Introduction: The 2023 annual reconciliation of comprehensive income from individual income tax has begun. In order to make it convenient, fast and accurate for taxpayers, the State Administration of Taxation has summarized 13 typical problems that are prone to errors in the annual final settlement, and explained them in the form of cases to help everyone successfully complete the final settlement.
1. If you want to be convenient, you should keep your personal information in mind
【Case 1】If you want to handle the final settlement, you should remember the APP password
After the individual income tax settlement began, Xiao Zhao saw that other colleagues had obtained tax refunds through the final settlement, and he also had a little expectation. When he opened the personal income tax mobile APP, he made a difficulty, and muttered in his heart: "What is my password?" It turned out that he had not logged in to the personal income tax mobile app for a year, and he had already forgotten the password. Xiao Zhao hurriedly looked at the "Retrieve Password" in the lower right corner, and recovered the password with a few simple operations, and successfully completed the final settlement.
Tips: The IIT settlement time is from March 1 to June 30 every year, it is recommended to remember the IIT mobile APP password, and you can also use the biometric function (fingerprint, face, etc.) to help record the password. If you forget your password, don't worry, click [Retrieve Password] on the login page of the IIT mobile app to reset the password. Generally speaking, as long as you fill in the identity information, choose to pass the verification of the bound mobile phone number or the verification of your bank card, and after the verification is passed, the new password will be set up. If you still can't retrieve your password through the above methods, you can bring your valid ID card to the nearby tax service office to reset the password.
Case 2: If you want to get a tax refund in a timely manner, you must have an accurate card number
According to the individual income tax settlement time notified by the financial staff of the unit, Xiaoqian and his colleagues have handled the annual tax settlement together and can apply for a tax refund of 300 yuan. Xiao Qian happily submitted the tax refund application, and then because he was busy with work, he didn't pay attention to it, and he didn't check the prompt message of "bank card verification failed" sent by the tax authorities through text messages and individual income tax mobile APP station letters, and as a result, other colleagues received tax refunds, and his own tax refund was not successful.
Tips: Incorrect or invalid bank card account information submitted by taxpayers is one of the important reasons for the failure of tax refunds. We recommend that taxpayers fill in the Type I account (Type I account refers to a full-featured bank settlement account, which can handle deposits, withdrawals, transfers, consumption, bill payments, cash withdrawals and other functions; if you fill in the Type II account and other accounts, there may be a risk that the tax refund amount will exceed the daily transaction limit of the account and the tax refund cannot be completed), and keep the bank card status normal. It should be noted that the tax authorities will not ask taxpayers to provide bank account numbers and other relevant information in text messages or unofficial software, if you have any questions, you can call the 12366 tax service hotline, or leave a message in the [Personal Center] - [I want to consult] of the individual income tax APP.
Case 3: Don't click on unfamiliar links, and regret if you are deceived
Recently, the taxpayer Xiao Sun received an online email, claiming that the State Administration of Taxation issued a notice of individual income tax final settlement and payment "can be refunded according to 70% of the total tax paid in the past three years", and jumped to a "high imitation" website of the State Administration of Taxation after clicking the link. Xiao Sun wanted to click on the application quickly, but then thought that he had already done the annual reconciliation last year, so he called the 12366 tax service hotline. The tax officer explained in detail to Xiao Sun, informing him that the email may involve fraud, and will ask you to provide bank cards, mobile phone numbers, verification codes and other information in the future.
Tips: Taxpayers can handle it by themselves through the individual income tax mobile APP, the website of the electronic tax bureau for natural persons (https://etax.chinatax.gov.cn) or go to the tax service hall, or through the employment unit or entrust other institutions or individuals to handle it on their behalf, and the tax authorities will not authorize other so-called "electronic" channels, please pay attention to screening, and do not click on unknown links under the influence of "being able to refund a large number of taxes", so as to avoid the loss of their own information and property.
