94 account 1s 8.3 is closed. Why are loss standards needed?

How to take into account shortages and losses of material and other assets (including money) identified in the process of their procurement, storage or sale? For these purposes, the Chart of Accounts and the Instructions for its application provide for account 94 “Shortages and losses from damage to valuables” (Order of the Ministry of Finance dated October 31, 2000 No. 94n).

Accounting on account 94: reflection of shortages

Accounting account 94 is an active synthetic account, the debit of which reflects the shortage of valuables, and the credit reflects its write-off to a specific source of covering losses.

For example, if, as a result of a warehouse inventory, a shortage of goods and materials is revealed, the actual cost of such inventories is written off as a loss using the accounting entry:

Debit account 94 – Credit accounts 10 “Materials”, 41 “Goods”, 43 “Finished products”

And if a shortage was identified during a check of the cash register, then it is reflected in the same way: Debit account 94 – Credit account 50 “Cashier”

For missing or completely damaged fixed assets, the debit of account 94 is no longer their accounting value, but:

Debit account 94 – Credit account 01 “Fixed assets”

If shortages or damage to valuables are detected upon acceptance from the supplier, then, within the limits stipulated in the contract, such losses are reflected as follows:

Debit of account 94 – Credit of account 60 “Settlements with suppliers and contractors”

And losses in excess of the agreed amounts will be accounted for as follows: Debit account 94 – Credit account 76 “Settlements with various debtors and creditors”

Write-off of shortages and losses from account 94

Amounts reflected in the debit of account 94 are subject to write-off. In this case, the account debited will depend on the type of shortage, the reasons for its formation and sources of compensation for losses.

Thus, the write-off of shortages and damage to inventory items within the limits provided for in the contract, and if such losses are identified during the procurement of inventory items, are charged to the cost of the assets being procured:

Debit accounts 10, 41 – Credit account 94

If these losses are identified during the storage or sale of valuables, then:

within the limits of natural loss norms, they are attributed to production costs or sales costs: Debit of accounts 20 “Main production”, 26 “General business expenses”, 44 “Sales expenses” - Credit of account 94;
in excess of the norms of natural loss - to the financial results of the organization as part of other expenses: Debit of account 91 “Other income and expenses” - Credit of account 94

Of course, if the culprit of the shortage is known, who is an employee of the organization, and the organization itself does not refuse to recover damages from such a person, the losses are attributed to him:

Debit of account 73 “Settlements with personnel for other operations” - Credit of account 94

In the event that not the actual cost of lost property is recovered from the guilty persons, but, for example, its market value, the difference between such value and the amount reflected in account 94 is taken into account as part of deferred income:

Debit of account 73 – Credit of account 98 “Deferred income”

As the deficiency is collected from the guilty person, the difference recorded in account 98 is transferred to other income: Debit of account 98 – Credit of account 91

All shortages and damage to goods and materials, regardless of how they are subsequently written off (at the expense of costs or withheld from the guilty parties), are recorded in account 94 “Shortages and losses from damage to valuables.” In the article we will look at accounting account 94, typical operations on it and an example of calculation with postings.

What is shortage?

A shortage is a discrepancy between the indicators between their accounting and actual quantities in a larger direction. In other words, if a certain number of inventory items is listed in the accounting registers, but in fact there are fewer of them, then a shortage occurs. Also related to account 94 is damage to inventory items.

Reasons for shortages:

Theft
Natural decline
Accounting errors
Emergencies

Video help “Accounting for account 94”: basic transactions, accounting

This video briefly describes accounting for account 94 “Shortages and losses from damage to valuables”, explains the basic transactions and accounting examples. The teacher of the site “Accounting and Tax Accounting for Dummies”, chief accountant N.V. Gandeva, runs the site. ⇓

Accounting 94 in accounting infographic. Typical wiring

The figure below shows accounting account 94 “Shortages and losses from damage to valuables” and typical entries for their accounting. To enlarge the picture, click on it.

