to entrepreneurs? Because of this, individual entrepreneurs are forced to prepare mountains of unnecessary reports, constantly defend their rights and try to change the bank to a more loyal one.

Let's compare individual entrepreneurs and legal entities

Maybe, after all, an individual entrepreneur is a legal entity? Let's look at what exactly brings individual entrepreneurs together with legal entities. Mainly, these are issues of financial discipline. Nowadays, registration of individual entrepreneurs implies the obligation to maintain a clear indication of the receipt and expenditure of funds in the same way as legal entities. They are required to submit tax reporting. If a citizen registered as an individual entrepreneur receives income as an individual (for example, from the rental or sale of housing), he will have to submit two declarations - one as an individual, the other as an individual entrepreneur indicating income from business activities.

The tax office checks individual entrepreneurs in the same way as legal entities. The same applies to other regulatory authorities. An individual entrepreneur reports to labor and fire inspectors, the Committee for the Protection of Consumer Rights and numerous other authorities.

About hired labor

An individual entrepreneur has the right to attract hired workers and make entries in work books. Working citizens do not care whether an individual entrepreneur is a legal entity or not. The Civil Code of the Russian Federation declares equal rights for all workers in the field of labor legislation regardless of the employer's organizational form. To respect the rights of employees, individual entrepreneurs are required to enter into formal employment contracts and pay contributions to all off-budget funds and pay taxes for their employees.

By the way, an individual entrepreneur has the right to choose the taxation system that is most beneficial for him, which also makes him similar to a legal entity.

Let's compare an individual entrepreneur and an individual

Is there any difference between an individual entrepreneur and a legal entity? There is, and more than one. An individual entrepreneur also has a lot in common with an individual. In particular, an individual entrepreneur can use all income at his own discretion and at any time, without reporting to anyone. As you know, in a commercial organization, income is paid only once a quarter in the form of dividends. In this important issue, an individual entrepreneur, without any doubt, enjoys much greater freedom compared to a legal entity.

From a legal point of view, registration of an individual entrepreneur does not oblige him to keep accounting records and mandatory open a bank account to conduct business. Such an entrepreneur can make payments in cash (of course, observing all legal norms). Although in practice these days this practically does not happen.

About fines and stamps

Another important difference relates to the size of fines, which inevitably occur due to errors in the maintenance and official execution of business documents. Fines for such violations, voluntary or involuntary, can be quite substantial. for legal entities is an order of magnitude greater than for individuals, which includes individual entrepreneurs in this matter.

Like any individual, an entrepreneur is not required to have a seal, unlike an organization. According to the law, a signature is enough for him to certify documents. But it should be noted that in practice, most partners of individual entrepreneurs are distrustful of this form of registration of contracts. Most individual entrepreneurs sooner or later start their own seal. Thus, this difference can be considered rather conditional.

Other nuances

Recently, only legal entities can trade in alcoholic beverages, so many entrepreneurs had to urgently register an LLC or other forms of legal entities. Despite the right to have employees, the entrepreneur is obliged to personally run his own business and all documents must bear his own signature. Another person has the right to sign any documents for an individual entrepreneur only by power of attorney. Thus, the position of director is either general director in the staff of individual entrepreneurs - an absolute fiction, because according to the law, these persons have the right to sign important documents without a power of attorney.

An entrepreneur retains his status in the event of official termination of activities. Thus, he must constantly pay contributions to the PF (Pension Fund) regardless of the availability of income, while a legal entity, in the absence of activity and income, has the right to dismiss the entire staff or send them on unpaid leave (and not pay any contributions).

So, is an individual entrepreneur an individual or a legal entity?

From all of the above, it becomes clear that despite all the contradictory and controversial aspects of our legislation, an individual entrepreneur is still an individual, and not a legal entity, which is emphasized by the Civil Code, but in his own person he is obliged to accept most of the regulations and requirements regulating the activities of organizations, unless direct indications of exceptions to the rules for individual entrepreneurs.

When starting to discuss individual entrepreneur taxes, it is worth immediately noting that an individual entrepreneur is not a legal entity, but an ordinary individual, but with the right to conduct business activities (individual entrepreneur). Due to this significant difference from LLCs, JSCs, etc., taxes paid by individual entrepreneurs can be much easier and simpler than those of legal entities.

