Article 259 of the Tax Code of the Russian Federation. Methods and procedure for calculating depreciation amounts

Depreciable property

Depreciable property is fixed assets (fixed assets) and intangible assets (IF) owned by enterprises and intended for commercial purposes. Wherein:

their useful life (USL) is more than 12 months;
initial cost - more than 100,000 rubles.

Such property also includes capital investments in fixed assets transferred for rent or for free use in the event of inseparable improvements being made by the lessee or the borrower with the consent of the transferring party.

Exceptions:

For a unitary enterprise (UE), the depreciable property will be the property received from the owner of the UE for operational management or economic management.
Property received by the investor from the owner under an investment agreement for the provision of utility services is depreciated from the investor during the period of validity of the investment agreement.

They do not depreciate: land and natural resources (water, subsoil), inventories, goods, unfinished capital construction projects, securities, as well as financial instruments of futures transactions.

The following assets are not recognized as depreciable assets:

transferred (received) for free use (except for transfer to state and municipal bodies and enterprises in cases stipulated by the laws of the Russian Federation);
if they are transferred to conservation for more than 3 months;
if they are being reconstructed or modernized for more than 12 months and are not in use during this time;
Russian ships for the time they are in the Russian International Register of Ships.

When an asset is re-preserved, depreciation is calculated on it in the same way as it was before its preservation, and its useful life is increased by the time corresponding to the time of preservation.

Find out whether to accrue depreciation of fixed assets during non-working days approved by the President of the Russian Federation in connection with the spread of coronavirus infection here.

Shock absorption groups

To calculate depreciation (or they also say “wear and tear”), all property is combined into separate groups according to SPI, which the company determines in accordance with Art. 258 of the Tax Code of the Russian Federation on the date of putting the facility into operation and taking into account the special OS classifier (it is approved by the Government of the Russian Federation). If any OS is not in the classifier, the SPI for it is installed by the company itself, based on the recommendations of the manufacturers and technical parameters.

After the OS is put into operation, its SPI can be increased if, after reconstruction, modernization or technical re-equipment, the actual period of its use has been extended.

Capital investments, the cost of which is reimbursed to the lessee or borrower by the lessor or lender, are depreciated by the latter persons in accordance with the accounting policies and the Tax Code of the Russian Federation.

Capital investments made with the approval of the lessor or lender, the cost of which is not reimbursed by them, are amortized by the lessee or lender over the term of the lease or gratuitous use.

The SPI of an asset is determined based on the validity period of the patent, certificate and any other restrictions on the terms of use of the asset in accordance with the laws of the Russian Federation or a foreign state (according to the ownership of the asset), as well as taking into account its expected period of use. If it is difficult to determine such a period, it is taken equal to 10 years (but not more than the period of operation of the company).

For such NA as, for example, “know-how”, exclusive rights to inventions, audiovisual works, etc., the company itself can determine their PPI (but it cannot be less than 2 years).

All depreciable assets are divided into 10 groups. The 1st category includes the most short-lived ones - from 1 to 2 years of use. The longest STI for objects of the 10th group is more than 30 years.

For used OS, when using the linear method, the SPI is reduced by the number of years (months) of operation by their former owners. If the period of actual use of such an OS by the former owners turns out to be equal to or longer than its SPI, determined by the OS classifier, then the company can itself determine its SPI, based on safety requirements and other factors.

Adjustment of increasing (decreasing) depreciation rates will entail a reduction (increase) of the SPI. However, this does not affect the selection of the depreciation group.

Regardless of which option you choose, depreciation should be calculated every month.

