After the hotel industry changed to pay VAT, did the tax burden increase or decrease?

After the hotel industry changed to pay value-added tax, the tax burden was reduced.

When the hotel industry collects business tax, regardless of its business scale, taxpayers should pay business tax at the rate of 5% based on all their income (sales), including room rate and service fee. After the transformation of value-added tax, taxpayers in the hotel industry can be divided into two categories:

The first category, hotels with annual sales below 5 million yuan, are classified as small-scale VAT taxpayers. According to the policy, this part of taxpayers apply the simple tax calculation method, and pay VAT at the tax rate of 3% (that is, sales ×3%), which directly reduces their tax burden by about 40% compared with the original business tax rate of 5%.

The second category, hotels with annual sales of more than 5 million yuan, are listed as general taxpayers of value-added tax. These taxpayers are subject to the VAT rate of 6%, which is levied outside the price and business tax inside the price. Therefore, the value-added tax rate of 6% calculated according to the business tax caliber is equivalent to the business tax burden level of 5.66%. In other words, even if there is no input tax to be deducted, the tax burden of the general taxpayer of hotel value-added tax after the reform is only 0.66 percentage points higher than that under the business tax system. After the reform, the hotel's material procurement, equipment procurement, service procurement, real estate purchase and lease, office expenses, etc. Both can be deducted. Generally speaking, the tax burden of taxpayers has generally declined to varying degrees.

For example, a hotel is a general VAT taxpayer, and its sales revenue (including tax) in the current month is10.06 million yuan, the cost of purchasing equipment and materials in the same period is/kloc-0 1.654.38+0.7 million yuan, and the input tax indicated on the special VAT invoice is10.7 million yuan. Under the business tax system, the business tax payable by taxpayers in the current period is:106× 5% = 53,000 yuan; Under the VAT system, the VAT payable by taxpayers in the current period is:106 ÷ (1+6%) × 6%-1.7 = 43,000 yuan. At the same income level, the value-added tax after reform is 6,543,800 yuan less than the business tax.