To explore the problems related to the petty loan company
The origin of small loan companies
   Small loans originated in twentieth Century 70 during the Bangladesh economist Mohamed Yunus Professor microfinance experiment. In 2005 May, the central bank official, non-governmental micro credit pilot in the folk financing active in Shanxi, Shaanxi, Sichuan, Guizhou, Inner Mongolia five provinces. Then. The petty loan company such as bamboo shoots after a spring rain in national development. In 2009 August, Hunan promulgated the "measures" the supervision and management of small loan company in Hunan Province, was Hunan's first micro loan company was established in the Kaifu district.
"China Banking Regulatory Commission, the people's Bank of China about microfinance company pilot guidance" the hair (2008) No. 23) provides that: the petty loan company insist on agricultural (loan targets to choose people, agriculture and rural economic development under the principle of service. But in recent years the petty loan company in support of the financing of small and medium enterprises and individual entrepreneurs play an irreplaceable role.

Properties and provisions of small loan companies

   "China Banking Regulatory Commission, the people's Bank of China about microfinance company pilot guidance" the hair (2008) No. 23 (), provides the petty loan company's nature: it is by the natural person, legal person of enterprises and other social organizations to set up investment, do not absorb public deposits, operating small loan business limited liability company or Limited by Share Ltd.
   The petty loan company's shareholders will be subject to the quorum requirement. A limited liability company shall be 50 to set up the following shareholders; Limited by Share Ltd should have 2 -- 200 promoters, which must be more than half of the initiators of residence in China territory.
   At the same time the petty loan company funds to financial institutions only two banks, it should not exceed the amount of capital the petty loan company's 50%.

Whether the petty loan company's financial institutions
   In 2009 the central bank issued the "financial institution code" small loan companies will be included in the scope of financial institutions, which show that the identity of the financial institutions has been the central bank approval, but only the approved it, whether it can get financial status, to enjoy the preferential measures such as taxes related to the banking sector, release.
In June 23, 2011, Chinese Finance Research Institute of the people's Bank of Zhang Shaohua speech at the second session of the microfinance institutions and international investors exchange meeting, the legislation development of small loan companies. Zhang Shaohua said the legislation will discuss whether the small Credit Company, as financial institutions exist, how to divide the types of credit market. At present, a view is divided into banking lenders and non-financial institutions lenders, small Credit Company belongs to the non-financial institutions lenders; another is the discussion will be divided into financial institutions to absorb the deposit and non deposit taking institutions class, small Credit Company will belong to the latter. But up to now is still not clearly document.

The preferential tax policy:
1, according to the "Ministry of finance, the State Administration of Taxation on rural finance related tax policy notice" (tax [2010]4) Regulations (1), from January 1, 2009 to December 31, 2013, financial institutions and farmers interest income microfinance, exempted from business tax; financial institutions interest income of farmers small loans when calculating the taxable income amount, according to the 90% included in the total income; (2) from January 1, 2009 to December 31, 2011, the legal institutions of rural credit cooperatives, rural banks, rural mutual cooperatives, by a banking institution wholly initiated the establishment of a loan company, is located in the county (including county-level city, District, flag) rural cooperative bank and county area and rural commercial bank financial and insurance income tax rate of 3% levy business tax; (3) the banking institutions owned initiated the establishment of a loan company as mentioned in this notice, refers to the Chinese Banking Regulatory Commission approved by the relevant laws and regulations, set up by domestic commercial banks and rural cooperative banks in rural area specializes in loans services for the county farmers, agriculture and rural economic development in non banking financial institutions.
   If your company is wholly owned by banking institutions initiated the establishment of a loan company, and by the Banking Regulatory Commission approved the establishment, non banking financial institutions specialized in providing loans services for the county farmers, agriculture and rural economic development, can enjoy relevant preferential policies. This offer is not applicable to the petty loan company.
2, the provisions of the tax law: if your company meets the conditions of small low profit enterprises, will be reduced to 20% enterprise income tax (small low profit enterprise distinguish different industry, different standards, should also meet the following conditions: 1, do not restricted or prohibited by the state industry; 2, industrial enterprises, the annual taxable income not more than 300000 yuan, the number of employees more than 100 people, with total assets of not more than 30000000 yuan; 3, other enterprises, the annual taxable income of not more than 300000 yuan, have not more than 80 employees, with total assets of not more than 10000000 yuan.)

