Not repaid within the established time limits. On tax accounting of doubtful and bad debts. How is the created reserve used?
As a result of a ruling made against the debtor (by the debt collector or the court office), a writ of execution is sent to the FSPP. The bailiff initiates proceedings (IP) within 3 days, and a deadline is set for voluntary repayment of the debt.
Maximum allowed period
According to Art. 30 clause 12 of Federal Law No. 229, the period for voluntary execution is 5 days from the date of receipt of notification of the opening of an individual entrepreneur. The period is established by law if the case is initiated for the first time (30 clause 11 of Federal Law 229).
Many, having received a notice, do not go to the post office to receive the decision, mistakenly believing that since there is no signature on receipt, they will not be able to hold them accountable. However, it states that the person delivering the notice must independently mark the delivery, even if the addressee is absent or refuses to accept the summons.
It is from the date that the postman puts down that the period for voluntary compliance with the requirements will be calculated. The counting will begin the next day. For example, a letter is received on the third day, the countdown will begin from the next day, i.e. from the fourth day.
The notification will contain a photocopy of the IP, indicating:
- deadline for voluntary execution;
- consequences awaiting the debtor in case of violation;
- bailiff's data;
- obligations of the defendant to provide information regarding accounts, property, income, liability that arises when they are concealed,
- measures and actions that are applied to the defaulter in case of failure to comply with collection requirements.
Consequences of violation
If the period for voluntary execution has expired, then:
- The amount of the enforcement fee will be added to the total debt. which will be at least 1 thousand rubles or 7% of the debt amount.
- If the implementation of compulsory collection measures entails financial costs, the debtor will be obligated to compensate them (FZ-229).
- Seizure of property and accounts is possible.
- Travel from the country is limited.
- Forced deduction of funds from income (salaries, receipt of rent).
When there is no deadline
Reasons for the impossibility of providing a deadline for paying the debt on a voluntary basis:
The IP is subject to immediate execution on the basis of a decision of the legislative body in accordance with.
This includes:
- alimony, its collection;
- wages not paid for three months.
The requirement must be fulfilled the next day after the court ruling is issued.
At the request of the claimant, the court may make a decision on the immediate execution of the requirements (). This action is being appealed, however, it does not affect the execution time (212 clause 3 of the Code of Civil Procedure).
If the applicant proves that the time provided will affect the possibility of collection, the court has the right to make a decision on immediate execution ().
Changing the term by the court
The deadline for making the decision is set by the court. Proceedings may be postponed for an indefinite or specific period at the request of the debtor himself, the collector or the bailiff if:
- The recovery is related to the emergence of difficulties under Art. 434 Code of Civil Procedure of the Russian Federation, 358 CAS, 324 APC. The procedure is postponed until elimination, for example, in case of illness, poor financial situation, or long-term business trip of the debtor. The application form can be downloaded.
- If the claimant or defendant has died, until a successor is identified.
If the debtor received a deferment or installment plan, then during this period no enforcement measures are applied to him, and no enforcement fee is taxed.
In order for the court to make a positive decision on installment plans, the following documents must be completed correctly:
- application - sample;
- provide documents confirming income (2NDFL certificate, about receipt of benefits, pension, salary),
- documents indicating the amount of expenses (utility payments, tuition fees, presence of a dependent),
- confirmation of the reason for receiving the installment plan (certificate from a medical institution, social security authorities).
Photocopies will be required for all interested parties.
Any court decision is subject to appeal to a higher authority by one of the parties to the proceeding within 15 days.
The debtor has the right to file a claim again, taking into account all the mistakes made during the previous application.
It should be noted that the approved installment plan is canceled if a person violates the payment schedule at least twice.
The bailiff can change the validity period of the individual entrepreneur, but in this case the time for voluntary payment will already have expired.
It should be noted that the calculation of the period does not include working days and the counting begins after the day of the calendar date. For example, if the deadline falls on the 5th day of the calendar month, then on the next day, the sixth day, the bailiff will issue a decision to submit the assigned fee for collection. In the event that the 5th day turns out to be a day off, it should not be taken into account and the end date of voluntary payment should be considered the 7th day ().
The FSPP employee independently sets the period within the limits specified by law (5 days). But it can be reduced to one or three days if the bailiff considers it necessary to do this in the interests of the case.
The bailiff's decision can be appealed to a higher-ranking person or in court (). In the latter case, this is the basis for suspending the individual entrepreneur until the case is considered and a decision is made, which is also appealed to the arbitration court, thus postponing the collection for several months.
Go to court
If the defendant wants to fulfill the requirement, but he does not have the opportunity to do so, he petitions the court and asks to change the deadlines.
This is possible in case of disagreement:
- with an inventory of property, the person asks to exclude any part from the list ();
- with the value of the property indicated by the appraiser;
- with the amount of the enforcement fee;
- with a court ruling;
- if a citizen is forced to be absent for a long time in connection with the performance of official duties;
- when challenging the actions of an official, considering them unlawful;
- The defendant requests clarification of the provisions of the IP, the procedure, and the method of implementation.
The application is submitted indicating one of the above reasons.
Contact the bailiff
According to Article 64.1, the person in respect of whom an individual entrepreneur has been opened applies with a petition to terminate or suspend the case to the bailiff in charge of the proceedings. It must be reviewed within 10 days ().
The basis for the application is:
- declaring a person dead or missing or wanted;
- recognition as incompetent;
- if the debtor goes through bankruptcy proceedings;
- the court accepted for consideration the application to consider controversial and unclear issues of the case;
- a petition for the court to make changes to the method, timing and procedure for paying a monetary penalty for untimely fulfillment of requirements.
- the defendant is forced to undergo treatment for health reasons ();
- undergoes military service in a military unit;
- takes or has taken part in hostilities.
