Everyone is obliged to pay a percentage to the budget when receiving different types of income: salaries, profits from the provision of commercial services, cash prizes. And one of the most pressing questions is what is the personal income tax rate in 2018 on dividends. But – first things first.

Personal income tax is a contribution required to be paid when receiving money from almost any source. Absolutely all people are required to do it. And for officially employed persons, deductions are made by their enterprise.

To determine the amount of personal income tax for deduction to the budget, you need to use a simple formula:

PN – income tax; S – the amount on the basis of which the calculation is made; N – interest [personal income tax rate].

Example: PJSC Financial Management Center awarded employee Govorov a salary of 35,800 rubles, as well as a bonus of 11,000 rubles. For him [personal income tax rate is 13]%. How much percentage of personal income tax salary should be transferred to the budget?

Solution: (35,800+11,000) x 13%=6084 rub. – the amount of income tax.

As a result, Govorov will receive in his hands: 46,800 – 6,084 = 40,716 rubles.

It is important to remember that persons who received:

State benefits for unemployment, pregnancy and childbirth;
pensions and social benefits;
scholarships;
funds from inheritance;
maternity capital.

Tax residents are persons who live on the territory of the Russian Federation and do not travel outside the country for a period of more than 183 days (except for cases provided for by law). This number is total. That is, when traveling abroad for a short period, the citizen remains a resident.

When determining status, a period of 12 months is considered.

As we hinted above, days when a person briefly left the border for the following reasons are not taken into account:

Training;
undergoing treatment;
business trip.

Example 1: Kulikov received income from the sale of real estate in the amount of 218,000 rubles. According to the certificate.

2-NDFL, country of citizenship – Russia.

He must fill out a declaration and submit it to the tax office. Income tax will be:

218,000 x 13% = 28,340 rub.

After the sale of the property, Kulikov will have in his hands:

218,000 – 28,340 = 189,660 rubles.

Example 2: Litvinov won the quest game “Resourceful Accounting Guru” and won 20,000 rubles. He is a tax resident of the Russian Federation, therefore he must pay to the treasury as income tax:

20,000 x 35% = 7,000 rub.

A person is not considered a tax resident if he stays on the territory of the Russian Federation for less than 183 days continuously. When receiving income, such persons must contribute amounts equivalent to the interest in the table.

Keep in mind: in order to avoid paying personal income tax twice, in some cases the calculation is carried out at the rates established in the foreigner’s home country.

Sources of income in the Russian Federation	Personal income tax rates
Salary of visa-free migrants, immigrants from the countries of the Eurasian Economic Union, big professionals in their field, refugees
Investments in organizations with the right to receive a share of profits in the future
Salaries of other persons (who were not included in the first column)
Running your own business within Russia
Sale of real estate
Cash deposits in financial institutions
Interest-free loans or other economic benefits
Winning from 4000 rub.

Example 1: Ostertag, who is not a tax resident of the Russian Federation, received income from investing in the company Financial Management Center LLC. As of July, the amount was 43,500 rubles. How much percent of personal income tax should he pay to the budget?

The calculation is as follows:

43,500 x 15% = 6,525 rubles.

In total, Ostertag will receive 36,975 rubles. (including payment of income tax).

Example 2: K.V. Manyan is not a domestic tax resident. In August 2018, she received a cash prize of 50,000 rubles. on the territory of our country. The amount of personal income tax paid will be:

50,000 x 30% = 15,000 rub.

The remaining winnings will be equal to: 50,000 – 15,000 = 35,000 rubles.

It should be noted that from January 1, 2018, various amendments were made to the income tax regulations. However, legislators do not plan to adjust income tax rates this year. This means it will remain unchanged.

Example: The personal income tax rate on dividends in 2018 for non-residents is 15%. How much tax should Skvortsov, who is a citizen of the Russian Federation and received 38,200 rubles in August, pay? such income from the company “Financial Management Center”?

Solution:

The amount of tax that must be paid to the treasury will be:

38,200 x 15% = 5,730 rubles.

Skvortsov will receive:

38,200 – 5730 = 32,470 rubles.

Each tax rate requires the submission of a separate document - a certificate in form 2-NDFL. It shows basic information about the payer, taxable amounts and interest rates.

Example: Nikolaev, who works at Financial Management Center LLC (is a resident of the Russian Federation), received a salary of 50,000 rubles in July. The employee also received a cash prize of 9,500 rubles.

Two documents must reach the Federal Tax Service:

1. certificate 2-NDFL, reflecting income from labor activities at a rate of 13%;
2. 2-NDFL certificate with 35% deductions from cash winnings.

Accountants must pay personal income tax at special rates in 2019. The tax rate in 2019 depends on what kind of income the employee receives: salary, dividends, lottery winnings, etc. An error in the rate will lead to recalculation of taxes and penalties for the accountant. So that all accountants do not make mistakes, the Simplified magazine has prepared an ideal table with all personal income tax rates. Download and use at work!

Personal income tax rates in 2019: 13, 15, 30, 35%

Payment	Bid
Salary, vacation pay and other payments to an employee - a resident of the Russian Federation*, as well as salaries for: highly qualified foreign specialists workers from EAEU countries visa-free migrants refugees
Salary, vacation pay and other payments to an employee who is a non-resident of the Russian Federation*
Dividends to a resident of the Russian Federation
Dividends to non-residents of the Russian Federation
Interest income from deposits in the part subject to personal income tax
Income from savings on interest when receiving a loan
Prizes and lottery winnings (in an amount exceeding RUB 4,000)
Income of individual entrepreneurs from business activities under the general regime	13%

*Resident of the Russian Federation- this is someone who stays in the Russian Federation for more than 183 days a year.

Personal income tax payer in 2019 - tax resident and non-resident

To resolve possible doubts regarding the determination of an individual personal income tax payer, we would like to remind you of the following wording:

• A tax resident is a person who, on the date of receipt of income, has been in the Russian Federation for at least 183 calendar days for 12 consecutive months (letter of the Ministry of Finance dated May 23, 2018 No. 03-04-06/34676).
• A tax non-resident is a person who, on the date of receipt of income, has been in the Russian Federation for less than 183 calendar days for 12 consecutive months.

Taxpayer status does not depend on citizenship - a citizen of the Russian Federation can be a non-resident of the Russian Federation, and a foreigner can be a resident. Status is determined on the date of receipt of income.