Accounting account 94 and main entries

Account 94 in accounting: reflection of shortages and damage

Deficiencies in account 94 should be reflected in cases identified by:

conducting an inventory;
receipt of goods and materials from the supplier, within the limits specified in the supply agreement (natural loss)

In the debit of account 94, shortages are recorded in the following amounts:

actual cost, if inventory items are completely damaged or missing
residual value - for fixed assets that have completely fallen into disrepair or are missing
actual losses if inventory items are partially lost

Basic postings of accruals on account 94:

Operations	Check
Write-off of the residual value of a fixed asset in the event of its complete disrepair or absence (theft, shortage)	01
Missing or damaged materials	10
Shortage or damage of goods in the warehouse	41

Missing or damaged equipment	07
Lack of cash in the cash register	50
Shortages identified in production	20 (23, 29)
Shortages identified upon acceptance of goods and materials from the supplier	60
Lack of investment in non-current assets	08

Account 94: writing off shortages

For the loan, 94 accounts reflect the write-off of shortfalls, that is, their attribution to expenses. Shortages can be written off as other expenses (Debit 91.2 Credit 94). This operation is carried out if the norms of natural loss are exceeded. If a guilty person is found, then such deficiency is recovered (Debit 73.2 Credit 94). Shortages within the limits of natural loss norms (for specific goods and materials) are written off at the expense of cost (Debit 20 (44) Credit 94).

If a shortage is identified upon acceptance of material assets from the supplier, then the terms of the contract must be followed. It should indicate the maximum amounts of shortages, which are subsequently reflected in account 94. Above-limit amounts must be carried out on the 76th account.

There are situations when a shortage is discovered several years after the actual damage or loss of inventory items. However, this fact is not reflected in the inventories. In this case, you can make an entry Debit 94 Credit 98.3 if the guilty person is found and the amount of damage will be recovered from him. After the shortfall from account 98 is paid off, it is written off as other expenses. If an employee refuses to admit his guilt, then before the court makes a decision, it is impossible to make an entry on account 94.

The write-off of damage and shortages that occurred due to emergency events is written off according to the act to account 99: Debit 99 Credit 94.

If stolen inventory items are written off, then the VAT previously accepted for deduction on them must be restored.

Norms of natural loss. Calculation formula

Shortages and spoilage within the limits of natural loss norms depend on many factors (type of goods and materials, method of transportation, storage methods and periods, etc.). This indicator is calculated in each specific situation:

To establish standards for natural loss during the transportation (delivery) of inventory items, it is necessary to take into account either the cost of each product or the total weight of inventory items. Shortages or damage are identified upon acceptance, then they are documented (notes in accompanying documents, acts).
To establish norms of natural loss during the storage or sale of inventory items, it is necessary to apply the calculation formula:

To establish norms of natural loss for the storage of goods, norms are calculated for the balances of goods, for their receipts and disposals during inter-inventory periods

Account 94: example of accounting entries

During the inventory, shortages of inventory items were identified in the organization:

Materials in stock in the amount of RUB 17,894.
Products in the retail department worth RUB 9,542.
Lack of funds in the cash register in the amount of 541 rubles.

Also, when accepting a new batch of goods worth 221,500 rubles. a shortage of materials was identified from the supplier in the amount of 12,443 rubles. According to the terms of the contract, the natural loss of goods and materials during transportation can be 2% of the cost.

The following entries must be made in accounting:

Debit 94 | 17894 – a shortage of materials is reflected.
Debit 94 | 9542 – a shortage of goods is reflected.
Debit 94 | 541 – a shortage of funds in the cash register is reflected.
Debit 91.2 Credit 94 | 17894 – losses from shortage of materials were written off as expenses (the perpetrators were not identified).
Debit 73.2 Credit 94 | 10083 – the cost of shortage of goods and funds was recovered from the seller.
Debit 50 Credit 73.2 – funds contributed to repay the shortfall.
Debit 10 Credit 60 | 209057 – materials received from the supplier in their actual quantity were capitalized.
Debit 94 Credit 60 | 4430 – the shortage is reflected within the limits of natural loss norms established under the contract.
Debit 76 | 8013 – a shortage in excess of the norms of natural loss is reflected.
Credit 94 | 4430 – the shortage within the limits of the norms of natural loss established by the contract is written off at cost.

Account 94 “Shortages and losses from damage to valuables” is intended to summarize information on the amounts of shortages and losses from damage to material and other valuables (including money) identified in the process of their procurement, storage and sale, regardless of whether they are subject to inclusion in accounts accounting for production costs (selling costs) or those responsible. In this case, losses of valuables resulting from natural disasters are included in score 99“Profits and losses” as losses of the reporting year (uncompensated losses from natural disasters).

On the debit of account 94 “Shortages and losses from damage to valuables” the following are given:

for missing or completely damaged inventory items - their actual cost;

for missing or completely damaged fixed assets - their residual value (original cost minus the amount of accrued depreciation);

for partially damaged material assets - the amount of determined losses, etc.