Important! As long as the voluntary payment period has not expired, it will be easier for the defendant to find a common language with the bailiff regarding installment payments.
The implementation of coercive measures and actions is used by the bailiff as a last resort.
However, in practice it happens that the time provided for voluntary payment is used for personal gain. The seized property is sold, and the defendant absconds from foreclosure.
Such acts fall under the Criminal Code and do not lead to anything good.
It would be more correct to sell the property before it is seized, and use the proceeds to pay off the debt, thereby maximally avoiding financial losses that may arise when paying a fee or possible confiscation. After all, at auction the price is reduced to half the market value, and the amount of the fee may be significant.
Executive fee
When the main individual entrepreneur is closed, but the enforcement fee has not been paid, the bailiff opens a new case. There is no deadline for voluntary payment. It is advisable for the debtor not to delay this and fulfill the requirement quickly.
The fact is that, according to Art. 17.14 clause 1 of the Code of Administrative Offenses, he can be brought to administrative liability with a fine of 1-2.5 thousand rubles. In the worst case, such acts may fall under Art. 315 of the Criminal Code with more significant penalties (up to 200 thousand rubles) based on article.
The resolution to initiate an individual entrepreneur in relation to payment of the fee is sent by mail. Therefore, to avoid unnecessary expenses, you should monitor correspondence or pay fines on time.
If, in the opinion of the defendant, it is too high, you should apply to the court for a reduction.
Based on this, the fee amount may be reduced by 25%, and the payment period may be delayed or extended over time.
The court cancels the bailiff's decision on a monetary penalty imposed for late fulfillment of requirements, based on clause 112, clause 6 of Federal Law No. 229
If the defendant provides the official with a document that confirms the impossibility of voluntary payment within the specified period, then the fee will not be applicable (112 clause 2 of Federal Law 229).
If you have questions about the topic of the article, ask them in the comments or to the site’s lawyer on duty. Also call the numbers provided. We will definitely answer and help.
From the article you will learn:
1. Why group receivables by probability of repayment.
2. Under what conditions are accounts receivable classified as doubtful?
3. Which accounts receivable are considered uncollectible. How to determine the statute of limitations for debt.
The well-known principle “in the morning - money, in the evening - chairs” in real life works exactly the opposite: as a rule, final payment occurs after the delivery of goods (provision of services, completion of work). Therefore, accounts receivable are an integral part of settlements with counterparties, and in many organizations its value constitutes a significant part of all current assets. The presence of receivables, in itself, is quite common, but do not forget that the amount of such debt shows the amount of funds actually diverted from circulation. In addition, there is always the risk of untimely repayment of debts by debtors or non-repayment at all. Thus, accounts receivable, as part of the organization's property, requires special attention from the point of view of the principle of prudence: its indicator reflected in accounting and reporting must correspond to reality. To do this, receivables are divided into types depending on the likelihood of their repayment. What types are these, and what are the criteria for classification into each of them - we will consider in this article.
The “reality” of receivables is checked for each debt separately, depending on the time of occurrence and the likelihood of repayment. According to these characteristics, debt can be normal, doubtful or hopeless. Receivables that are not yet due for repayment are considered normal. Such debt is a consequence of the settlement procedure established in the contract, in which final payment must be made within a certain period of time after the delivery of goods (provision of services, performance of work).
Doubtful and bad debts of debtors (these concepts are enshrined in the legislation of the Russian Federation) deserve special attention from the accountant for the following reasons:
- doubtful and bad debts overstate the accounts receivable indicator and the balance sheet currency as a whole, which leads to unreliable accounting statements;
- doubtful accounts receivable serve as the basis for the formation. In accounting, the creation of a reserve for doubtful debts is the responsibility of the organization, and in tax accounting it is the right of the taxpayer;
- for both accounting and tax accounting purposes.
Doubtful accounts receivable
What kind of debt is considered doubtful and hopeless under Russian law? In accordance with the Tax Code of the Russian Federation, accounts receivable are dubious, if in relation to her simultaneously the following conditions are met (clause 1 of article 266 of the Tax Code of the Russian Federation):
- The debt arose in connection with the sale of goods, provision of services, and performance of work.
! Please note: in accordance with the clarifications of the Ministry of Finance of the Russian Federation, receivables not related to the sale of goods, works, services are not considered doubtful, namely:
- on advances transferred to suppliers (Letters of the Ministry of Finance of the Russian Federation dated December 8, 2011 No. 03-03-06/1/816, dated June 30, 2011 No. 07-02-06/115, dated June 17, 2009 No. 03-03-06/1/ 398);
- on penalties for violation of the terms of the contract (Letters of the Ministry of Finance of the Russian Federation dated June 15, 2012 No. 03-03-06/1/308, dated September 29, 2011 No. 03-03-06/2/150);
- on the amounts of interest collected by the arbitration court for the use of other people's funds (Letter of the Ministry of Finance of the Russian Federation dated July 24, 2013 No. 03-03-06/1/29315);
- under loan agreements (Letter of the Ministry of Finance of the Russian Federation dated 02/04/2011 No. 03-03-06/1/70).
2. The debt repayment period established by the contract has expired. If the term is not established in the agreement or the agreement was not concluded in writing, then it can be determined on the basis of the law, other legal acts, business customs, other conditions or the essence of the obligation (clause 2 of Article 314, clause 1 of Article 486 Civil Code of the Russian Federation).
3. The debt is not secured by collateral, surety, or bank guarantee.
For purposes accounting The conditions for recognizing receivables as doubtful are established by the Regulations on accounting and financial reporting in the Russian Federation No. 34n (paragraph 2, paragraph 70):
- Debt of debtors, regardless of the nature of its occurrence, is not repaid on time or which with a high degree of probability will not be repaid on time.
- The debt is not secured by guarantees.
! Please note: In accounting and tax accounting, the criteria for recognizing doubtful receivables are different.