For example, income was received on February 18, 2019. It is necessary to calculate how many days a person is in the Russian Federation from 02/19/2018 to 02/18/2019. If 183 or more, he is a resident. If less, a non-resident (letter of the Federal Tax Service dated September 19, 2016 No. OA-3-17/4272@).

Please note that this calculation algorithm is used for income received by an individual through a tax agent. If we are talking about the need for the taxpayer to pay the tax on his own, then the status is calculated based on the full calendar year for which the 3-NDFL tax return is filed. Officials also wrote about this in the above-mentioned letter.

Documents confirming resident status are needed by foreigners and Russians who often travel abroad. This can be a copy of a foreign passport with border crossing marks, a migration card, a work time sheet, and other documents confirming the employee’s presence in Russia (letters of the Federal Tax Service dated May 22, 2018 No. BS-4-11/9701@, Ministry of Finance dated January 13, 2015 No. 03-04-05/69536).

Detailed analysis of personal income tax rates in 2019

For convenience and maximum information content, the possible % options in 2019, depending on the payer and his type of income, are summarized in the following tables:

For residents of the Russian Federation

	Income received by a resident	Personal income tax rate in 2019, %
	All types of income received by tax residents from sources in the territory of the Russian Federation and abroad (including dividends) in accordance with clause 1 of Art. 224 Tax Code of the Russian Federation, EXCEPT THOSE SET FORTH BELOW
	Winnings and prizes received for participation in competitions, games and other promotional events for goods, works or services exceeding 4,000 rubles. according to paragraph. 3 p. 2 art. 224 Tax Code of the Russian Federation
	Interest on deposits in banks in Russia and interest (coupon) on circulating bonds of Russian organizations. In this case, only part of the interest is taxed: for ruble deposits - in excess of the refinancing rate, increased by 5 percentage points, valid during the period for which the specified interest was accrued; on deposits in foreign currency - in excess of 9 percent per annum; for bonds denominated in rubles and issued after January 1, 2017 - in excess of the refinancing rate, increased by 5 percentage points, valid during the period for which the specified interest was accrued. Interest within the specified limits is exempt from tax. In addition, interest on ruble deposits is exempt from tax if the following conditions are simultaneously met: on the date of conclusion (extension) of the agreement, the interest rate did not exceed the refinancing rate increased by 5 percentage points; for the entire period of accrual of interest on the deposit, their amount did not increase; no more than three years have passed since the interest rate exceeded the refinancing rate increased by 5 percentage points para. 5 p. 2 art. 224, art. 214.2 Tax Code of the Russian Federation
	Material benefits from saving on interest for using borrowed funds in two cases. Firstly, if the loan was received from an interdependent organization (IP) or employer. And secondly, if savings on interest are actually material assistance or a form of counter-fulfillment of an obligation to the taxpayer. Tax is imposed on the difference between the amount of interest calculated on the basis of the terms of the contract and the amount of interest calculated on the basis of: 2/3 of the refinancing rate on the date of interest payment - for credits (borrowings) in rubles; 9 percent per annum – on credits (loans) in foreign currency. The exception is material benefits received: during the period established by the agreement for interest-free use of the loan for transactions with bank cards; for borrowed (credit) funds raised for new construction or purchase of a residential building (apartment, room, share(s) in them), the land plot on which it is located, a land plot for individual housing construction in Russia, provided that the borrower has the right to a property deduction provided for in subsection. 2 p. 1 art. 220 of the Tax Code of the Russian Federation; on borrowed (credit) funds provided by banks located in Russia for refinancing (on-lending) loans (credits) received for new construction or purchase of a residential building (apartments, rooms, share(s) in them), land plot on which it is located on a plot of land for individual housing construction in Russia, provided that the borrower has the right to a property deduction provided for in subsection. 2 p. 1 art. 220 of the Tax Code of the Russian Federation. para. 6 paragraph 2 art. 224, sub. 1 clause 1 and clause 2 art. 212 Tax Code of the Russian Federation
	Payment for the use of funds of members (shareholders) of credit consumer cooperatives, as well as interest on loans issued to agricultural credit consumer cooperatives by their members (associate members). Tax is imposed on the difference between the amount of income calculated on the basis of the terms of the contract and the amount of income calculated on the basis of the refinancing rate increased by 5 percentage points, valid during the period for which the specified income is accrued Income in the form of fees for the use of funds of members (shareholders) is exempt from tax if the following conditions are simultaneously met: on the date of conclusion or extension of the contract, the rate did not exceed the current refinancing rate increased by 5 percentage points; during the interest accrual period, the amount of interest on the deposit did not increase; from the moment when the interest rate on the loan exceeded the refinancing rate increased by 5 percentage points, no more than three years have passed para. 7 paragraph 2 art. 224 and paragraph 2 of Art. 214.2.1 Tax Code of the Russian Federation
	Income from securities of Russian organizations (except for income in the form of dividends), the rights for which are recorded in securities accounts of foreign holders (depository programs), if such income is paid to persons whose information has not been provided to the tax agent in accordance with Art. 214.6 of the Tax Code of the Russian Federation
	Income of the founders of trust management of mortgage coverage received on the basis of the acquisition of mortgage participation certificates. Provided that these certificates were issued by the mortgage coverage manager before January 1, 2007

The Simplified magazine found out how personal income tax rates have changed. From whose salary personal income tax will have to be recalculated at the new rates, see the article.

For non-residents of the Russian Federation

Np/p	Income received by a non-resident	Personal income tax rate in 2019, %
	Dividends from Russian organizations in accordance with clause 3 of Art. 224 Tax Code of the Russian Federation
	Income from the labor activities of foreigners who are recognized as highly qualified specialists in accordance with clause 3 of Art. 224 Tax Code of the Russian Federation
	Income from employment activities based on a patent issued in accordance with Art. 13.3 of the law of July 25, 2002 No. 115-FZ clause 3 art. 224 Tax Code of the Russian Federation
	Income from the performance of labor duties by crew members of ships flying the State Flag of Russia in accordance with clause 3 of Art. 224 Tax Code of the Russian Federation
	Income from the labor activities of participants in the State program to assist the voluntary resettlement to Russia of compatriots living abroad, as well as members of their families who moved together for permanent residence in Russia in accordance with clause 3 of Art. 224 Tax Code of the Russian Federation
	Income from the labor activities of foreigners who are recognized as refugees or have received temporary asylum in Russia in relation to income received starting from January 1, 2014 (paragraph 7, paragraph 3, article 224 of the Tax Code of the Russian Federation, paragraph 3, article 2 of the law of October 4, 2014 No. 285-FZ) clause 3 art. 224 Tax Code of the Russian Federation
	Income from securities of Russian organizations, the rights for which are recorded in securities accounts of foreign holders (depository programs), if such income is paid to persons whose information has not been provided to the tax agent in accordance with Art. 214.6 of the Tax Code of the Russian Federation clause 3 art. 224 Tax Code of the Russian Federation
	All other income, except for cases provided for by international agreements on the avoidance of double taxation in accordance with clause 3 of Art. 224 Tax Code of the Russian Federation

Income income for recycling waste paper in 2019

Separately, I would like to note that since 2019, individuals are exempt from paying personal income tax when receiving income from the delivery of waste paper.