Increasing depreciation rates

Companies can apply a coefficient of no higher than 2 to the basic depreciation rate for property that:

used in aggressive environments and (or) in multi-shift mode. If you calculate depreciation using a non-linear method, then this coefficient cannot be applied to fixed assets of 1 - 3 depreciation groups;
belongs to agricultural companies (poultry farms, fur farms, livestock farms);
belongs to companies – residents of the special economic zone;
refers to objects with high energy efficiency in accordance with the list of such objects established by Decree of the Government of the Russian Federation of June 22, 2015 No. 600;
refers to objects with a high energy efficiency class, if in relation to such objects, in accordance with the legislation of the Russian Federation, the determination of their energy efficiency classes is provided.

A special coefficient of no higher than 2 is applied to the basic depreciation rate of fixed assets used to work in an aggressive environment and (or) increased shifts, provided that these assets were registered before January 1, 2014.

Companies can apply a special coefficient of no higher than 3 to the depreciation rate in relation to property that:

leased out. The acceleration factor cannot be applied to fixed assets of 1–3 depreciation groups, regardless of the depreciation calculation method;
used in scientific and technical activities;
which is used exclusively when carrying out activities related to the production of hydrocarbons from a new offshore hydrocarbon field. This opportunity can only be used by operators of a new offshore hydrocarbon deposit and organizations that own licenses to use the corresponding subsoil area. Moreover, if this property begins to be used in other types of activities before the first day of the month following the month in which the ratio of its residual value to the original cost was below 0.2, the amount of depreciation accrued using a special coefficient is subject to recalculation without applying an increasing coefficient . The resulting difference is included in non-operating income starting from the year in which the coefficient was first applied.

note

The simultaneous application of several increasing factors to the basic depreciation rate is not allowed (clause 5 of Article 259.3 of the Tax Code of the Russian Federation).

PRIMERAO Aktiv purchased a machine for use in its main production. The initial cost of the machine is 120,000 rubles. The useful life is five years (60 months). The machine operates during the day in three shifts. Depreciation for the machine is calculated using the linear method. The depreciation rate for the machine will be: (1: 60 months) × 100% = 1.667%. Since the machine operates in a multi-shift mode, the depreciation rate can be doubled. In this situation, the rate will be: 1.667% × 2 = 3.334%. The amount of monthly depreciation charges will be equal to: 120,000 rubles. × 3.334% = 4000 rub.

The head of the company can independently lower the depreciation rates for a particular fixed asset. The decision to reduce standards must be enshrined in the accounting policy for tax purposes.

Depreciation of used fixed assets

If your company purchased an item of fixed assets that was already in operation (for example, a used car), then its initial cost is determined based on the contractual purchase price and the costs associated with the acquisition.

The amount of depreciation accrued on this fixed asset by the previous owner should not be taken into account.

To charge depreciation on such fixed assets, you must determine their useful life.

note

When determining the useful life of a used fixed asset, one should not take into account the increasing factor applied by the previous owner (letter of the Ministry of Finance of Russia dated March 22, 2011 No. 03-03-06/1/168).

PRIMERAO "Aktiv" purchased a used machine. The cost of the machine under the contract is 120,000 rubles. (without VAT). According to the accounting policy for tax purposes, depreciation on machines is calculated using the straight-line method. According to the Classification of fixed assets included in depreciation groups, the standard service life of such a machine is 10 years. According to the previous owner, the machine has already worked for six years. Therefore, the useful life of the machine will be four years (10 - 6), or 48 months (4 years × 12 months). (1 : 48 months) × 100% = 2.083%. The amount of monthly depreciation charges will be: RUB 120,000 . × 2.083% = 2499.6 rub.

If the used fixed asset item you purchased (including that received as a contribution to the authorized capital or by succession) was used for at least its useful life in accordance with the classification, you can determine its useful life yourself, taking into account safety requirements.

In this situation, you need to take into account the period during which the fixed asset can still work.

Used fixed assets are included in the depreciation group (subgroup) in which they were included by the previous owner (clause 12 of Article 258 of the Tax Code of the Russian Federation).