Uncollectible accounts receivable
Thus, in relation to doubtful accounts receivable, there is a possibility of their repayment. But hopeless (uncollectible) receivables practically eliminate this possibility. Accounts receivable are recognized hopeless if she answers at least one of the following characteristics (clause 2 of Article 266 of the Tax Code of the Russian Federation):
1. The statute of limitations for the debt has expired.
2. The debtor's obligation is terminated due to the impossibility of fulfilling it, on the basis of an act of a government body or liquidation of an organization.
3. The impossibility of collecting receivables is confirmed by the decision of the bailiff on the completion of enforcement proceedings in the event of the return of the writ of execution to the collector on the following grounds:
- it is impossible to establish the location of the debtor, his property or to obtain information about the availability of funds and other valuables belonging to him,
- the debtor does not have any property that can be foreclosed on, and all measures taken by the bailiff that are permissible by law to find his property were unsuccessful.
! Please note: If several of the listed conditions are met in relation to a receivable, it is recognized as uncollectible in the tax (reporting) period when the first condition arose (Letter of the Ministry of Finance of Russia dated June 22, 2011 No. 03-03-06/1/373).
The most common reasons for classifying receivables as uncollectible are the liquidation of the debtor organization and the expiration of the statute of limitations. In the event of liquidation of the debtor, the debt is recognized as unrecoverable from the moment the organization is excluded from the Unified State Register of Legal Entities, which is confirmed by an extract from the Register. The procedure for recognizing receivables as bad due to the expiration of the statute of limitations is not so clear, so I propose to dwell on it in more detail.
Statute of limitations
In general, the statute of limitations is three years (Article 196 of the Civil Code of the Russian Federation). The limitation period begins on the date of expiration of the term established in the contract for the fulfillment of obligations by the debtor (payment period). If the contract establishes a procedure for payment in installments, then the limitation period is calculated for each installment separately. If the deadline for fulfillment of obligations is not established, the limitation period begins to be calculated from the moment the debtor submits a demand for fulfillment of obligations.
Example.
The organization Supplier LLC shipped the goods to the buyer on July 28, 2014. According to the agreement with the buyer, the final payment deadline was set on August 15, 2014. However, the buyer did not pay for the goods on time. In this case, the limitation period will begin to run from August 16, 2014, and will end on August 15, 2017.
To classify a debt as bad, it must be taken into account that the limitation period may be interrupted in cases where the debtor admits its obligations. After the break, the limitation period begins again. The following actions indicate the debtor’s recognition of his obligations:
- recognition of the claim (applying for a deferred payment, signing a debt reconciliation act, application for offset of mutual claims);
- partial payment by the debtor of the principal debt or interest on the principal debt;
- a change in the contract, from which it follows that the debtor acknowledges the existence of a debt (for example, deferment, installment payment).
! Please note: You can go to court even after the statute of limitations has expired. However, the debtor's statement about the application of the limitation period will serve as a basis for refusing the claim.
Availability of a counterclaim
It often happens that the same counterparty is both a creditor and a debtor at the same time. In this case, the question arises: can such accounts receivable be considered bad, despite the presence of counter accounts payable? The Ministry of Finance of the Russian Federation believes that it is impossible, since the organization can carry out and thus pay off the obligations of the debtor (Letter of the Ministry of Finance dated October 4, 2011 N 03-03-06/1/620). However, the position of the judicial authorities is the opposite: a receivable can be recognized as uncollectible regardless of the existence of a counterclaim against the debtor. Indeed, in accordance with the Civil Code of the Russian Federation, offset is a right, not an obligation, which can be used by sending a corresponding application to the counterparty, even unilaterally. And yet, in order to avoid claims from regulatory authorities, it is safer to recognize as uncollectible only that part of the receivables that is not covered by counter accounts payable.
So, we have considered the criteria for recognizing doubtful and bad receivables. In order to assess the probability of repaying each debt separately and attributing it to one type or another, they carry out. And based on the results of the inventory, a decision is made on the creation, as well as on. Thus, correct determination of the amounts of doubtful and bad receivables will allow you to avoid serious violations of accounting and tax accounting.
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Legislative and regulatory acts:
1. Tax Code of the Russian Federation
2. Civil Code of the Russian Federation
Codes of the Russian Federation can be found at http://pravo.gov.ru/
3. Letters from the Ministry of Finance of the Russian Federation:
- dated 08.12.2011 No. 03-03-06/1/816,
- dated June 30, 2011 No. 07-02-06/115,
- dated June 17, 2009 No. 03-03-06/1/398
- dated June 15, 2012 No. 03-03-06/1/308,
- dated September 29, 2011 No. 03-03-06/2/150,
- dated July 24, 2013 No. 03-03-06/1/29315,
- dated 02/04/2011 No. 03-03-06/1/70,
- dated June 22, 2011 No. 03-03-06/1/373,
- dated 10/04/2011 No. 03-03-06/1/620
The documents of the financial department can be found on the official http://mfportal.garant.ru/
What is the procedure for creating a reserve for doubtful debts in accounting? Should we take into account all amounts of receivables that are not repaid within the terms established by the contract and are not secured by appropriate guarantees? Does an organization have the right to independently determine the amount of doubtful debt to be taken into account when forming a reserve for doubtful debts?
Having considered the issue, we came to the following conclusion:
When forming a reserve for doubtful debts in accounting, all amounts of receivables that are not repaid within the terms established by the agreement and are not secured by appropriate guarantees are taken into account. At the same time, depending on the financial condition (solvency) of the debtor and the assessment of the probability of debt repayment, the organization has the right to independently determine the amount of doubtful debt to be taken into account when forming a reserve for doubtful debts.
