Should individual entrepreneurs without employees take SZV-M in 2021?

Individual entrepreneur without employees: SZV-M

Any businessman has the right to run his own business or hire hired personnel. The law allows the conclusion of both labor and civil agreements with such persons.

The law does not establish that an individual entrepreneur without employees must pass the SZV-M. This rule also applies in 2021. There are two reasons for this:

• a businessman has no employees, as well as performers, contractors, etc.;
• the merchant is not registered as an insurer in the Pension Fund system.

If the above conditions are simultaneously met, the SZV-M form for individual entrepreneurs without employees loses all meaning, since there is no one to show in it.

The issue of zero SZV-M for individual entrepreneurs who conduct business on their own is resolved by itself. Pension Fund employees do not need empty forms of this report that do not contain any useful information. Thus, for individual entrepreneurs, zero SZV-M in 2021 is a closed question.

There is no need to submit a zero individual entrepreneur report only for yourself!

What kind of reporting do individual entrepreneurs submit?

Individual entrepreneurs, along with legal entities, conduct their activities in various areas of the economy. Depending on which taxation system the entrepreneur is in, certain reports are submitted to the tax office.

In addition to the tax inspectorate, there are a lot of reports to other regulatory authorities. Entrepreneurs also report to the Pension Fund on a general basis. Those employers who understand the importance of information for the future pension of their employees carefully submit all necessary reports. However, there are exceptions here.

Individual entrepreneur with employees: SZV-M

If you have hired personnel (even just one person), whether you need to take the SZV-M IP is beyond doubt. Of course yes. In this case, a businessman becomes an insured when:

• there are employees under an employment contract;
• and/or makes payments and rewards under civil agreements.

Please note: previously it was necessary to independently register with extra-budgetary funds as an employer-insurer. The law gave 30 calendar days for this from the date of conclusion of the individual entrepreneur agreement with the first of the hired employees. Which automatically gives an understanding of whether individual entrepreneurs submit the SZV-M form. But since 2017 the rules have changed. During state registration, the relevant tax office will itself report to the Pension Fund the data on the businessman from the Unified State Register of Individual Entrepreneurs (USRIP) within three working days (new edition of Article 11 of the Law on OPS No. 167-FZ).

We found out whether IP SZV-M is accepted. Now let's talk about filling out this report.

It depends only on the existence of concluded labor and civil law agreements whether individual entrepreneurs must take the SZV-M. Whether payments are made for them, whether duties are fulfilled, whether the individual entrepreneur conducts business at all does not matter.

SZV - M for founder - director, but what about individual entrepreneurs?

Some entrepreneurs working without employees are confused by the fact that legal entities need to submit a report for the sole founder - the director of the company, even if he is not employed. Many entrepreneurs doubt whether they need to submit a SZV-M for themselves.

The individual entrepreneur himself does not work under an employment or any other contract. The fact that he has or does not have employed employees plays absolutely no role.

In this particular case, there is a significant difference between a legal entity and an entrepreneur, so legal entities submit a report, but individual entrepreneurs do not.

How to fill out SZV-M for individual entrepreneurs in 2021

According to our information, the sample for filling out the SZV-M form for individual entrepreneurs will not undergo major changes in 2021. The form and rules remain the same. It is only necessary to take into account some features of the individual entrepreneur status.

So, it should be noted that it is the entrepreneur who submits the report. For this:

• in the column “Name (short)” you must remember to make a note - “IP”;
• in the column about the position - indicate that the report is signed by the individual entrepreneur.

All hired personnel of the individual entrepreneur are listed in the fourth section of the report. At the same time, there is no need to include yourself in SZV-M, since the individual entrepreneur does not enter into an employment contract with himself! Otherwise, there are no fundamental features of filling out an individual entrepreneur’s report.

For more information about this, see the article “SZV-M: filling out information about the insured persons.”

Here is a sample of a completed report.

Below is a sample of filling out the SZV-M for individual entrepreneurs.

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20.10.2016

Deadlines for submitting the report according to the SZV-M form

For individual entrepreneurs who operate with the involvement of employees, the deadline for submitting the report is the same as for legal entities - until the 15th of the next month.

The form is submitted to the Pension Fund branch where the business is registered electronically or on paper.

Form and filling

The SZV-M form was introduced by Resolution of the Board of the Pension Fund of the Russian Federation dated February 1, 2016 No. 83P. The new form was not approved after this, so the form remains valid in 2021.

Usually the same act also approves the procedure for filling out the form, but in this case it is not. The fact is that the document is very simple, and all the necessary explanations for the fields are given directly in it. Below you will find the procedure and sample for filling out this form.