For shortages and damage to valuables, entries are made in the debit of account 94 “Shortages and losses from damage to valuables” from the credit of the accounts accounting for the said valuables.

When the buyer, upon acceptance of valuables received from suppliers, identifies a shortage or damage, then the buyer assigns the amount of the shortage within the limits stipulated in the contract when posting the valuables to the debit of account 94 “Shortages and losses from damage to valuables” from the loan bills 60“Settlements with suppliers and contractors”, and the amount of losses in excess of the amounts provided for in the contract, presented to suppliers or a transport organization, is debited bills 76"Settlements with various debtors and creditors" (sub-account "Settlements on claims") from the loan bills 60"Settlements with suppliers and contractors." If the court refuses to collect losses from suppliers or transport organizations, the amount previously debited bills 76“Settlements with various debtors and creditors” (sub-account “Settlements for claims”), is written off to account 94 “Shortages and losses from damage to valuables”.

When the court makes a decision to recover from the supplier amounts of shortages and losses of valuables in excess of the amounts stipulated in the contract, in the supplier’s accounting records the sales amount previously reflected as a debit accounts 62 bills 90“Sales” is reversed by the amount of shortages and losses collected by the buyer. At the same time, the specified amount is reflected in a regular debit entry. accounts 62"Settlements with buyers and customers" or "Currency accounts", "Currency accounts" and credit bills 76"Settlements with various debtors and creditors." When transferring amounts to the buyer score 76"Settlements with various debtors and creditors" is debited in correspondence with score 51"Current accounts". The supplier must also reverse the debit turnover bills 90"Sales" and credit bills 43"Finished products". Restored in this way account 43 The “finished products” amount is then written off to the debit of account 94 “Shortages and losses from damage to valuables”.

In the credit of account 94 “Shortages and losses from damage to valuables” the write-off is reflected:

shortages and damage to valuables within the limits stipulated in the contract - to the accounts of material assets (when they are identified during procurement) or within the limits normal natural loss - production costs and sales costs (when they are identified during storage or sale);

shortage of valuables in excess of the values (norms) of loss, losses from damage - in debit bills 73“Settlements with personnel for other operations” (sub-account “Settlements for compensation of material damage”);

shortage of valuables in excess of the values (norms) of loss and losses from damage to valuables in the absence of specific culprits, as well as shortage of inventory items, the recovery of which was refused by the court due to the unfoundedness of the claims - on score 91"Other income and expenses."

In the credit of account 94 “Shortages and losses from damage to valuables” amounts are reflected in the amounts and values accepted for accounting as the debit of the specified account. At the same time, missing or damaged material assets are written off to the production cost (sales cost) accounts at their actual cost.

When recovering from the guilty persons the cost of missing valuables, the difference between the cost of missing valuables credited to score 73“Settlements with personnel for other operations” and their value reflected in account 94 “Shortages and losses from damage to valuables” are credited bills 98"Revenue of the future periods". As the amount due is collected from the guilty person, the specified difference is written off from bills 98"Deferred income" in correspondence with score 91"Other income and expenses."

Shortages of valuables identified in the reporting year, but relating to previous reporting periods, recognized by financially responsible persons or for which there are court decisions to recover from the guilty parties, are reflected in the debit of account 94 “Shortages and losses from damage to valuables” and in the credit bills 98"Revenue of the future periods". At the same time, these amounts are debited score 73“Settlements with personnel for other operations” (sub-account “Settlements for compensation of material damage”) and account 94 “Shortages and losses from damage to valuables” is credited. As the debt is repaid, it is credited score 91"Other income and expenses" and debited score 98"Revenue of the future periods".

Account 94 "Shortages and losses from damage to valuables"
corresponds with accounts

by debit

on loan

01 Fixed assets
03 Profitable investments in material assets
07 Equipment for installation
10 Materials
11 Animals for growing and fattening
16 Deviation in the cost of material assets
19 Value added tax on acquired assets
20 Main production
21 Semi-finished products of own production
29 Attendants
41 Products
42 Trade margin
43 Finished products
44 Selling expenses
45 Items shipped
50 Cashier
60 Payments to suppliers and
71 Settlements with accountables
73 Settlements with personnel for
76 Calculations with different
98 Deferred income
99 Profit and loss

