The implementation of inclusive policies has enabled enterprises to significantly reduce taxes and fees, and at the same time, more entrepreneurs feel the call of the state to encourage entrepreneurship. This is the graduation season, and there are many entrepreneurs who have just entered the society. The first step to start a business is to apply for a business license from the industry and commerce department. The first thing to consider in the business license is the business scope. The business scope refers to the categories, varieties and service items of goods that the state allows enterprises to produce and operate, reflects the content and production and operation direction of enterprise business activities, and is the legal boundary of enterprise business activities. How to determine the business scope of a new company? Is the more the better, the wider the better? What are the common risks?
1
No preconditions are required for obtaining business license
The business scope in the business license is divided into "permitted business items" and "general business items". The permitted business items refer to the items that should be reported to the relevant departments for approval according to laws, administrative regulations and the decisions of the State Council before the enterprise applies for registration, while the general business items do not need approval and can be operated independently.
For example, the food and beverage industry must have the Food Hygiene License issued by the Municipal Food and Drug Administration, the road transport enterprise must have the Road Transport License issued by the Transportation Administration, the hotel and lodging industry must have the Special Industry Business License issued by the Public Security Bureau, and the Network Technology Center must apply for the business license issued by the telecommunications department if it does telecommunications business.
The enterprise registration authority shall not register the business scope applied for by the enterprise in the following circumstances:
1. The enterprise is prohibited from operating by laws, administrative regulations or decisions of the State Council;
2. It is a licensed business project and cannot submit the approval documents and certificates of the examination and approval authority;
3. The registered capital does not reach the minimum amount of registered capital required by laws and administrative regulations to engage in the operation of the project;
4. The laws, administrative regulations and the State Council stipulate that enterprises in specific industries can only engage in approved projects while enterprises apply for other projects;
5. Other circumstances stipulated by laws, administrative regulations and the State Council.
The State Administration for Industry and Commerce (SAIC) Order No. 12, 2004 "Provisions on the Administration of the Registration of the Business Scope of Enterprises": if an enterprise engages in licensed business projects without approval, registration, or in violation of these provisions, the enterprise registration authority shall investigate and deal with them in accordance with the Measures for the Investigation, Punishment and Banning of Unlicensed Business; Those engaged in unregistered general business items shall be investigated and dealt with in accordance with the law in accordance with the law.
Therefore, if it should be a "licensed business project", it should first handle the relevant certificates for pre-approval items. Usually, when receiving the business license, the window clerk will give a "Notification of Approval of Commercial Subject", which clearly states that a certain business scope you apply for needs to be approved by a certain department. Only after obtaining the license can it operate. Each type of license involves different departments and requires different materials and procedures, reminding entrepreneurs to pay special attention when handling.
2
Pay no attention to the sequence of business scope
Some enterprises operate businesses in multiple industries at the same time. At this time, the enterprise where the first business item in the business scope is located is the industry. The tax bureau often refers to the industry level for case selection indicators during inspection, and the wrong order will bring risks to enterprises.
For example: Company A is engaged in the main business services and concurrently in the sales of goods, but puts the sales of goods in the first place. When the tax bureau selects a case, compared with the wholesale and retail industry, the tax burden is low, so it may be listed as the focus of the tax authorities!
As a result, Company A was vaguely targeted. In fact, people pay 6% VAT more than 13%~
3
Business scope of branches
When an enterprise establishes a branch, its business scope cannot exceed that of the head office because the branch cannot independently bear civil liability. Therefore, the business scope of the branch company should be within the business scope of the head office.
However, if an enterprise establishes a subsidiary, its business scope does not need to be within the business scope of the head office. Since parent and subsidiary companies often provide services to each other, the head office should increase the business scope of commercial services, and subsidiaries should increase the business scope of providing services to the head office.
4
Verification and collection are not considered
Newly established enterprises that intend to apply for verification and collection shall avoid business scope that does not allow verification and collection.
[Example] The newly established company of Company B plans to apply for verification and collection. When the financial personnel handle the industrial and commercial registration, they add the business scope of patent agency and trademark agency. When applying for verification, the tax authority said that the patent agent could not verify the collection, and your company did not meet the requirements, then Company B may need to cancel the enterprise and re establish the company.
Therefore, enterprises that intend to verify the collection should pay more attention to the verification of their business scope and avoid the types that cannot be verified and collected as stipulated in GSH [2009] No. 377.
5
The more business scope, the better
Some financial personnel think that businesses that go beyond the business scope cannot issue invoices by themselves, but need to go to the tax authorities to issue invoices on behalf. In order to reduce unnecessary trouble, they try to expand the business scope as much as possible. At the same time, some businesses that can not enjoy tax incentives, instead, they are penny wise and pound foolish.
[Example] Non real estate enterprises that invest in land to establish new companies are temporarily exempt from land value-added tax, except for real estate enterprises. If the business scope of "real estate development" is added to the newly registered company, the company may not be able to enjoy tax preference when investing in new companies with land.
6
Business scope
Some people choose to copy the business scope from the Internet at will due to uncertainty, regardless of the actual situation of the enterprise.
Take VAT as an example. In mixed sales, the tax rate is determined according to the main business. For the same mixed sales business, the enterprise tax rate of different main businesses is different. When determining the main business, the business scope is also a reference. The business scope should highlight the company's main business and avoid overpaying taxes. At the same time, you can refer to the "National Economic Industry Classification" issued by the National Bureau of Statistics, or consult professional institutions.
Although the scope of business is small, the impact is not small. Please pay attention to it. When choosing to fill in the scope of business, it is better for bosses to fill in the business items related to themselves, so as not to cause trouble if they choose wrong ones.
