Tax deduction codes in 2022

The income code and deduction code when filling out income tax reporting are taken from the Order of the Federal Tax Service dated September 10, 2015 No. ММВ-7-11 / [email protected] as amended. dated October 24, 2017 (Appendices No. 1 and 2). These codes are indicated by tax agents in the “Certificates of income and tax amounts of individuals” (until 2022 - Certificates 2-NDFL). When taxpayers file tax returns in Form 3-NDFL, deduction codes are not required - the amounts of deductions are indicated in the fields corresponding to the description. As for 6-NDFL, codes for income and deductions appear in the appendix to the calculation, which are the Income and Tax Certificates. In 2022, the deduction codes have not changed; we will tell you about the main ones in more detail.

Personal income tax deduction codes: property and social

Individuals, when receiving income from a tax agent, have the right to use two types of property deductions through their employer (Article 220 of the Tax Code of the Russian Federation) - for the purchase or construction of housing and for paid mortgage interest. The first option of the benefit will be reflected by the employer in the certificates under code 311; for interest on a loan received for the purchase of housing, a separate code is provided - 312.

There are several codes for social deductions (Article 219 of the Tax Code of the Russian Federation):

code 320 indicates the amount of deduction received by an individual for his own education, as well as for the education of a brother or sister (up to 24 years);
if the taxpayer returns tax payments using a deduction for the education of his children, guardians, wards, code 321 is applied;
for deductions for treatment (for yourself, parents, spouses, children, wards), the amounts are reflected with code 324, but if we are talking about expensive treatment (in the amount of actual expenses), designation 326 is used;
contributions to DLS (voluntary personal insurance) to pay for medical services for yourself and your relatives also give you the right to a social deduction - in this case, code 325 is entered;
for deductions for contributions to the NPF (for oneself, children, parents, spouses), code 327 is provided, and additional insurance contributions to the funded pension in the Pension Fund are reflected in the combination of numbers 328.

The essence of deductions

A tax deduction is a legally established amount by which the tax paid to the state by individuals can be reduced. That is, of the 13% that goes from your income to the budget, part of the funds will not be withheld or it will be returned if the tax has already been paid.

In the Tax legislation of the Russian Federation there are different types of deductions - standard, property, investment and social. Deduction codes 311 and 312 refer to property deductions.

To let your employer know that you are claiming a tax deduction, contact the Internal Revenue Service to confirm your eligibility. In response to the request, the tax office will issue a notice that must be provided to the employer. Further control over the correct filling of the fields of income declarations is carried out by the company's accounting department.

If your tax return is prepared by your employer, but you have doubts about anything, you can ask the accounting department for a copy of the 2-NDFL certificate. And see if all deductions are reflected correctly. If you're filing your own income tax return, it's even more important to know how to fill out the different fields on the form so you don't overpay the government.

The amount of the deduction and the amount of money returned by the state are not the same thing. The deduction amount is the amount of money by which income is allowed to be reduced when purchasing property. And the returned tax is only 13% of the deduction. In this case, one employee will be able to receive 13% of the maximum amount of 2 million rubles . But you won’t get all the 2 million rubles you spent. from the budget, but only 260 thousand rubles. And even if 3 or 5 million rubles are spent, more than 260 thousand rubles, you still will not be compensated.

How to return up to 1,300,000 rubles. →

However, if the purchased housing cost 1.5 million rubles, then you can purchase a second one or a plot of land for an amount exceeding 0.5 million rubles. and collect the remainder of the deduction. But this applies only to those who did not exercise the right to deduct earlier, before 2014.

It is important to know that the deduction is given only once; it is impossible to use the benefit again. The declaration cannot be submitted in the year in which the property was purchased, but only the next year or even later.

Tax deduction codes for non-taxable income

Some amounts of income are excluded from the tax base in whole or in part. If the payment is not subject to taxation in full, it is not reflected in the Certificate of Income and Tax, but in case of partial exemption from tax, it is necessary to reflect such income and the grounds for its reduction.

Article 217 of the Tax Code of the Russian Federation provides for a deduction of 4,000 rubles. for the following reasons:

if the taxpayer receives income in the form of gifts from an individual entrepreneur or an enterprise, the non-taxable portion of the cost is shown under code 501;
code 502 is used when paying tax on prizes received by winners of competitions organized by the state (the prize can be in the form of cash or in kind);
deduction code 503 is entered when the tax base is reduced from the amount of financial assistance provided to an employee by his employer, as well as former employees who have retired;
code 504 is relevant for compensation payments for purchased medications (as prescribed by a doctor), if such payments are made by the employer;
if the prize was received in a competition organized as part of an advertising campaign, the deduction for it is indicated by code 505;
When payments to disabled people are made by public organizations of disabled people, deductions in tax registers are recorded with code 506.

The following deductions may also apply:

if the recipient of monetary assistance or a gift was a WWII participant, the non-taxable amount is allocated with code 507;
when paying financial aid for the birth of a child, the deduction is indicated by code 508;
if income is given to an employee not in cash, but in kind, a partial reduction in the tax base in this case is shown with code 509 (we are talking about settlements between agricultural producers and their staff);
for additional insurance contributions for pension insurance paid by the employer (up to 12 thousand rubles per year), code 510 is provided.