08 Investments in non-current assets
20 Main production
23 Auxiliary productions
25 General production expenses
26 General expenses
29 Service industries and farms
44 Selling expenses
70 Settlements with personnel for wages
73 Settlements with personnel for other operations
86 Targeted financing
91 Other income and expenses
99 Profits and losses of production and economy by contractors persons other operations debtors and creditors

Application of the chart of accounts: account 94

On accounting for expenses in the form of losses from mortality in the Unified Agricultural Tax
In the form of losses from mortality and forced slaughter of poultry and animals. ... damage to valuables on the credit of account 11 “Animals for growing and fattening” and the debit of account 94 “Shortages and losses from damage to valuables” ... further – Methodological recommendations) losses from the death of young and adult livestock located on ... the most the taxpayer avoided losses from the case and does not have the right to take advantage of... losses from the case were written off by the taxpayer to account 20 “Main production”, and not to account 94 “Shortages and losses from damage to valuables...
Writing off damaged goods in accounting and tax accounting when the culprit has not been identified
Account 94 “Shortages and losses from damage to valuables” until the organization has grounds to cover the shortage at the expense of... Credit 94 - reflects the write-off of losses from damage to goods (materials) unsuitable for use at the expense of financial... for tax purposes losses from shortages and (or) damage during storage and transportation of material and production... technological losses and losses from defects, as well as losses of inventory items during their storage and... are equated.
The procedure for accounting and tax accounting of lost property transferred for safekeeping
The perpetrators are accounted for invoice 94 “Shortages and losses from damage to valuables.” The debit of account 94 reflects, in particular... from the specific causes of losses, the actual cost of materials is subject to write-off from the credit of the account "Shortages and losses from damage to valuables..." to the debit of the cost accounting accounts for...
Accounting by the principal of the shortage of goods transferred to the commission agent
Accounting for the principal of the shortage of goods transferred to the commission agent, and about the peculiarities of taxation... No. 94n, identified shortages are reflected using account 94 “Shortages and losses from damage to valuables”: Debit 94 - Credit 45 ... with the acquisition of lost valuables (letters from the Ministry of Finance Russia dated 08/27/2014... VAT as part of compensation for shortage of goods received from a commission agent is other income... loss, damage, battle, theft, natural disaster, etc.), and based on the norms of Articles 39 and...
Technological losses
Technological losses? Because they must be identified and compensated at the expense of those... It is reflected in account 94 “Shortages and losses from damage to valuables”, and subsequently - in account 73 “Settlements with... Tax Code of the Russian Federation. Losses during storage and transportation should be distinguished from the indicated technological losses by main... unjustified from the point of view of taxation, losses from the combustion of associated petroleum gas... raw materials and related standards of technological losses are produced regardless of...
How to reflect a marriage in accounting if there is no fault of the employees
Valuables are written off from the credit of account 10 "Materials" to the debit of account 94 "Shortages and losses from damage to valuables..." until the organization has grounds to cover the shortage at the expense of... 91 Credit 94 - reflects the write-off of losses from damage to raw materials that are unusable to use, at the expense of financial... for tax purposes, losses from shortages and (or) damage during storage and transportation of material and production...
Write-off of damaged property
From the will of the organization (for example, due to damage, damage, theft, natural disaster and... "Act on damage, damage, scrap of inventory assets" or TRADING... goods are reflected as their shortage in the debit of account 94 "Shortages and losses from damage to valuables" (Instructions for... applying the Chart of Accounts for financial accounting... 94 41 3 000 Act on damage, damage, scrap of goods and materials Amount of determined losses...
How to account for counterfeit items detected in a pharmacy?
Counterfeits are written off from account 41 “Goods” to the debit of account 94 “Shortages and losses from damage to valuables” (paragraph “b” p... the perpetrators have not been identified, losses from shortages of goods are written off to financial results... ", Instructions for application of the Chart of Accounts). Tax accounting of write-off and destruction of counterfeit goods. The procedure... for tax accounting for write-off and destruction of counterfeit goods depends on the taxation system used by the pharmacy...
An employee quits: what to do with work clothes?
In particular, it will be possible to ensure the acquisition and issuance of special clothing at our own expense... it will be possible to reimburse expenses from the Social Insurance Fund in relation to personal protective equipment... assets, property rights, through subsidies and (or) budget investments received by the taxpayer. .. to the employer in the event of loss and damage to property, is determined by actual losses calculated on the basis of... special clothing can be written off at a time to account 94 “Shortages and losses from damage to valuables” or account 91, subaccount 2 “Other...
Is it possible to use a personal “salary” card to transfer funds for reporting purposes?
Sub-accounting by transferring from the organization's current account to your personal &... by crediting to their bank accounts intended for carrying out transactions with... to accounting (columns 7-8), and accounts (sub-accounts) that are debited to these.. . wages are offset against the debt of funds previously received... issued to the employee in payment of the employer's debt to him... under the report, entries are made: Debit 94 "Shortages and losses from damage to valuables" Credit 71 "...
Imported goods have spoiled: how to take into account customs VAT, disposal costs and insurance compensation
period written off as damaged goods (damage) to account 94, which is confirmed by acts of... -material assets as a result of shortage, loss, fire or damage (for more information, see the decisions of the Supreme Arbitration Court of the Russian Federation from... implemented in connection with damage to perishable products and their write-offs are not... losses caused to the organization (insurance compensation and a claim recognized by the transport company) are recognized... accounting for damage to inventories involves attributing losses to the account of the guilty parties and...