SZV-M consists of four sections. Section 1 reflects information about the policyholder. There are several fields here, and each one must be filled in:

• registration number assigned to the policyholder upon registration with the Pension Fund of Russia;
• name of the organization (short) or full name of the entrepreneur;
• Taxpayer Identification Number (TIN) and checkpoint (IP does not fill out the last field).

Section 2 indicates the reporting month code (June - 06, July - 07, and so on), as well as the year.

In the only field in section 3 you need to enter the form type code. If this is the first form in the reporting period, then the type “output” is set - initial. It must also be indicated when correcting some type of error, for example, when the reporting period was incorrectly specified.

In addition to the original one, the SZV-M form can be complementary (“additional”) and o). The last type is used to cancel information that was previously sent for the same period. For example, the report mistakenly included an employee who had already been fired. The “additional” type is used when it is necessary to include information that was not previously included in the report for a given period. For example, when one of the insured persons was not included in it. Sometimes you need to submit 2 reports to correct an error. So, if an incorrect TIN is indicated in the original form, you should first submit the SZV-M with the “cancel” type, and then with the “additional” type.

Information about the insured persons is reflected in section 4. It is presented in the form of a table, in the columns of which you need to indicate:

• serial number;
• last name, first name and patronymic (if any) of the insured;
• SNILS - its indication is mandatory;
• TIN of an individual, if the policyholder has such information.

If the TIN is unknown, then the form can be submitted without this information. However, if you indicate the TIN incorrectly, the report will not be accepted, since the data provided is unreliable.

At the bottom of the form there is a date, the signature of the manager/individual entrepreneur and a transcript, as well as a seal, if applicable.

Registration with the Pension Fund: is it necessary or not?

The state system of social protection of the population includes various types of insurance for citizens: pension, medical, social. Persons who must be included in the compulsory pension insurance program (compulsory pension insurance), in accordance with Art. 7 of Law No. 167-FZ of December 15, 2001, these are citizens of the country, legally residing foreigners and stateless persons:

• employed according to the law (there is an employment contract);
• self-employed and private practitioners (individual entrepreneurs, lawyers, notaries, arbitration managers);
• heads and members of peasant farms;
• representatives of tribal communities of small nationalities engaged in traditional folk crafts (reindeer herders, hunters, fishermen of the North and Far East);
• church ministers.

Thus, the legal basis for registration with the Pension Fund of Russia follows from the provisions of this regulatory act. And in accordance with Art. 419 of the Tax Code, businessmen are recognized as payers of insurance premiums both for themselves and for their employees, if any.

Important! When registering an activity, an entrepreneur who does not intend to use hired labor does not have to undergo additional registration with the Pension Fund. The tax authority automatically transfers his data to the funds. The need to register with the Pension Fund arises only after entering into an employment relationship with an employee.

What situations raise doubts?

Individual entrepreneurs need to know in what cases it is considered at the legislative level that workers are really not at the enterprise, so as not to fall under penalties. The following situations arise in labor relations:

1. An employee goes on maternity or child care leave, but the organization still has an employment contract concluded with her, which means that such persons must be included in the report.
2. The employee did not work, took time off at his own expense, wages were not accrued in the reporting month, but this does not exempt the registration of this person in the SZV-M form.
3. The contractor under a civil contract received payment for work in one month, and the agreement was concluded in another; information is submitted during the period when he was listed as an employee, regardless of the date of payment.
4. The rental of the premises from an individual has been registered; this name does not need to be included in the report; payment for renting the property is not subject to an insurance contribution to the Pension Fund of the Russian Federation.
5. When dismissing personnel, information is submitted in the month of their departure; in the next reporting period, these employees are not included in the form.

Each report must be received by the Pension Fund by the 15th, so you need to focus on the information of this period. When creating the SZV form, the Pension Fund of the Russian Federation had doubts about the need to take the “zero” test.

In 2021, we came to a consensus that such a document is not needed for individual entrepreneurs, but it is better for each entrepreneur to consult the Pension Fund of his region.

Responsibility for failure to provide a report

Responsibility for failure to submit or late submission of the form is the same for both individual entrepreneurs and legal entities.

The Pension Fund punishes violators with rubles. If the employer does not submit the form or submits it late, then the organization will be fined in the amount of 500 rubles for each employee insured in the pension system.

Since the zero form is not provided and does not need to be submitted, a fine cannot be imposed on the entrepreneur.

What else should you not forget?

