Countdown to new rules | How to report individual income tax and VAT for internet platforms? Kailing Technology one-click compliance

Starting October 1, 2025, internet platform enterprises will formally implement the Announcement of the State Taxation Administration on Several Matters Concerning Internet Platform Enterprises Handling Withholding Filing and Agency Filing for Practitioners on the Platform. The new rules set clear tax compliance requirements for platform enterprises, including handling individual income tax withholding filing, VAT and surtax filing on behalf of practitioners, and reporting relevant tax-related information. Facing the new policy, many platform enterprises, especially small and medium-sized platforms, urgently need efficient and reliable compliance solutions. Kailing Technology actively responds to policy requirements and has launched a "one-click compliance" tax calculation and filing system to help enterprises transition smoothly and implement efficiently.

I. Core content of the new rules: platform enterprises bear major tax responsibilities

According to an announcement of the State Taxation Administration, platform enterprises need to fulfill the following obligations:

1. Regarding individual income tax: the platform needs to withhold and prepay individual income tax on labor remuneration income for practitioners according to the "cumulative withholding method," and clarify the calculation formula and filing process;

2. VAT aspect: The platform can handle VAT filing on behalf of practitioners, who enjoy policies such as VAT exemption for small-scale taxpayers with monthly sales below 100,000 yuan. If a practitioner's annual income exceeds 5 million yuan, they must be guided to register as a market entity;

3. Corporate income tax deduction: After the platform completes individual income tax withholding and VAT agency services for practitioners, the labor remuneration expenses can be deducted before corporate income tax on an actual basis using the relevant tax payment vouchers and filing forms;

4. Information reporting requirements: Platforms must verify and retain practitioners' identity information, income information, etc., and report as required; otherwise, the relevant vouchers shall not be used as the basis for pre-tax deduction.

II. Platform pain points: SMEs face multiple challenges

For many internet platforms, there are many practical difficulties in implementing the new regulations:

• Lack of a professional tax team, resulting in high policy comprehension costs;

• Individual income tax and VAT for each order must be calculated in real time, making system modification difficult;

• Involving the integration of multiple data sources, including identity information, transaction records, commission ledgers, etc.;

• When income of practitioners on multiple platforms is consolidated for tax calculation, information coordination and filing become more complex;

• Incorrect filing or missing vouchers will render tax deductions invalid and may even lead to tax penalties.

III. Kailing Technology Solutions: three modules achieve "one-click compliance"

In response to policy requirements, Kailing Technology has built a system covering the entire tax agency process, helping enterprises implement it at low cost, high efficiency, and in a safe and compliant manner.

1. Data source management module

Integrate multiple types of tax-related data, including basic employee information, income details, commission and fee ledgers, etc., ensuring standardized and traceable data sources, laying the foundation for individual income tax and VAT calculations.

2. Tax calculation management module

• Supports real-time calculation: automatically withholds VAT, surcharges, and individual income tax when each transaction occurs;

• Pre-tax income restoration: if the settlement method is "after-tax," the system automatically back-calculates pre-tax income;

• Supports corrected filing: flexibly handles scenarios such as payment failure and cross-month refunds, avoiding filing deviations.

3. Tax-related reporting module

Achieve one-click generation and submission of identity information, income information, individual income tax withholding filing, VAT agency (and consolidated agency), while providing tax payment certificate management functions, ensuring the completeness and validity of enterprise income tax pre-tax deduction vouchers.

IV. Why choose Kailing Technology?

• High policy alignment: The system logic is designed and optimized strictly in accordance with the announcements of the State Taxation Administration;

• Reduce compliance costs: automated tax calculation and filing greatly reduce manual operations and errors;

• Covers multiple scenarios: whether self-employed, crowdsourced, part-time, or cross-platform, all can be adapted;

• Credit and risk control: help enterprises standardize archiving and avoid tax risks caused by missing vouchers.

As October 1 approaches, tax compliance for internet platforms has entered the countdown. The policy not only brings obligations, but also brings new opportunities for standardized operations and data-driven enterprise management. Kailing Technology is willing to become a trusted compliance partner for platform enterprises, helping enterprises easily connect to the tax system and achieveTax calculation and tax filingOne-click compliance, focus on business development, and jointly build a healthy tax ecosystem.

For detailed solutions, please consult Kailing Technology:https://www.kailingteck.com/ 。

As a comprehensive business-finance-tax digitalization solution service provider, Kailing Technology provides business-finance-tax management digital transformation products and operational services for various government agencies, institutions, and large, medium, and small enterprises. The product line includes:

Solutions for sales contract management system, procurement contract management system, fully digitalized Leqi interface project, automatic output VAT invoicing system, invoice issuance for individuals system, employee expense control and reimbursement system, input VAT invoice management system, supply chain collaborative reconciliation system, imaging OCR recognition system, automatic financial bookkeeping system, electronic accounting archives system and other businesses, comprehensively advancing the digitalization process across various fields.

If you have any business-finance-tax digital transformation needs, welcome to contact us. Beijing Kailing Technology will serve you wholeheartedly.