In accordance with the provisions of the Tax Code of the Russian Federation, waste paper for the purpose of applying the norms of the legislation of the Russian Federation on taxes and fees means paper and cardboard production and consumption waste, rejected and obsolete paper, cardboard, printed products, business papers, including expired documents storage They are recyclable as secondary raw materials

Federal Law No. 179-FZ dated July 3, 2018 amended Art. 217 of the Tax Code of the Russian Federation, adding to the list of non-taxable personal income tax income.

According to the amendments, from January 1, 2019, amounts of money received by citizens from the delivery of waste paper are not subject to personal income tax.

Previously, there was no actual budget revenue from collecting personal income tax on the sale of waste paper. It turns out that individuals did not declare income from the delivery of waste paper. Now they can do this legally.

• Urgent changes:

How to calculate personal income tax taking into account rates

The personal income tax amount is calculated based on the income received by the citizen. Calculating tax is simple - take income and calculate interest on it at the desired rate.

Example of personal income tax calculation

The employee's salary is 10,000 rubles. It is subject to personal income tax at a rate of 13%. Let's calculate how much a person will receive and how much income tax will be collected from his salary.

10,000 rub. x 13% = 1300 rub. Personal income tax will make a payment to the budget

10,000 rub. – 1300 rub. = 8700 rub. the employee will receive his salary

Income tax changes

The government is discussing the idea of ​​raising the personal income tax rate from 13 to 15%. The final decision on this issue must be made by the President before the beginning of autumn 2019. This was announced by Deputy Prime Minister Arkady Dvorkovich.

Regressive scale

The bill proposes to establish a reduced personal income tax rate of 5% for citizens with incomes of less than 100 thousand rubles per year. Those who earn from 100 thousand to 3 million rubles per year will pay tax at a rate of 13%. If an employee receives from 3 to 10 million per year, the rate will be 18%. And for those who earn more than 10 million rubles. - 25%

Currently there is a single personal income tax rate of 13% on all citizens’ incomes, regardless of their income level.

The law obliges the employer to withhold and pay income tax from the salaries (or personal income tax) of its employees. In order to do this correctly, you should have information about its current rates and calculation procedure.

What is income tax on wages, what does it depend on?

The main direct tax withheld from remuneration for labor is personal income tax. The calculation procedure and current rates depend on the tax status, that is, residence or non-resident of the income recipient. Thus, a tax resident is an employee who has been in Russia for more than 183 calendar days over the last year, and a non-resident, accordingly, is one who has stayed in Russian territory for less than the specified period. Leaving the country for treatment or study for up to 6 months is not considered an interruption of stay.

The status must be clarified at the end of the reporting period due to the possibility of its change.

Income tax on wages - what percentage is

The domestic tax code provides for the following personal income tax rates in 2019:

The first is used when taxing the income of the founders of trust management of mortgage coverage on participation certificates issued before 01.01. 2007 and interest on those issued before 01.01. 2007 mortgage-backed bonds.

The second one, that is 13 %, – main (clause 1 of Article 224 of the Labor Code) and is used for taxation of those incomes of tax residents in respect of which legislators have not established otherwise (remuneration for labor, bonuses, dividends, proceeds from the sale of property).

A rate of 15% applies to certain categories of non-residents (more information about personal income tax for foreigners is in the next section).

A rate of 30% is applied to calculate personal income tax on the income of non-residents (except for those to whom 13% applies), as well as income from the Central Bank (except for dividends) issued by Russian organizations when:

• they account for a foreign nominee or authorized holder on the securities account of depository programs;
• their recipient did not provide information to the tax agent in accordance with the provisions of Art. 214.6 NK.

A resident foreigner personally pays personal income tax on income received abroad.

At the highest tax rate, that is 35 % , are taxed, without applying deductions, on the funds of residents listed in the second paragraph of Art. 224 Tax Code (for example, winnings and prizes, interest on deposits, and so on).

Moreover, if in 2017 all winnings were taxed, regardless of their size, then this year the tax is withheld from an amount exceeding 4,000 rubles. (Clause 28, Article 217 of the Tax Code). Otherwise, you do not need to pay it. In addition, previously individuals independently paid personal income tax on winnings of any size, but now the entity organizing the competition or prize draw must withhold it (however, only on income exceeding 15,000 rubles). From winnings in the amount of 4,000-15,000 rubles. Personal income tax, as before, is paid by its recipient (subclause 5, clause 1, article 228 of the Tax Code).

Without these restrictions, personal income tax is withheld from other income in kind (for example, from anniversary bonuses for rent received at the enterprise).

When taxing the wages of those serving correctional labor, withholding alimony, compensation for harm caused to health, damage due to the death of the breadwinner or a crime committed, it is 70.

In practice, there are often situations when the accrued amount of personal income tax is greater than wages. In this case, it is necessary to withhold it from the subsequent payment, taking into account the above interest limit.

Personal income tax rate for non-residents in 2019

As for the taxation of non-residents, personal income tax on wages, as well as on their other labor income, is levied at 13% on:

1. employees performing their duties on the basis of a patent;
2. individuals participating in the state program for the resettlement of compatriots;
3. crew members of ships flying the state flag of the Russian Federation;
4. highly qualified foreign specialists, regardless of their tax status, with whom the employment relationship is formalized by an appropriate contract or agreement (letter of the Ministry of Finance of Russia dated February 18, 2014 No. 03-04-06/6773);

Salaries of non-resident foreign employees performing their duties in foreign branches of a Russian business entity, according to Art. 208 of the Tax Code is considered income received from foreign sources. Therefore, according to Art. 209, it is not subject to personal income tax.