The petty loan company involving tax introduced
   The main tax of small loan company for business tax and enterprise income tax, personal income tax only on the nature of the company is special will appear, the stamp tax on signed loan contract involves, property tax and land use tax depends on the specific circumstances.

Business tax
   "Sales tax" stipulates: whether financial institutions or other units, as long as the occurrence of the loans to others the use of the act, shall be deemed the loan behavior, according to "finance and insurance industry" tax levy business tax, the tax rate of 5%.
1, the tax period
According to the Interim Regulations on business tax and the detailed rules for the implementation of the provisions of article fifteenth: the Business Tax assessable period shall be 5 days, 10 days, 15 days, 1 months or 1 months. The specific payment period, by the competent tax authorities according to the magnitude of the tax payable of the taxpayers shall be separately approved; not according to the fixed term tax, according to tax.
A taxpayer with 1 months or 1 quarter for a tax period, from the date of expiry of 15 days from the date the 10 declaration within 5 days from the date of the tax payment, the tax; 5 days, or 15 days for a tax period, in the second month 1 within 15 days from the date of declaration payment and settlement of the payable taxes last month. Withholding tax shall, in accordance with the provisions of the preceding two paragraphs.
2, tax declaration
According to the "Interim Regulations on business tax" the relevant provisions of the timely processing of tax returns, and fill in the "business tax return business tax return", see annex. (how to fill)
3, the tax payment place
With the principle of territorial acquisition method, the taxpayer in the management behavior to pay the tax payable.

Corporate income tax
   "Enterprise income tax law" and its implementing regulations, the territory of the people's Republic of China, enterprises and other organizations to obtain revenue in accordance with the provisions of this law, the annual taxable income and pay enterprise income tax, the tax rate applicable to the 25%. In addition, if the company complies with the conditions of small low profit enterprises, will be reduced to 20% enterprise income tax (small low profit enterprise distinguish different industry, different standards, should also meet the following conditions: 1, do not restricted or prohibited by the state industry; 2, industrial enterprises, the annual taxable income of not more than 300000 yuan the number of employees, not more than 100 people, with total assets of not more than 30000000 yuan; 3, other enterprises, the annual taxable income of not more than 300000 yuan, have not more than 80 employees, with total assets of not more than 10000000 yuan.)
1, tax deadline "enterprise income tax law" provisions, the enterprise income tax computed annually, monthly or quarterly, year end settlement, duotuishaobu. Within 5 months after the end of each year, submit to the tax authority the annual enterprise income tax returns, and settlement, settlement of the payable tax refund.
   The enterprise income tax and enterprise income tax levy approved. The petty loan company can not apply for verification collection of enterprise income tax. "Verification collection of enterprise income tax [trial] third measures" provisions of the second paragraph: These Measures shall not apply to special industries, special type of taxpayers and taxpayers at a certain scale. The foregoing taxpayers shall be specified by the State Administration of taxation. "On the enterprise income tax levy approved notice some problems" (Guoshuihan [2009] 377) the first rule: A, document [2008]30 document called "third specific taxpayers" includes the following types of enterprises in the second paragraph:...... (four) banks, credit cooperatives, small loan companies, insurance companies, securities companies, Futures Company, Trust Investment Company, Asset Management Co, Finance Leasing Company, Guarantee Corporation, financial, financial companies, mortgage companies and other financial companies.
   Therefore, the petty loan company can only use of Taxation on audit of accounts, to declare the prepay enterprise income tax by season.
2, tax declaration
   Monthly or quarterly prepaid shall, within 15 days from the end of a month or quarter, submit to the tax organ an enterprise income tax return, the tax payment. Corporate tax return to the enterprise income tax shall be in accordance with the provisions, together with the financial and accounting reports and other relevant information. Enterprise income tax declaration form, see attachment. (how to fill)
3, the tax payment place
   In addition to the provisions of the laws, administrative rules and regulations provide otherwise revenue, to the enterprise registration for the place of tax payment. Resident enterprises establish business institutions do not have the qualifications of a legal person in China within the territory of China, shall consolidate the calculation and payment of enterprise income tax.
The personal income tax
   Natural person shareholders share after tax profits shall pay individual income tax. The provisions of the new "company law" in 2006 January, a company is in accordance with the "company law" established a legal person enterprise limited liability, and because of its ownership interest, dividends, dividend income, in accordance with the "personal income tax law", as "interest, dividend, dividend income", the application of 20% tax rate of personal income tax.