We recommend paying taxes and conducting business transactions in non-cash form using a special one.

The tax burden of an individual entrepreneur consists not only of taxes themselves, but also. Unlike taxes paid, the amount of which can be regulated by choosing the right taxation system, insurance premiums are a fixed amount. Individual entrepreneurs do not have to pay taxes if they are not yet conducting business, but they must pay insurance premiums for themselves as long as the entrepreneur’s data is listed in the Unified State Register of Individual Entrepreneurs, i.e. immediately after registration.

Insurance premiums mean contributions to pension and health insurance, as well as to the Social Insurance Fund, if the individual entrepreneur has employees. The amount of insurance premiums does not depend on the chosen tax regime or whether business activity is carried out at all. Next, we tried to talk about taxes and contributions of individual entrepreneurs in an understandable language and as structured as possible.

Individual entrepreneur insurance premiums 2019

Individual entrepreneur contributions to compulsory pension insurance

Individual entrepreneurs' insurance premiums for compulsory insurance in 2019 are a fixed amount established by the Government of the Russian Federation - 29 354 ruble per full year. This formula applies when calculating contributions, unless the individual entrepreneur’s income for 2019 did not exceed 300 thousand rubles. If the income received is greater, then the amount of insurance premiums increases by another 1% of income received above this limit.There is also an upper limit on the amount of insurance contributions to the Pension Fund - no more 234 832 ruble

Individual entrepreneurs' contributions to compulsory health insurance

Individual entrepreneurs' insurance premiums for compulsory medical insurance for 2019 are set at 6 884 ruble Please note that compulsory health insurance contributions do not increase with income growth and remain the same amount.

In total, individual entrepreneurs’ contributions in 2019 for themselves with an annual income not exceeding 300 thousand rubles (including in the absence of activity or profit from it) will be 36238 rubles

Individual entrepreneur contributions for their employees

If an entrepreneur uses hired labor, then in addition to insurance premiums for himself, he must pay insurance premiums for his employees.

In general, insurance premiums for employees consist of:

• payments for compulsory pension insurance to the Pension Fund - 22%;
• payments for compulsory social insurance in the Social Insurance Fund - 2.9%;
• payments for compulsory health insurance in the Federal Compulsory Medical Insurance Fund - 5.1%.

Additionally, a contribution is paid to the Social Insurance Fund for compulsory insurance from accidents at work and occupational diseases (from 0.2% to 8.5%). In Art. 58 of the law of July 24, 2009 No. 212-FZ Reduced rates of insurance premiums for employees are also indicated, which can be applied depending on the type of activity, categories of employees, the chosen taxation system and other conditions.

Benefits for paying insurance premiums

Since 2013, so-called grace periods for non-payment of insurance premiums have been in effect, when the entrepreneur does not conduct business, because... is serving on conscription, is on leave to care for a child under one and a half years old, a disabled person, a person over 80 years old, or is the spouse of a contract soldier or diplomatic worker and does not have employment opportunities. To receive this benefit, you must contact your tax office with an application and documentary evidence that business activity is not carried out.

In all other cases - additional work for hire or a civil contract, reaching retirement age, lack of activity or profit from it - the entrepreneur must transfer insurance contributions for himself. The tax inspectorate will stop accruing them only after the individual entrepreneur’s data is removed from the state register.

For entrepreneurs registered not from the beginning of the year, insurance premiums are not calculated in full, but taking into account the days that have passed from the date.

Insurance premium calculator

It is necessary to pay insurance premiums in the amount of: - r.

The payment consists of:

Individual entrepreneur taxes

To avoid a situation in which you will not be able to apply a preferential tax regime, you should carefully consider the choice of OKVED codes for individual entrepreneurs, since the tax office does not allow reporting under special regimes for a number of activities. For those who need help choosing permitted codes, we can offer a free selection of OKVED codes.

To ensure that an individual entrepreneur’s taxes do not become the main item of his expenses, it is worth asking yourself a few questions.

1.Will the expected income be constant or will its size change?

