What does line 1520 of the balance sheet consist of

What does accounts payable consist of on the balance sheet?

The company's creditors are usually the organizations with which it is in contact:

counterparties – suppliers, customers, contractors, lessors, insurers, etc.;
regulatory authorities, state budget and extra-budgetary funds.

Due to accounting rules, the company's personnel periodically become creditors, since accrued salaries are issued the following month. Accounts payable may also include accountable amounts when the MOL acquires value or services for the business needs of the company, exceeding the amount of advances issued.

In addition, this block of obligations includes invoice amounts for supplies on credit or in installments due for receipt in the future.

Accounts payable: line in the balance sheet

In which section of the balance sheet are accounts payable shown? Like all the company's liabilities, it is recorded in the liabilities side of the balance sheet. She is assigned line 1520 in the fifth section of the passive. This line generates data on debt generated at the end of the reporting period. These liabilities have a maturity of no more than 12 months and are therefore classified as short-term.

Long-term accounts payable occupies a separate fourth liability section on the balance sheet, separated from short-term liabilities. This includes the amount of loans and credits taken out by the company for a long period (more than 1 year), estimates, and other liabilities.

Unlike debts to creditors, accounts receivable are indicated on the asset side of the balance sheet, since they represent a share of the company’s property that belongs to it, but is temporarily held by other enterprises. Subsequently, the debts of the debtors are paid in money or in supplies/services (depending on the terms of the contracts).

Let's return to line 1520. It summarizes the final credit balances of the accounts:

sch. 60 “Settlements with suppliers/contractors” for amounts for goods and materials/services purchased but not yet paid for by the company;
sch. 62 “Settlements with buyers/customers” for received advance payments against agreed future deliveries;
sch. 68 “Calculations for taxes/fees” for taxes intended for payment to the budget;
sch. 69 “Calculations for social insurance and social security” for accrued contributions for payment to the funds;
sch. 70 “Calculations for wages” based on the amounts of salaries of company employees calculated for payment;
sch. 71 “Settlements with accountable persons” for amounts paid by financially responsible persons for the MC purchased by them as part of the overexpenditure of the advance advance issued;
sch. 75 “Settlements with founders” for calculated but not yet issued dividends;
sch. 76 “Settlements with other debtors/creditors” for other debts. For example, it may include the amount of penalties imposed for violation of the terms of agreements.

In other words, the composition of accounts payable on the balance sheet is very diverse and combines a whole block of calculations that are typical for any enterprise.

Debts of the founders

• a report on shares and bonds issued by the issuer, broken down by issue, type of securities, indicating the number and date of state registration of the issue of securities; volume of issue (at nominal value); number of issued securities; denomination; the number and value of placed securities of this issue as of the last reporting date, as well as the amount of receivables of the founders (shareholders) for placed securities as of the last reporting date; data on the amount of income paid for the reporting year on securities; a list of exchanges that have included securities of this issue in their listing, indicating the volume of transactions on securities, the minimum and maximum transaction prices;

If the net assets are less than the amount of the authorized capital, the joint-stock company is obliged to reduce its authorized capital to the amount of its net assets, and if the net assets are less than the established minimum amount of the authorized capital, then in accordance with the current legislative acts the company is obliged to decide on self-liquidation. If the ratio of net assets and authorized capital is unfavorable, efforts should be aimed at increasing profits and profitability, repaying the debt of the founders for contributions to the authorized capital, etc.

Features of the formation of accounts payable

When preparing a balance sheet, the accountant does not have the right to roll up the amounts of receivables and payables. The debt (even if there is a debit and credit balance for one counterparty) should be indicated in detail: in the assets of the balance sheet - receivables, in liabilities - accounts payable.

All amounts of short-term accounts payable are detailed by type and structure (for example, to suppliers, budget, funds). Such analytical information is indicated in sections 5.3 and 5.4 of the explanations to the balance sheet. In them, receivables and payables are described in detail, since the balance sheet records only the total amount of debt at the end of the period for all short-term liabilities.

Calculations for taxes and duties: invoice

Accounting for calculations of taxes and fees is regulated by legislative norms and current regulations. In accounting, all taxes and established fees are recorded on account 68 “Calculations with the budget for taxes and fees ”, where for each of them a sub-account is specially opened that combines analytical information. Account 68 is intended to summarize in general information on taxes paid by the company, as well as by the company’s personnel. Note that only in VAT accounting, in addition to 68, account 19 is also used. With its help, input VAT on purchased values is reflected.