Companies engaged in commercial and industrial activities have losses, shortages of cash and inventory. These accounting transactions are formed on account 94 “Shortages and losses from damage to valuables.” In our article we will consider all situations regarding the count 94.

Separate accounting for UTII and simplified tax system

Companies have the right to maintain accounting records under several tax regimes. The taxable base for each special regime is calculated separately, and therefore there is a need to maintain separate accounting.

Causes of damage to inventory items

Changes in the amount of cash and quality of inventory items are identified as a result of:

Inventory at the enterprise;
Upon receipt of goods from the seller;
When checking documents.

Any shortage, loss or damage is debited to account 94. Let us list the situations in which these changes occur:

Inconsistency in the amount of valuables in the enterprise;
Identification of damage or missing goods upon acceptance of goods from the seller;
Damage caused as a result of storage of inventory items (standardized and non-standardized);
Errors found in accounting.

Attribution of damage to the debit of account 94 depends on the type of main objects:

Actual cost, if the quantitative indicator is damaged or missing;
Actual damage if partially damaged.

Main objects:

The original cost minus depreciation, in the absence or complete damage;
Actual damages if partially damaged.

Actual losses, identification of the amount of actual losses.

You need to know that damage from emergency situations cannot be attributed to account 94.

Account 94 for Dt interacts with the following accounts:

Accounting operations according to Kt94

Amounts recorded in the debit of account 94 are subject to write-off. The table shows the accounts to which the amounts reflected in the debit of account 94 can be written off:

Actions required to close account 94

Before closing the “Shortages and losses from damage to valuables” account, the following operations must be carried out:

Carrying out inventory of goods and materials and cash;
Identification of the fact of shortage, damage or loss;
Finding out the reasons - due to the fault of the employee, natural loss, contractual losses, force majeure;
Attributing the amount of damage to the costs of the enterprise or to the culprit employee.

Postings for debiting from account 94 are shown in the table above.

An example of accounting for cash shortages in the cash register

When conducting an inventory of cash in the cash register at the enterprise, a shortage of 3,850 rubles was identified. Damage in accounting refers to account 94, which means that the accountant makes the following accounting entries:

Dt94 Kt50.01 – 3850 rub. – the amount is attributed to the shortage at the cash desk;
Dt73.02 Kt94 – 3850 rub. – the damage is written off if the culprit is the cashier;
Dt70 Kt73.02 – 3850 rub. – compensation for damage from the cashier’s salary.

If the culprit of the damage cannot be determined at the cash register, then the losses are attributed to non-operating expenses by posting:

D91.02 Kt94

An example of accounting for damage normal and in excess of natural loss

An inventory carried out at the enterprise revealed spoilage of fruit in the amount of 1,560 rubles:

1000 rub. – natural losses;
560 rub. – damage in excess of the norm, compensated from the salary of the financially responsible person.

We create the following wiring:

Dt94 Kt41 – 1560, damage to fruit during inspection;
Dt44 Kt94 – 1000, damage is written off as sales costs according to the norm;
Dt70 Kt94 – 560, the amount of damage in excess of the norm was reimbursed from the warehouseman’s salary.

If the organization has a reserve for future expenses, account 96, then the amount of damage within the limits of the natural loss rate is written off to this account. If account 96 is not provided, then the write-off of damage is attributed to the cost of production or goods (accounts 20,23,25,26,44).

