Train ticket deduction rules updated! Selection-based deduction replaces calculation-based deduction, the tax bureau has made it clear!

Since the full implementation of fully digitalized e-invoices, the selection issue for train tickets and flight tickets has been a constant concern. Now, new information has arrived!

01 Train ticket deduction has changed!

Open the VAT Invoice Comprehensive Service Platform, and you can find that when selecting the invoice type, under fully digitalized e-invoice there appearsElectronic invoice (railway electronic ticket)。

Coincidentally, in many pilot regions for fully digitalized e-invoices, tax bureaus have also issued notices:

Pilot taxpayers obtain documents marked with "VAT special invoice" or "ordinary invoice""air transport electronic ticket itinerary" "railway electronic ticket"fully digitalized e-invoices bearing the words, paper special invoices, paper ordinary invoices, and other VAT deduction vouchers that meet regulations, if they are to be used to declare and deduct VAT input tax or to apply for export tax refunds or tax refunds on behalf of others,The purpose shall be confirmed through the tax digital account of the electronic invoice service platform. Non-pilot taxpayers shall continue to use the relevant VAT deduction voucher functions through the VAT invoice comprehensive service platform.If a taxpayer confirms that the purpose is incorrect, it may apply to the competent tax authority for correction.

That is to say, for fully digitalized e-invoices of railway tickets and flight tickets, there is no need to calculate deductions in the future; you can simply check and deduct directly in the tax digital account or the VAT Invoice Comprehensive Service Platform.

Everyone, log in to the electronic tax bureau quickly and check the train ticket verification in your regionHas the way of choosing changed or not!

Attached: Samples of air transport electronic ticket itineraries and railway electronic tickets

02After the change in train ticket deduction method, how do taxpayers fill out the tax return?

Where a taxpayer purchases domestic aviation and railway passenger transport services and obtains fully digitalized e-invoices bearing the words "Aviation Transport Electronic Ticket Itinerary" or "Railway Electronic Ticket",You can confirm its use through the tax digital account of the electronic invoice service platform. Its input tax amount will be automatically filled into column 8b of “(2) Other Tax Deduction Vouchers” in the VAT Tax Return Supplementary Schedule (2), and no longer needs to be filled in by manual calculation.

As shown in the figure:

03 Related issues of other train tickets

Can train ticket refund fees be deducted as input VAT?

1. Where the ticket refund fee voucher obtained is a special invoice:

In this situation, deduction is allowed.

2. Where the ticket refund fee voucher obtained is not a special invoice:

In this situation, input VAT deduction is not allowed, but it can be used as a deduction voucher for corporate income tax.

If the input VAT on a purchased train ticket has already been calculated and deducted, when a refund occurs, the input VAT still needs to be transferred out.

04Be sure to remember these 9 reminders for VAT deduction on train tickets!

Reminder 1:

Only tickets obtained after April 1, 2019 can be deducted; earlier tickets cannot be deducted for VAT.

Reminder 2:

Only eligible passenger transport services occurring within China can be deducted; overseas tickets must not be deducted for VAT.

Reminder 3:

Only tickets of eligible employees of the company can be deducted; passenger transport services generated by non-employees of the company cannot be deducted.

Reminder 4:

Qualifying tickets incurred by foreigners within China can be deducted for VAT, but those incurred overseas cannot be deducted.

Reminder 5:

Only tickets that indicate passenger identity information can be deducted; those that do not indicate passenger identity information cannot be deducted.

Reminder 6:

The eligible ticket deduction method is calculated deduction, not deduction after verification. Only tickets for which a special VAT invoice is obtained require verification before deduction.

Reminder 7:

Only the amount of "fare + fuel surcharge" on the air transport electronic ticket itinerary can be deducted. The civil aviation development fund is not used as the base for calculating input tax.

Reminder 8:

Train tickets obtained by employees for business-related travel can be deducted, but train tickets for collective welfare purposes such as vacation visits to family and personal tourism may not be deducted from VAT.

Reminder 9:

For ordinary invoices such as rental invoices and bus tickets, no deduction may be calculated.

Source: internet

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