Between income irregularity and choice tax system there is a direct connection, and, based on this, it is worth calculating expected income at least a quarter in advance. In the simplified taxation system, unified agricultural taxation and operating system modes tax base, i.e. the amount on which taxes will be calculated arises only when the entrepreneur begins to receive real income. In the UTII and PSN regimes, the basis for such calculations are other indicators specified in the Tax Code, therefore, in these cases, the individual entrepreneur must pay taxes regardless of the amount of income received, including if there is no income at all.

If you don’t have regular income at the beginning of your business, we recommend choosing a simplified system, with which you can then switch to UTII or a patent, after first calculating the amount of taxes under these regimes and making sure that in your case it will be more profitable.

2.Will hired labor be involved and how many workers will be needed?

The number of employees when choosing a taxation system can become a limiting factor, for example, for the PSN the number of employees should not exceed 15 people, and for the simplified tax system and UTII - 100 people. The cost of a patent will also depend on the number of employees, in those regions and for those types of activities that take this indicator into account.The presence of employees will also be important in cases where an individual entrepreneur has the opportunity to reduce the tax payable at the expense of paid insurance premiums (on all taxation systems, except patent).

3.What proportion of income will be expenses, and will you be able to document them?

When choosing between the options of the simplified tax system “Income 6%” or the simplified tax system “Income minus expenses 15%”, you need to imagine the size of the expected expenses. In cases where possible expenses will exceed 60% of income, you should choose “Income minus expenses,” but only if you can document the expenses. If there are no supporting documents, or the share of expenses is less than 60% of income, then the “Income” option is more profitable.

4.What types of activities in your region are included in the lists of types for PSN and UTII?

Types of activities for UTII and PSN are determined annually by regional laws, and in your specific territory these lists can be either expanded (for PSN) or reduced (for UTII), compared to those specified in the Tax Code of the Russian Federation. You might be having a hard time right now compare all these criteria, but then we will look at each regime in more detail, which will clarify the issue of choosing a taxation system.

And for those who prefer individual approach, we can offer a free consultation with a tax specialist who will help you choose a tax regime taking into account the specifics of your business and region.

Individual entrepreneur taxes on the simplified tax system

Let's start with the most popular system among small businesses and individual entrepreneurs - simplified system Taxation (STS) or, as it is usually called among the people, “simplified”. Entrepreneurs working on a simplified basis are payers of a single tax, which replaces for them the payment of personal income tax on business activities and property tax used in business. The object of taxation on the simplified tax system is income or income reduced by the amount of expenses, so here you can choose the option or .

Not only receipts from the sale of goods and services are recognized as income, i.e. revenue, but also some others, called non-operating. Expenses include not those that the entrepreneur himself considers justified, but a closed list of them, given in Art. 346.16 Tax Code of the Russian Federation. It must be said that this list is quite extensive and for the most part recognizes the real expenses of individual entrepreneurs. In addition to the expenses themselves, the code also specifies the procedure for their recognition; in particular, expenses can only be taken into account after payment. We must approach responsibly documentation expenses, because Violation of the requirements for supporting documents may lead to their non-recognition by the tax inspectorate.

The tax base for the “Income” option is the monetary value of income. For the “Income minus expenses” option, the tax base will be the monetary value of income reduced by the amount of expenses. To calculate the amount of tax payable, you need to multiply the tax base by the tax rate, which is 6% for “Income” and 15% for “Revenue minus expenses.”

To develop certain types of activities and attract investment in the regions, local authorities can reduce the standard tax rate from 15% to 5%. You can find out what rate and for what activity is approved in your territory, in the regional law on the establishment of differentiated tax rates of the simplified tax system. This preference is applicable only for the “Income minus expenses” option, and the rate for the “Income” option remains unchanged - 6%. Thus, if there is a reduced price in your region tax rate, and you can confirm your expenses, then IP taxes when application of the simplified tax system“Income minus expenses” can be kept to a minimum.

But even taking into account the costs, it is important not to overdo it, because... here the individual entrepreneur has the obligation to pay the minimum tax. What does it mean? If you worked at a loss, i.e. expenses exceed the income received, you will have to pay a minimum tax of 1% of the income received.