In the new year, individual entrepreneurs with a patent will be able to reduce tax by the amount of insurance premiums paid

Since 2021, individual entrepreneurs have received the right to a tax deduction - they can reduce the cost of a patent by (subclause 1, clause 1.2, article 346.51 of the Tax Code of the Russian Federation):

• the amount of insurance premiums paid for yourself and employees;
• sick leave for the first three days of illness of employees;
• contributions under voluntary personal insurance contracts, which are concluded in favor of employees in case of temporary disability, if the amount of the insurance payment does not exceed the sick leave benefit for three days.

For an entrepreneur with employees, the amount of deduction is limited to 50% of the tax amount (paragraph 6, clause 1.2, article 346.51 of the Tax Code of the Russian Federation).

While you are submitting reports for employees and calculating the benefits of a patent, do not forget that in 2021 all small businesses will be calculated.

All individual entrepreneurs are required to submit form No. 1-entrepreneur for 2020

In 2021, all individual entrepreneurs must submit to Rosstat by April 1 a new form No. 1-entrepreneur for 2021, which was approved by Rosstat Order No. 469 on August 17, 2020, this is due to the conduct of continuous statistical observation.

For failure to submit statistical reports, individual entrepreneurs face fines (Article 13.19 of the Code of Administrative Offenses of the Russian Federation):

• for the first violation - from 10,000 to 20,000 rubles;
• for repeated violation - from 30,000 to 50,000 rubles.

From 2021, individual entrepreneurs will submit statistical reports only in electronic form (Federal Law No. 500-FZ of December 30, 2020). An exception is made for individual entrepreneurs who are small businesses; they will begin submitting statistical reports electronically only from 2022.

You can find out what reports an individual entrepreneur engaged in a particular type of activity must submit on the Rosstat website.

Mandatory contributions

While a businessman has the status of an active entrepreneur and works without hiring hired labor, he must pay mandatory contributions for his old age and health insurance (OPS and compulsory medical insurance) at the end of the year. This applies to all categories of self-employed citizens, even those who have already retired.

Attention! For entrepreneurs without employees, only compulsory health insurance and compulsory medical insurance contributions are required. Payment of fixed contributions to OSS for them occurs on a voluntary basis. The calculation of such payments is associated with the cost of the insurance year, which is proportional to the annual minimum wage and tariff rate.

The amount of mandatory insurance premiums is also calculated depending on the size of the minimum wage and is fixed for all payers as a single amount. This means that all entrepreneurs, regardless of the chosen tax regime, whether they received income over the past year or suffered losses, must pay the same amount for themselves. If a businessman has also hired an employee, then he separately calculates and pays the amount for himself and for him.

The fixed amount of contributions for oneself in 2018-2020 is regulated by Art. 430 Tax Code of the Russian Federation. The following values ​​are set for 2021:

• 26,545 rubles for OPS, if the individual entrepreneur earned less than 300 thousand rubles;
• an additional increase to the fixed amount of 26,545 rubles for OPS in the form of 1 percent of income that exceeded the threshold of 300 thousand rubles;
• 5840 rubles for compulsory medical insurance, regardless of income.

Important! The maximum amount of insurance accruals at the end of the year for the category of persons under consideration is: 26545x8 = 212360 rubles. An individual entrepreneur who earns less than 300 thousand rubles must make a payment in the amount of mandatory contributions of 26545+5840=32385 rubles by the end of 2021. Do not forget that insurance contributions to the Pension Fund in 2021 for individual entrepreneurs over 300 thousand rubles are made under a separate KBK, and the deadline for their payment has been extended until the beginning of the second half of 2021.

In accordance with paragraph 7 of Art. 430 of the Tax Code, on the basis of an application, payers can be exempted from fixed contributions for valid reasons. Circumstances that exempt you from payments for a certain period include:

• being in compulsory military service;
• caring for a child up to one and a half years old, for incapacitated children and disabled people or an elderly person over 80 years old;
• residence abroad of spouses of diplomats or residence in remote or closed settlements of spouses of military personnel, where it was impossible to engage in activities (exemption period no more than 5 years).

Copies of supporting documents must be attached to the application for exemption from paying insurance premiums for the listed circumstances: birth certificates of children, marriage certificates, disability certificates, military ID cards, certificates from the place of service, etc.

Changes in 2021

At the end of 2020, several new additions to the rules for passing SZV-M were approved. They began to operate on January 1, 2020.

Several changes have been made:

A new electronic format SZV-M was also approved.

It will be useful for every entrepreneur to find out the deadlines for paying individual entrepreneurs' insurance premiums for 2021 and how to transfer the corresponding payments. Is it possible to adjust financial statements? Read our article.