Did you file your taxes? Tax saving strategies and tax concessions at once!

After the May 1st Labor Holiday, the tax filing season will follow. As taxpayers, if you and I can make good use of tax-saving strategies and tax concessions, you can legally save a fortune for yourself while fulfilling your national obligations.

1. Three major deductions help, smart tax saving

The first step in tax saving is to familiarize yourself with the comprehensive income tax calculation formula:

"Comprehensive income tax payable = comprehensive net income X applicable tax rate - progressive difference"

" Comprehensive Net Income = Total Consolidated Income - Exemptions - Standard or Listed Deductions - Special Deductions - Differences in Basic Living Expenses"

Then, according to the 110 year comprehensive income tax exemption and deduction standards, you can legally save tax for yourself:

1. Tax-free allowance : NT$88,000 per person under the age of 70; NT$132,000 per person over the age of 70.

2. Standard deduction : It can be deducted directly without attaching documents. It is NT$120,000 per person for a single person, and NT$240,000 for a couple filing a joint tax return.

3. List the deductions : You must attach the documents to declare, including medical and maternity expenses, insurance premiums (up to NT$24,000 per person), mortgage interest (up to 300,000 yuan), and house rent (up to 120,000 yuan per person) ), donations, etc. It should be noted that the standard deduction and the enumerated deduction can only be selected. You can try the calculation before filing the tax return and choose the method that is more beneficial to you.

4. Special deductions : including salary income deductions of NT$200,000 per person, preschool children under the age of 5 NT$120,000 per person, children's college education tuition fees of NT$25,000 per person, long-term According to NT$120,000 per person, NT$200,000 per person with physical and mental disabilities, 270,000 yuan per household for savings and investment, loss of housing and property transactions, etc.

5. Difference in basic living expenses : The basic living expenses in 2011 are NT$192,000 per person. The difference in basic living expenses = basic living expenses – tax exemptions – standard or enumerated deductions – special deductions. If the calculation result is negative, it will be ignored.

If calculated according to the above comprehensive income tax formula and deduction standard, the annual income of a single person is less than NT$408,000, the annual income of a double-income couple is less than NT$816,000, and a double-income family of four (couple, one elder over 70 years old, One child under the age of 5) is exempt from tax if the annual income is less than NT$1.232 million, etc.

In addition, small-capital depositors can also consider combining dividend income and comprehensive income tax declaration, using 8.5% dividend deduction, the maximum deduction per household is NT$80,000, and the balance can be refunded.

2. Mobile or online tax filing

In order to encourage taxpayers to use mobile phones or the Internet to file tax returns, the IRS in various districts has held incentive activities. For example, the Taipei IRS has launched a lucky draw with a total prize of NT$700,000, and the IRS of the Southern District has launched a maximum NT$5 10,000 yuan prize raffle.

3. Credit card installment or credit card discount, tax payment is easier

With the coming of the tax filing season, various credit cards have launched tax payment discounts one after another. For example, Cathay Pacific Cardholders pay 12 tax payments with 0 interest rate, and designated cards can enjoy 0.45% rebate. Enjoy feedback; Yushan cardholders pay unlimited amount of tax with 0 interest rate for 6 installments, 0 interest rate for 12 installments with tax amount over NT$10,000; 0 interest rate for Taiwanese cardholders with tax over NT$20,000 up to 18 installments; Taipei Fubon All 0 interest rate for 3 or 6 periods of card friends, 0 interest rate for 18 or 24 periods of designated cards. You can also check the tax benefits offered by your credit card.

This year's tax filing season has begun, and the deadline has been postponed to June 30 due to the epidemic. Before filing your tax return, don't forget to take advantage of various tax saving strategies and tax payment discounts!