Second, if you don't understand, let's interpret it by category
Case 4: It is possible to combine multiple incomes to calculate and refund taxes
Taxpayer Xiao Li has an annual salary of 200,000 yuan, and an article published in a magazine to obtain a remuneration income of 20,000 yuan, and after deducting the eligible deductions and deductions, it is found that he needs to pay 560 yuan of tax when handling the annual reconciliation of comprehensive income. Xiao Li felt that whether it was wages or salaries or remuneration, the unit and the magazine had already paid taxes to themselves, and there was no need to make up another sum of money, and most of the friends around him were tax refunds, so how could he pay the taxes himself? After the tax authorities found out, they explained the tax policy to him and urged him to apply for the tax declaration in time.
Reminder: After the implementation of the new individual income tax law in 2019, the mainland began to implement a comprehensive and classified individual income tax system. The four comprehensive incomes of wages and salaries, remuneration for labor services, author's remuneration and royalties obtained by individual residents need to be "checked and filled in for omissions, summarized income and expenditure, settled accounts on an annual basis, and refunded more than they have made up for the less" on the basis of the tax paid in advance. Generally speaking, in addition to wages and salaries, taxpayers also have income from labor remuneration, author's remuneration and royalties, and the applicable tax rate is higher than the tax rate at the time of prepayment after the sum of all incomes is generated. Xiao Li's prepaid wages and salaries are subject to a 25% tax rate, and a 20% tax rate is applied to the prepaid author's remuneration income, and after the combined calculation, the author's remuneration income is also subject to a 25% tax rate, so a tax of 560 yuan is required. It is normal to have compensation and refund for the annual reconciliation, and everyone should treat it with a normal mind.
【Case 5】Don't panic about unfamiliar income, go to verify it first and then appeal
Professor Zhou, a taxpayer, was invited to attend a seminar and give a lecture at a university, and during the final settlement of the following year, he found that there was a tax payment record from Association A's labor remuneration. Professor Zhou recalled that he had never participated in the activities of Association A, so he filed a natural person objection complaint on the mobile app for the labor remuneration. After verification by the tax authorities, the seminar attended by Professor Zhou at the university was actually undertaken by the association, and the remuneration for his lectures was also paid by the association and withheld and paid individual income tax. Because he did not know the reason, Professor Zhou filed a false complaint for "being earned" for the remuneration for the labor.
Tips: If taxpayers have any questions about a certain income when inquiring about their income tax records through the individual income tax mobile app, they can first contact the paying unit for verification on the tax payment of the income. If there is an error in the declaration of the paying entity, the paying unit can correct the declaration for the taxpayer, and if there is indeed a dispute between the two parties, the taxpayer can appeal against the income information. We suggest that taxpayers should carefully read the notice of appeal, be responsible for the authenticity, accuracy and completeness of the complaint information, and keep the relevant supporting materials for subsequent contact and verification by the tax authorities.
Case 6: Tax refund application is not a one-time application and it is an obligation to correct the information
When Xiao Wu handled the final settlement declaration, according to last year's donation, a new donation deduction of 10,000 yuan was added, but the name of the recipient and the donation voucher number and other matters were not clearly filled. The tax authorities discovered this situation during the tax refund review and contacted Xiao Wu several times to remind him to enter the relevant information and upload the donation voucher in time. However, for various reasons, Xiao Wu did not record the donation information and vouchers in time. In the end, the tax authorities made a decision not to refund the refund.
Tips: During the review of the annual final settlement and tax refund, the tax authorities will contact the taxpayer to fill in the items that are unclear or missing in the taxpayer's report, and submit relevant supporting materials. This is a measure to implement the collection and management service system of "declaration can be enjoyed, and data retention is kept for future reference", and it is also an international practice. We recommend that taxpayers actively cooperate and submit relevant information as soon as possible after receiving the reminder from the tax authorities, so as to obtain tax refunds in a timely manner and enjoy high-quality services.