Rationale for the conclusion:
The procedure for forming a reserve for doubtful debts for profit tax purposes is determined by the provisions of Art. 266 Tax Code of the Russian Federation. In particular, in accordance with paragraph 4 of this article, the amount of the created reserve for doubtful debts cannot exceed 10% of the revenue of the reporting (tax) period, determined in accordance with Art. 249 of the Tax Code of the Russian Federation.
It is necessary to take into account that the legislation on taxes and fees regulates power relations regarding the establishment, introduction and collection of taxes and fees in the Russian Federation, as well as relations arising in the process of exercising tax control, appealing acts of tax authorities, actions (inaction) of their officials and bringing to justice for committing a tax offense (Article 2 of the Tax Code of the Russian Federation).
Consequently, the norms of the Tax Code of the Russian Federation do not regulate the issues of accounting by organizations, including the procedure for forming a reserve for doubtful debts.
Issues of forming a reserve for doubtful debts in accounting are covered in clause 70 of the Regulations on accounting and financial reporting in the Russian Federation, approved by Order of the Ministry of Finance of Russia dated July 29, 1998 N 34n (hereinafter referred to as the Regulations).
Thus, the organization creates reserves for doubtful debts in the event that accounts receivable are recognized as doubtful, with the amounts of reserves being attributed to the financial results of the organization.
An organization's receivables are considered doubtful if they are not repaid or with a high degree of probability will not be repaid within the time limits established by the agreement and are not secured by appropriate guarantees.
The amount of the reserve is determined separately for each doubtful debt, depending on the financial condition (solvency) of the debtor and the assessment of the likelihood of repaying the debt in whole or in part.
Based on the foregoing, we can conclude that receivables that have expired under the contract and are not secured by guarantees are considered doubtful within the meaning of clause 70 of the Regulations, which leads to the need to create a reserve for doubtful debts in accounting for this debt.
At the same time, clause 70 of the Regulations does not contain a requirement to include the full amount of doubtful debt in the reserve for doubtful debts, nor does it limit the size of the reserve created. Therefore, we believe that, depending on the financial condition (solvency) of the debtor and the assessment of the likelihood of debt repayment, the organization has the right to independently determine the amount of doubtful debt to be taken into account when forming a reserve for doubtful debts.
A specific methodology for forming a reserve for doubtful debts should be established in the accounting policy for accounting purposes (clause 7 of PBU 1/2008 “Accounting Policy of the Organization”).
Prepared answer:
Expert of the Legal Consulting Service GARANT
Gusikhin Dmitry
Response quality control:
Reviewer of the Legal Consulting Service GARANT
Ignatiev Dmitry
According to paragraph 29 of the Regulations, the organization must prepare financial statements for the month, quarter and year on an accrual basis. To correctly generate financial statements in accordance with the new requirements, testing of accounts receivable to identify doubtful ones and form a reserve should be carried out monthly. The requirement for the need to conduct an inventory of accounts receivable to create a reserve in accounting is excluded in this edition of the Regulations, which simplifies the requirements for registering the creation of a reserve. However, the question arises: how to methodologically build a system for creating and adjusting a reserve to ensure compliance with new requirements, reliability of assessment, and at the same time minimize paperwork? The proposed methodology for creating and adjusting the reserve for doubtful debts is based on data from the accounting information system and expert assessments.
So, first, let's define the terminology.
Doubtful debt - receivables of an organization that have not been repaid or with a high degree of probability will not be repaid within the time limits established by the agreement, and are not secured by appropriate guarantees (pledge, retention of the debtor’s property, surety, bank guarantee, deposit).
Overdue debt - accounts receivable that are not repaid within the time limits established by agreements and (or) judicial acts or other documents establishing or changing the repayment period of the debt.
Bad debt - receivables for which the established limitation period has expired, as well as those debts for which, in accordance with civil law, the obligation has been terminated due to the impossibility of its fulfillment on the basis of an act of a state body or the liquidation of an organization.
Restructured debt - debt for which the debtor was granted an installment plan or deferment of debt repayment, including as part of a debt restructuring agreement, a settlement agreement approved by the court and entered into legal force.
Coefficients for assessing the reliability of the counterparty
To create a reserve, it is proposed to introduce a system for assessing the reliability of the counterparty. The assignment of a counterparty to one or another group occurs on the basis of objective values that are available in the accounting information system, and therefore can be automated using the algorithm given below.
All counterparties are grouped into four groups according to reliability level:
Reliable counterparties (risk group 1);
- ordinary counterparties (risk group 2);
- unreliable counterparties (risk group 3);
- critical counterparties – risk counterparties (risk group 4).
The reliability of the counterparty is assessed based on the period of overdue payment, the share in total sales (for the period) and overdue unsecured debt at the end of the period.
The assignment of a counterparty to a particular group is carried out on the basis of an integral assessment, which is calculated as the product of point scores for all indicators. Critical counterparties (risk group 4) include enterprises with an integral score from 1 to 8, unreliable counterparties (risk group 3) - enterprises with 9–27 points, ordinary counterparties (risk group 2) - from 27–36, and reliable ( risk group 1) - from 36–125.
Scale for assessing counterparty reliability indicators
|
Indicators |
Grade |
||||
|
Overdue period (days) |
More than 90 |
45–90 |
30–44 |
15–29 |
1–14 |
|
Share in sales volume (%) |
Less than 0.1 |
0,1–1 |
1–5 |
5–10 |
More than 10 |
|
Share of doubtful debts from sales volume (%) |
More than 10 |
5–10 |
0,3–5 |
0,1–0,3 |
Less than 0.1 |
For example, the delay in payment for company “X” is 5 days, the sales volume in total sales is 2 percent, the share of overdue debt from the volume sold in the period is 6 percent, all debt is unsecured (there is no collateral, surety, bank guarantee, deposit and etc.).
The integral assessment will be 5, 3, 4, 60 (reliable counterparties).
