New income and deduction codes for 2-NDFL certificates from December 26, 2016

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.

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.

Expense codes for 2-NDFL in 2022: decoding

Some income specified in Art. 217 of the Tax Code of the Russian Federation, are taxed only to the extent that exceeds a certain limit. This non-taxable limit in the 2-NDFL certificate is called a deduction. The codes of such deductions must be indicated in the Appendix to the certificate in accordance with Appendix No. 2 to the Order of the Federal Tax Service of Russia dated September 10, 2015 N ММВ-7-11/, for example:

• 501 - deduction within 4,000 rubles. per year from gifts to individuals;
• 503 - deduction within 4,000 rubles. for a year with financial assistance to an employee or former employee who retired due to disability or age;
• 508 - deduction within 50,000 rubles. with one-time financial assistance to an employee upon the birth (adoption) of a child.

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.

New Revenue Codes

In the 2-NDFL certificate, tax agents (organizations or individual entrepreneurs) reflect only those incomes for which they themselves are the source of payment. Moreover, the type of income paid to the employee is reflected in personal income tax certificate 2 in the form of a special code.

What income should be taken into account? The certificate on form 2-NDFL must include all income that is taxed. Thus, take into account all the amounts that were paid to the citizen, both under the employment and civil law contracts (clause 3 of Article 226, Article 210 of the Tax Code of the Russian Federation).

The income of individuals is reflected in section 3 of the 2-NDFL certificates. The heading of this section reflects the tax rate applied to the income. If during 2016 the same person received income taxed at different personal income tax rates, then section 3 will need to be completed separately for each tax rate.

When filling out the table in section 3 of the 2-NDFL certificate, you need to apply appendices 1 “Income Codes” and 2 “Deduction Codes” to the order of the Federal Tax Service of Russia dated September 10, 2015 No. ММВ-7-11/387. Each type of income and each type of tax deduction are assigned special codes. For example, income in the form of wages corresponds to code 2000. When paying remuneration under other civil contracts - code 2010, when paying benefits for temporary disability - code 2300. If there is no special code for income - code 4800. Income codes are reflected in section 3, for example like this:

The main income codes have not changed. However, as of December 26, 2016, the meaning of some income codes has been updated and some codes have been added. In particular, two new codes have appeared that many tax agents will need to indicate in certificates, namely:

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.

When to enter new codes

Organizations and individual entrepreneurs (who are tax agents) are annually required to submit to the Federal Tax Service information on employee income for the past calendar year in the form of a 2-NDFL certificate. You must submit 2-NDFL certificates for 2016:

• with sign 2 – no later than March 1, 2022;
• with sign 1 - no later than April 3, 2022 (since April 1, 2022 falls on a Saturday, certificates can be submitted on the coming Monday, clause 7 of article 6.1 of the Tax Code of the Russian Federation). See “Deadline for submitting 2-NDFL certificates in 2022.”

Also, 2-NDFL certificates may need to be given to employees “in their hands” if they apply for them. They may need the certificate, for example, to apply for a loan. The 2-NDFL certificate form stipulates that 2-NDFL certificates must show income and deduction codes that are associated with a specific individual. The list of new income codes and deductions for personal income tax was approved by Order of the Federal Tax Service dated November 22, 2016 No. ММВ-7-11/633. New deduction codes should be used when filling out 2-NDFL certificates from December 26, 2016. Now let's see what exactly has changed.

The form of a certificate of income of an individual (2-NDFL) and the procedure for filling it out were approved by order of the Federal Tax Service of Russia dated October 30, 2015 No. ММВ-7-11/485. This form applies in 2022. A new form of 2-NDFL certificate for 2022 has not been approved.

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.