Port communicationThese companies are blessed with a 50% tax reduction，See if it’s your own business! Did you know? The latest 50% tax discount for small and micro enterprises has been expanded! These companies are blessed。
To further support the development of small and low-profit enterprises，Ministry of Finance、The State Administration of Taxation issued the "Notice of the Ministry of Finance and the State Administration of Taxation on Further Expanding the Scope of Preferential Income Tax Policies for Small and Low-profit Enterprises" (Caishui [2025] No. 77)，Documentation requirements，From January 1, 2025 to December 31, 2025，Increase the annual taxable income limit for small and low-profit enterprises from 500,000 yuan to 1 million yuan，For small and low-profit enterprises whose annual taxable income is less than 1 million yuan (including 1 million yuan)，The income is included in the taxable income at a reduced rate of 50%，Pay corporate income tax at a rate of 20%。
1、What is the upper limit of annual tax payable by small and low-profit enterprises? The annual taxable income limit for small and low-profit enterprises is increased from 500,000 yuan to 1 million yuan.，For small and low-profit enterprises whose annual taxable income is less than 1 million yuan (including 1 million yuan)，50% of the income will be included in the taxable income，Pay corporate income tax at a rate of 20%。
2、How is the specific time limit for eligible small and low-profit enterprises to enjoy the 50% tax reduction policy? From January 1, 2025 to December 31, 2025，Qualified small and low-profit enterprises can enjoy a 50% reduction in taxable income as stipulated in the Finance and Taxation [2025] No. 77 document，Policy for calculating and paying corporate income tax at a tax rate of 20% (hereinafter referred to as the "halved tax policy")。
3、Can small and low-profit enterprises that have been approved for taxation also enjoy the halved tax policy? From January 1, 2025 to December 31, 2025，Qualified small and low-profit enterprises，Regardless of whether the collection method is audited or approved,，Its annual taxable income is less than 1 million yuan (including 1 million yuan，(the same below)，All can enjoy the 50% tax reduction policy stipulated in the Finance and Taxation [2025] No. 77 document。
4、What specific conditions do small and low-profit enterprises refer to? Eligible small and low-profit enterprises refer to enterprises that meet the conditions stipulated in Article 92 of the "Regulations on the Implementation of the Enterprise Income Tax Law of the People's Republic of China" or Caishui [2025] No. 77。
Right now：Engage in national non-restricted and prohibited industries，and meet the following conditions:： (1) Industrial enterprises，The annual taxable income does not exceed 1 million yuan，The number of employees shall not exceed 100，Total assets do not exceed 30 million yuan； (2) Other enterprises，The annual taxable income does not exceed 1 million yuan，The number of employees shall not exceed 80，Total assets do not exceed 10 million yuan。
this notice(Finance and Taxation [2025] No. 77)The number of employees referred to in Article 1，Including the number of employees who have established labor relations with the enterprise and the number of labor dispatch workers accepted by the enterprise。 The so-called indicators of number of employees and total assets，Should be determined based on the company’s quarterly average for the entire year。
The specific calculation formula is as follows： Quarterly average = (beginning of quarter value + end of quarter value) ÷2 Full-year quarterly average = sum of quarterly averages for the whole year ÷4 Business operations started or terminated in the middle of the year，Determine the above relevant indicators based on its actual operating period as a tax year。 5、When companies prepay income tax in the first quarter，Unable to determine whether the previous tax year qualified as a small and low-profit enterprise，Can I enjoy the 50% tax reduction policy?
When an enterprise prepays corporate income tax in the first quarter of this year，If the final settlement of the previous tax year has not been completed,，Unable to determine whether the previous tax year qualified as a small and low-profit enterprise，This can be temporarily determined based on the company's prepayment declaration status in the fourth quarter of the previous tax year.。 1.If it is determined that it meets the conditions of a small and low-profit enterprise based on the prepayment declaration status in the fourth quarter of the previous tax year，You can temporarily pay quarterly corporate income tax in advance according to the policy of half tax reduction.。
If the enterprise enjoys the half tax reduction policy when making prepayment，Those who do not meet the conditions of small and low-profit enterprises during annual settlement and settlement，Taxes must be paid in accordance with regulations。 2.If it is determined that the conditions for small and low-profit enterprises are not met based on the prepayment declaration status in the fourth quarter of the previous tax year,However, it is expected that the conditions will be met this year，At the time of prepayment, the accumulated actual profit or accumulated taxable income for the year does not exceed 1 million yuan.，Can enjoy half tax reduction policy。
6、Do qualified small and low-profit enterprises need to register to enjoy the 50% tax reduction policy? No filing required，When prepaying and annual final settlement of corporate income tax ，By completing the relevant content of the tax return form，You can enjoy the half tax reduction policy。 7、Small low-profit businesses were levied on eligible audits for the previous tax year，How to prepay corporate income tax?