1. residents of the EAEU member states;
2. citizens who fled their state and applied for temporary asylum in the Russian Federation.

Persons who purchased patent for work in the Russian Federation , pay a fixed amount of tax (13% regardless of status, according to Article 224 of the Tax Code) personally, and upon the fact of their employment, this responsibility is assigned to the employer. Personal income tax transferred by a foreigner in advance is counted as payment from the salary.

Regarding highly qualified foreigners , the issue of withholding personal income tax from them until the end of 2015 was quite controversial. Thus, some legislative acts stipulated that all their unearned income, calculated on the basis of average earnings, was taxed at 30%.

At the same time, the definition of the concept of “labor income” is not provided in the legislative framework. Federal Law No. 115 of July 25, 2002 provides only a definition of the labor activity of a foreigner.

In addition, in letters of the Ministry of Finance dated 06/08/2012 No. 03-04-06/6158, 07/04/2014 No. 03-04-06/32423, the emphasis was placed on the fact that income from labor activities is considered to be payment for the performance of labor duties, and vacation pay, sick pay , average earnings during business trips, compensation for unused vacation paid upon termination of a relationship are not considered such. The explanation was as follows: during vacation, for example, a subordinate does not fulfill his duties, therefore, his remuneration is not labor remuneration on the basis of Art. 106, 107 of the Labor Code and is subject to 30% personal income tax. At the same time, Resolution of the Presidium of the Supreme Arbitration Court of the Russian Federation dated 02/07/2012 No. 11709/11 includes average earnings during vacation as salary.

According to the provisions of Article 73 of the Treaty on the EAEU, which has priority compared to the Labor Code and Tax Code of the Russian Federation (Article 15 of the Constitution), income citizens from EAEU countries those performing labor duties on a contractual basis are subject to 13% tax from the date of employment. The length of stay in Russia is not taken into account. A foreign entity that has lost its resident status in its EAEU member country is withheld 30% of personal income tax.

13% is taxed on salary refugees or persons in temporary asylum in the Russian Federation. The date of their arrival on Russian territory is not taken into account. Loss of this status while maintaining the position of a tax resident results in taxation at a rate of 30%.

A change in this rate in 2019 or a regressive personal income tax scale is not expected, since, based on the letter of the Ministry of Finance No. 03-04-05/62106, the existing rate and the system as a whole are attractive for investment and take into account the interests of all parties to taxation.

15% income of non-resident individuals received as dividends from Russian companies is taxed.

Since failure by a business entity to fulfill its obligations as a tax agent for personal income tax is fraught with liability (Article 123 of the Tax Code of the Russian Federation), in particular, a fine in the amount of one-fifth of the amount of under-transferred tax, you should request information from a foreign subordinate about the absence of dual citizenship and determine his tax status on every payday.

Algorithm for determining the NFDL rate

Thus, the determination by an accounting employee of the rate at which a particular income is required to be taxed implies the following algorithm of actions:

1. determination of the tax status of a citizen. If he is a tax resident of the Russian Federation, and his income is not a material benefit from loans, winnings or a prize - rate No. 2 from the list (13%), if it is - No. 5 (35%).
2. If a person is a non-resident, find out whether he has a work patent, whether he is a voluntary migrant, a refugee or a resident of the EAEU states. If yes - bet number 2, if no - analysis of the type of his income.
3. Determining whether the income of a non-resident not mentioned in the previous paragraph constitutes dividends. If yes - rate No. 3 from the list (15%), if no - 30%.

The amount of all deductions, including income tax from wages, according to Art. 138 of the Labor Code and letter of the Federal Tax Service No. BS-4-11/20405@, should not exceed 20% (and in some cases - 50%) of the salary.

Income exempt from tax

Before including any income in the personal income tax base, you should refer to Art. 217 of the Labor Code of the Russian Federation, which provides a list of funds exempt from collection of this tax. So, for example, tax is not withheld from:

• alimony (assigned by a court decision)
• compensation payments (travel allowances or, for example)
• financial assistance not exceeding 4,000 rubles. in 12 months (for a wedding, for a vacation) due to the death of a relative or an emergency;
• and unemployment;
• scholarships,
• pension payments,
• subsidies and grants to peasants and farms for their creation and operation, issued since 01/01/2012;
• residential premises and land plots received free of charge from the property of the state or municipality.

In addition, if in 2017 all compensation to defrauded individual shareholders was subject to personal income tax, now funds paid to victims from a special fund are exempt from this (clause 71, p. 217 of the Tax Code).

From January 1, 2018, the list of amounts not subject to personal income tax included discounts on Russian ruble-denominated negotiable bonds that were issued after January 1, 2017 (clause 2 of Article 1 of Federal Law No. 58-FZ dated April 3, 2017).

No tax is paid on labor remuneration for the first 15 days of the month (). It is worth calculating and transferring it with the entire salary accrued at the end of the month

Tax deductions for personal income tax

Employed residents of the Russian Federation who receive funds taxed according to the standard, in accordance with clause 1 of Art. 224 of the Tax Code, rate (13%), in certain circumstances they can take advantage of various tax deductions, that is, amounts that reduce the tax base for personal income tax. At the same time, non-residents from whose funds income tax is withheld in this amount in accordance with clause 3 of Art. 224, are not entitled to claim deductions.

The list of deductions available to Russians is given in Art. 218-221 NK and includes 5 groups:

1. standard;
2. social;
3. investment;
4. property;
5. professional.

Standard deductions are provided, for example:

• who gave birth (adopted or guardianship) to minors;
• parents in whose care there is a full-time student under 24 years of age.

The amount of income (tax base) on which income tax is levied is reduced by 1,400 rubles if there is a child, and by 2,800 rubles if there are 2 children. (RUB 1,400*2).

The deduction amount for each subsequent minor will be 3,000 rubles. It can be used by any of the spouses (guardians or adoptive parents), whose total annual income does not exceed 350,000 rubles, at their main workplace, by submitting an appropriate application and an accompanying package of supporting documentation. Even if this is not done at the beginning of the calendar period, the deduction is still provided to the person(s) from the beginning of the year.

