The specific agreed form is the “price” or “price” referred to in the contract and other supplementary documents.
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（2） Invoice issuance and delivery terms: The value-added tax special invoice needs to be certified by the tax authority within 180 days from the date of issuance.
If the taxpayer’s identity of Party B changes, Party B shall notify Party A in writing within 15 days from the date of the change.
Specific agreement form: 1.
If Party A has certified or deducted the invoice, and the original invoice cannot be invalidated: If the amount to be invoiced increases, Party B shall issue and provide Party A with an additional invoice for the increased amount within 10 days from the date of receiving the notice; If the amount to be invoiced is reduced, Party B shall issue a red ink invoice to Party A for the reduced amount within 10 days from the date of receipt of the notice; 3.
If there are changes to other recorded items in the invoice, resulting in the invoice being invalid or having any other defects, Party B shall reissue the invoice, reissue the invoice, or provide other legal written materials within the time specified by laws, regulations, and relevant policies to ensure that Party A achieves the legal deduction of the corresponding input tax amount.
The invoicing and delivery terms should be clearly agreed upon.
If the invoice is lost due to Party B’s reasons, Party B shall be responsible for providing relevant vouchers or issuing a new invoice to ensure that Party A can deduct the corresponding input tax.
The specific agreed form is that after Party B issues the invoice, if there are changes to the service category, service price, and other items recorded in the value-added tax special invoice, Party A shall notify Party B in writing of the following matters: 1.
If signing the contract price including tax, it is necessary to attach restrictions on the invoice type (value-added tax special invoice or value-added tax ordinary invoice) and tax rate, otherwise it will have a significant impact on the project cost; If the signed price does not include tax, the enterprise will determine the payment amount based on the invoice type.
When signing a contract, there are always some details that require special attention, otherwise you will either dig a hole for yourself or pick up loopholes for others! This article will share with everyone what you need to pay attention to when it comes to contracts! Five details to pay attention to when signing contracts under value-added tax.
（1） The invoice quality clause shall include the form and substantive requirements for the invoice issued by Party B, including the specific amount, the special seal for value-added tax invoices, the issuance time, and the specific provisions for summary invoicing, to ensure that the invoice is flawless.
Otherwise, Party B shall bear the losses incurred as a result.
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It is particularly important for enterprises to exercise caution in contract terms to prevent tax risks.
Party B shall first issue and deliver an invoice, and Party A shall only pay the corresponding amount after Party A completes invoice authentication; 2.
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（2） The specific form of agreement on the types, scope, and applicable tax rates of taxable activities: the types and amounts of taxable services under this contract (taking subcontracts including design as an example) 1.
2、 Clarify the relevant tax information clauses in the contract, which should include detailed provisions on the information of the taxpayer, the types and scope of taxable behaviors, and applicable tax rates, to ensure that the information of the contract subject is consistent with the information recorded in the invoice.
In the value-added tax environment, the standardization of enterprise management will directly affect the level of enterprise tax burden.
（3） The specific agreed form of the terms for handling lost invoices: 1.
3、 The obligation and specific requirements for issuing invoices shall be clearly stipulated in the contract.
Unless otherwise specified, it refers to the price including tax, including value-added tax and all other taxes.
An agreement should be made in the contract regarding the disposal of this situation to avoid the risk of being identified as a false invoice.
If the certification is delayed, it will result in the inability to achieve deduction.
（1） The terms of the taxpayer information clause shall specify the basic information, taxpayer identity, and tax calculation method of both parties in the contract, and stipulate that Party B shall promptly notify Party A of any change in taxpayer identity.
If the invoices are lost due to Party A’s reasons, Party B shall provide a copy of the invoice accounting copy and a “Certificate of Tax Declaration for Lost Value Added Tax Special Invoices” issued by the competent tax authority in Party B’s location.
Engineering services (including but not limited to installation, repair, decoration, etc.), amount: (based on the actual services provided by Party B), applicable tax rate: 10%.
（4） In practice, there is a discrepancy between the actual business transactions and the items recorded in the invoice after the invoice is issued.
Engineering design, amount: (based on the actual services provided by Party B), applicable tax rate: 6%; 2.
By doing a good job in risk prevention in the early stage, relevant disputes that may occur during the performance process shall be avoided, and risks shall be effectively prevented before they occur.
The tax calculation method for Party B to complete the taxable activities under this contract is (1) general tax calculation; (2) Simple taxation.
The contract price must specify the total contract price including tax, the contract price (excluding tax), and the tax amount.
If Party A fails to authenticate or deduct the invoice, Party B shall cancel the original invoice after receiving the notice and reissue and provide the invoice to Party A within 10 days from the date of receiving the notice; 2.
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At the same time, clarify the scope and applicable tax rates of different types of taxable behaviors, in order to avoid disputes during the performance process and achieve the legitimate and compliant input tax deduction of Party A.
To avoid Party B claiming that it has fulfilled its corresponding contractual obligations based on Party A’s receipt and certification of invoices, it shall be agreed that “Party A’s receipt of invoices and deduction shall not be deemed as Party A’s confirmation of Party B’s performance”.
Taxpayer identification number of Party A: Taxpayer identification number of Party B: 2.
1、 Clarify that the value-added tax in the contract price clause is an additional tax, and a clear agreement should be made in the contract on whether the contract price includes taxes to avoid disputes in the future.
Party B is (1) a general taxpayer; (2) Small scale taxpayers.
Specific agreement form: 1.
The invoicing obligation of Party B, as well as the requirements for invoice quality, issuance and delivery time, loss of invoices, changes in invoice recording items, and their disposal measures shall be clearly stipulated.
The following are the key points that should be clearly stated in the contract terms, as well as how construction companies can sign contracts to save taxes.