Depreciation of fixed assets acquired before 2002

Almost every company has fixed assets acquired before January 1, 2002, depreciation for which was calculated according to the old rules - in accordance with the Unified Standards. But, as you know, from January 1, 2002, depreciation for tax accounting purposes is calculated in accordance with the requirements of the Tax Code. The question arises: how to calculate depreciation on “old” fixed assets?

Let’s assume that your organization’s balance sheet includes equipment purchased before 2002. To charge depreciation on this fixed asset according to the new rules, you must determine:

residual value of the fixed asset;
its remaining useful life;
depreciation rate.

Read in the taker

For formulas for determining the residual value and remaining useful life of such a fixed asset, see the berator.

The depreciation rate is calculated depending on which depreciation method - linear or non-linear - is used in tax accounting. This norm applies to the residual value of the fixed asset.

In practice, two situations may arise.

1. The actual service life of the fixed asset is less than the period established by the Classification. In this case, depreciation must be calculated based on the remaining useful life.

2. The actual service life of the fixed asset is longer than the period established by the Classification. Such fixed assets are combined into a separate depreciation group. The depreciation period of such fixed assets must be at least seven years starting from January 1, 2002. However, you can increase this period.

This procedure for calculating depreciation is used only for calculating income tax. In accounting, depreciation is calculated in the same order as before. From January 1, 2002, it is possible to change the useful life in accounting only during reconstruction and modernization. Therefore, in this situation, the company will have to calculate depreciation in accounting according to one standard, and in tax accounting according to another.

EXAMPLE As of January 1, 2002, equipment was listed on the balance sheet of JSC Aktiv. When putting it into operation, according to the Unified Standards, the useful life was set at 10 years (120 months). The initial cost of the equipment was 120,000 rubles. For accounting purposes, “Asset” uses the straight-line method of depreciation. In accordance with the Classification of equipment belongs to the 5th depreciation group. The useful life in this group is from 7 to 9 years. For tax accounting purposes, “Asset” has established the useful life of this equipment as 8 years (96 months). Situation 1 The equipment was put into operation in January 1999. Depreciation began in February 1999. The actual life of the equipment as of January 1, 2002 was 35 months. During operation, depreciation was accrued in the amount of 35,000 rubles. (RUB 120,000: 120 months × 35 months). The residual value of the equipment as of January 1, 2002 was: 120,000 – 35,000 = 85,000 (RUB). The remaining useful life of the equipment will be: 96 months. – 35 months = 61 months. The monthly depreciation amount for tax accounting purposes will be: RUB 85,000. : 61 months = 1393 rubles. Thus, JSC Aktiv in tax accounting will charge depreciation on equipment at 1393 rubles. within 61 months. In accounting, depreciation will be calculated monthly in the amount of 1000 rubles. (RUB 120,000: 120 months) for 85 months (120 – 35). Situation 2 The equipment was put into operation in November 1997. Depreciation began in December 1997. The actual period of use as of January 1, 2002 was 49 months. During operation, depreciation was accrued in the amount of 49,000 rubles. (RUB 120,000: 120 months × 49 months). The residual value of the equipment as of January 1, 2002 was: 120,000 – 49,000 = 71,000 (rubles). In this situation, the useful life determined by the Classification (48 months) will be less than the actual service life of the equipment (49 months) The accountant of Aktiv JSC included the equipment in a separate depreciation group and set the minimum period for writing off the residual value of equipment for profit tax purposes - 7 years (84 months). The monthly depreciation amount will be: 71,000 rubles. : 84 months = 845 rubles. Thus, in tax accounting, Aktiv JSC will charge depreciation on equipment at 845 rubles. within 84 months. In accounting, depreciation will be calculated monthly in the amount of 1000 rubles. (RUB 120,000: 120 months) for 71 months (120 – 49).