Provided that one of the spouses refuses the tax deduction, the second one is provided with it in double amount. The same rule applies to citizens raising children alone (mother or father).

The tax base is reduced by the specified amount of funds from the month of birth, adoption of one or more minors, or the establishment of guardianship over him/her until the child (children) reaches adulthood or otherwise, as specified in Art. 218 of the Tax Code, age, as well as for the period of study of the child (children) at the university.

Guardians of a minor child with special needs, as well as a full-time student with special needs under 24 years of age, are provided with a deduction of 6,000 rubles, and parents and adoptive parents - 12,000 rubles.

The following example will help you understand the intricacies of applying tax deductions.

It is necessary to determine the tax on income from the salary of employee Nikanorov I.V., who is a resident of the Russian Federation and the father of three minor children without special needs, working for the Alpha company for the first month. His income for this period amounted to 60,000 rubles.

So, according to the above, the tax deduction will be 5,800 rubles. and is calculated by adding 2,800 rubles. (for the first two minors) and 3,000 rubles. (on the third).

The personal income tax amount will be: (60,000-5,800)*0.13 = 7,046 rubles.

The right to use the deduction will cease to apply from the month when the total labor income exceeds 350,000 rubles.

Also standard deductions are due:

• participants in combat operations - 500 rubles;
• for Chernobyl survivors, disabled people of the Second World War and military operations - 3,000 rubles.

Social deductions are due:

• during education (both children and their parents/guardians/adoptive parents);
• for charity;
• during treatment and for the purchase of drugs;
• for pension provision.

Property deductions are used when selling a car, buying and selling real estate or its share, land, during construction and repaying a mortgage loan. They can only be used once.

Algorithm for calculating personal income tax for a month

In order to determine the amount of personal income tax from an employee’s salary for the month, you need:

1. calculate remuneration for work;
2. find out whether the total amount includes funds on which tax is not charged;
3. find out the taxpayer status;
4. find out whether the subordinate has the right to tax deductions and their amount;
5. subtract non-taxable funds and the amount of deduction from the accrued amount;
6. multiply the amount obtained according to the previous steps by the required tax rate.

Deadlines and procedure for paying income tax on wages in 2019

Answers to the question of collection and payment of this tax are reflected in Chapter 23 of the Tax Code, in particular:

• Art. 226 – for subordinates, the tax for whom is paid by the tax agent-employer;
• Art. 227 – for individual entrepreneurs, lawyers and notaries, foreign individuals;
• Art. 228 – for individuals who receive funds other than from employers.

The deadline for transferring income tax to the budget correlates with the type of income:

• tax on remuneration for labor issued either through a cash register or transferred to a card, as well as dividends, is paid on the next business day;
• from income of individual entrepreneurs - no later than July 15 of the next year with mandatory payment over the previous 12 months. advance payments;
• for sick leave and vacation pay - on the last working day of the billing month.

The tax agent must pay tax on dividends from the funds of individuals, but not from his own (Article 226 of the Tax Code). That is, in the event of an erroneous payment of dividends in full, without withholding tax, you should either request a refund of the tax amount from the person, or withhold it from the next payment (subject to legal restrictions).

Personal income tax on the income of individual entrepreneurs is paid by them according to the annual declaration no later than July 15 of the year following the reporting year (Article 227). During the reporting period, they receive notifications from tax authorities with calculated advance payments and a requirement to pay:

• 50% of the annual amount of funds – until July 15;
• 25% – until 15.10;
• 25% – until 15.01 of the year following the reporting year.

Particular attention should be paid to calculating tax on sick leave and vacation pay. So, if the vacation starts on 17.10. this year, and ends on November 8, vacation pay is issued to the subordinate three days before it starts, that is, October 13 (including non-working days). But the tax must be transferred before 31.10.

If an employee took sick leave from October 18 to October 26 of this year and went to work on October 27, providing a certificate of incapacity for work on that day as a supporting document, he has the right to receive benefits on the next payday (based on October 31), and the employer can pay the state for tax until 31.11.

The tax should be transferred to the authority at the place of tax registration using a payment document indicating the BCC, payment period, and grounds (if any).

If a tax agent has separate divisions, personal income tax from individuals employed there is paid at their location (Article 226 of the Tax Code).

To understand the procedure for determining the calculation periods for personal income tax, you should familiarize yourself with the example.

In October 2019, the amount of remuneration for the work of the team of the Alpha and Omega company amounted to 379,000 rubles, accrued personal income tax - 48,178 rubles. On the 25th, an advance is paid - 160,000 rubles.

On the 31st, remuneration for labor (379,000 rubles) and tax are calculated. On November 10, the second part of the salary is paid, amounting to 170,822 rubles. (379,000-160,000-48,178), and personal income tax is paid on November 13.

Personal income tax reporting in 2019

Employers who are tax agents for personal income tax are required to provide the following reports to the Federal Tax Service:

1. f. 6-NDFL – every quarter;
2. f. 2-NDFL – at the end of the year.

The first records the income of individuals from whom personal income tax is collected. There is no need to show in the form non-taxable income and those on which individuals pay tax personally.

In 2019, you should use the form that is an appendix to the order of the Federal Tax Service of Russia dated January 17, 2018 No. MMV-7-11/18@, and not dated October 14, 2015 No. MMV-7-11/450, as was previously the case.

In addition to purely technical amendments (changes in encoding from 15201027 to 15202024), a substantive change was made to the new form - columns were added for the legal successor of the reorganized company (liquidated company), as well as new codes (places for submitting the calculation of tax amounts and forms for reorganization and liquidation of the organization).

Section 1 is filled in with a cumulative total from the beginning of the period as follows:

• line 020 – income of individuals is reflected from the beginning of the year;
• line 025 – filled in if dividends were paid;
• line 030 – deductions based on the amount from line 020;
• line 040 – calculated personal income tax;
• line 045 – filled in if dividends were paid;
• page 050 – to be filled out if foreigners with a patent are employed;
• line 060 – the number of employees whose income is reflected in the form without taking into account those whose funds are not taxed;
• line 070 – personal income tax withheld from the beginning of the period is recorded;
• page 080 – one line for all rates reflects the amount of personal income tax that cannot be withheld (a 2-NDFL certificate with sign 2 is submitted for it); Personal income tax, which will be withheld until the end of the period, is not shown in this line;
• page 090 – filled in when returning tax to employees.

