Code 114 in the 2-personal income tax certificate. standard tax deduction

2024 Author: Howard Calhoun | [email protected]. Last modified: 2023-12-17 10:16

In accordance with the law, when calculating income tax, some individuals may receive a benefit in the form of a standard tax deduction. Due to the fact that the size of the salary depends on the amount of such a deduction, quite often many employees have questions about what certificates and documents must be submitted in order to obtain such a right. In turn, accounting employees are required to correctly enter code 114 in the 2-NDFL certificate to reflect the deduction provided in it.

What is the mechanism for granting the deduction

The employer acts as a tax agent for calculating income tax. In this regard, the tax authorities are closely monitoring the correctness of the calculation of such deductions. Help 2-NDFL is the main tax register, which reflects all charges and benefits.

Child tax deductionsapplicable to all parents raising children under the age of eighteen. The benefit reduces the taxable base by 1.4 thousand rubles. for the first and second child, and 3 thousand rubles for the third. If the child is educated in a public institution, such a deduction can be granted up to the age of 24.

Tax return, deduction code 114

The form by which the organization reports to the tax authorities is a certificate with detailed information about the employee and the amounts accrued. Due to the fact that different types of deductions are used when calculating value added tax, legislators have come up with a special system of codes. Thus, code 114 in the 2-NDFL certificate displays a child deduction provided in the amount of 1.4 thousand rubles. Codes 115 and 116 are used to record the benefits received for the second and third child, respectively. A complete list of the codes used in the declaration can be found in a special reference book.

What documents confirm the child deduction

The Tax Code clearly regulates the workflow, which confirms code 114 in the 2-NDFL certificate. To confirm the right to the benefit, parents with children under the age of eighteen must write an application with a request for the appointment of a child deduction, and attach copies of all birth certificates to it. After reaching the age of eighteen, you need to submit an additional certificate from the educationalan institution that will serve as confirmation that the child is studying and is dependent on the parents. Only if all these documents are available, the tax agent has the right to reflect code 114 in the 2-NDFL certificate. Annual renewal of documents is not required.

Which may require an income tax certificate

Such a tax document as 2-personal income tax has a fairly wide application. The main task of the registry is to confirm the income received and the tax accrued. In addition, it reflects all employee benefits and the amount of payment transferred by the withholding agent.

Help 2-NDFL is available upon request to various credit institutions, as well as to receive social subsidies and benefits. In this regard, citizens who have received such a certificate in their hands quite often ask the question: “What does code 114 mean?”

Income tax certificate is provided by the company's accountant at the first request of the employee, as well as annually after the submission of annual reports. 2-NDFL must be completed in accordance with the tax accounting of the enterprise. It does not allow corrections and postscripts. Such a document is endorsed by the director of the company, at the end a seal is put. Only in this way a certificate has full legal force and can even be presented in court.