3. Fill in in good faith, and false reports must be investigated
Case 7: The official notice is credible, and the "tax refund secret" is not reliable
Xiao Zheng, an employee of a company, is a mobile phone controller and often swipes social media such as Douyin, official accounts and Xiaohongshu. During the annual tax settlement, Xiao Zheng accidentally swiped a small video in the WeChat group, which said that when individuals handle the annual tax settlement, they can fill in some new deductions, so that they can get tax refunds. Seeing this "tax refund secret", Xiao Zheng was like a treasure, no matter whether the information was true or not, he concocted it in the same way. Unexpectedly, not long after filling in, he received the information pushed by the tax authorities to declare truthfully, Xiao Zheng suddenly realized, and quickly revoked the tax refund application to correct the declaration, sighing: "Down-to-earth and honest declaration is the right way." ”
Tips: Since the implementation of the annual individual income tax settlement system, some criminals have targeted the psychology of taxpayers who are eager to obtain tax refunds and are willing to obtain tax refunds, and launched the so-called "tax refund tips" to attract clicks and traffic, and win attention and attention. The tax authorities solemnly remind that do not listen to all kinds of tax-related gossip on the Internet, and should truthfully report their income and deductions in accordance with the law.
Case 8: "Serious illness medical treatment" is by no means "the way to make money"
Xiao Wang spent a lot of money on hospitalization when he was sick last year, and the financial department of the unit reminded him that he could enjoy the special additional deduction policy for serious illness medical treatment in the annual reconciliation of individual income tax. Xiao Wang inquired about the eligible medical expenses totaling 35,000 yuan on the national medical insurance platform APP, filled in truthfully, and obtained a tax refund in time. He and his colleagues in the unit widely publicized the country's good policies, but he didn't expect someone to use their crooked brains. The other 3 people in the office also filled in the special additional deduction of 35,000 yuan for serious illness medical treatment and submitted a tax refund application without medical expenses. However, these people did not expect a tax refund, but received a message from the tax authorities asking them to provide supporting information, and they may also be recorded as bad tax credit.
Tips: It is the legal obligation of every taxpayer to handle the individual income tax reconciliation in accordance with the law, and believing the so-called tax refund secrets or false rumors will not only affect their tax credit due to false reporting, but also may leak personal privacy information to Internet fraud criminals. When handling the final settlement, taxpayers should carefully check their income, deductions, withholding taxes and other information through the individual income tax mobile app, and handle the final settlement in good faith in accordance with the law. The taxation department will seriously deal with those who falsely report income or deduction items, tamper with supporting materials, and other heinous circumstances, and recover taxes and late fines;
Case 9: The identity of the child should be true and the information should not be hidden
Xiao Feng and Xiao Chen are a newlywed couple who have not raised children for the time being. However, in order to pay less tax, Xiao Feng filled in the identity information of his colleague's children and enjoyed special additional deductions for children's education. If the tax authorities find that there are doubts in the special additional deduction information filled in by the tax authorities in the annual tax settlement, they will send a text message to ask them to correct the declaration information or provide supporting materials. Holding on to a fluke mentality, Xiao Feng ignored the reminders from the tax authorities. The tax authorities contacted him by phone again, clarified the policy and regulations, and clearly informed him of the existing problems and the legal responsibilities that need to be borne. In the case that Xiao Feng did not correct the information and did not provide supporting materials, the tax authorities suspended his enjoyment of the special additional deduction in accordance with the law.
Tips: A small number of taxpayers make false declarations for special additional deductions in order to overrefund or underpay taxes during the annual reconciliation. In order to build a closed loop of individual income tax management, the tax department and other departments have established an information verification mechanism to analyze the declaration of taxpayers by using tax big data;
Case 10: The identity of the elderly should not be filled in, and knowing the regulations is a prerequisite
Xiao Chu is 25 years old this year, and when he was handling the annual reconciliation, he saw that the elderly colleagues around him had filled in the special additional deduction for supporting the elderly to get tax refunds, and he was very itchy, but his parents were not yet 60 years old and did not meet the conditions for filling in. As soon as Xiao Chu had an idea, he took his grandmother's information as his mother's information and filled in the special additional deduction for supporting the elderly, and he couldn't help but feel secretly proud. Within a few days, the tax authorities found an abnormality during the tax refund review and required Wang to submit supporting materials. Wang knew that he was at a loss, so he quickly withdrew the tax refund application and corrected the annual reconciliation declaration.
Tips: There are certain conditions for the special additional deduction for supporting the elderly, mainly if the dependent is a parent, one of the parents must be at least 60 years old. If the taxpayer's parents and siblings have passed away, and the taxpayer fulfills the support obligation of the grandparents, the taxpayer can fill in the special additional deduction for supporting the elderly. For taxpayers who falsely fill in the special additional deduction for supporting the elderly, the tax department will also use tax big data to analyze the information verified with other departments, communicate with taxpayers for the tax-related risks found, guide taxpayers to correct errors and improve compliance, and if they refuse to make corrections, the tax authorities will deal with them in accordance with laws and regulations.
