The tax refund for withholding tax belongs to personal capital, and its scientific name is "VAT refund preference for withholding tax", which means that the "input" VAT that cannot be deducted now but can be deducted in the future will be refunded in full in advance.

Simply put, when the input tax is greater than the output tax, the tax allowance will appear. Tax refund is to return the tax amount that has not been deducted at the end of VAT to the taxpayer. Value-added tax is a chain deduction mechanism, and the taxable amount is the balance of the taxpayer's current output tax after deducting the input tax. Among them, the output tax refers to the value-added tax calculated according to the sales volume and the applicable tax rate; Input tax refers to the value-added tax paid for purchasing raw materials. Therefore, when the input tax amount is greater than the output tax amount, the input tax amount that is not deducted forms the tax allowance.

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? formative factor

Generally, it is caused by the inconsistency between taxpayers' input tax and output tax, such as centralized procurement of raw materials and inventories, but not all of them have been sold; Or there is no income during the investment period, and so on. In addition, when multiple tax rates coexist, when the applicable tax rate for sales is lower than the applicable tax rate for input, tax exemption will also be formed.

? meaning

Tax rebate is an important measure to implement large-scale tax reduction and fee reduction policy. The implementation of the tax rebate policy will help alleviate the financial pressure of enterprises in some areas, support enterprises to expand investment to a certain extent, promote the upgrading of technology and equipment, stimulate market vitality more effectively and promote high-quality economic development.