These Provisions are mainly applicable to general VAT taxpayers in Heilongjiang Province, Jilin Province, Liaoning Province and Dalian City who are mainly engaged in equipment manufacturing, petrochemical industry, metallurgical industry, shipbuilding industry, automobile manufacturing industry and agricultural products processing industry (the annual sales of products account for more than 50% of the total sales). Its main purpose is to encourage investors to increase investment in some basic industries in the old industrial base in Northeast China and accelerate the development of basic industries. It stipulates four situations in which the purchase of fixed assets can be deducted from the input tax: purchasing fixed assets (including accepting donations and physical investment); Self-made (including reconstruction, expansion and installation) purchased goods or taxable services of fixed assets; For the fixed assets obtained through financial leasing, the lessor shall pay the value-added tax in accordance with the Notice of State Taxation Administration of The People's Republic of China, People's Republic of China (PRC) on Levying Turnover Tax on Financial Leasing Business (Guo [2000] No.514); Transportation expenses paid for fixed assets (the input tax mentioned in this article refers to the input tax actually incurred by the taxpayer since July 1 2004, and the special VAT invoice issued after July 1 2004 (inclusive), and the legal tax deduction certificate of the transport invoice and customs import VAT payment book of the means of transport). Real estate purchased and made by taxpayers does not fall within the prescribed deduction scope.

The specific deduction method is: the input tax amount of fixed assets granted by the taxpayer in the current year shall not exceed the newly added value-added tax amount in the current year. If there is no new value-added tax amount in that year or the new value-added tax amount is insufficient to be deducted, the input tax amount that has not been deducted shall be reserved for the next year. Taxpayers who owe value-added tax should first deduct the tax owed (the new value-added tax amount in that year refers to the part of the value-added tax payable in that year that exceeds the value-added tax payable in 2003).

Two, the "Regulations" on the impact of fixed assets valuation and coordination

The above deduction method is mainly aimed at the actual input tax of fixed assets since July 2004 1, while the input tax of fixed assets purchased before July 2004 1 is not deducted, which has the following effects on the valuation of fixed assets of enterprises:

1. The fixed assets valuation basis of the same enterprise is inconsistent. For the same enterprise, the fixed assets that meet the "Regulations" are accounted for according to the value excluding VAT, and the fixed assets that do not meet the "Regulations" are still accounted for according to the value including VAT, so the fixed assets of the same accounting entity will have different valuation basis, which will inevitably lead to different depreciation basis.

2. It is difficult to revalue assets, which will lead to deviation. At present, the revaluation of fixed assets is based on the value-added tax, and the above-mentioned fixed assets without value-added tax will definitely appreciate. Therefore, the revalued fixed assets will increase in value, which indicates that the capital reserve of the enterprise will increase. At this time, the book of fixed assets will record the revaluation value of value-added tax, which will lead to the inflated rights and interests of enterprises and the illusion of enterprise value enhancement.

3. If the fixed assets increased by the enterprise meet the specified requirements, the recorded value of the fixed assets is lower than the value of the fixed assets priced with tax, and the depreciation shall be reduced accordingly. When other factors of the enterprise remain unchanged, its pre-tax profit will increase, the amount of income tax paid will also increase, and finally the total assets of the enterprise will decrease. This change will be more obvious in industries that focus on fixed assets investment.

For the impact of the implementation of the "Regulations" on the valuation of fixed assets, we should coordinate from the following aspects to increase the authenticity and relevance of accounting information:

1. Add fixed assets subsidiary ledger. Because fixed assets and current assets are different, the difference is that the value of fixed assets not only affects the financial position and operating results of the current period, but also directly affects the financial position and operating results of the subsequent period. Therefore, a subsidiary ledger of fixed assets, such as "fixed assets-fixed assets before transformation" and "fixed assets-fixed assets after transformation", should be added to record the fixed assets with and without VAT respectively. For newly-added fixed assets that meet the specified requirements, detailed accounting shall be carried out at the price excluding VAT, and depreciation shall be distinguished according to different depreciation situations including VAT and excluding VAT. Fixed assets purchased in accordance with the provisions of "refund on demand" and "refund on first demand" should also be accounted for at the value excluding value-added tax in order to correctly calculate the value of fixed assets.

2. Fixed assets are revalued separately. Reorganization, investment in fixed assets, donation, etc. , the value of fixed assets needs to be revalued. Fixed assets with VAT and without VAT should be revalued separately. Since the enterprise has listed the original value of fixed assets excluding tax and including tax in the subsidiary ledger, if it needs to be revalued, the value of fixed assets excluding value-added tax should also be determined as not including value-added tax, so as to avoid inflating the capital reserve because the revaluation of fixed assets excluding tax is higher than the book value excluding tax, and make the recorded value of fixed assets consistent on tax issues.

3. The influence of VAT transformation on the financial status and operating results of enterprises should be revealed in the notes. In order to enable users of accounting information to obtain comprehensive accounting information and have an objective evaluation of the performance of enterprises, the impact of asset evaluation and the impact of value-added tax transformation on profits should be supplemented in the notes when disclosing accounting information of enterprises.