The procedure for indicating deductions in the 2-NDFL certificate

According to the procedure approved by the Federal Tax Service of Russia, if a taxpayer is provided with deductions corresponding to different codes during the tax period, the required number of fields are filled in in section 3 of the income certificate:

"Deduction code";
"The amount of the deduction".

If one person received several tax reductions falling under the same code, their amounts are summed up and indicated on one line. It follows from this rule what code 501 in 2-NDFL means - one or more gifts during a calendar year, the total value of which does not exceed 4,000 rubles.

Personal income tax deduction code: professional deductions

Professional deductions (Article 221 of the Tax Code of the Russian Federation) are represented by the following types:

When working on the basis of a GPC agreement, the tax base is reduced by expenses associated with performing work under the agreement; in this case, the deduction is indicated in the tax register by code 403.
The deduction provided for the amount of expenses (documented) when paying royalties, royalties for the creation, use of works of science, art, literature, and rewards to inventors is indicated by code 404.
Expenses within the limits of the standards taken into account when paying royalties - royalties for the creation, execution, use of works of science, literature and art, to inventors - reduce the tax base under code 405.

What document approves personal income tax deductions applied in 2022?

The current coding of deductions was approved by the Federal Tax Service Order No. ММВ-7-11/ [email protected] and the Federal Tax Service Order No. ММВ-7-11/ [email protected] The full table with codes is a rather voluminous document, in addition sometimes containing wording not with a description of the deduction itself, but with references to one or another article of the Tax Code of the Russian Federation. Therefore, it can be difficult to quickly navigate the codes.

We have systematized and deciphered individual categories of deductions with common characteristics. And we divided the single table with encoding into several more convenient parts.

Let us remind you that from 01/01/2019 a new form 2-NDFL is used for submission to the tax office and a new separate form of certificate for issuance to the employee. However, deduction codes will be required to generate both documents.

Codes of investment and dividend deductions

Deduction code 601 characterizes the tax deduction for dividends (Article 214 of the Tax Code of the Russian Federation).

The investment deduction applied to a positive result from the sale of securities is designated by code 618. The deduction for profits from operations on an IIS (individual investment account) corresponds to code 619.

A separate block of deductions identifies amounts that can adjust the tax base for personal income tax from transactions with securities and derivative financial instruments not in a fixed amount, but in the amount of expenses (Article 214.1 of the Tax Code of the Russian Federation). For example, deduction code 201 characterizes the amount of expenses that can reduce the fiscal burden on the taxpayer, provided that such expenses arose during transactions with securities traded on an organized market. Deduction 201 is reflected in the amount of expenses actually incurred for the purchase of securities, for commissions to intermediaries, for the repayment of interest on loans issued for work in the stock market. If expenses arose from transactions with securities not traded on an organized market, code 202 is applied.

Details for receiving a tax deduction

In the form described, it is mandatory to provide the following information:

The official name of the employee’s company or full name if the employee’s work is provided by an individual entrepreneur.
Tax details of the enterprise - TIN, contact information, codes provided by statistical authorities, and so on - in accordance with the requirements established by regulatory documents for form 2-NDFL.
Information about the employee - his full name, registration and residence address, date and place of birth, ID code (usually a passport), an indication of which country he is a citizen of. It should be remembered that the employee’s TIN is not a mandatory detail in the document.

To use certificates drawn up in 2022 when applying for a tax deduction for the purchase of housing in the Russian Federation, they must meet certain criteria:

Be drawn up by the employing company;
Even if it is not possible to transfer personal income tax to the budget for an employee, it must be drawn up. This is evidenced by a special feature of the document. If it is provided to the taxpayer, then the sign is 1, and if it is impossible to withhold the tax, then 2.

Child deduction code

Child deductions can be provided for each minor child or for children under 24 years of age studying full-time; children with disabilities are entitled to additional deductions. If the parent is the only one, he is given the opportunity to take advantage of the double deduction. In each case, the process of reducing the tax base will be reflected in different encodings.

The personal income tax deduction code for children, depending on the order in which they appear in the family, can have the following meanings:

for the first child - code 126 (for guardians, trustees, adoptive parents - 130);
for the second child - code 127 (for guardians, trustees, adoptive parents - code 131);
for the third or subsequent child - code 128 (for guardians, trustees, adoptive parents - 132).

Disabled child deduction code 129 is used in combination with a deduction depending on birth order. If a child with a disability is in the care of the taxpayer or is adopted by him, code 133 is entered.

Deductions in double size, taking into account the order of birth, are characterized by codes 134 (for the first child), 136 (for the second), 138 (for the third and subsequent ones).
For guardians, trustees and adoptive parents, codes 135 (for the first), 137 (for the second), 139 (for the third and subsequent ones) are used. You can find more complete information on the topic in ConsultantPlus. Free trial access to the system for 2 days.

Documents to confirm the right to deduction under code 129

The Tax Code of Russia stipulates that in order to obtain the right to use the tax deduction under code 129, you must submit an application and also submit the relevant documents. Their list may depend on the situation, but usually they include:

the child’s passport or birth certificate;
Marriage certificate;
document confirming the assignment of disability;
passport of the taxpayer applying for a deduction;
a certificate stating that a disabled child lives with his parents (trustees, guardians or other legal representatives applying for a deduction).

The fact that a disabled child under 24 years of age is studying full-time must be confirmed by a certificate from the educational institution.