The Income option may be a particularly attractive opportunity to reduce single tax for paid insurance premiums. At the same time, individual entrepreneurs without employees can reduce the accrued tax by the entire amount of contributions, and with small incomes, a situation may arise that there will be no single tax payable at all. Individual entrepreneurs with employees can reduce the single tax due to the amounts of insurance premiums paid both for themselves and for their employees, but not more than 50%.

For “Income minus expenses” it is not allowed to reduce the single tax calculated for payment by the amount of insurance premiums, but insurance premiums that individual entrepreneurs pay for themselves and for their employees can be taken into account in expenses when calculating the tax base, which also reduces the single tax payable.

Let's finish our acquaintance with simplified restrictions that must be observed to work on this system. For individual entrepreneurs there are few of them - the number of employees should not exceed one hundred people; the simplified tax system is not allowed when extracting and selling minerals (except for common ones) and in the production of excisable goods. In addition, an individual entrepreneur may lose the right to simplification after his income for 2019 exceeds 150 million rubles.

If you find the simplified system beneficial and convenient for yourself, then You can prepare an application for transition to the simplified tax system 2019 absolutely free:

Individual entrepreneur taxes on PSN

The patent tax system or IP patent is the only tax regime intended only for individual entrepreneurs. A patent can be obtained for any one specified in Art. 346.43 Tax Code of the Russian Federation. This list can be expanded by local authorities, and you need to find out what types of activities you can purchase a patent for in regional laws or at the territorial tax office.

The patent is valid only in the territory of the municipality where it was issued, so the individual entrepreneur must submit an application to the Federal Tax Service at the place where the patent is valid. For cargo transportation, it is allowed to use one patent when providing services in different regions of the Russian Federation, but only if transportation contracts are concluded at the place of registration of the individual entrepreneur. Restrictions for this regime apply only to the number of hired workers - no more than 15, and the loss of the right to use PSN will occur if the annual income exceeds 60 million rubles.

Calculating the annual cost of a patent is quite simple. To do this, you need to know the “potentially possible annual income” for the chosen type of activity and multiply it by 6%. You can also find out the amount of potential income from the regional law on PSN. Another option is to calculate the cost of a patent. A patent is issued for a period of one to twelve months, but within a calendar year. An individual entrepreneur can have several patents and calculate its value for each of them.

Payment for a patent occurs as follows:

• A patent issued for a period of up to six months must be paid in full no later than its expiration date;
• If the validity period of the patent is from six months to a year, then one third of its full cost must be paid no later than 90 days after the start of validity, and two thirds - no later than the expiration date of the patent.

It is impossible to reduce the cost of a patent by paid insurance premiums, but a reduced rate of insurance premiums is provided for individual entrepreneurs working under this regime.

Individual entrepreneur taxes on UTII

An imputed tax or imputation, just like a patent, is valid only in relation to certain types of activities specified in Art. 346.26. Regional laws may not only limit this list, but also not allow the use of this regime on their territory (for example, in Moscow). The single tax for the month is calculated using a rather complex formula - DB * FP * K1 * K2 * 15%.

Let's figure out what this set of letters and numbers means:

• DB is per month in rubles (we find it in the table given in Article 346.29 of the Tax Code)
• FP - physical indicator (indicated there)
• K1 is a deflator coefficient, approved annually by the Government of the Russian Federation. In 2019, K1 is equal to 1.915
• K2 - correction factor, set by regional laws in the range from 0.005 to 1.

Since the tax period for UTII is equal to a quarter, the tax amount is usually calculated for three months. Individual entrepreneurs must pay the imputed tax by the 25th day of the month following the reporting quarter.

On UTII, as well as on the simplified tax system, it is possible to reduce the single tax payable at the expense of insurance premiums paid for oneself and for employees. If an individual entrepreneur works alone, then you can deduct the entire amount of contributions paid for yourself, and when an entrepreneur has employees, then you can take into account contributions for yourself and for them, and the tax can be reduced by no more than 50%.In addition to the limitation on the number of employees (no more than one hundred), this mode also has specific physical restrictions, for example, the area of ​​the sales floor should not exceed 150 square meters. m.

Individual entrepreneur taxes on Unified Agricultural Tax

The unified agricultural tax is intended for agricultural producers, i.e. those who produce, process and sell agricultural products. This also includes fisheries organizations and entrepreneurs. The main condition for Unified agricultural tax - the share of income from the sale of agricultural products or catch must exceed 70% of total income from goods and services.