Expert evaluation coefficient
Next, based on the knowledge and experience of specific employees in contact with the counterparty, the probability of payment coefficient, called expert assessment coefficient. When assigning an expert assessment reserve coefficient, counterparties of risk groups 2, 3 and 4 are considered (reliable counterparties are not assessed by experts). The main criterion for assigning expert ratings is the presence of risks of non-payment of the debt, incomplete payment or payment with a significant deviation from the established deadlines.
Experts can be specialists from the following departments:
For debt arising under sales contracts - the commercial department;
For debts that are in the process of judicial proceedings or confirmed by judicial acts, as well as in relation to debtors undergoing bankruptcy proceedings - legal service;
For debt under settlements under agreements for the assignment of claims for goods (works, services) sold - the financial service.
The expert assessment coefficient (Kexp.) can take values in the range depending on the degree of probability of debt repayment:
Low probability of debt repayment - from 0.7 to 1.0;
- average probability of debt repayment - from 0.1 to 0.6;
- high probability of debt repayment - 0.
The procedure for calculating the provision for doubtful debts
The amount of reserves for doubtful debts is calculated as follows and in the following order:
1. The economic unit responsible for generating data on the amount of the created reserve for doubtful debts prepares a report assessing the reliability of the counterparty (based on the period of overdue payment, the share in total sales and overdue unsecured debt at the end of the period). A list of counterparties of risk groups 2, 3 and 4 is being compiled.
2. A report on the debt of counterparties belonging to risk groups 2, 3 and 4 is sent to the responsible structural units of the organization to assign an expert assessment coefficient (Kexp.) in the context of each debt. The report can be sent by email or using the capabilities of an electronic document management system.
3. The calculation of the amount of the reserve for doubtful debts is carried out by a specialist of the economic department for each debt and each debtor separately by multiplying the amount of doubtful debts by the corresponding expert assessment coefficient (Kexp.). The calculation can also be carried out automatically and is drawn up in a document, the form of which must be developed and approved in the accounting policy of the enterprise.
4. The calculation of the amount of reserves for doubtful debts is signed by the heads of expert departments, agreed upon by the chief accountant and approved by the director of the enterprise.
5. Based on the approved document, current regulations and provisions of the organization’s accounting policies, accounting employees reflect the creation (or adjustment) of a reserve for doubtful debts.
The procedure for reflecting in accounting the creation of a reserve for doubtful debts
The amounts of created reserves for doubtful debts are included in the financial results and are reflected in the debit of account 91 “Other income and expenses” and the credit of account 63 “Provisions for doubtful debts”. The write-off of a bad debt, previously recognized as doubtful in accounting, for which a reserve was formed, is reflected by an accounting entry in the debit of account 63 “Provisions for doubtful debts” in correspondence with account 62 “Settlements with buyers and customers” or account 76 “Settlements with various debtors and creditors." Bad debt in an amount exceeding the reserve created for this debt is written off as a debit to account 91 “Other income and expenses.”
Debt written off after the expiration of the limitation period is reflected in off-balance sheet account 007 “Debt of insolvent debtors written off at a loss” for five years from the date of write-off to monitor the possibility of its recovery in the event of a change in the debtor’s property status.
In the event of receipt of payment for receivables for which reserves were previously formed (or a change in the reliability data of the counterparty in a positive direction), the amounts of reserves are subject to restoration. In accounting, the amounts of restored reserves are reflected in the debit of account 63 “Provisions for doubtful debts” in correspondence with account 91 “Other income and expenses”.
In case of partial payment of receivables for which reserves for doubtful debts were previously formed, the amount of reserves is charged to the financial result in proportion to the amount of the received partial payment. The amount of reserves for recovery corresponds to the amount of received partial payment, multiplied by a coefficient defined as the ratio of the amount of the previously formed reserve for doubtful debts to the amount of receivables for which the reserve was formed. Then, at the end of the reporting period (month), these receivables should be tested for changes in the probability of their repayment. If this debt is recognized as highly reliable, the reserve for this debt must be restored.
Thus, the reserve for doubtful debts is adjusted monthly up or down, reflecting the objective state of assets in terms of settlements. It must be remembered that the procedure for creating a reserve for doubtful debts in tax accounting has not changed, so tax differences are inevitable in accounting.
Registered with the Ministry of Justice of Russia on February 22, 2011.L.A. Elina, economist-accountant
All about reserves, tax and accounting
For quite a long time, most accountants believed that the creation of reserves was voluntary. Moreover, both in tax accounting and accounting. Therefore, those who did not want to add more work to themselves did not create them at all. However, last year, by amending the Regulations on accounting and accounting And Regulations on accounting and financial reporting in the Russian Federation, approved. Order of the Ministry of Finance of Russia dated July 29, 1998 No. 34n (hereinafter referred to as the Regulations on Accounting and Accounting); Order of the Ministry of Finance of Russia dated December 24, 2010 No. 186n and having accepted the PBU 8/2010PBU 8/2010 “Estimated liabilities, contingent liabilities and contingent assets”, approved. By Order of the Ministry of Finance of Russia dated December 13, 2010 No. 167n, The Ministry of Finance made it clear that in accounting the creation of reserves is not a matter of taste. And only for small enterprises the question of creating some of the reserves can be based on desire. And all other organizations either must create an accounting reserve, or they should not and cannot.
The texts of the PBUs specified in the article can be found: section “Legislation” of the ConsultantPlus system (information bank “Version Prof”)Everything is the same in tax accounting. For those who consider income and expenses on an accrual basis, there are a number of reserves that may or may not be created. Thus, all reserves can be divided into three groups.
