Advertising fees tax in addition to included in the requirements, in the calculation of corporate income tax, but also need to pay attention to the deduction limit. Article 44 of the Regulations for the Implementation of the Enterprise Income Tax Law stipulates in principle: "The qualified advertising expenses and business publicity expenses incurred by an enterprise shall not exceed the sales (business) revenue of the current year, unless otherwise stipulated by the competent financial and tax authorities under The State Council15％Is allowed to be deducted; The excess is allowed to be carried forward in subsequent tax years." Notice of the Ministry of Finance and the State Administration of Taxation on the Policy of Pre-Tax Deduction of Advertising Expenses and Business Publicity Expenses (2012:48(B), hereinafter referred to as finance and taxation48Notice of the Ministry of Finance and the State Administration of Taxation on the Policy of Pre-Tax Deduction of Advertising and Business Publicity Expenses (2017:41No.). Except for this15%, special industries also have different deduction limits. For example, advertising expenses and business publicity expenses incurred by cosmetics manufacturing and sales, pharmaceutical manufacturing and beverage manufacturing (excluding alcohol manufacturing) are in accordance with30%(not exceeding the sales (operating) revenue of the current year), deduction is allowed; However, the tobacco advertising expenses and business publicity expenses of a tobacco enterprise shall not be deducted when calculating the taxable income amount.

If the advertising and publicity expenses exceed the specified proportion, they are not allowed to be deducted before tax in the current period, which does not mean that they are not allowed to be deducted before tax. For the excess part, they can be carried forward and deducted in future tax years until the deduction is complete. However, the cost of the current year will decrease and the tax payable will increase.

For example: a beverage manufacturing company, this year5000Ten thousand dollars in revenue, the profit is500Ten thousand. The total amount of business publicity expenses is2000Ten thousand.

In this case, the income tax law this year only allows deductible business publicity expenses

5000wan*30%=1500wan

The amount incurred by the client this year is2000Ten thousand, so the need for tax increase500W, so the final income tax calculation formula: (500wan+500Ten thousand)*25%=250wan

And the rest500Million business publicity expenses can continue to deduct income tax for the second year.

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