Straight-line depreciation method

If for tax purposes you have chosen the linear method of calculating depreciation , you must calculate its amount for each object. To do this, its original (replacement) cost is multiplied by the depreciation rate, which is found as follows:

K = 1/n*100%

Where

K – depreciation rate as a percentage of the original (replacement) cost of the object;

n – SPI of the object per month. (increasing or decreasing coefficients are not taken into account here).

Calculation of depreciation on capital investments in fixed assets using this method begins with the lessor or tenant (under an agreement for the free use of fixed assets) from the 1st day of the month following the one in which the property was put into operation.

Calculation of depreciation for objects removed from the depreciable list ends on the 1st day of the month following the one in which they were removed.

For more details, see the material “Linear method of calculating depreciation of fixed assets (example, formula).”

When returning depreciable objects upon termination of a contract for gratuitous use, as well as when reactivating the operating system and completing the reconstruction (modernization) of the operating system, depreciation is calculated from the 1st day of the next month.

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Methods for calculating depreciation of fixed assets

Fixed assets (FA) include property used for the production and sale of goods (work, services) or for the management needs of the company, the initial cost of which is more than 100,000 rubles.

To calculate OS wear, the law allows you to choose both linear and nonlinear methods.

The initial cost of an asset is defined as the sum of expenses for its purchase, construction, production, delivery and bringing it to a state in which it can be used (excluding VAT and excise taxes). Or as market value, if the OS is transferred free of charge or discovered during inventory.

The residual value of an asset is the difference between its original cost and the amount of depreciation accrued over the period of its operation.

For OS of own production, the cost is determined as the cost of the finished product, increased by excise tax (if the OS relates to excisable goods).

As a general rule, the residual value of fixed assets, for which depreciation is found in a non-linear way, is determined as follows:

Sn = S * (1 - 0.01 * k)n

Where

Sn is the residual value of objects after n months after their inclusion in a particular group;

S – initial (replacement) cost of fixed assets;

n – the number of full months that the fixed assets were in a particular group, excluding months when the fixed assets were not depreciable;

k – depreciation rate (taking into account an increasing or decreasing coefficient).

The initial cost of an asset may change in cases of its modernization, completion, additional equipment, reconstruction, technical re-equipment, partial liquidation and other significant changes.

See also “Modernization of fixed assets - accounting and tax accounting”.

Depreciation and amortization: fixed or variable costs, profit, asset and liability

The foundation of a company, on which its stability completely depends, is fixed capital. It includes buildings and structures, equipment, transport and other expensive assets. Closely related to fixed capital are concepts such as depreciation and amortization. They are often confused, so we will look at their main differences, as well as the roles they play in the activities of the enterprise.

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General information

All property purchased by the company is subject to wear and tear. It means the gradual loss of fixed assets (OS) of their original properties and functions.

There are two types of wear:

physical , implying the physical destruction of objects under the influence of their active exploitation or the forces of nature;
moral , associated with the development of new technologies in the production of equipment and other types of operating systems.

Their main difference is that, due to complete physical wear and tear, objects can no longer function properly, and with obsolescence, the OS could still be used in activities, but this no longer becomes relevant and threatens to lag behind in the competition.

It is the susceptibility of property to various types of wear and tear that makes it necessary to apply the depreciation process to fixed assets.

With its help, an enterprise can gradually return the funds spent on the acquisition or construction of objects by including them in small amounts in the cost of manufactured products or services, or in costs in the case of trading companies.

This need arose due to the fact that the cost of the operating system is quite high, and its one-time inclusion in the cost or expenses is not possible.

The concepts of depreciation and amortization are closely related to each other also because without assessing the rate of wear and tear it is impossible to calculate monthly depreciation charges. The calculation of depreciation is based on the useful life of the property, which refers to the period of operation of the objects until they are completely worn out.