Agricultural tax is calculated according to the same principles as the simplified tax system “Income minus expenses”, but the tax rate is unchanged and amounts to 6% of income reduced by the amount of expenses. Unified agricultural tax is not permitted for taxpayers producing excisable goods.

Individual entrepreneur taxes on OSNO

And finally, if the individual entrepreneur has not chosen any of the special modes, then he will work on the main tax system. In addition to the rate of 20%, 10% or 0%, you will have to pay personal income tax (NDFL). The tax base for individual entrepreneurs under this regime will be income from business activities, to which it is allowed to apply so-called professional deductions - documented and economically justified expenses. If expenses cannot be confirmed, then income received can only be reduced by 20%.

The tax rate here will generally be equal to 13% if the entrepreneur was a Russian tax resident in the reporting year, i.e. stayed on the territory of the Russian Federation for at least 183 days over a consecutive 12 calendar month.

But if an individual entrepreneur on the general system decided to conduct business from abroad, and was not recognized as a tax resident, then, even as a Russian citizen, he falls into a big financial trap - all income he receives is taxed at a rate of 30%, with professional deductions cannot be used.

Insurance premiums for OSN can be taken into account in full as expenses, both for yourself and for employees. It’s worth choosing OSN if the majority of your customers will be VAT payers, who will benefit from working with you, because they will have the opportunity to take into account input VAT. And then, you need to carefully calculate your estimated income and confirmed expenses.

Combining tax regimes to reduce individual entrepreneur taxes

Another opportunity for those who know how to count their money is to combine different tax regimes. This means that you can calculate the expected tax burden and work on one type of activity in one mode, and choose a more profitable option for another type. Combining modes is also possible for one activity if you conduct business at different facilities.There are possible options for combining UTII and simplified taxation system, PSN and simplified tax system, UTII and PSN, Unified Agricultural Tax and UTII. You cannot combine the simplified tax system with the unified agricultural tax and the simplified tax system with the operating tax.

It is difficult to talk about the benefits of combining modes without giving examples, because To do this, you need to calculate the amount of taxes for the imputed regime and patent in a specific region and by type of activity, but you just need to know that such options have the right to exist. Let's finish this discussion general principles choice of tax system, taking into account which individual entrepreneurs’ taxes can be legally reduced.

If you did not manage to pay taxes or contributions on time, then in addition to the tax itself, you will also have to pay a penalty in the form of a penalty, which can be calculated using our calculator.

Individual entrepreneur (IP)(obsolete private entrepreneur (PE), PBOYUL until 2005) is an individual registered as an entrepreneur without forming a legal entity, but in fact possessing many of the rights of legal entities. Rules apply to individual entrepreneurs civil code regulating the activities of legal entities, except in cases where separate articles of laws or legal acts are prescribed for entrepreneurs.()

Due to some legal restrictions (it is impossible to appoint full-fledged directors to branches in the first place), an individual entrepreneur is almost always a micro-business or small business.

according to the Code of Administrative Offenses

Fine from 500 to 2000 rubles

At gross violations or when working without a license - up to 8,000 rubles. And, it is possible to suspend activities for up to 90 days.

From RUB 0.9 million for three years, and the amount of arrears exceeds 10 percent of the tax payable;

From 2.7 million rubles.

Fine from 100 thousand to 300 thousand rubles. or in the amount of the culprit’s salary for 1-2 years;

Forced labor for up to 2 years);

Arrest for up to 6 months;

Imprisonment for up to 1 year

If the individual entrepreneur fully pays the amounts of arrears (taxes) and penalties, as well as the amount of the fine, then he is exempt from criminal prosecution (but only if this is his first such charge) (Article 198, paragraph 3 of the Criminal Code)

Evasion of taxes (fees) on an especially large scale (Article 198, paragraph 2. (b) of the Criminal Code)

From 4.5 million rubles. for three years, and the amount of arrears exceeds 20 percent of the tax payable;

From 30.5 million rubles.

Fine from 200 thousand to 500 thousand rubles. or in the amount of the culprit’s salary for 1.5-3 years;

Forced labor for up to 3 years;

Imprisonment for up to 3 years