1. Reserves provided for both in tax and accounting.
2. Exclusively accounting reserves.
3. Exclusively tax reserves.
Reserves provided for both in tax and accounting
Creating a reserve in accounting does not mean that you also need to create this reserve in tax accounting. In addition, the principles of tax and accounting of reserves do not depend on each other A. And different principles for the formation of reserves may lead to the need to reflect differences according to PBU 18/02.
| Procedure for creating a reserve | ||
| in tax accounting (accrual basis) | in accounting e clause 3 PBU 21/08 “Changes in estimated values”, approved. By Order of the Ministry of Finance of Russia dated October 6, 2008 No. 106n; clause 77 of the Regulations on accounting and accounting; clause 11 PBU 10/99 “Expenses of the organization”, approved. By Order of the Ministry of Finance of Russia dated 05/06/99 No. 33n | |
| Provision for doubtful debts | ||
| 1. Organizations can create it at their own request, or they can refuse it. It is better (safer) for the organization to consolidate its decision in its accounting policies. Such a requirement in Art. 266 NK not T Resolution of the Federal Antimonopoly Service of the Eastern Military District dated March 19, 2008 No. A79-3573/2007; FAS NWO dated July 3, 2008 No. A56-12980/2007. But local tax authorities believe that this needs to be done. b Art. 313 Tax Code of the Russian Federation; Letter of the Federal Tax Service of Russia for Moscow dated 04/09/2007 No. 20-12/031921. Therefore, by establishing the creation of such a reserve in your accounting policy, you will avoid disputes with inspectors | 1. All organizations obliged create this reserve if they have doubtful accounts receivable b clause 70 of the Regulations on accounting and accounting; Letter of the Ministry of Finance of Russia dated May 16, 2011 No. 03-03-06/1/295. Including small ones- there are no special instructions that exempt them from creating a reserve for doubtful debts. | |
| 2. Contributions to the reserve are taken into account as part of non-operating expenses V subp. 7 clause 1 art. 265, Art. 266 Tax Code of the Russian Federation. To record the reserve for doubtful debts, you can create a separate tax register. |
2. The reserve itself is accounted for in account 63 “Provisions for doubtful debts”. Contributions to it are included in other expenses V clause 11 PBU 10/99(debit 91-2 “Other expenses” – credit 63). |
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| 3. To determine the amount of deductions to the reserve for doubtful debts, it is necessary to conduct an inventory of receivables on the last day of the reporting/tax period (that is, at the end of each quarter or month) and draw up a report in form No. INV-17 clause 4 art. 266 Tax Code of the Russian Federation. | 3. Inventory is no longer a prerequisite for creating a reserve. The main thing is to correctly determine whether the debt is doubtful or not. To do this, it is not necessary to draw up unified inventory forms. But an annual inventory of accounts receivable still needs to be carried out. | |
4. Doubtful debt is the debt of buyers associated with the sale of goods, performance of work, provision of services, which I Art. 266 Tax Code of the Russian Federation:
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4. Doubtful - any debt that:
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| 5. The amount of contributions to the reserve depends on the timing of each doubtful debt separately. | 5. The accountant determines the amount of contributions to the reserve depending on the risk of non-receipt of money. In its accounting policy, an organization can establish a specific procedure for determining the amounts of contributions to the reserve. In accounting for overdue debts, you can set the same percentages of deductions to the reserve as in tax accounting. |
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| Duration of occurrence of doubtful debt (from the date of payment under the agreement) | Percentage of the debt amount (including VAT Letter of the Ministry of Finance of Russia dated August 3, 2010 No. 03-03-06/1/517), taken into account when forming the reserve for doubtful debts | |
| Less than 45 days | 0 | |
| From 45 to 90 days (inclusive) | 50 | |
| More than 90 days | 100 | |
| 6. The total amount of the created reserve cannot be more than 10% of the proceeds from the sale of the reporting (tax) period without income tax WITH para. 5 paragraph 4 art. 266 Tax Code of the Russian Federation. | 6. The amount of the reserve created for each debt is limited only by the amount of the debt itself. There are no other restrictions. | |
| 7. The reserve can only be used to write off debts recognized as bad. At the same time, using the reserve, you can write off only those debts that participated in its formation. Other debts that were not taken into account in calculating the amount of the reserve (for example, were not considered doubtful) can be taken into account immediately as part of non-operating expenses as soon as they become hopeless And subp. 2 p. 2 art. 265 Tax Code of the Russian Federation; Letters of the Ministry of Finance of Russia dated 04/22/2010 No. 03-03-06/1/283, dated 03/05/2010 No. 03-03-06/1/117, dated 11/12/2009 No. 03-03-06/1/744. |
7. Write-off of bad debts is formalized by posting debit 63 – credit 62 “Settlements with buyers and customers” (or another account for settlements). The reserve is not reflected separately in the balance sheet. The amount of the receivables itself is adjusted (decreased) by its amount. |
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| 8. At the end of the year, the unused amount of the reserve can be transferred to the next year d clause 5 art. 266 Tax Code of the Russian Federation. But when creating a reserve in the first quarter of next year, it will be necessary to take this carryover balance into account. And the general limit of 10% of revenue will have to be calculated from revenue for the first quarter l Letter of the Ministry of Finance of Russia dated March 22, 2010 No. 03-03-06/1/165. |
8. At the end of the year, it is necessary to check the assessment of each doubtful debt. If the reserve is insufficient, additional contributions must be made. If the reserve is more than needed, the excess amount must be taken into account in other income. |
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Reserve for upcoming vacation payments to employees (similarly, a reserve is accrued for the payment of annual remunerations based on the results of work for the year and length of service) |
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| 1. Reserve Can create at will. e clause 1 art. 324.1 Tax Code of the Russian Federation. |
1. Small businesses, may not create these reserves. Whether other organizations are obliged to create such a reserve as an estimated liability is a debatable issue. It's safer to create it. |
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| 2. An organization that decides to create a reserve must A clause 1 art. 324.1 Tax Code of the Russian Federation determine in the accounting policy: the maximum amount of deductions (that is, the estimated annual amount of expenses for vacations, taking into account insurance premiums) and the monthly percentage of deductions to the reserve. | 2. The reserve must be formed so that it is enough to pay vacation pay (remunerations at the end of the year) and insurance premiums from them. It is better to reflect the rules for creating a reserve in your accounting policies. We talked in more detail about the formation of a reserve for vacation pay in accounting in,. |
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Percentage of contributions to the reserve |
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Estimated annual cost of vacation pay, including mandatory insurance contributions |
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Estimated annual labor costs, including mandatory insurance contributions |