Differences between them

The difference between wear and depreciation is the following:

Their functions are completely opposite. Under the influence of wear and tear, fixed assets lose value, but depreciation, on the contrary, allows their value to be restored.
Depreciation does not allow the redistribution of lost value, and in the process of depreciation, the value written off in parts is included in the cost of products or services.
These concepts are applied in different fields. Depreciation is an integral part of accounting and tax accounting, and depreciation is calculated in order to analyze the company’s activities, as well as to assess the cost of assets being sold.

Thus, despite the close connection of these concepts, they are not interchangeable. Next, we will consider other important nuances regarding accounting for depreciation in an enterprise.

Nature of depreciation costs

As has been mentioned more than once, monthly depreciation payments must be included in the cost of production. In this regard, they can be classified in the same way as other production costs.

According to the first classification, reflecting the dependence of costs on production volumes, there are:

variables , the size of which increases in proportion to the volume of output;
constants , which are not affected by output volume in any way.

The nature of depreciation costs will depend on the method of their calculation.

When using the method of writing off costs in proportion to production volumes, these will be variable costs, since the amount of depreciation charges is recalculated monthly based on the number of units produced by the enterprise.

When using all other accrual methods, payments for depreciation are the same size from month to month, and therefore are classified as fixed costs.

Another classification allows you to divide costs based on whether they relate to the production of a specific type of product or relate to the activities of the company as a whole. These are the following types of costs:

direct , related to the cost of a particular type of product;
indirect , which cannot be directly included in the cost.

Here, the type of depreciation costs depends on the role that the depreciated equipment plays in production.

If the cost of a machine used for only one specific type of product is recovered, this will be a direct cost.

If general workshop equipment is being depreciated, then these costs will have to be distributed in proportion to some other expenses, for example, the earnings of workshop workers. Such costs will already be indirect in nature.

Reflection Rules

Depreciation is reflected in accounting on the credit of accounts “02” and “05”, according to which the gradually written-off cost of fixed assets and intangible assets accumulates. These accounts are passive, but this does not mean that depreciation must be shown in the liability side of the balance sheet.

The rules for reflecting depreciation costs in the balance sheet are specified in PBU4/99.

Paragraph 35 of the regulation establishes that all indicators must be included in the balance sheet only in a net assessment, that is, it is necessary to subtract regulatory values from them.

Thus, the amount of accumulated depreciation is not reflected separately in the balance sheet. It is used only to reduce the cost of fixed assets and intangible assets included in the asset (accounts 01 and 04).

Including depreciation in the income statement

Depreciation, like other types of expenses, must be reflected in the income statement. The report form involves dividing expenses into several categories. Depreciation charges can fall into any of them, depending on the nature of the use of the property for which they are charged:

If depreciable objects serve directly for production purposes, depreciation must be reflected in the line “Cost of sales” (clause 5 of PBU 10/99).
When calculating depreciation on fixed assets and intangible assets used in trading activities, these amounts are reflected in the line “Business expenses”.
Depreciation on property used for general business purposes is entered in the line “Administrative expenses” (clause 7 of PBU1/2008).
For facilities involved in non-core activities, depreciation is reflected in the line “Other expenses” (clause 11 of PBU 10/99).

The presence of depreciation amounts in the financial statements, even if not directly, as is the case in the balance sheet, is another distinctive feature that allows us to distinguish between the concepts of depreciation and depreciation. This once again proves the differences in the scope of their application and the inadmissibility of mixing these terms.

Earnings before interest, taxes, depreciation and amortization are described in this video:

Source: https://uriston.com/kommercheskoe-pravo/buhgalteriya/vneooborotnye-aktivy/amortizatsiya/i-iznos.html

Depreciation and income tax

Depreciation allows you to write off the cost of property according to norms determined by law as expenses for income tax purposes. In this case, as already mentioned, it is calculated separately for each depreciation group (this is in the non-linear method) or separately for each object of the depreciable asset (linear option).

When selling a depreciable asset, the resulting profit is included in the income tax base in the same reporting period, and the loss is included in other expenses in accordance with Art. 268 NK.

