Core Viewpoint - The article provides detailed guidance on how general taxpayers should report value-added tax (VAT) related to construction services, including prepayment and unbilled income, as well as the treatment of input tax deductions and losses. Group 1: Reporting Prepaid VAT for Construction Services - General taxpayers providing construction services should report prepaid VAT in the "VAT and Additional Tax Declaration Form" under the section for tax offset situations, specifically in line 3 "Prepaid Tax for Construction Services" [2] - The second column of this line should reflect the prepaid VAT amount for the current period, while the fourth column should indicate the actual tax offset for the period, with any unutilized amount carried over to the fifth column as the ending balance [2] Group 2: Reporting Sales Amounts - The "Sales Amount" in the "VAT and Additional Tax Prepayment Form" should be reported as the total amount including tax [3] - For construction services, the sales amount should include all fees received, including tax, while real estate developers should report pre-received payments for properties sold, also including tax [4] - For rental income, the total amount received for leasing properties should be reported as well, including tax [5] Group 3: Reporting Unbilled Income - Taxpayers must report unbilled income according to the timing of VAT liability, even if no invoice has been issued [7] - General taxpayers should include unbilled income in the VAT declaration form under the relevant sections for unbilled amounts, while small-scale taxpayers should aggregate all sales income to determine eligibility for tax exemptions [7] Group 4: Reporting Input Tax Deductions - Taxpayers should report input tax deductions that need to be reversed in the "VAT and Additional Tax Declaration Form" under the section for input tax details [8] Group 5: Non-Normal Losses - Non-normal losses are defined as losses due to mismanagement leading to theft, loss, spoilage, or destruction of goods, as well as losses resulting from legal violations [16] - There are specific conditions under which input tax cannot be deducted from output tax, including losses related to non-normal situations [17][18]

Group 1 - The article discusses the treatment of non-deductible input tax for taxpayers under various circumstances, including personal consumption and abnormal losses related to fixed assets and real estate [4][5][6]. - It outlines the calculation method for non-deductible input tax when taxpayers cannot allocate input tax amounts due to mixed tax methods [11][12]. - The article provides a formula for calculating non-deductible input tax based on the net value rate of real estate when there are changes in usage or abnormal losses [15][16]. Group 2 - An example is given where Company A converts an office building into a collective employee dormitory, detailing the original value, net value, and the resulting non-deductible input tax [17][18]. - The article emphasizes that input tax amounts that cannot be deducted from sales tax cannot be used to calculate additional deductible amounts [20]. - It explains how to calculate the current period's deductible additional amounts based on the previous period's balance and current period's accrual [21].