The company contracts the KTV in the hotel to a third party to collect the contract fee. How does it pay the business tax?

In principle, business tax is paid according to the service industry, with a tax rate of 5% and is paid monthly.

But we have to look specifically. Caishui [2003] No. 16 stipulates that both parties sign a contract or lease contract (agreement, the same below) to outsource or lease the enterprise or part of its assets. The contracting fees and leasing fees (lease fees, the same below) collected from contractors and lessees are levied business tax according to the "service industry" tax category.

If the contracting fee collected by the contractor meets the following three conditions at the same time, it is an internal distribution behavior of the enterprise and no business tax is levied:

1. The contractor operates externally in the name of the contractor. , the outsourcing party shall bear relevant legal responsibilities;

2. All operating income and expenses of the contractor shall be included in the financial accounting of the outsourcing party;

3. The relationship between the outsourcing party and the contractor The profit distribution of the parties is based on the profits of the outsourcing party.