Patent tax system in 2021 for individual entrepreneurs

Updated: January 1, 2021, at 11:35 am

The PSN is subject to changes and modifications by legislators, especially this year, so the article will be periodically updated.

This taxation system (hereinafter referred to as n/o) is remarkable in that it eliminates paper reporting, but contains a number of requirements that an individual entrepreneur must meet.

Currently, it is reluctantly chosen due to the introduction of mandatory online cash registers.

Conditions for PSN:

® Only individual entrepreneurs have the right to use this clause; it remains closed to organizations. There is something similar for an LLC - this is UTII;

® For all types of taxation, for all types of activities for the period, the number of employees should not exceed 15 people

® The annual profit of an individual entrepreneur should not exceed 60 million. rubles

The entire list of activities available to PSN is indicated in Article 346.43 of the Tax Code of the Russian Federation.

Subjects of the Russian Federation have the right to supplement types of activities, clarify them if this is necessary and relevant for the subject, but not to cut them. Therefore, it is better to check with the tax office for the current list for your region or region.

What is the patent tax system

In 2013, a new taxation system was introduced in Russia, called the patent tax system (PSN). It can only be used by individual entrepreneurs engaged in certain types of activities, which will be discussed below. The tax regime was designed specifically to make doing business easier through the use of a simplified income accounting system and the absence of tax reporting, which is typical of other systems.

To carry out activities under this taxation regime, it is necessary to register an individual entrepreneur and submit an application to the tax authority (hereinafter referred to as the Federal Tax Service, the Federal Tax Service, the Federal Tax Service). After this, the businessman will be issued a special permit - a patent. It is a special document that defines the scope of the entrepreneur’s commercial activities. The goal that legislators pursued when introducing PSN was to bring individuals who were engaged in business without registering as an individual entrepreneur “out of the shadows.”

Flaws:

1. Of all types of activities, only retail trade and the service sector deserve attention,

2. Accounting for profit for each type of activity, income should not exceed 60 million. rubles

3. Insurance premiums do not affect the cost, they are not reduced as in the simplified tax system

4. If the PSN and the previous N/O system are used, then the reporting to the tax authorities and taxation is carried out according to two systems, which is very inconvenient

5. Advance payment system

6. The number of employees should not exceed 15 people

Who can work under a patent in 2021

The legislation determines that only individuals who are individual entrepreneurs can use the preferential tax regime. Legal entities cannot use the patent system in their work. In addition, PSN is not used in relation to types of commercial activities under a simple partnership agreement or trust management of property.

Conditions for switching to PSN

You can start working under the new tax system at any time. The only thing you need to know is that if a merchant’s business is diverse, then you need to obtain permission for each type of business activity. In order to switch to PSN in 2021, a citizen must:

engage in a business that is on an officially approved list;
when using hired labor, involve no more than 15 people in the work;
have revenue for the calendar year of no more than 60 million rubles;
work in the region where the permit was obtained.

Classifier of types of entrepreneurial activities

The business that can be conducted using a patent in 2018 is regulated by the Tax Code and regional legislation. Areas of business that fall under the PSN are identified using the Classifier of Types of Entrepreneurial Activities (KVPDA). The document was approved in 2013 (No. ММВ-7-3/ [email protected] ) and is a systematic collection of names of types of business activities with their code designation.

Types of patents for individual entrepreneurs for 2021, reflected in the KVPDP, have the following digital designation - AA BB SS, where:

AA is the code of the type of activity reflected in the patent, regardless of the region. If local authorities introduce an additional type on the territory of a subject that is not reflected in the Tax Code, the digital designation 99 is used (compare: 03 - always only hairdressing and cosmetic services, 63 - repair of computer and switching equipment/equipment).
BB is the generally accepted code of the subject of the Federation (Moscow - 77, St. Petersburg - 78, Moscow region - 50).
SS – differentiation of the type of entrepreneurial activity. If there are no additional conditions for doing business, the value 01 is applied. If detail is established by law, other values are applied: 02, 03, 04, etc. Example: pet grooming (Moscow) - 21 77 05;
toy repair (Moscow) – 21 77 12.

In addition, those types of activities under a patent that are assigned the value AA 99 are detailed here. Example:

translation from one language to another (Moscow) – 99 77 01;
copying services (Republic of Buryatia) – 99 03 02.

When can an entrepreneur lose the right to use a patent?