Fourth, don't be delayed, there is a price for not doing the final settlement
Case 11: Overseas income should be declared, and no luck should be concealed
Xiao He was assigned by a domestic enterprise to work in a foreign subsidiary for three years, and before the end of February each year, the enterprise reported the information of the expatriate to the tax authorities. During the annual reconciliation, the unit reminded Xiao He that he should declare individual income tax in China on his overseas income, but he was lucky, believing that he had been dispatched for a long time and could not be discovered, so he did not handle the overseas income reconciliation. During the big data analysis and comparison, the tax authorities found that Xiao He had hundreds of thousands of yuan of overseas income that had not been declared, and issued him a notice ordering him to make corrections within a time limit. Xiao He paid back taxes and late fees, and the unit knew that he did not declare truthfully, and also criticized and educated him.
Reminder: Residents are required to self-declare and pay taxes on their overseas income, which is the basic system that has been adhered to since the implementation of the Individual Income Tax Law in 1980. The 2018 revision of the Individual Income Tax Law continues this provision, which stipulates that resident individuals shall pay individual income tax in the mainland in accordance with the law on income derived from both within and outside China.
Case 12: The tax refund application should be handled in a timely and overtime manner, and the rights and interests are damaged
Taxpayer Xiao Lu received a number of labor remunerations in 2019, resulting in a tax rate withheld by him at a rate higher than the applicable tax rate of the 2019 annual reconciliation, and he can apply for the annual reconciliation to obtain a tax refund in accordance with the provisions of the tax law. But Xiao Lu is usually too busy with work, and the unit has reminded him many times to handle the final settlement, but he didn't take it to heart. In the second half of 2023, by chance, Xiao Lu opened the personal tax mobile APP, and remembered the prompt of the tax authorities, when he initiated the 2019 annual reconciliation tax refund application, the system had prompted that the tax refund application exceeded the time limit stipulated in the Tax Collection and Administration Law, and Xiao Lu regretted it.
Tips: It is the taxpayer's obligation to truthfully handle the final settlement in accordance with the law. According to the provisions of the Tax Administration Law, taxpayers may request the tax authorities for a refund of the overpaid tax if they find it within three years from the date of settlement and payment of tax. For taxpayers who can be refunded in the final settlement, it is recommended to submit a tax refund application in a timely manner after confirming the income and deduction, and pay attention to the tax refund review by the tax authorities to avoid missing out on the tax refund dividend. From July 1, 2024, the tax authorities will no longer accept taxpayers' 2020 annual reconciliation tax refund applications. Taxpayers who meet the conditions for tax refund are requested to apply for tax refund in time to avoid affecting their legitimate rights and interests.
Case 13: Final settlement is an obligation, and there is a penalty for failing to do it
Taxpayer Xiao Zhang also received a large amount of remuneration due to his employment in multiple units in 2022, resulting in the tax rate withheld by him being lower than the applicable tax rate of the 2022 annual reconciliation, and he should handle the annual reconciliation and pay back taxes in accordance with the provisions of the tax law. During the final settlement, Xiao Zhang opened the personal income tax mobile app and took a look, and found that he had to make up a lot of taxes, and felt that the tax authorities might not be able to find him, so he did not handle the final settlement and pay the tax for a long time. In August 2023, after repeated reminders of invalidity, the tax authorities ordered him to make corrections within a time limit in accordance with the law. After receiving the notice, Xiao Zhang said: If I knew this, I might as well do it as soon as possible, the tax was not underpaid, and there was a late fee, which was a big loss.
Tips: It is the taxpayer's obligation to truthfully handle the final settlement in accordance with the law. For taxpayers who refuse to rectify or have incomplete rectification, the tax authorities will file a case for inspection in accordance with the law, impose additional fines on the basis of late fees, and include them in the list of key personnel in tax supervision, and strengthen the review of their declarations in the next three tax years.
Source: State Tax