An example of accounting for shortages when receiving goods

A trade organization was brought 100 kg of cabbage for sale in the amount of 1,500, including VAT 228.81. During unloading, missing goods were found in the amount of 15 kg in the amount of 225 rubles. Payment for the goods was received in advance from the buyer to the supplier. The supplier returned the money for the shortage of goods. We formalize transactions with the buyer using the following transactions:

Dt60 Kt51 – 1500 rub. – prepayment for goods;
Dt41 Kt60 – 1080.51 rub. – the goods are capitalized;
Dt94 Kt41 – 225 rub. – a shortage of cabbage is reflected;
Dt19 Kt60 — 194.49 rub. – VAT reflected;
Dt68 Kt19 — 194.49 rub. – VAT is presented for deduction;
Dt73.02 Kt94 — 225 rub. – the damage is written off to the supplier;
Dt51 Kt73.02 – 225 rub. – refund from the supplier for missing goods.

Accounting for excess materials

If during the inventory of goods surplus products are identified, they are credited to the enterprise’s balance sheet using the following entries:

Dt10, 41 Kt91.01, basis – inventory list.

Documents recording losses from damage, shortages

Any change in the organization is recorded in primary documents. This also applies to damage, damage, shortages and other causes of damage. At the same time, a commission is created from a representative of the organization, financially responsible persons who document the quantity and quality of goods, shortages, damage, scrap, etc.

If damaged goods are discovered, the commission is TORG-15 or TORG-16. These documents are transferred to the head of the enterprise to decide on the further use of the product. If the goods are unsuitable for further use, then the accountant attributes them to account 94. The act is drawn up in 2 copies: for the accountant and the financially responsible person.

The shortage is written off as distribution costs based on the results of the inventory. Therefore, if the inventory was carried out in the current month, then write off the amount of the shortage as a debit to account 20, even for crops grown in 2014.

However, if the inventory was carried out last year and is not reflected in the accounting records in a timely manner, we will be talking about errors in accounting. The procedure for correcting such an error (using account 84 or 91) will depend on the materiality threshold, which the organization determines independently.

Make the following entry in accounting:

Debit 84 (91-2) Credit 94– erroneously not reflected consumption was detected.

A detailed procedure for correcting errors in accounting is given below, in recommendation No. 2.

The rationale for this position is given below in the materials of the Glavbukh System

Shortage (damage) of finished products can be detected during the normal activities of the organization (for example, during shipment). This is the basis for conducting an inventory (Article 11 of the Law of December 6, 2011 No. 402-FZ). In addition, the fact of shortage (damage) can also be detected during the inventory process carried out for other reasons.*

Carrying out an inventory

At its discretion, the organization can conduct an inventory of finished products at any time. However, there are cases when an inventory must be carried out without fail:*

· before preparing annual financial statements;

· when changing materially responsible persons (for example, warehouse manager, storekeeper);

· when facts of theft, abuse or damage are revealed;

· in the event of force majeure circumstances (for example, natural disasters);

· during reorganization or liquidation of the organization;

· in other cases provided for by law (for example, when selling an enterprise as a property complex) (Article 561 of the Civil Code of the Russian Federation).

Such rules are established in Part 3 of Article 11 of the Law of December 6, 2011 No. 402-FZ, paragraph 27 of the Regulations on Accounting and Reporting and paragraph 1.5 of the Methodological Instructions approved by Order of the Ministry of Finance of Russia of June 13, 1995 No. 49.

For information on what conditions must be met when conducting an inventory of finished products, see the table.

Documenting

To document the inventory of finished products, use, for example, the following forms:

· inventory list of inventory items (form No. INV-3);

· act of inventory of shipped inventory (form No. INV-4);

· inventory list of inventory items accepted for safekeeping (form No. INV-5);

· act of inventory of inventory items in transit (form No. INV-6).

Prepare the inventory results with the following documents:

· matching statement in form No. INV-19;

· a statement of records of the results identified by the inventory, according to form No. INV-26.

This is stated in section 2 of the instructions approved by Decree of the Goskomstat of Russia dated August 18, 1998 No. 88, and in Decree of the Goskomstat of Russia dated March 27, 2000 No. 26.

For more information on filling out these forms, see the table.

Accounting: reflecting shortages

Reflection in accounting of losses confirmed by inventory results depends on:*

· type of loss (shortage or damage);

· causes of occurrence (natural loss, perpetrator, force majeure).

Reflect the detected shortage (damage) with the following wiring:*

Debit 94 Credit 43
– the shortage (damage) of finished products at discount prices is written off.