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The taxation system chosen by the enterprise dictates the calculation of this or that tax, but they are all taken into account according to one rule: accruals payable to the budget are recorded as a credit to account 68, and the transfer of payments for them, i.e. payment, is recorded as a debit. Analytics is necessarily carried out by type of tax deductions, providing the ability to obtain operational information on made, overdue or deferred payments, as well as accrued fines and penalties.

Depending on the type of fees, the corresponding accounts to the 68th account may be:

accounts of production costs when calculating taxes included in the cost of manufactured products/services (transport, land, water, fees for environmental emissions, for the purchase of vehicles, etc.) – D/t 08/20/23/25/26/ 29/44/97 – K/t 68;
profit before tax (when property taxes, advertising tax, etc. are calculated) D/t 91 – K/t 68;
sales accounts and other expenses (when calculating VAT, excise taxes) D/t 90.91 – K/t 68;
effective accounts (when calculating income tax) D/t 99 – K/t 68;
income accounts of individuals (when paying personal income tax) D/t 70 – K/t 68;
accounts for other expenses or compensation for damage when calculating penalties for non-payment or partial payment of taxes: D/t 91 (73 for personal liability) - K/t 68. By recording D/t 91 - K/t 68, payment of the state duty is made for consideration of the case in court

To transfer the payment, an entry D/t 68 – K/t is drawn up. The entry D/t 51 – K/t 68 reflects the amounts returned for overpayment of taxes.

When summing up the results for the period under review, the balance of account 68 for individual subaccounts can be expanded, i.e., debit and credit. This is often necessary to make the data provided to users more informative.

What applies to the creditor

In addition, accounts payable may include:

debts to suppliers for work, goods, services;
advances received from buyers and customers;
overpayment of taxes, insurance premiums, fees;
unpaid wages to employees;
duty to the accountable person;
obligations to other creditors.

Accounts for accounting

To carry out payments to the creditor, the Chart of Accounts approved at the legislative level is used. In accounting, these types of debts accumulate in the following accounts:

60 “Settlements with suppliers and contractors”;
62 “Settlements with buyers and customers”;
70 “Settlements with personnel for wages”;
71 “Settlements with accountable persons”;
73 “Settlements with personnel for other operations”;
75 “Settlements with founders”;
76 “Settlements with various debtors and creditors”;
68 “Calculations for taxes and fees”;
69 “Calculations for social insurance and security.”

How to write off accounts payable

When writing off overdue debts, non-operating income is used in tax accounting, since, in fact, the company made a profit without repaying its debts. Postings for write-off:

Debit 60, 62, 70, 71, 76 Credit 91.1 “Other income” - the creditor for the counterparty is written off.

Note from the author! If the creditor sues the organization or signs a reconciliation report, the debt can be restored to the books.

The creditor may be written off after the expiration of the limitation period, which is determined by Art. 196 of the Civil Code of the Russian Federation, over 3 years. The onset of delay is considered to be the day of violation of the terms of the contract for payment or shipment of goods.

The company paid an advance in the amount of:

1,500,000 * 40% = 600,000 rubles.

The unpaid balance was:

1,500,000 - 600,000 = 900,000 rubles.

The certificate of completion of work was signed on 01/30/2018, which means that the debt must be repaid by 02/07/2018. However, the company’s bank account did not have enough funds, so it paid only on February 16, 2018. The delay is calculated in calendar days. Payment to the creditor was delayed by 10 days.

Uninvoiced deliveries

It often happens that goods (raw materials, supplies) are received from sellers without accompanying documents - a sales note or a waybill. Such deliveries are called uninvoiced, and in order to reflect such a supply in accounting, the buyer’s accountant must independently draw up an acceptance certificate. It is best to draw up the act in the unified form TORG-4 or M-7. The cost of the accepted valuables in the act is indicated at the book value without VAT - under the contract or based on previous deliveries (clause 39 of Order No. 119n dated December 28, 2001).

If later, according to the invoice received from the seller, a discrepancy between the delivery price and the accounting price is revealed, adjustment entries are made in accounting for the amount of the difference in prices (clause 40 of Order No. 119n dated December 28, 2001, clauses 2 and 4 of PBU 21/2008).

