The accounting policies of the enterprise is the basis of activity in the financial services entity.It is therefore essential to make the right choice about a particular method of allocating the interest income and expenses, to subsequently lead to misunderstandings with the fiscal authorities.In the article below, and we'll talk about how to reflect in the accounting results of operations of the enterprise.
Essence and classification of revenues in the company
Under current law, as income is received any profits earned by the business entity in the course of business and which can be calculated in monetary terms in various ways (for this there is the cash method or accrual).
This is a category of revenues entrepreneur who is excluded from the items of income and is not taxable.These should include additional taxes (as they are commonly called indirect), which represent the value added to goods which covers the buyer when purchasing.
Overall revenue part is determined by analysis of the primary accounting and tax documents, as well as others, confirming the accomplished transactions.In other words, revenues are classified as taxable and those that are not subject to the calculation of the fiscal charge.
profit as an object of taxation
It's no secret that the net profit is generated from the total proceeds, net of a number of compulsory contributions, after which the total income is calculated in different ways (such as for example the method of accrual and cash basis).
The amount received is taxable and meets the following conditions:
- financial flows should be the result of implementation activities;
- revenue is considered to be obtained even if it is not presented in the form of money and in kind.
However, there is such an income that is considered to be non-operating, and to take into account as a result of operating activities.To it is necessary to carry various types of shares, interest on deposits, foreign exchange, received fines, penalties and other.
not subject to tax the proceeds for the benefit of a business entity, as the leased property, loans, as well as contributions to the charter fund of the enterprise.
Essence and classification of expenditure
When it comes to cost, many new business entities that do not have experience in business, think about that any operating expenses deductible.However, this is misleading.Yes, the expense is a certain amount expressed in value terms and calculate any convenient way, regulated by law (for example, one of these - cash basis), which can reduce the income before tax.However, there are some operations that do not have the right to be accepted to the accounting of gross results.
Therefore, every expense should be adequate justification, to confirm the fact of his accomplishments documented, and relates directly to business entities.
For every kind of cost fiscal authorities requesting a specific list of documents which may be slightly different from below:
- if travel costs, it requires an advance report confirming identity, checks on housing and transportation;
- transport services - waybills, acts of transfer and acceptance of services rendered;
- rental property - payment documents confirming the payment, contracts, acts of reception and transmission;
- mobile communications - contracts, orders to use, detailed accounts, the list of authorized employees;
- operation Car service content - waybills;
- purchase of drinking water - a certificate from the relevant authorities of the local tap water is unfit for consumption, settlement documents.
So costs are already backed up by documents, then they must be numbered in any convenient way (for example, that there is a method of calculation and the cash method, which we will discuss later), but first let's try to classify the existing costs.It should be understood that such may be the case even if there is no profit in the enterprise.Therefore, according to the decision of the Ministry of Finance of the Russian Federation, and they should not be distributed with respect to the revenue side (because it does not always fall on it), and in accordance with its own classification.
Species are only two, and they are easy to remember:
- Those costs that are taxable (non-operating and are involved in the production process).
- Non-taxable costs, in other words - other.
as an object of consumption tax
In order to determine the amount of revenue can use the cash method for determining income, but if not available in the latest balance sheet, as such, all of the attention when summarizing the financial results need to pay for expenses.As mentioned above, they can either be taxed or not - all this under the current legislation.
The former include the production and realizable, material (or, as they are commonly called, raw materials), labor (salaries), depreciation and others.
costs, which are not subject to tax, is also called normalized.Their list is regulated by Art.270 of the Tax Code of the Russian Federation.Among them may be shortages, representation expenses and the payment of personal expenses of employees who have been made in the course of business trips.
Cash method: definition and characteristics of use
Finally, we got to the methods of calculation of revenues and expenses during the reporting period.First we need to understand that under such a procedure covered only those operations that are subject to statutory accounting.The cash method of recognition of income and expenses based on the arithmetic mean, which is calculated for the entire period in the aggregate and for his constant takes the value of net profit.Last, as stated in the clarification of fiscal services, should be less than 1 million rubles a month.
This means that a maximum of six months should account for revenues - 6 million. Rubles.It will be distributed this amount is at the discretion of a business entity.Therefore, it would be legitimate if the entrepreneur in the first three months do not receive profits, and the next it will be 2 million. For each reporting period.
Exceptions to the cash method
Cash method has a lot of shortcomings.To begin with, as you can see, it has a limit on the amount, which means that large business entities with the value of the average revenue of more than 1 million rubles. Simply can not use it legally.There is a list of institutions that lack such a method of accounting of operating results.
Thus, according to the Tax Code, the cash method of recognition of income and expenses excluded in its use for the following business representatives:
- financial institutions engaged in banking activities;
- those business entities that participate in the overall conduct of activities under an agreement on the fiduciary management of assets, or a simple partnership.
Revenue cash basis
If a business entity has chosen this way to reflect in the financial results of its own revenues, it must reflect this in the existing accounting policies to continue to follow it.The cash method of recognition of income and expenses in the incoming side has a number of features set forth by applicable law, so compliance is mandatory for all forms of economic activity, which are allowed to use this option accounting under the Tax Code:
- date of recognition of revenue is considered to be the day on which the funds werecredited to the account of a business entity in the bank;
- condition above also applies to any works and services for the benefit of businesses, which are considered non-property;
- if the company provides loans to anyone, in the day of their maturity and the income recognized in full.
In other words, the cash method can be based on actual transactions.Otherwise, admission to the benefit of a business entity not recognized.
expenses when cash method
As you know, with this accounting policy costs will be taken into consideration only if the present documented fact of their implementation.In the case of expensive part of the balance of the cash method of recognition of income and expenses as a confirmation of the fact takes immediate payment and nothing more.The latter also shows the termination of mutual obligations between the parties in accordance with specified in the Tax Code regulations.
This means that the cash accounting expenses excludes the assignment to spending part of those payments, which are considered in advance for goods and services, but not yet implemented.In this case, the flow of operations will be referred to the financial result on the day of shipment of the goods or services under a contract.
income when accrual
If cash basis income and expenses are recognized operation only when they have actually been realized, the method of calculation, on the contrary, obliges reflected in the financial results of the obligation on the day they occur, regardless of the actual implementation of the conditionstransaction.
As a general rule of reflection can be realized from the transaction will be shown in the account as a result of operations on the day of signing the act on the provision of works and provision of goods.
However, there is also a special rule relating to the comprehensive agreement, the result of which reflect a reporting period is not possible.In this case, income is recognized evenly on each fixed period of time, and it is governed by the policies adopted by the enterprise.
costs when accrual
If cash accounting requires the actual expenditures of the confirmation, when the method of calculation on the costs of the case is somewhat different.The principles of the latter include the following:
- costs recognized in the period in which they are documented, regardless of the effective date of the transaction;
- if specified in the contract terms fulfillment of the obligations they lay down in the financial result, otherwise the taxpayer can determine them at their own discretion;
- principles outlined in the paragraph above are also applicable to the forms of contracts, which specify the scope of only payment, but says nothing about the shipment of goods and provision of services;
- if the costs can not be classified and assigned to any cost center, their total amount is distributed uniformly throughout the revenues.