Accounting: writing off shortages

Losses from shortages (damage) of finished products that cannot be used (sold) can be attributed to:*

· expenses for ordinary activities – natural loss within normal limits;

· financially responsible person (other persons found guilty of damage (theft)) - for excess losses, as well as theft, etc.;

· other expenses – shortage (damage) in excess of the norms if the perpetrators are not identified, force majeure circumstances.

This follows from subparagraph “b” of paragraph 28 of the Regulations on Accounting and Reporting and paragraph 13 of PBU 10/99.

Losses from damage to valuables within the limits of natural loss are attributed to distribution costs based on the order of the head of the organization. At the same time, make the following entries in accounting:*

Debit 44 Credit 94
– the cost of damaged finished products is written off within the limits of natural loss.*

Attribute damage to finished products in excess of natural loss norms to the guilty persons by posting:

Debit 73 (76) Credit 94
– the amount of losses from spoilage of finished products in excess of the norms of natural loss is attributed to the perpetrators.

For more information on how to recover damages if an employee of the organization is found guilty of damage, see:

· How to withhold from wages material damage caused to the organization;

· How to reflect in accounting and taxation the deduction from wages of material damage caused to the organization.

This procedure follows from paragraph 5.1 of the Methodological Instructions, approved by Order of the Ministry of Finance of Russia dated June 13, 1995 No. 49, and the Instructions for the chart of accounts.

To find out whether it is possible to recover from a dismissed employee, with whom an agreement on collective liability was concluded, losses from damage to finished products, see How to reflect in accounting and taxation shortfalls identified during an inventory.

If the perpetrators have not been identified or the court has refused to recover the amount of damage caused from them, write off the damage to the finished product to the financial results of the organization as other expenses. A document confirming the absence of guilty persons can be a court acquittal, a decision to suspend a criminal case, and others (clause 5.2 of the Methodological Instructions approved by Order of the Ministry of Finance of Russia dated June 13, 1995 No. 49). Determine the amount of loss based on the cost of damaged finished products according to accounting data. In this case, do the wiring:

Debit 91-2 Credit 94
– loss from damage to finished products was written off due to the absence of the person at fault (refusal to recover damages).

This procedure follows from paragraph 11 of PBU 10/99 and the Instructions for the chart of accounts.

If the cause of damage to finished products was force majeure (natural disasters, fires, accidents, etc.), take into account the cost of damaged finished products as part of other expenses of the reporting year at the balance sheet (accounting) value. Do the following wiring:

Debit 91-2 Credit 94
– loss from damage to finished products resulting from force majeure is written off.

This procedure follows from paragraph 13 of PBU 10/99 and the Instructions for the chart of accounts.

For more information on how to reflect shortages identified during an inventory in accounting, see How to reflect shortages identified during an inventory in accounting and taxation.

Reflection of the amount of shortages and damage to finished products when calculating taxes depends on the taxation system that the organization uses.

If an organization calculates a single tax on the difference between income and expenses, the reflection of losses from shortages (damage) of finished products depends on the reasons for their occurrence:

storage and transportation;

· force majeure circumstances.

Losses from shortages (spoilage) arising during storage and transportation are taken into account when calculating the single tax only within the limits of natural loss rates (in the same manner as for calculating income tax) (subclause 5, clause 1 and clause 2 of Art. 346.16 and sub-clause 2 of Article 254 of the Tax Code of the Russian Federation). Expenses in the form of amounts of damage caused in excess of the norms do not reduce the tax base. These costs are not in the list of expenses that can be taken into account when calculating the single tax (Clause 1, Article 346.16 of the Tax Code of the Russian Federation).*

If the cause of damage (shortage) was force majeure (for example, natural disasters), the cost of losses cannot be taken into account even within the limits of natural loss norms. The fact is that the list of expenses taken into account when calculating the single tax is limited by Article 346.16 of the Tax Code of the Russian Federation. Losses from damage to finished products as a result of natural disasters, fires, etc. are not included in this list. Therefore, they cannot be taken into account for tax purposes.

If the shortage (damage) of property is compensated by the guilty person, take into account the received amounts as part of income when calculating the single tax, regardless of what object of taxation the organization has chosen (paragraph 3, paragraph 1, article 346.15, paragraph 3, article 250 of the Tax Code of the Russian Federation). Compensation for losses should be taken into account at the time of actual receipt of compensation for damages from the perpetrators (clause 1 of Article 346.17 of the Tax Code of the Russian Federation). For example, on the day an employee deposits funds into the organization’s cash desk.