In the case of using different tax rates, calculations for each of them are recorded separately on pages 010-050, and in 060-090 the summarized total for all rates is reflected.

Section 2 contains payments for October-December, for each of which the date of receipt of income (page 100), withholding of personal income tax (page 110) and its transfer (page 120) is indicated. If the dates coincide, income is included in one block on pages 100-140 (for example, salaries and bonuses paid for the month). This cannot be done with vacation pay and sick leave, even if they were paid along with labor remuneration.

Page 130 reflects the entire accrued amount of income (salaries, bonuses, vacation pay, sick leave, financial aid), without subtracting tax or applying deductions. At the same time, income on which tax is levied according to Art. 217 of the Tax Code (excessive daily and severance pay) are indicated in the amount subject to personal income tax.

Social, property and other deductions that require coding are shown on page 030.

You should not include in the second section of the form for 2019 income for which the personal income tax payment deadline is in the 1st quarter of 2019. That is, it does not reflect the December salary, which should be paid in January 2019, as well as vacation pay and benefits, paid in December.

Certificate 2-NDFL is provided as follows:

• with sign 1 - for each person who received income from the employer (labor, but not according to contracts for the sale of goods or the provision of services);
• with sign 2 - for each person from whose income the calculated personal income tax cannot be withheld (in the case of giving a non-monetary gift worth 4,001 rubles or more to a person who is not an employee of the company). A certificate with attribute 1 is also submitted for them.

If before 2019 it was prepared according to the form from the order of the Federal Tax Service of Russia dated October 30, 2015 No. ММВ-7-11/485@, now you should focus on the form from the order in the new edition - dated January 17, 2019 No. ММВ-7-11/ 19@.

The appearance adjustments are as follows:

• barcode 3090 9015 instead of 3990 8018;
• adding two new lines in Section 1 for legal successors submitting the form for a reorganized business entity;
• exclusion from section 2 of the lines to indicate the place of residence of the individual taxpayer;
• exclusion from the Procedure for filling out a reference book with codes of constituent entities of the Russian Federation (replacement with an appendix with codes for forms of reorganization (liquidation) of the organization);
• exclusion of the word “investment” from the title of the 4th section.

In addition, in 2019, the form of providing the certificate (paper or electronic according to TKS) depends on the number of employees. If it is more than 25 people, 2-NDFL is submitted electronically. Submissions on a CD or DVD or flash card will be rejected by the tax inspectors.

Tax agents no longer need to put a stamp on paper registers, since the field for this has been eliminated.

The first section of the certificate records the data of the agent (the parent organization or a separate division, depending on who paid the income to the individual).

The next, second, section reflects the following data about the individual who received the income:

• his citizenship (country code is taken from OKSM);
• encoding of the documentary identification document (according to Appendix 1 to the Order of the Federal Tax Service of Russia dated October 30, 2015 N ММВ-7-11/485@, the passport has code 21 and so on);
• tax payer status code (1 - resident, 2 - non-resident, 3 - highly qualified non-resident, 4 - voluntary migrant participant in the program, 5 - refugee or non-resident who has received temporary asylum, 6 - foreigner working under a patent);

Sections 3-5 of the certificate should be completed separately for each tax rate on different incomes paid to the same subordinate. There is no need to provide different 2-personal income taxes for it. If there are no amounts, a zero is entered.

In the third section, in chronological order, with a monthly and code breakdown, income received by individuals and taxed at specific rates, as well as funds exempt from taxation in accordance with Art. 217 NK.

At the same time, they are reflected in the month of actual receipt of money. That is, the salary for December of this year, due to subordinates in January 2019, is reflected in 2-NDFL for 2019 in the context of December income.

The income and deduction codes until 2019 were approved by order of the Federal Tax Service of Russia dated September 10, 2015 No. ММВ-7-11/387@, as amended on November 22, 2016, but now the edition dated October 24, 2017 is in effect.

Deductions under Art. 2018-220 are reflected in the fourth section.

Investment deductions are not shown on the updated 2019 form.

The fifth section contains information about:

• the total amount of income reflected in section 3 of the certificate;
• personal income tax calculated and withheld from them;
• the total amount of tax transferred to the treasury.

2-NDFL is endorsed by the head of the business entity or an employee authorized to do so by internal administrative documents (chief accountant, his deputy, payroll accountant).

Individual taxpayers mentioned in Art. 216, 227-229 of the Tax Code, in particular, individual entrepreneurs on the general taxation system and citizens who sold inherited or donated living space before the expiration of a three-year period must submit form 3-NDFL. This can be done both on paper and in electronic format no later than April 30 of the year following the expired tax period (Article 229 of the Tax Code) - if filing is required. If the payer is not obliged to submit it, but has expressed a desire to do so, the deadline for him will be May 3.

Taxation in Russia is a rather interesting system, which is full of interesting features and secrets, both from the legislative side and from the side of practical payments. It is also important to note the presence of a large number of tax regimes for all tastes and colors. One of them is personal income tax, which is very widespread because it applies to almost all citizens of the state. Since its (personal income tax) changes in 2018-2019 were quite important and serious, so it’s really worth considering them and finding out what awaits us in the near future in the country.

The entire amount of tax payments that the state collects from the population goes primarily to the benefit of the state budget, as the main source of its financing. This is practically the most important instrument of fiscal policy of the Russian Federation. However, now very often there are bad rumors about upcoming changes, which is quite suspicious and frightens people who are not familiar with it.

Of course, in the current conditions of state education in Russia, you can expect anything. The latest news about problematic oil prices, restrictive sanctions and empty state reserve funds, in principle, lead to a logical continuation in the form of huge reforms. And naturally, one of these reforms should be an increase in taxes.

Of course, such prospects are never encouraging, because a Russian citizen already constantly lacks money for a banal existence. Expenses for paying for your own housing, utilities, food and clothing, as well as less obvious expenses in the form of travel fees and small but expensive necessities already greatly narrow the range of a person’s possibilities.

Especially today, in the unstable political situation with the past elections. It’s even scary to imagine what you can count on in 2019. Although for personal income tax the rate will most likely rise further and further. After all, even government organizations are happy to support such reforms.

The Ministry of Finance itself has already stated that, according to internal calculations, an increase in personal income tax by 2 percent will be quite significant for the state, since it will already bring half a trillion rubles in one year. These are very large numbers even for an entire country, since the entire budget as a whole consists of 3.5 trillion rubles. And if the reform is very important and profitable for the state, citizens can be patient.

