Can "re-registering small-scale taxpayers" really achieve "tax reduction"?

Can "re-registering small-scale taxpayers" really achieve "tax reduction"? Re-registering as a small-scale taxpayer is an option，Rather than having to do it。so，How to treat rationally、Fully enjoy the benefits brought by general taxpayer transfer registration to small-scale taxpayers，That's what we should consider。What to consider? Businesses should consider their current tax burden、Upstream and downstream partners

Require

Wait for comprehensive factors to determine whether to transfer、When to transfer registration。

From a long-term development perspective，Enterprises also need to calculate their tax burden，Carefully weigh whether to transfer registration。If enterprise A is a general taxpayer of value-added tax，The taxable sales for the 12 consecutive months before the transfer of registration is 4 million yuan，And meet the relevant conditions for transfer registration，The applicable tax rate is 16% (calculated after May 1，Same below)。The total amount of goods provided by upstream enterprises is 3.5 million yuan (excluding tax)，Provide a deduction voucher with a tax rate of 16%。

If company A has no inventory for the current period、In the case of no sales returns and no credit, etc.，Calculated，The actual tax burden of VAT is 2%[（400－350）×16%÷400]，Less than 3% after transfer registration，Under normal circumstances, transfer registration is not considered。

but，If the upstream enterprise has been re-registered as a small-scale taxpayer，Company A does not change its purchase channels，The deductible input tax on goods purchased from upstream is 105,000 yuan (350×3%)，Then the tax burden of enterprise A will rise to 13.4% [(400×16%-10.5)÷400]。this means，Company A needs to adjust its purchase channels，Or lower the purchase price to make up for the losses caused by the high tax burden.。

Blindly transfer registration to small scale，It is undoubtedly putting a heavier burden on myself。

About Hong Kong Xintong

Hong Kong Xintong focuses onGuangdong and Hong Kong license plates、Shenzhen Hazardous Chemicals Business License、Shenzhen labor dispatch licenseandShenzhen Charity Foundationapplication services，Assist customers to applyShenzhen travel agency business license、Shenzhen pawn shop business license、Shenzhen auction house license and other mainstream domestic financial licenses，Support enterprises to achieve compliance expansion of cross-border financial business。Also availableODI overseas investment registration、International travel agency registration and other services，Help enterprises expand their presence in international markets。Provide one-stop compliance solutions for enterprises。To learn more，Please contactHong Kong Information Communications Consultant。