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| Then the amount of contributions to the reserve will be as follows. | ||
Monthly amount of contributions to the reserve |
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Percentage of contributions to the reserve |
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Amount of labor expenses for this month |
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| 3. Contributions to the reserve are taken into account as part of labor costs A clause 24 art. 255, Art. 324.1 Tax Code of the Russian Federation. The reserve can be accounted for in a separate tax register. |
3. Depending on what the employees’ work is related to, contributions to the reserve are taken into account:
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| 4. During the year, the costs of paying vacation pay and contributions for them must be written off only from the created reserve. If the amount of the created reserve is not enough, then the overexpenditure cannot be recognized as a current expense until the end of the year. Only at the end of the year can the amount of overexpenditure be taken into account in non-operating expenses X pp. 2, 3 tbsp. 324.1 Tax Code of the Russian Federation. |
4. If the reserved amount is not enough to cover all expenses, the amount of excess expenses over the reserve is immediately taken into account in expenses X clause 21 PBU 8/2010. | |
5. The procedure for transferring the reserve to the next year:
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5. The estimated liability for vacation pay must be checked at each reporting date. If the created reserve is not enough, additional deductions must be made. If the reserve is greater than needed, the excess amount must be taken into account in other income. | |
The recoverable amount of the reserve to be included in income at the end of the year |
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The amount of contributions to the reserve throughout the year |
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Amount of paid vacation pay from the reserve, including mandatory insurance contributions |
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The amount required to pay for carryover unused vacations, including mandatory insurance contributions |
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If your reserve is not enough for the carryover balance to include an amount sufficient to pay for carryover vacations, then at the end of the year you need to make additional charges to the reserve and take them into account as non-operating expenses s pp. 3, 4 tbsp. 324.1 Tax Code of the Russian Federation;
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| Reserve for warranty repairs and warranty service | ||
| 1. Organizations can create a reserve if they have warranty obligations to customers and clients And clause 1 art. 267 Tax Code of the Russian Federation. The decision to create a reserve must be enshrined in accounting policies e clause 2 art. 267 Tax Code of the Russian Federation. |
1. Small businesses, those who refused to apply PBU 8/2010, may not create this reserve. Other organizations are required to create a reserve, if they have obligations for warranty repairs and maintenance. |
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2. The maximum amount of the reserve is determined by To pp. 2-4 tbsp. 267 Tax Code of the Russian Federation:
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2. The reserve (estimated liability for warranty repairs and maintenance) must be created so that it is sufficient to fulfill warranty obligations. It is better to reflect the procedure for creating a reserve in your accounting policy. To bring the two types of accounting closer together, deductions can be made according to the same principle as in tax accounting (as a certain percentage of the proceeds received from the sale of goods and work with a guarantee). But the reserve should not have a limit. |
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Limit amount of reserve for warranty repairs and warranty service |
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The amount of expenses for warranty repairs and maintenance for the previous 3 years |
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The amount of revenue from the sale of goods (work) with a guarantee for the previous 3 years |
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The amount of proceeds from the sale of goods (work) with the provision of a guarantee for the reporting (tax) period |
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| 3. The amounts of contributions to the reserve are determined on the date of sale of guaranteed goods and work. Contributions to the reserve are accounted for as other expenses associated with production and sales th subp. 9 clause 1 art. 264, Art. 267 Tax Code of the Russian Federation. | 3. Accounting is kept on account 96 “Reserves for future expenses”. Contributions to the reserve are included in production costs (selling expenses). | |
| 4. Expenses for warranty repairs and maintenance are written off during the year only from the created reserve. If the amount of the created reserve is not enough, then the overexpenditure at the end of the year must be taken into account in other expenses X clause 5 art. 267 Tax Code of the Russian Federation. | 4. If the reserved amount is not enough to cover all costs, the amount in excess of the reserve is immediately taken into account in expenses. | |
5. At the end of the year you need to check the reserve:
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5. The balance of the reserve can be carried over to the next year. However, the amount of the reserve assessment must be clarified at each reporting date. at clause 23 PBU 8/2010. As a result, it may be necessary to reduce or increase the created reserve A clause 22 PBU 8/2010. | |
Exclusively accounting reserves
Reserve for reduction in the value of material assets
You can learn more about creating a reserve for paying vacations to employees in accounting from an interview with I.R., a specialist from the Ministry of Finance of Russia. Sukharev: You can also read about creating a vacation reserve in the publication “The Main Book. Conference hall": 2011, No. 12, p. 461. All organizations (including small ones) obliged create this reserve at the end of the year (December 31). Its annual inventory is required. However, a reserve is created only if the market value of material assets at the end of the year has decreased from b clause 25 PBU 5/01 “Accounting for inventories”, approved. By Order of the Ministry of Finance of Russia dated 06/09/2001 No. 44n; clause 20 of the Guidelines for accounting of inventories, approved. By Order of the Ministry of Finance of Russia dated December 28, 2001 No. 119n:
a) when checking the market value of goods (account 41 “Goods”), we look at what price we can sell our goods for. And if this price is less than the cost at which the goods are registered with us (regardless of whether you take them into account at the acquisition price or at the selling price), then a reserve will have to be created. Similarly, a reserve is created for finished products;
b) when checking the cost of raw materials and materials, the question of creating a reserve depends on market prices for finished products (work or services) for which these raw materials and materials were purchased s clause 20 of the Guidelines for accounting of inventories:
- <если>at the reporting date the market value of products (works, services) is greater than or equal to its actual cost, then there is no need to create a reserve to reduce the cost of raw materials and materials used in its production;
- <если>at the reporting date the market value of products (works, services) is less than its actual cost, then a reserve will have to be created to reduce the cost of raw materials. And its amount must be determined as the difference between the market price of raw materials and supplies and the cost at which they are accounted for.