An entrepreneur may be deprived of the right to use a patent in the following cases:

the number of personnel increased to more than 15 people;
the income received from sales exceeded 60,000,000 rubles;
from 2021 - if, within the framework of the retail patent, the sale of goods not related to retail trade was carried out.

Read about which sales are not retail and may result in invalidation of the patent, and about other changes in the PSN from 2021 in this publication.

If an entrepreneur bought a patent, for example, for 5 months, and then, after conducting business for 3 months, decided to stop it, then he can submit an application to the tax office for reimbursement of the paid cost of the purchased patent for the remaining 2 months.

What taxes does it replace?

PSN is notable for the fact that the entrepreneur pays a one-time fee when obtaining permission. This provides for exemption from paying taxes to the budget, which must be deducted when doing business under other regimes. The declaration by an entrepreneur-taxpayer, according to Russian legislation, is submitted in the form of a Book of Income and Expenses, but only at the request of employees of the Federal Tax Service. A patent replaces three types of taxes:

Value added tax. If an entrepreneur imports products into the territory of the Russian Federation from abroad, such an operation is subject to VAT in the general manner.
Personal income tax. Income received while conducting business under the patent regime is not subject to personal income tax.
Property tax for individuals. It is not paid from property used to conduct business under a patent. The exception is property on which tax is paid at cadastral value.

Combining PSN with other taxation systems

The transition to the patent regime is voluntary. The legislation does not oblige the termination of activities under another tax regime, but allows them to be combined. Entrepreneurs do not have the right to use a different taxation regime in relation to the business that is listed in the patent. An exception is the names specified in subparagraphs 10, 11, 19, 32, 33, 45, 46, 47 of paragraph 2 of Article 346.43 of the Tax Code of the Russian Federation (including retail trade, catering services and transportation of passengers by road).

For a better understanding, you can consider the following examples:

The individual entrepreneur has two clothing retail facilities with an area of 43 square meters. m and 120 sq. m. In relation to the first, PSN is applied. For the second, you can use UTII (single tax on imputed income), general (OSNO) or simplified (STS) modes - at the choice of the businessman himself, since its area exceeds the 50 square meters allowed for the use of PSN. m.
A businessman rents cars. This type of activity is subject to a patent. He wants to open a store selling automobile oils . Since this product is excisable, PSN cannot be used in this case, but OSNO or simplified tax system can be used.

Online cash registers

Currently, a gradual transfer is taking place, which has become mandatory for individual entrepreneurs to PSN and UTII, and entrepreneurs to online cash registers. Installation must be completed by July 1, 2021. But at the end of 2017, a bill was passed according to which for individual entrepreneurs whose activities fall under the type from the list specified in Art. 346.43 of the Tax Code of the Russian Federation under the following numbers from 1-15,18-28,30-44,49-58,60, 61, 62 and 63 , deferred the purchase of online cash registers until July 2021.

Types of activities covered by patent in 2021

Article 346.43 of the Tax Code provides a list of works for which PSN can be used. In each subject of the Federation, additional types of patents for individual entrepreneurs may be defined for 2018 by issuing the appropriate law, if additional positions do not contradict the law. To date, the list of those approved for use with the use of PSN includes:

Repair and sewing of clothing, fur and leather products, hats and textile haberdashery products, repair, sewing and knitting of knitwear.
Shoe repair, cleaning, painting and sewing.
Hairdressing, cosmetic services.
Dry cleaning, dyeing, laundry services.
Manufacturing and repair of metal haberdashery, keys, license plates, street signs.
Repair and maintenance of household radio-electronic equipment, household machines and household appliances, watches, repair and manufacture of metal products.
Furniture repair.
Photo studio, photo and film laboratories services.
Maintenance and repair of motor vehicles and motor vehicles, machines, equipment.
Providing motor transport services for the transportation of goods by road.
Providing motor transport services for transporting passengers by road.
Repair of housing and other buildings.
Production of installation, electrical, sanitary and welding works.
Glazing of balconies and loggias, cutting glass and mirrors, artistic glass processing.
Training the population through courses and tutoring.
Supervision and care of children and the sick.
Reception of glassware and secondary raw materials, with the exception of scrap metal.
Veterinary services.
Leasing (hiring) of residential and non-residential premises, dachas, land plots owned by an individual entrepreneur by right of ownership.
Production of folk arts and crafts.
Other production services:
making felted shoes;
production of agricultural implements from customer’s materials;
engraving work on metal, glass, porcelain, wood, ceramics;
production and repair of wooden boats;
toy repair;
repair of tourist equipment and inventory;
plowing gardens, sawing firewood;
repair, production of spectacle optics;
production and printing of business cards, invitation cards for family celebrations;
bookbinding, stitching, edging, cardboard works;
charging gas cartridges for siphons, replacing batteries in electronic watches and other devices.
Production and restoration of carpets and carpet products.
Repair of jewelry, costume jewelry.
Chasing, engraving of jewelry.
Monophonic and stereophonic recording of speech, singing, instrumental performance of the customer on magnetic tape, CD, re-recording of musical and literary works on magnetic tape, CD.
Residential cleaning, housekeeping.
Residential interior design and decoration services.
Conducting physical education and sports classes.
Porter services at railway stations, bus stations, air terminals, airports, sea and river ports;
Paid toilet services.
Services of chefs for preparing dishes at home.
Transportation of passengers by water transport.
Transportation of goods by water transport.
Services related to the sale of agricultural products (storage, sorting, drying, washing, packaging, packing, transportation).
Services related to the maintenance of agricultural production (mechanized, agrochemical, land reclamation, transport work).
Green farming and decorative floriculture services.
Management of hunting and hunting.
Engagement in medical or pharmaceutical activities by a person licensed for these types of work.
Carrying out private detective activities by a licensed person.
Rental services.
Excursion services.
Ritual services.
Funeral services.
Services of street patrols, security guards, watchmen, watchmen.
Retail trade carried out through stationary retail chain facilities with a sales floor area of no more than 50 square meters for each trade facility.
Retail trade carried out through stationary retail chain facilities that do not have sales floors, including through non-stationary retail chain facilities.
Catering services provided through public catering facilities with a customer service area of no more than 50 square meters for each catering facility.
Catering services provided through catering facilities that do not have a customer service area.
Slaughter, transportation, distillation, grazing.
Production of leather and leather products.
Collection and procurement of food forest resources, non-timber forest resources and medicinal plants.
Drying, processing, canning of fruits and vegetables.
Production of dairy products.
Production of fruit and berry planting materials, growing vegetable seedlings and grass seeds.
Production of bakery and flour confectionery products.
Commercial, sport fishing and fish farming.
Silviculture and other forestry activities.
Written and oral translation.
Care for the elderly and disabled.
Collection, processing, disposal of waste, including processing of secondary raw materials.
Cutting, processing, finishing of stone for monuments.
Provision of services (performance of work) for the development of computer programs and databases (software and information products of computer technology), their adaptation and modification.
Repair of computers and communication equipment.

Issue date

A patent for individuals has its own validity period. So, the minimum period for which it can be issued is one day, and the maximum reaches six months. However, taxes on such a patent can be paid for an unlimited amount of time. This makes working under such conditions more profitable compared to situations where a person works as an individual entrepreneur and is forced to pay more taxes.

The benefit also lies in the fact that, for example, in case of illness, when an individual entrepreneur cannot perform his work, he is still obliged to pay taxes. And for persons who have issued such a patent, it is possible to suspend these payments for a period of inactivity without renewing the validity of the patent.

How much does a patent cost for an individual entrepreneur?

Before purchasing a permit, it is important to calculate its exact cost. Based on the data obtained, you can compare whether it is profitable to work under the PSN or whether it is easier to use another tax regime. One of the features of the patent system is the upfront payment of the cost of permission. The contribution amount is calculated not based on the actual income received, but on the potential income. The amount of expected revenue is determined by local legislation for each specific type of activity.

In addition to the expected income, other indicators influence the cost of the permit:

validity period of the document;
number of employees;
number of vehicles;
presence of several retail outlets.

Tax calculation procedure

The cost of a certain type of patent for an individual entrepreneur for 2021 depends on the basic income, the amount of which is calculated individually for each type of business in a particular region, as well as the calendar period for which the permit is issued. The annual tax rate is fixed at 6%. Based on this, the calculation formula will look like this:

SP = BD x 6%, where;
SP – patent cost;
DB – basic profitability.

Provided that the individual entrepreneur acquires a permit for a period of less than one year, the result obtained is divided by 12 (the number of months in the year), and then multiplied by the required number of periods:

SP = BD x 6% / 12 x KM, where;
SP – patent cost;
BD – basic profitability;
KM – number of months.