But before we talk about the future, let’s go back and discuss what personal income tax actually is.

Personal income tax

PFDL is a direct type of tax, which is calculated as a percentage of the entire total income of an individual, excluding some documented expenses. Current legislation prescribes that absolutely all income that a taxpayer receives, be it sales or wages, is subject to personal income tax.

In general, the following representatives of the Russian Federation are taxpayers:

• individuals who are tax residents of Russia and stay on its territory for more than half of the calendar year;
• individuals who are not tax residents of Russia, but still receive taxable income on its territory.

In general, there are only five tax rates: 9%, 13%, 15%, 30%, 35%, which are set depending on the type of income that a particular taxpayer receives and the type of taxpayer himself. But as was said earlier, in many places there are now rumors about increasing tax rates for the next few years.

If you believe the numerous forecasts of various analysts and the media, then the personal income tax may well rise to as much as the fifteen percent mark. And the state itself says in this regard that the increase is completely justified and possible, just in some regions, where today there are significant shortcomings in the budget and financing of the subject.

Although for now the issue of personal income tax is, to put it mildly, up in the air, the same analysts and simply interested citizens are really making real budget plans and options for further development of the situation instead of simple assumptions. By 2019, tax reform may indeed quite logically occur in Russia, leading to an increase in the personal income tax rate.

Maybe these are all just assumptions without clear grounds and rumors on the spot out of nothing, but still citizens are clearly confident that the country will definitely undergo some changes in the near future. Recent events and statements by the State Duma fully confirm all these fears, so we can already talk about changes, at least using the example of personal income tax.

Personal income tax rates in 2018

Today, personal income tax rates seem rather shaky, as do the KBK for personal income tax, standard tax rates for personal income tax or personal income tax refunds for previous years, but you shouldn’t worry so much right away. No one can say for sure what changes await us, not even the state itself and its numerous representatives, represented by the State Duma or, for example, the Ministry of Finance.

For now, the country has established a moratorium on any increase in tax rates, as this will greatly change the tax burden of Russia as a whole. Personal income tax consists of five rates established for all types of income that the taxpayer receives. The Tax Code establishes all the basic principles of tax management. But still, in the near future we can still expect a sharp increase or decrease in the rate by a couple of percent.

Let’s analyze all the rates separately in order to have at least some idea of ​​personal income tax and the differences between various tax penalties in Russia.

Rate 9%

This is the smallest of all rates, its size is only 9 percent of the total income of an individual. It applies to cases such as:

• making a profit, such as any dividends;
• all interest payments on various bonds that were issued before 2017;
• the constituent income of a mortgage-backed trust that was received under certificates issued before 2007.

Rate 13%

This rate is slightly higher than the previous one and its size is only 13 percent for individuals who are tax residents of the Russian Federation. Taxable income includes:

• various dividends;
• official salary of a citizen;
• any monetary rewards under contracts;
• all profits received from the disposal or sale of one's personal property.

There are no taxes on income received as a result of a citizen’s share participation.

If the taxpayer is still not a citizen of the Russian Federation, but receives income on its territory, then the NFDL also applies to him. Here the taxable income is:

• official income received from various activities;
• all remunerations of crew members of ships flying the flag of the Russian Federation from labor relations;
• payments for the work of a qualified specialist who is not a citizen of Russia;
• all income of individuals who have moved and permanently reside abroad.

The entire 13% rate is paid by any citizens of other states, persons without citizenship at all and temporary citizens of any country who officially conduct some kind of activity in Russia and receive the corresponding official income.

Rate 15%

This tax rate is established for most individuals who receive wages in the form of dividends from domestic organizations. Only these persons must be foreign citizens.

Rates 30%

All other income that is not included in the list available to tax residents of the Russian Federation must be taxed at a rate of 30%.

Rate 35%

But the highest rate in personal income tax is as much as 35%, which is quite a lot, considering what kind of income is taxed. Eligible income is:

• prize money and various winnings;
• interest payments on various bank deposits;
• interest on borrowed funds that goes beyond the norm;
• payment to a credit consumer cooperative.

In general, it is very important to consider that any individual who receives official income taxed at a rate of 13 percent can greatly help himself. This assistance is called, which is understood as an amount that reduces the amount of all income for the reporting period. And the Tax Code defines everything as “the return of a certain part of the personal income tax already paid.”

Changes

Well, now it’s time to talk about those very tax changes that may be awaiting us in the near future. Because even now there is some information or guarantors that confirm the possible fears of all Russian citizens. Let's look at the main upcoming changes to personal income tax.

• In 2019, a significant extension of the exemption from personal income tax is provided for all payments or monetary objections to citizens who are self-employed and do not conduct business activities. This will also affect employers, who are exempt from paying all insurance premiums that were received as a result of payments to self-employed citizens of the Russian Federation.
• They are also considering a new bill that will lead to the abolition of personal income tax next year for the sale of household waste paper. If the documents for this project are approved and signed on time, then from January 2019 we will see it in action.
• From the State Duma, the Communist Party faction sent the Chairman of the State Duma a certain bill, which is intended to change Chapter 23 of the second part of the Tax Code of the Russian Federation. They put forward an initiative to set absolutely different rates. This could also be implemented by early next year.
• Already on April 23, 2018, a law came into force that regulates personal income tax payments for each month. However, this will only be carried out at the birth of children: the first and second.

The President of the Russian Federation Vladimir Vladimirovich Putin himself instructed those responsible to develop and implement a variety of numerous proposals related to reforms of the state tax system. Now, in 2018, work is already underway on future changes in 2019.

If you believe the president’s words, the main goal of all future reforms will be to stimulate the economy and move towards business activity of the entire population of the country. Analysts say that all important changes will concern personal income tax rates. But it's not that simple.

How to calculate tax

If suddenly, behind all these complex changes, taxpayers will have questions like: “How will personal income tax taxes be calculated then?” or “What is this, recalculating everything now?”, then you shouldn’t rush to conclusions. Maybe even big changes will not affect the rates themselves, but will only change some aspects.

So for now you don’t have to worry about calculation formulas and spreadsheet accounting systems. If there are any changes in this area, then the Ministry of Finance will certainly inform about this in advance in order to prepare all organizations, entrepreneurs and employees themselves.