The stamp tax
   "Provisional Regulations on Stamp Duty:" Decal loan contract, refers to the bank and other financial organizations and the borrower signed loan contracts, loan amount by zero point five thousandths decals. Stamp tax: tax taxpayers shall file tax returns in accordance with the relevant provisions of regulations in a timely manner, and fill out the "stamp tax returns".

Urban construction tax and education surcharge
   Pay business tax at the same time to pay the city maintenance and construction tax, surcharge for education. City maintenance and construction tax and education surcharge is to pay the value-added tax, consumption tax, business tax for the units and individuals. The actual amount of tax to pay for an additional tax calculation basis, fill is relatively simple. Specific to the petty loan company, the business tax is calculated by multiplying the base, urban construction tax and education surcharge tax rate, can be calculated, and then fill in the corresponding table.

Other taxes
   There may be involved in real estate tax, land use tax. General Office of Hubei provincial government in November 26, 2010 promulgated the "Hubei provincial office" several opinions on promoting the healthy development of small loan companies, suggestions on the petty loan company pay property tax, land use tax is indeed difficult, according to the tax administration procedures reported to tax authorities, tax deductible give. Hunan province has no such policies, but as a financial staff we, to alert to these policies to maintain, in order to better serve our company, shareholders' tax.

The tax penalty
1, fine for delaying payment
   Our current tax payment system mainly by the "PRC tax collection and management law" (hereinafter referred to as "tax administration law") of clauses and Guoshuihan [1998]291 article "the State Administration of Taxation on the tax evasion tax levy fines the reply" (hereinafter referred to as the "reply") and other tax provisions. And normative documents.
   "PRC tax collection and management law" thirty-second article: the taxpayer within the prescribed time limit to pay taxes, the withholding agent within the prescribed time limit for payment of taxes, in addition to the tax authorities shall order it to pay, from the date of duty, the daily added delays payment 5/10000 payment.
2, fine
   "PRC tax collection and management law" sixty-third article: taxpayer forges, alters, hidden, or destroying books, accounting vouchers, or columns in the books or not listed, less income, or after being notified by the tax authorities to declare and refuses to report or false tax returns, fails to pay or underpays tax tax evasion, is. For taxpayers to evade tax, the tax authorities shall pursue the payment of the taxes unpaid or underpaid, late fees, and fails to pay or underpays tax fifty percent to less than five times the fine; constitutes a crime, shall be investigated for criminal responsibility according to law.
Withholding agents by means of the arrears, fails to pay or underpays the buckle, collected the tax amount, the tax authorities shall pursue the non payment or pay less taxes, late fees, in addition to non payment or pay less taxes fifty percent to less than five times the fine; constitutes a crime, shall be investigated for criminal liability.