Postings for adjusting the value of the invoice:

The invoice price is higher than the registered price:
Dt 90 Kt 60 - the cost of goods transferred or sold on the date of receipt of the invoice has been increased, but in the current year;
Dt 91 Kt 60 - the cost of goods transferred or sold on the date of receipt of the invoice, but in the past year, has been increased.
The invoice price is lower than the registration price:
Dt 90 Kt 60 - reversal for the amount of the difference in price. The cost of goods transferred or sold on the date of receipt of the invoice, but in the current year, has been reduced;
Dt 60 Kt 91 - the difference in price reflects the profit of previous years, identified in the reporting for goods transferred into production or sold in the past year.

In tax accounting, when calculating income tax, the cost of uninvoiced supplies cannot be taken into account as expenses, since these are not expenses confirmed by documents. Therefore, under OSN, such supplies are recognized as expenses for tax accounting purposes on the later of the dates.

VAT can be deducted only after receipt of the invoice.

When applying the simplified tax system, such goods are taken into account in expenses if two conditions are met: the documents were received from the seller and the delivery was paid for (clause 2 of article 346.16, clause 2 of article 346.17 of the Tax Code of the Russian Federation).

Reflection of the creditor in the reporting

Drawing up a “Balance Sheet” report at the end of the financial year is the direct responsibility of each organization. The creditor in Form No. 1 is reflected in the liability side of the balance sheet in the following sections:

"Short-term liabilities";
"Long term duties".

How to take into account debt by maturity

The difference between the sections lies in the assessment of the timing of accounts payable. The company's debt for more than 12 months must arise in “Long-term liabilities”. Accordingly, if the creditor is less than or equal to 12 months, then it is shown in “Short-term liabilities”. Repayment periods are calculated according to the terms of agreements with creditors, with the exception of calculations:

With a budget.
With extra-budgetary funds.
With staff.

Payment of taxes and insurance premiums is regulated by federal and regional legislation, depending on the type. Accumulation of tax liens can lead to bank account seizure and company bankruptcy.

As for settlements with staff, delays in wages entail financial and criminal liability. This is established by Federal Law No. 272-FZ and the Labor Code.

Settlements with founders

Accounts payable". In particular, this article may reflect the organization’s debt on payments for compulsory and voluntary insurance of property and employees of the organization and other types of insurance, debt on contributions to extra-budgetary and other special funds (except for funds, debt on contributions to which is reflected under the article “Debt”) to state extra-budgetary funds"), the amount of rental obligations of the rental organization for fixed assets transferred to it on a long-term lease, etc. The amount on line 625 can be made up of the balance on accounts 62 (advances received), 76 (except for amounts reflected in other lines of the balance sheet), 71, 73. According to the general rules for preparing financial statements, significant indicators must be disclosed separately, i.e. either highlighted as a separate line or reflected in the notes to the balance sheet.

Income and expenses are brought into the balance sheet. A balance sheet is a way of grouping the assets and liabilities of an organization in monetary terms, designed to characterize its financial position as of a certain date, an element of financial reporting. It has the form of a two-sided table: one side is assets, that is, claims and investments, the second is liabilities, that is, liabilities and capital. The main property of the report is that total assets are always equal to total liabilities. This is due to the fact that when reflecting transactions on accounts in the balance sheet, the principle of double entry is observed. [edit] Classification of assets and liabilities Assets and liabilities are usually divided into current and long-term. In international practice, assets on the balance sheet are listed in order of their liquidity. Claims are listed in the order in which they must be paid. Requirements for liabilities are divided into two types: Liabilities - those funds owed by the company for which the balance sheet is prepared Shareholders' equity In accordance with RAS, assets are divided into: Non-current Intangible assets Fixed assets Construction in progress Income investments in tangible assets Long-term financial investments Deferred tax assets Other non-current assets Current Inventories Value added tax on acquired assets Accounts receivable (payments for which are expected more than 12 months after the reporting date) Accounts receivable (payments for which are expected within 12 months after the reporting date) Short-term financial investments Cash Other current assets In accordance with RAS, liabilities are divided into: Capital and reserves Authorized capital Own shares purchased from shareholders Additional capital Reserve capital Retained earnings (uncovered loss) Long-term liabilities Loans and credits Deferred tax liabilities Other long-term liabilities Current liabilities Loans and credits Accounts payable Debt to the participants (founders) for the payment of income Deferred income Reserves for future expenses Other short-term liabilities

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