The company can take into account the costs of capital investments in the following amounts in the costs of the reporting period: no more than 30% of the initial cost of fixed assets from groups 3–7 and no more than 10% of the initial cost of fixed assets from other groups. The same rules apply to the costs of completion, additional equipment, reconstruction, modernization, technical re-equipment, partial liquidation of fixed assets, the amounts of which are determined in accordance with Art. 257 Tax Code of the Russian Federation.

If the company decides to use these opportunities, the fixed assets, after they are put into operation, must be included in depreciation groups at their original cost minus the amounts previously allocated to expenses.

Direct and indirect expenses in tax accounting (nuances)

Content:

Direct expenses in tax accounting can be interpreted quite broadly. This opportunity is given to the taxpayer by the Tax Code of the Russian Federation. Let's consider how this can be used for the purpose of bringing accounting (AC) and tax (TA) accounting closer together.

Direct and indirect expenses in tax accounting

Principles of dividing expenses in accounting

Actions to bring BU and NU closer together

Results

Direct and indirect expenses in tax accounting

Art. is devoted to the issues of dividing expenses into direct and indirect for the purposes of NU. 318 of the Tax Code of the Russian Federation, which obliges, when applying the accrual method, to divide production and sales costs into these 2 types of expenses.

Indirect expenses are allowed to be fully attributed to the reduction of the tax base for profits in the period of their occurrence, and direct expenses will reduce this base as the products (works, services) to which they relate are sold.

The exception here is the provision of services, which makes it possible to take into account direct costs of services in the same manner as indirect ones.

Note!

Thus, direct expenses in NU, in contrast to indirect ones, will form not only the cost of sales, but also the tax value of work in progress, as well as unsold finished products.

Such an impact on the profit base requires a careful approach to the issue of justifying the division of costs into direct and indirect. The right of such division Art. 318 of the Tax Code of the Russian Federation is left to the taxpayer, recommending that the following be taken into account as part of direct expenses in tax accounting :

basic materials needed for production;
salaries of key production personnel involved in the production process;
accruals on the salaries of key production personnel;
depreciation of fixed assets used in production.

All other expenses can be considered indirect for NU purposes.

Principles of dividing expenses in accounting

The list of direct costs given in Art. 318 of the Tax Code of the Russian Federation, corresponds to the concept of similar expenses for accounting purposes.

The accounting system defines these expenses as directly related to the production process (Chart of Accounts, approved by order of the Ministry of Finance of the Russian Federation dated October 31, 2000 No. 94n), allocating certain accounting accounts for them (20, 23, 29).

Other costs associated with production and sales in BU, as well as in NU, will be indirect. Their accounting accounts (25, 26, 44) must be closed monthly.

However, unlike NU, not all indirect expenses can be immediately attributed to the financial result in the period of their occurrence. The obligation to do this is only for the portion of sales expenses (commercial) collected in account 44.

For account 26, which accumulates general business expenses, 2 methods of closing are allowed, of which 1 allows the entire amount generated in the account to be immediately attributed to the financial result, i.e. taken into account in the same way as in the NU.

Read more about this method of closing account 26 in the article “Margin method of cost accounting - how to apply?”

But closing account 25, which collects costs associated with production (general production expenses), is possible only in one way: by distributing it to the cost of production.

Therefore, the accounting values of the cost of sales, the cost of work in progress and unsold finished products will necessarily include direct production costs and indirect general production costs.

The cost price, consisting of such a set of expenses, is called production.

Actions to bring BU and NU closer together

So, NU makes it possible to take into account a larger amount of expenses in the cost of sales than in the accounting book. What will be the winnings? Not very significant because:

it will be created by those amounts of indirect costs that in accounting will be included in work in progress and unsold finished products, and their share in comparison with the total cost of sales is, as a rule, small;
in fact, it will appear only in the first tax period, and then the amounts of indirect costs taken into account in the cost, in accounting and tax accounting, will be approximately the same until the period in which production ceases altogether.