2. The reserve is accounted for in account 14 “Reserves for reduction in the value of material assets.” Deductions to the reserve - as part of other expenses (debit to account 91–2 “Other expenses” – credit to account 14). The amount of the reserve is not reflected separately in the balance sheet; the cost of the MP is reduced by it Z clause 25 PBU 5/01.
3. The reserve is adjusted in the event of a change in the assessment of inventories (additional accruals are reflected in other expenses, restoration - in other income by posting the debit of account 14 - credit of account 91-1 “Other income” )Instructions for using the Chart of Accounts... approved. By Order of the Ministry of Finance of Russia dated October 31, 2000 No. 94n; pp. 2, 4 PBU 21/2008. The amount of the reserve is also reduced upon disposal and other write-off of the inventories for which it was created; the amount of the restored reserve is taken into account in other income.
Provision for impairment of financial investments
1. Provision for impairment of financial investments necessary create at the end of the year (December 31), if a sustained significant decrease in the value of investments is identified, for which their current market value is not determined. Small businesses that do not issue publicly traded securities may value all financial investments at their original cost. And pp. 19, 21 PBU 19/02 “Accounting for financial investments”, approved. By Order of the Ministry of Finance of Russia dated December 10, 2002 No. 126n. But this does not exempt you from creating a reserve. On the contrary, if there are signs of impairment of these investments th clause 37 PBU 19/02, you will have to create a reserve for all your financial investments: both those having a current market value and those not T clause 38 PBU 19/02.
2. The reserve is accounted for in account 59 “Provisions for depreciation of financial investments.” Contributions to it are included in other expenses V clause 38 PBU 19/02(debit 91-2 “Other expenses” – credit 59). If the value of financial investments increases, the reserve decreases. The amount of such reduction is included in other income s clause 39 PBU 19/02.
3. The amount of the reserve is not reflected separately in the balance sheet; the amount of financial investments is adjusted for it th clause 38 PBU 19/02.
Other provisions related to estimated liabilities
1. Small enterprises that refuse to apply PBU 8/2010 may not create such reserves. All other organizations should recognize estimated liabilities, taking them into account in account 96 “Reserves for future expenses”.
Estimated liabilities are recognized if three conditions are met th clause 5 PBU 8/2010:
- with a high degree of probability it can be argued that there is an obligation to perform certain actions (arising, for example, from a contract). Moreover, the organization cannot evade fulfilling this responsibility;
- as a result of fulfilling this obligation, it is likely that economic benefits will decrease (for example, you will have to pay money to someone);
- the amount of the estimated liability can be reasonably determined.
The following situations can be cited as examples when reserves will have to be formed:
- the organization has a deliberately unprofitable contract. That is, an agreement, the inevitable costs of execution of which exceed the proceeds from it, and refusal of the agreement threatens fines And clause 2 PBU 8/2010;
- the organization has violated the law, which is why it faces fines;
- the organization is involved in a lawsuit that it is very likely to lose;
- there will be a restructuring of activities, entailing inevitable expenses, and its probability is high and it has already been announced to the employee m clause 11 PBU 8/2010.
2. Estimated liabilities are reflected in the debit of the expense account and the credit of account 96 “Reserves for future expenses » clause 8 PBU 8/2010. It is better to create a separate sub-account for each type of estimated liability. The procedure for calculating monthly contributions to the reserve must be developed independently and fixed in the accounting policy.
Exclusively tax reserves
Reserve for expenses for repairs of fixed assets
We wrote more about creating a reserve for the repair of fixed assets in tax accounting:1. Him can create organizations that have operated for more than 3 years T Letter of the Ministry of Finance of Russia dated January 17, 2007 No. 03-03-06/1/9 and enshrining in the accounting policy the decision to create a reserve.
2. Contributions to the reserve are accounted for as other expenses s clause 3 art. 260, Art. 324 Tax Code of the Russian Federation.
3. Repair costs are written off only against the reserve. If it is not enough, repair costs cannot be taken into account as independent expenses until the end of the year.
4. The reserve consists of two parts: for current and major repairs. In tax accounting policy, it is necessary to fix the maximum amount of contributions to the reserve.
| Reserve for current repairs | Reserve for major repairs |
| 1. The reserve for current repairs is calculated based on the annual estimate, but it should not be more than the average actual cost of repairing the operating system for the previous 3 years A clause 2 art. 324 Tax Code of the Russian Federation. | 1. A reserve can be created if you need to save money for repairs for more than a year. To determine the annual amount of contributions to the reserve you need:
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| 2. Contributions are recognized as expenses in equal shares on the last day of each reporting and then tax period. Their amount is determined by dividing the maximum reserve amount A Art. 260, paragraph 2 of Art. 324 Tax Code of the Russian Federation. | |
Other specific tax reserves
Tax accounting provides for the creation of a number of reserves, depending on the specifics of the organization’s activities:
- reserve for future expenses allocated for purposes ensuring social protection of disabled people. Under certain conditions, it can be created by public organizations of disabled people and organizations using the work of disabled people V subp. 38 clause 1 art. 264, Art. 267.1 Tax Code of the Russian Federation;
- reserves intended to ensure the safety of especially radiation-hazardous and nuclear-hazardous facilities