Elena Popova,

An error is the incorrect reflection of the facts of economic activity in accounting and reporting. They also evaluate the situation when transactions were not recorded in accounting at all. Simply put, if, through your own fault, you made incorrect entries or did not reflect the transaction at all, or filled out the reports incorrectly, this is a mistake. This is indicated in paragraph 2 of PBU 22/2010.*

But in this same paragraph of the PBU there is an important caveat. Inaccuracies and omissions in the recording of business transactions identified when receiving new information are not an error. For example, if a counterparty notifies you that he previously provided you with a primary account with incorrect data, but you have already reflected the transaction in accounting, this will not be recognized as an error. After all, this was not your fault. You won't have to correct the records either.

Causes of errors

Errors can occur for various reasons. There can be five such reasons:*

· incorrectly apply accounting legislation;

· incorrectly use accounting policies;

· admit inaccuracies in calculations;

· incorrectly classify and evaluate the facts of economic activity;

· officials commit dishonest acts.

This is stated in paragraph 2 of PBU 22/2010.

Errors are divided into significant and insignificant. You will have to determine the materiality threshold yourself. After all, there are no limit values provided for in the legislation.

In this case, one must proceed from both the magnitude and the nature of a particular item or group of items in the financial statements. Specify the thresholds for the materiality of an error in the accounting policy (clause 7 of PBU 1/2008, clause 3 of PBU 22/2010).*

For example, you can write down the materiality threshold as follows: “An error is considered significant if the ratio of its amount to the balance sheet currency for the reporting year is at least 5 percent.”*

How to correct significant errors from previous periods in accounting

Correct significant errors from last year that were discovered before the approval of the annual reports for that period using the appropriate accounts of costs, income, calculations, etc.*

If significant errors are identified from previous years, the reporting for which has been signed and approved, make corrections using account 84 “Retained earnings (uncovered loss)” (subclause 1, clause 9 of PBU 22/2010).*

There are two options

Option 1. When, as a result of an error, the accountant did not reflect any income or overstated an expense, make the following entry:

Debit 62 (76, 02...) Credit 84
– erroneously not reflected income (excessively reflected expenses) of the previous year was identified.

Option 2. If, as a result of an error, the accountant did not reflect any expense or overstated income, make the following entry:*

Debit 84 Credit 60 (76, 02...)
– an erroneously unrecorded expense (overly reflected income) from the previous year was identified.

How to correct minor errors from previous periods in accounting

Correct minor errors in accounting. Profit or loss that arises as a result of adjustments should be reflected in account 91 “Other income and expenses”. It does not matter whether the reporting was approved at the time the error was discovered or not. This conclusion follows from paragraph 14 of PBU 22/2010.*

If, as a result of a minor error, the accountant did not reflect any income or overestimated expenses, make the following entry:

Debit 60 (62, 76, 02...) Credit 91-1
– erroneously not reflected income (excessively reflected expense) was identified.

When, as a result of a minor error, the accountant did not record an expense or overstated income, record:*

Debit 91-2 Credit 02 (10, 41, 60, 62, 76...)
– an erroneously unrecorded expense (overrecorded income) was identified.

Correcting minor errors in accounting affects the accounts of the financial results of the current year, but this does not always happen in the tax office. This means that permanent differences will arise that need to be reflected in accounting according to the rules of PBU 18/02.*

There are two options. When income tax was underestimated or overestimated due to minor errors.*

Option 1 – income tax is underestimated. In this case, corrections are made in tax accounting and an updated tax return is submitted for the period in which the error was made. At the same time, additional income tax is charged. However, in accounting this is done by the current period. In this case, a permanent tax asset must be reflected in accounting:

Debit 68 subaccount “Calculations for income tax” Credit 99 subaccount “Permanent tax assets”
– a permanent tax asset is reflected.

Option 2 – income tax is too high. In this case, the accountant himself decides when to make changes or even not to make them at all.

If he corrects the error by recalculating the tax of the current period, then he will make changes in both accounting and tax accounting at the same time. There will be no difference. They will arise only if the accountant decides to submit an updated declaration for the past period or not to make any changes at all. Then the tax profit of the current period will be greater than what will be obtained in accounting. This means there will be a permanent tax liability. Reflect it in accounting as follows:

Debit 99 subaccount “Fixed tax liabilities” Credit 68 subaccount “Calculations for income tax”
– a permanent tax liability is reflected.

This follows from paragraphs 4, 7 of PBU 18/02.