Internal IT: development and maintenance of software in the group of companies
Quite often, we see an “internal IT company” in the business structure, which performs a different range of functions – from developing on the 1C platform or writing proprietary warehouse accounting programs to ensuring the performance of websites and the rest of the infrastructure. And, of course, we could not ignore the IT tax maneuver, which resulted in changes to the conditions for applying reduced rates for insurance premiums.
Why create an internal IT company
If the number of employees in the IT department exceeds 7 people, it is tempting to think about using insurance premium benefits for the NSO. Besides:
(A) often it is these employees who insist on a transparent system of remuneration;
(B) the level of wages is sometimes higher than the average in the company. This raises the “arithmetic mean” in terms of income per 1 employee and sometimes raises questions from the tax inspector about the reasons for the deviation of the income of the loader in the warehouse from the average income for the enterprise;
(C) if there is a need to obtain the right to provide technical support for a third-party developer program for the entire group of companies, it is necessary to select one entity, which will then provide services to internal and external customers.
Organizations can take advantage of insurance premiums, but individual entrepreneurs cannot. Therefore, if the same functionality is focused on individual entrepreneurs, there will be no benefits. (A prerequisite for the application of reduced rates for insurance premiums is state accreditation as an IT organization. Thus, individual entrepreneurs cannot receive such accreditation).
Not all insurance premium rates have become lower
Since 2021, insurance premium rates for IT companies have become even lower – instead of 14%, only 7.6%. However, the conditions have changed.
At first glance, the conditions themselves remain the same:
Obtaining a document on state accreditation as an IT organization;
The number of employees is at least 7 people. This takes into account all employees, including the director and accountant, and not just specialized specialists.
The share of income from IT activities should be at least 90% of the revenue.
However, changes in the wording of this third condition closed the possibility of applying benefits to some companies. Let’s look carefully.
What is included in the share of revenue, which must correspond to 90%:
What to pay attention to in this regard
Income from the sale of software under license agreements for the transfer of both exclusive and non-exclusive rights
Only revenues from the sale of proprietary software, including updates and additions, are taken into account. Excluding adware revenue*
Selling third-party software dilutes revenue share, making it harder to meet the 90% requirement. Perhaps you should think about changing the implementation model of third-party software
Income from the provision of services (performance of work) for the development, adaptation and modification of software
Condition has not changed
If the specifics of the activity lies precisely in the development, adaptation and modification of software to the needs of the Customer, then the company should least of all worry about changing the conditions for benefits. These actions may also apply to third-party software.
Income from services (works) for installation, testing and maintenance of any software
Only services (works) for installation, testing and maintenance of own software and software that was previously modified or adapted by this organization are taken into account
Services for installing, testing and maintaining “foreign” software are excluded from the exemption
(The share of income taken into account for the application of reduced tariffs does not include income from granting rights to software, if such rights consist in obtaining the opportunity to distribute advertising information on the Internet and (or) access such information, place offers to purchase ( sale) of goods (works, services), property rights in the information and telecommunications network “Internet”, search for information about potential buyers (sellers) and (or) conclude transactions)).
Thus, if IT services for internal needs are limited to maintaining computers and setting up networks, installing “foreign” software without any refinement, adaptation and modification, then the right to benefits on insurance premiums has been terminated since 2021.
In other cases, it is necessary to carefully analyze the contract and acts of services rendered so that the share of “preferential” types of IT activities can be clearly traced from them, for example:
software development, including for automation of internal document flow, business processes, accounting and tax accounting;
development of websites for the customer;
modification and / or adaptation of third-party software, for example, SRM systems;
maintenance of own, modified or adapted software, etc.
In addition, the internal IT company must minimize the revenue from the sale of “foreign” software. License agreements for such software must be entered into by end users, that is, operating companies that need it.