Notice of tax calculation
1, the CBRC and the central bank in 2008 promulgated "about microfinance company pilot guidance" on the petty loan company make requests, the present provisions of micro credit company only into the capital to financial institutions, the two banks category, it should not exceed the amount of capital of small loan companies 50%. Financing interest generated fees shall not be deducted from pre tax profit.
2, if your company meets the conditions of small low profit enterprises, will be reduced to 20% enterprise income tax (small low profit enterprise distinguish different industry, different standards, should also meet the following conditions: 1, do not restricted or prohibited by the state industry; 2, industrial enterprises, the annual taxable income of not more than 300000 yuan the number of employees, not more than 100 people, with total assets of not more than 30000000 yuan; 3, other enterprises, the annual taxable income of not more than 300000 yuan, have not more than 80 employees, with total assets of not more than 10000000 yuan.)
3, the loan deducted bad debt losses
Rules of the Ministry of finance, the State Administration of Taxation Tax [2009]64, ready to allow in the business of lending financial enterprises from loan losses, the pre tax deduction in the prescribed proportion and range. The petty loan company engaged in business loans, the loan can be extracted according to the above provisions.
   The State Administration of taxation order No. fourth of fifth financial enterprises according to the following formula: provision of bad debt provision allowing tax deductions:
   Deductible provision for doubtful debts = at the end of the year allows extraction of bad debt reserve asset balance * 1% last year has been in the pre tax deduction of bad debt reserve balance.
   Article sixth financial enterprises of bad debt losses, submitted to the approval of tax authorities, shall first offset has been prepared in the pre tax deduction of bad loans, insufficient to offset part of the pre tax deduction according to the facts.
   Article seventh the financial enterprise recovered in the pre tax deduction of bad loans, should be included in the recovery of current taxable income and pay enterprise income tax; the financial enterprise back has not been deducted before tax debts, more than the principal part, included in the recovery of current taxable income and pay enterprise income tax.
   Article eighth the tax summary of financial enterprises, should be unified bad debt provision for, by the general mechanism to the location of the provinces (autonomous regions, municipalities directly under the central government and cities specifically designated in the state plan) tax authorities to declare, upon verification and confirmation, the unified calculation deduction; for to member enterprises decomposition to index, total institution for should also be accompanied by relevant index data, by the province (autonomous region, municipality directly under the central government and cities specifically designated in the state plan) to confirm the tax authorities audit after each issued to each member enterprise.
   Ninth of the financial enterprise in accordance with the conditions of bad debt losses, shall within 45 days after the end of the year in a timely manner to the local competent tax authorities. Ensure timely reporting not because of special circumstances, the competent tax authority for approval may be appropriate to delay declaration. Financial enterprises to declare the pre tax deduction of bad debt losses, must also submit the following documents, data:
(a) bad debt loss deduction application report. The basic content includes: the borrower, guarantor and the basic situation of invested enterprises, loans and use situation and investment situation, the main reason for the formation of bad debts and take remedial measures and results, the borrower or guarantor, the invested enterprise liquidation, liquidation and distribution situation, loans or investments by the compensation and loss, the amount of tax deduction for;
(two) loans and investment contracts, loans and investment certificates and related materials;
(three) the relevant certificates as issued by the government, courts, public security, industrial and commercial administrative departments, the Department in charge of the enterprise, insurance companies and other units;
(four) other documents required by the tax authorities.
   The financial enterprise is unable to provide the relevant information, the competent tax authorities have the right to reject.
   Small loan companies pay attention to the problems in the development of (the firm for many years of experience, from a personal point of construction in the development problems discussion)
1, the small loan company is booming, as of 2011 June, the petty loan company in Hunan Province amounted to more than 60 of the country, ranking 23. Identification of customer credit risk, improve the efficiency of lending to help small loan company, the people's Bank issued the "notice on access to credit system of the people's Bank of small loan companies and related management work" (silver hair No. [2011]1), small loan companies access to credit system decided to have conditions. At present, Hunan is preparing to access the credit system of small loan companies, has drafted the "Interim Measures" small loan company in Hunan province access credit system management, and build the unified data report platform. But the current domestic in financial accounting, the lack of implementation of the standard or specification for unified clearing and reporting work, also did not establish credit management software and customer rating system (including customer information, account management and financial management), credit management and institutional capacity building promotion letter to be resolved. The development has begun to take shape, set up several branches of the small loan company, can consider the introduction of module system from abroad.
   The application of the credit system of small loan company shall meet the following conditions: one is to open more than a year; the two is a sound corporate governance structure and internal control system; three is the perfect information of file management system, security measures and risk prevention measures; four is familiar with professional and technical personnel of computer operation, safety management; five there is a qualified business places, facilities.
   To access the credit system of small loan companies, should submit the application, the articles of association of the company, approved the establishment of the official documents and a copy of the business license, the capital verification report, etc., to the local people's Bank branch (local counties and cities without a county sub branch, directly to the city center branch) to apply for approval, report to head office credit management bureau.
2, beware of the fund chain break: hair (2008) according to the 23 rules, the petty loan company "the loan does not only save" and only to financial institutions, two banks into the capital, it should not exceed the amount of small, capital loan companies 50%. If the customer volume, a failed to recover the principal, is easy to appear capital chain fracture risk. Not deposits, play to the capital of bank leverage all, lead to enterprise income tax is relatively high.
Since 3, the development of small loan company, keep the low rate of bad debts, from a national perspective, the basic control within 5%. In 2009, the supervision and management of small loan company in Hunan province (Trial Implementation) to set up prudential regulation asset classification system and provision system, ensure the assets loss, sufficient rate has been maintained at more than 100%.