1.Prepaid according to actual profit amount，The cumulative actual profit for the year does not exceed 1 million yuan at the time of prepayment，Can enjoy half tax reduction policy。 [Case 1] The taxable income of Company A in 2025 is RMB 490,000。The company’s cumulative profit in December 2025 was 980,000 yuan，Prepaid corporate income tax of RMB 70,000 in the first three quarters。
parse：Company A’s cumulative profit in December 2025 was 980,000 yuan，Not exceeding 1 million yuan，You can enjoy a 50% tax reduction policy when prepaying。2025Corporate income tax should be prepaid in the fourth quarter of the year： 98×50%×20%-7=2.8 (ten thousand yuan) 2. Prepayment based on the average amount of taxable income in the previous tax year，You can enjoy the 50% tax reduction policy when making prepayment。
(Notice：Even if the actual profit has exceeded 1 million yuan during the quarterly prepayment，Still pay in advance based on the average amount of taxable income in the previous tax year and enjoy the half tax reduction policy)。 [Case 2] The taxable income of Company A in 2025 is RMB 490,000。2025The annual corporate income tax prepayment method has been approved as prepayment based on the average amount of taxable income in the previous tax year.。
The company’s cumulative profit in December 2025 was 1.08 million yuan，Corporate income tax of RMB 36,800 has been prepaid in the first three quarters。
parse：Although Company A’s cumulative profit in December 2025 has exceeded 1 million yuan,，However, since it is a qualified small and low-profit enterprise in 2025,，The company prepays corporate income tax based on the average amount of taxable income in the previous tax year.，therefore，Although its cumulative profit in December 2025 has exceeded 1 million yuan，However, you can still enjoy the 50% tax reduction policy when making prepayment.。
2025Prepayment of corporate income tax in the fourth quarter of the year：49÷12×12×50%×20%－3.68=1.22 (10,000 yuan) 8、Approval of enterprises that levy corporate income tax，How to enjoy the halved tax policy? (1) Enterprises that determine the taxable income rate and collect taxes。Qualified small and low-profit enterprises in the previous tax year，The cumulative taxable income for the year does not exceed 1 million yuan at the time of prepayment，Can enjoy half tax reduction policy。
[Case 3] The taxable income of Company A in 2025 is RMB 490,000。The competent tax bureau has determined that the taxable income rate of its main business is 18%.，The company’s revenue (excluding tax) from January to December 2025 was 4.8 million yuan，Prepaid corporate income tax of RMB 54,000 in the first three quarters。
parse：1.2025Cumulative taxable income for the year： 480×18%=86.4 (10,000 yuan), you can enjoy the 50% tax reduction policy。 2.2025Corporate income tax should be prepaid in the fourth quarter of the year： 86.4×50%×20%-5.4=3.24 (10,000 yuan) (2) Enterprises that determine the amount of income tax payable and collect it。
The quota needs to be adjusted according to the halving tax policy.，Adjusted by the competent tax authorities in accordance with procedures，Collection according to original method。 9、Will enterprises that did not meet the conditions of small and low-profit enterprises in the previous tax year and newly established enterprises not be able to enjoy the 50% tax reduction policy this year?
An enterprise that did not qualify as a small low-profit enterprise in the previous tax year，It is expected that the conditions will be met this year，At the time of prepayment, the accumulated actual profit or accumulated taxable income for the year does not exceed 1 million yuan.，Can enjoy half tax reduction policy。
Newly established companies this year，It is expected that this year will meet the conditions of small and low-profit enterprises，At the time of prepayment, the accumulated actual profit or accumulated taxable income for the year does not exceed 1 million yuan.，Can enjoy half tax reduction policy。 10、The document was issued in July 2025，In the first quarter, the standard of 500,000 yuan is used to determine that it does not meet the conditions of a small and low-profit enterprise.，Corporate income tax has been prepaid in full at the applicable tax rate，How to deal with it?
According to regulations, small and low-profit enterprises should enjoy the corporate income tax that they paid in advance in the first quarter of 2025 when they did not enjoy the half tax reduction policy.，Deducted from the corporate income tax payable in future quarters。
Policy basis for this article： 1."Notice of the Ministry of Finance and the State Administration of Taxation on Further Expanding the Scope of Preferential Income Tax Policies for Small and Low-profit Enterprises" (Caishui [2025] No. 77) 2. "Announcement of the State Administration of Taxation on Further Expanding the Scope of Preferential Income Tax Policies for Small and Low-profit Enterprises on Collection and Administration Issues" (State Administration of Taxation Announcement No. 40, 2025) The above policies may help small and micro enterprises to survive the cold winter smoothly.，发展更顺利，As small and micro business owners and financial professionals, you must keep this in mind!
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