If there are those who are still wondering about calculating personal income tax without changes, then all the detailed information can be easily found on the Internet, without even having difficulty finding what you need. Why are there examples and diagrams? There are even online calculators that should accurately calculate all taxes. So there was no need to worry about the availability of information, and there is no need to worry in the future.

In general, in order to understand how much all the upcoming changes will affect ordinary citizens of the state, we must wait and see what the state will come to in these matters. So you shouldn’t judge too harshly; maybe many reforms will only bring sweet fruits.

Taxes are a hot topic. It would seem that the need to pay them is obvious, and yet people feel sorry for giving their “hard-earned” money to the state. Let's figure out what amounts from citizens' salaries are deducted to the tax fund in 2018.

The tax withheld from wages is the personal income tax (NDFL), or income tax. This is the main type of fee, which is reflected in the salary amount. It is believed that the employee pays it himself, and the employer acts only as a tax agent who transfers the money to the tax service. However, the role of the employee is nominal, because the deduction of personal income tax does not depend on his will.

The amount of personal income tax depends on the status of the taxpayer (Article 224 of the Tax Code of the Russian Federation):

1. Residents of the Russian Federation are citizens who have been in the country for at least 183 days over the past year. They deduct 13% from their income.
2. Non-residents of the Russian Federation are citizens who stayed in Russia for less than the specified number of days. The personal income tax amount for non-residents is 30%.

The above amounts are basic (standard) tariffs applied on a general basis. They may change for certain categories of persons.

The following types of income are not subject to income tax (Article 217 of the Tax Code of the Russian Federation):

• maternity and unemployment benefits;
• severance pay for the period of employment upon dismissal of an employee;
• compensation payments (for unused vacation, compensation for material damage and harm to health, etc.).

Insurance premiums

This type of deduction is paid by the employer independently and is not reflected in the employee’s payroll. These contributions are used for pension, social and health insurance. They are calculated based on the salary amount (which includes personal income tax). Basic rates for insurance premiums are shown in the table.

Table of tax rates for 2018

Type of collection	Interestbid	Note
Personal income tax for residents	13	Article 224 Tax Code, clause 1
Personal income tax for non-residents	30	Article 224 Tax Code, clause 3
Pension Fund of Russia	22	Article 426 of the Tax Code, clause 1. The maximum amount of salary subject to collection at this rate is 876 thousand rubles. Salaries above this limit are subject to a 10% fee.
Social Insurance Fund	2,9	Article 426 Tax Code, clause 2. The maximum taxable amount is 755 thousand rubles. Above 0 is not taxed.
Accident (injury) insurance	0,2-8,5	Law 179-FZ of December 22, 2005. the tariff is set depending on the type of activity (degree of risk)
Medical insurance (CHI)	5,1	Article 426 Tax Code, clause 3

Certain categories of taxpayers

Taxation of income of some categories of citizens is calculated at different rates. These include individual entrepreneurs (IP), foreigners, stateless persons, and refugees.

Individual entrepreneurs who do not make payments other individuals (clause 2, clause 1, Article 419 of the Tax Code), in 2018 they began to pay mandatory state fees according to a new principle. If previously the rate was calculated based on the minimum wage, now this category of citizens is obliged to pay fixed amounts, which must be paid at the end of the calendar year. They are defined in Article 430 of the Tax Code of the Russian Federation, clause 1. and for 2018 are:

• for pension insurance - 26,545 rubles, if the annual income does not exceed 300 thousand rubles;
• for compulsory medical insurance 5,840 rubles.

Workers who do not have Russian citizenship, are divided into several categories of taxpayers who pay personal income tax depending on their status. These include:

1. Highly qualified foreign workers. They pay an income tax of 13%.
2. Foreign citizens working on a patent. They pay the tax themselves in a fixed amount.
3. Employees-citizens of the EAEU. Specialists who come from the countries of the Eurasian Economic Union pay an income tax at a rate of 13%.
4. Citizens with official refugee status pay personal income tax of 13%.

In all other cases, foreign citizens, as non-residents of the Russian Federation, pay a tax of 30%.

Preferential rates on insurance premiums in 2018

Employers in some organizations can count on reduced amounts of insurance premiums, a full list of which is given in Article 427 of the Tax Code of the Russian Federation. These include:

• Individual entrepreneurs using the patent taxation system, non-profit and charitable organizations using the simplified taxation system, pharmaceutical companies using UTII do not make insurance contributions at all.
• Business companies using the simplified tax system, whose activities fall into the categories set forth in Article 427 of the Tax Code, paragraph 1, paragraph 5, deduct 20% for pension insurance and are exempt from other payments.
• Residents of special economic zones (Article 427 of the Tax Code, paragraph 1, paragraph 2) contribute 13% to the pension fund, 2.9% to the Social Insurance Fund, and 5.1% to compulsory medical insurance.
• Preferential tariffs apply to residents of certain economic zones (Republic of Crimea, Vladivostok, Kaliningrad region).

Personal income tax in other countries

If we add up the income tax and insurance contributions in the Russian Federation (at standard rates), it turns out that the employer pays 43% above the employee’s salary. What is the situation in other states?

The leader in the amount of personal income tax levied on citizens is Sweden - where this contribution can be up to 60% of earnings. Finland, Belgium, France and the Netherlands are not far behind - income taxes exceed 50%. But we must take into account that these countries have progressive taxation (when the amount of tax increases in proportion to income growth). A similar system is used in the USA, where income tax ranges from 10% to 40%. Russia is in the top ten countries with the lowest personal income tax.

As for insurance premiums, in Europe, for example, it is customary to “share” this burden between the employer and the employee. In Germany, half of the insurance premiums are paid by the company, and half by the employee. High medical and social security premiums are also paid by US citizens. Social support in European countries and the USA is at a high level: you can live on unemployment benefits abroad, while in Russia it is almost half the subsistence level.

What changes are planned in the tax area?

The Ministry of Finance has long been predicting an increase in income taxes. Thus, it was supposed to be raised by 2% back in 2018, but the authorities did not agree to this (possibly on the eve of the elections). There is no official information yet about whether the rate increase will take place in 2019.

The possibility of introducing a progressive tax system, when the interest rate will increase depending on the amount of wages, is also being discussed. Since this reform requires a radical change in the entire tax system, its implementation cannot be expected in the near future, even if it is adopted at the legislative level.