Example:

A businessman from Moscow plans to repair shoes in 2021. The basic profitability according to the law is 660 thousand rubles. The cost of a permit for a year will be:

660,000 x 6% = 39,600 rub.

If the activity falling under the patent, the individual entrepreneur will be carried out for only 6 months, the result obtained must be divided by 12 and multiplied by 6:

39,600 / 12 x 6 = 19,800 rub.

If it is difficult to make the calculation yourself, you can use the online calculator located on the official portal of the Federal Tax Service. It can be used by any citizen who wants to obtain information about the cost of a patent, regardless of whether it is registered or not. The scheme of working with the calculator does not cause any particular difficulties and consists of filling out the following fields:

Period. The calendar year in which the business is expected to be conducted is selected.
Period of use. Here you enter the number of months per year during which the entrepreneur will work.
Federal Tax Service. You must select the name of the tax office, for example, 77 - Moscow city.
Municipality. The specific area in which the business will be conducted is determined.
Kind of activity. From the list you must select the direction in which the merchant will work.
Meaning. Filled in when selecting certain types of activities, for example, to indicate the number of trade objects, etc.
Calculate. After filling out all the fields, you need to click the “Calculate” button, after which the program will issue the amount required for payment.

Example:

Inflammation of the mucous membrane of the tongue
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An entrepreneur from Moscow plans to engage in rental services in 2018 for 7 months. Enter data:

period – 2018;
period of use – 07;
Federal Tax Service - 77 - Moscow city;
municipal formation - for example, Administration of the municipal formation of Tverskoy;
type – rental services.

After clicking the “Calculate” button, information will appear on the screen that the cost of the patent for this period is 34,650 rubles, and the tax is paid in two parts:

RUB 11,550 – within 90 calendar days from the date of issue of the patent;
RUR 23,100 - until the permit expires.

Tax holidays

Russian legislation may establish a zero tax rate – tax holidays. A free patent is issued for a period of 2 years from the date of opening your own business, provided that:

a citizen is registered as an individual entrepreneur for the first time;
activities are carried out in the social, scientific and production spheres, including the provision of consumer services to the population.

Tax holidays are in effect until 2021. In addition, for merchants engaged in business in the Republic of Crimea and the city of Sevastopol, until 2021, the tax contribution rate for all types of commercial activities or individual positions can be reduced to 4% (instead of the legally established figure of 6%). Such a relaxation for individual entrepreneurs is recorded in the Tax Code of the Russian Federation - clause 2 of Art. 346.5.

Conditions for re-registration of a labor patent

If your permit expires, you have the right to renew it:

Without leaving the Russian Federation - by contacting the Main Department of Migration of the Ministry of Internal Affairs no later than 10 working days before the end of the period for issuing a patent (Clause 8, Article 13.3 of Law No. 115-FZ). However, we recommend that you start re-issuing a permit in advance - at least a month in advance. Please note: extension is possible for the same specialty and the same area of coverage that were specified in the primary document.
By leaving the Russian Federation and going through the entire process of obtaining a patent to work in Russia again - if it has already expired.

IMPORTANT! A visa-free foreigner is allowed to renew a patent once (Clause 8, Article 13.3 of Law No. 115-FZ). When the reissued permit expires, the employer is obliged to terminate the employment contract with him (clause 5 of Article 327.6 of the Labor Code of the Russian Federation).

How to switch to a patent tax system

Entrepreneurs who wish to switch to PSN in 2021 (provided that the types of work being carried out under a patent for individual entrepreneurs are on the list of permitted ones) must complete the following steps:

Determine that the PSN applies to the business.
Complete the permit application.
Appear at the Federal Tax Service along with your passport to submit an application to the inspector.
Receive a receipt for documents acceptance.
In 5 days come for a patent.
If necessary, write an application for removal from the previous taxation system (if you do not plan to combine regimes).

