Posts Tagged law and order

Accounting Issues

Posted by on Friday, 19 July, 2013

In the operation of plant and equipment are bound to arise maintenance costs, the most significant of which are the cost of restoring assets. Moreover, this significance was determined not only and not so much value of work done, but primarily for the consequences of accounting and tax organizations. Due to the nature of work done on maintenance and restoration of basic facilities, they may be: – Do not change the characteristics of the object: repair and overhaul – which change the characteristics of the object: outfitting, renovation, modernization and technical upgrading. The tax and accounting legislation does the classification work of restoration and maintenance of fixed assets. However, for the adoption of accounting and taxation is important to determine to what has been done to the property – repaired, reconstruction, completion, upgrading or modernization. In accordance with claim 26 PBU 6 / 01, recovery of property, plant and equipment may be carried out by means of repair, modernization and reconstruction, and the definition of certain works in the Regulations, as well as other documents governing the accounting, no. According to the explanations of the Russian Finance Ministry 14.01.04g 16-00-14/10, in preparation Guidance on the accounting of fixed assets, approved by Order of the Russian Ministry of Finance dated October 13, 2003 91n, in Section 5, "Maintenance and restoration of fixed assets" were excluded determine types of repairs, including capital, because these issues are not governed by the laws on accounting. The main problem with the reflection in the accounting and tax for the maintenance of plant and equipment is just classification of the works as repair, upgrading or reconstruction, as the cost of restoration of property, plant and equipment are stated in the accounting period to which they relate, and the costs of upgrading and renovation of a fixed asset after their completion to increase the initial cost of such an object, if as a result of modernization and reconstruction of the improved (increased) originally adopted by the regulatory performance indicators (useful life, capacity, quality of application, etc.)

Central Organ

Posted by on Monday, 31 October, 2011

In order to minimize tax risks in the design of primary source documents and reflected in the accounting and tax expenditures on services management company, subject to the arbitration practice, you must pay Consider the following: – the decision to transfer authority of the sole executive body of the management company's shareholders must be made public, that is, persons most interested in receiving maximum profit society, with the decision about signing a contract for the provision of management services should be justified (for example, due to declining sales, the search for new markets and upgrade range of products, etc.) (Resolution of the Federal Defense of 28.05.2007 KA-A40/4360-07) – function of the management company should not duplicate the duties of managerial staff and society should be directed to income generation (Resolution of the Federal Defense of 28.05.2007 KA-A40/4360-07, Resolution of the Federal WZO from 25.04.2006 on case number A19-18184/05-40-F02-1722/06-S1) – the fact of service should be documented (order approving the staffing, accounts for payment, money orders, acts of completion, signed agreements on financial and economic activities, human resources documents, documents on planning and economic work, as well as developed management company directives, instructions, standards, the taxpayer, etc.) (Resolutions of the Central Organ of the FAS 27.07.2007 A09-5942/05-12 FAS UP from 28.09.2007 F03-A04/07-2/3831); – in the contract (or in a supplementary agreement) must be approved method for determining the cost of management services. Despite the fact that the tribunals do not consider the absence of evidence of a lack of technique feasibility study related costs (Resolution FAS vivo from 27.09.2006 on case number F09-8635/06-S7), the presence of the parties agreed methodology will serve as an additional argument in favor of the taxpayer. .