Three, the tax treatment of new fixed assets after the implementation of the "Regulations"

At present, the transformation of China's value-added tax is the way of returning the incremental limit of value-added tax. Enterprises included in the scope of VAT deduction must have VAT input tax. The newly added VAT amount in that year refers to the part of the VAT payable in that year that exceeds the VAT payable in 2003. In case of merger, division, restructuring, reorganization, expansion, relocation, production conversion, absorption of new members, change of affiliation, change of enterprise name, etc. of existing enterprises, the new VAT amount shall be calculated according to the VAT payable by the original enterprise in 2003. Enterprises that have no tax increment or exceed the tax increment in the current year shall be carried forward to the next year for deduction. In this way, those enterprises that add fixed assets but the tax increment is small or zero can't fully apply for tax refund.

When purchasing fixed assets, enterprises failed to obtain special invoices for value-added tax in time, resulting in failure to handle payment and tax refund; The enterprise has not gone through the certification procedures for VAT invoices, and cannot declare the deduction; Ordinary invoices obtained by enterprises when purchasing fixed assets are not converted into VAT invoices in time, which leads to the failure to deduct them on schedule and affects the expected deduction amount.

In the current enterprise accounting system, there are nine third-level subjects under the second-level subject of "tax payable-value-added tax payable". In the process of changing the value-added tax system to the consumption value-added tax system, based on the above possible problems, the subject of "input tax to be deducted" or "tax to be deducted-value-added tax to be deducted" should be added in accounting treatment to account for the input tax of fixed assets deducted by enterprises without the approval of tax authorities. When an enterprise obtains fixed assets according to the regulations, it should first register the debit of this subject, that is, debit "fixed assets", "tax payable-value-added tax payable-input tax to be deducted" or "tax to be deducted-value-added tax to be deducted" and credit "bank deposit". After approval by the tax authorities, make corresponding records at the lender, that is, debit "tax payable-value-added tax payable-input tax" and credit "tax payable-value-added tax payable-input tax to be deducted" or "tax to be deducted-value-added tax to be deducted".

According to the current tax law, the input tax amount indicated on the special VAT invoice can only be declared and deducted after the enterprise purchases the goods and accepts them for storage. If the enterprise deducts in advance, if it is discovered by the tax authorities, it is stipulated that the input tax of the purchase business can never be deducted, except for the accounting treatment of the transfer back. Setting the detailed account of "input tax to be transferred" can also solve the problems caused by the inconsistency between the arrival time and the special VAT invoice when the enterprise purchases goods.

Because there are many ways for an enterprise to obtain fixed assets, for the business of purchasing qualified fixed assets and obtaining special invoices for value-added tax, the accounting treatment method consistent with that of purchasing inventory can be adopted: debiting "fixed assets" and "taxes payable-value-added tax payable (input tax)" and crediting "bank deposits". However, at present, for the rental and sale of fixed assets in China, it is often stipulated that commodity tax is business tax rather than value-added tax. After the transformation of value-added tax, the relevant departments will issue relevant regulations, so that the fixed assets in circulation only need to pay value-added tax, and no business tax will be levied, so as to avoid the repeated collection of "commodity tax" on the same actor. After obtaining the freight invoice of goods, the part that is allowed to be deducted according to the provisions of the tax law is directly included in the "input tax amount" of value-added tax, and the rest is transferred to the value of fixed assets. Accounting treatment is the same as material procurement.

Transactions in which fixed assets are obtained through non-monetary transactions, debt restructuring, investment acceptance, donations, etc. It can be treated as "regarded as sales behavior". The transferee of fixed assets can first record the input tax indicated on the special VAT invoice in the detailed account of "Input Tax to be Deducted", and then transfer it to the detailed account of "Input Tax" of the enterprise according to the depreciation of fixed assets and the input tax approved by the tax authorities on the special VAT invoice of the asset. The difference between the two can be directly included in the current "non-operating expenses" as a loss. The transferor of fixed assets shall calculate the input tax that should be transferred out according to the price agreed in the transaction item, and record it in the "Input Tax Transfer" credit.

For the fixed assets acquired by enterprises through self-construction (manufacturing), since the engineering materials used have included the input tax, and the direct labor and manufacturing expenses incurred in the process of self-construction (manufacturing) have not increased the value-added tax, it is not necessary to calculate the input tax for the fixed assets acquired through self-construction (manufacturing). However, if the outsourcing of taxable services is involved in the process of self-construction (establishment), the paid input tax of taxable services is allowed to be included in the "input tax".

To sum up, because the processing methods of enterprise value-added tax (mainly involving the purchase, use and disposal of fixed assets) are different from those before the transformation, the pricing and accounting methods of fixed assets are also different, which requires the relevant enterprises that implement the regulations to correctly and scientifically carry out accounting treatment on the basis of following the basic accounting principles and according to the characteristics of their specific industries and economic businesses. Especially the choice of fixed assets valuation method, in order to truly reflect and correctly calculate the economic activities of the whole enterprise, and minimize the impact of value-added tax transformation on enterprise accounting treatment.