Submitting an application on form 26.5-1

You can download the current application form for using PSN on the tax office website. The document consists of 5 pages, the first two of which are filled out by all applicants without exception, and the last - only under certain conditions (the business address is different from the registration address, the business is carried out using transport or in the field of catering and trade). The application form has the following blocks:

Page 1. Fill in the applicant’s details (full name, place of registration, contact phone number) and the period during which it is planned to engage in business (from 1 to 12 months).
Page 2. Name of business and activity codes for individual entrepreneurs 2021 according to the classifier, presence of employees and their number, tax rate (default - 6%).
Page 3 (Sheet A). Place of business. Filled in if it differs from the IP registration address. For example, a citizen is registered in Astrakhan, but plans to do business in Kaluga.
Page 4 (Sheet B). Data on vehicles that will be used by the merchant.
Page 5. (Sheet B). Information about objects used to conduct business.

Obtaining a patent

An application for a permit in 2021 can be submitted in person or through a legal representative who has a notarized power of attorney to the Federal Tax Service at the place of proposed business. The application is considered for a maximum of 5 working days, after which the entrepreneur must be informed of the decision. If the result is positive, the businessman receives a document and can begin running his own business.

If the decision is negative, the entrepreneur receives a written refusal, the basis of which may be:

incorrectly specified period;
the type of activity is not applicable for the use of PSN;
incorrectly filled in required fields;
violation of the conditions for the transition from the applied taxation system to the patent one;
presence of tax arrears paid under the PSN for previous periods.

Restrictions

The legislation also established certain restrictions for such activities. Therefore, before applying for a particular patent, you should read them carefully. The main requirements of this kind include:

an individual can obtain a patent only for the type of activity that is fixed in tax legislation;
it should not have the status of an individual entrepreneur;
the person must be a citizen of the Russian Federation;
know and adhere to the requirements that govern the process of registration and grant of a patent.

If a citizen does not adhere to the established rules, he may be denied a patent, have an already issued permit revoked, or be subject to certain financial penalties. Moreover, it does not matter whether the citizen knew about these rules or not. He must know them.

How to open an individual entrepreneur on PSN from scratch in 2021

If a citizen only plans to become an individual entrepreneur and work under the patent tax system, he has the right to submit two applications to the Federal Tax Service at the same time. This is possible only if he is registered in the same region where he plans to conduct his business. If the registration differs from the place of future work, you must first submit an application for assignment of individual entrepreneur status at the place of registration, and after receiving the certificate, you need to file an application for a patent in the municipality where the business will be conducted.

The scheme for obtaining individual entrepreneur status and permission consists of the following stages:

Pay the state fee for registration as an individual entrepreneur.
Fill out an application for assignment of individual entrepreneur status.
Fill out an application to apply the patent tax system.
Take your passport, TIN and the documents listed above and appear at the Federal Tax Service at the place of registration (provided that the place of residence by registration and the place of business are the same).
Hand over the collected documentation to the inspector, receiving a receipt to this effect.
On the designated day, appear to receive permission and a certificate of assignment of individual entrepreneur status.

What are the consequences of not having a patent for work and how to avoid getting a fine

Migrants and managers of companies and organizations who practice illegal employment deliberately violate the law of the Russian Federation. Such behavior is punished by deprivation not only of money, but also of certain opportunities.

The following monetary penalties are provided for violators:

Foreigners working without a patent - up to seven thousand rubles;
Organizations using foreign labor – up to a million rubles;

Important! An additional punishment for a foreigner working in our country illegally is being forced to return home.

Peculiarities of working as a self-employed person with a patent

The work of a person conducting independent patent activities has characteristic features. The most significant nuances:

The buyer of a patent can work officially under an employment contract and at the same time run a business.
He can advertise his business, defend the interests of his business in court, draw up contracts and enter into agreements.
Temporary ban on conducting scheduled audits of the financial side of activities.
Only its owner can work under a patent, without involving hired employees in the business.
No income tax is paid, since the acquisition of a patent requires payment in advance.

About the benefits of patents

According to various sources, from 13 to 18 million freelancers work illegally in the Russian Federation. When considering what a patent provides, it is important to understand that it provides the opportunity to be legalized by those entrepreneurs whose activities fall within its terms. The owner of a small business without employees and large income is freed from the need to maintain complex reporting and fulfill a lot of requirements from government agencies.

Obtaining a self-employment patent is quite simple. The registration process does not require a lot of time and money. Being self-employed carries no risks, but can apply for a loan and not be afraid to advertise your business.

So, a patent is an excellent solution for citizens who, for one reason or another, are in no hurry to register the status of an individual entrepreneur. It makes it possible to legally conduct business and not be afraid of prosecution and sanctions from tax authorities.