Differences in cost will have to be very convincingly justified, since they are reflected in the amount of income tax. The tax authorities, insisting on such justification (letter of the Federal Tax Service of the Russian Federation dated February 24.

2011 No. KE-4-3/ [email protected] ), give the wording “related to production” in relation to expenses, essentially referring to the definition that is used in accounting to indicate production costs.

That is, the inclusion in NU as direct expenses of those that characterize production costs in the accounting system will not raise objections from the tax authorities.

And in taxpayer accounting, such an action will allow you to avoid tax differences or at least make it possible to confidently control them.

The most important!

While with different cost estimates for NU and BU, there will be many problems with taking into account and controlling tax differences.

Thus, by bringing closer the assessment of direct costs in accounting and financial accounting, it is possible to achieve a positive result in the following points:

minimize differences between the data of 2 records;
avoid disagreements with tax authorities in assessing the cost of sales.

For the purpose of bringing together the data of NU and BU, you should:

in the accounting system, in relation to the write-off of expenses collected on account 26, adopt a method of simultaneously attributing them to the financial result;
in NU, a list of direct expenses should be determined in a composition equivalent to the accounting production cost, including for services.

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To learn about what costs form the production cost in accounting, read the article “What costs does the production cost of products include?”

Results

the composition of direct expenses in tax accounting independently.

However, establishing direct expenses in the minimum allowable amount will lead to both objections from the tax authorities and a loss of control over the process of forming differences between accounting and accounting data.

To avoid this kind of consequences, the accounting system should establish direct costs equal to the cost, defined in the accounting system as production.

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Basic methods of calculating depreciation in accounting policies

You can choose the method of calculating depreciation for the next tax period, reflecting it in your UP. True, this is not always possible: this rule does not apply to assets that, according to the Tax Code of the Russian Federation, are depreciated exclusively using the straight-line method and no other way. In addition, it is even allowed to change the method of calculating depreciation - this can be done from the beginning of the next tax period. However, it is allowed to switch from a non-linear option to a linear one no more than once every 5 years.

When changing the depreciation method in the UP, you will need to determine the SB by the residual value of your depreciable property (or the residual value of the asset) as of the 1st day of the tax period from the beginning of which you made changes to the UP. Then the depreciation rate for each object will be determined based on its remaining SPI, calculated on the 1st day of the tax period, from the beginning of which the use of the linear method is fixed in the UE.

Depreciation charges are a constant part of accounting costs

A specific rate of distribution of funds – depreciation costs – has a significant impact on the final result of the financial activity of an enterprise. These deductions, along with the share of profit that remains within the organization, relate to its own internal sources of financial resources (investments).

Basic definitions

The gradual transfer of the value of tangible assets to the final cost of goods produced by an organization is called depreciation. This accounting scheme ensures, regardless of moral and material wear and tear, the preservation of:

Integrity of fixed capital;
The total value of tangible assets.

The use of funds from the depreciation fund (FA) must be targeted and directed to:

For capital construction;
For the repair of fixed assets (real estate, structures, vehicles, equipment, production facilities and office equipment);
To modernize production.

The use of the depreciation method (JSC) by enterprises makes it possible to:

Preserve financial resources within the enterprise;
Reduce the amount of taxation.

An enterprise can gradually accumulate financial resources for the modernization and repair of production or office fixed assets and equipment. An organization has the right to choose the following accounting methods independently, based on the principles of optimal use of fixed assets and compliance with state regulations:

Straight write-off;
Reducing balance method;
Annuity method;
The method of transferring funds is proportional to the degree of loading of funds;
Accelerated depreciation.

If a market situation arises (competition, changes in legal and trade regulations) leading to a decrease in the price of a product and an increase in the period for writing off fixed assets to depreciation, it is more appropriate for an enterprise to pursue a policy of rational use of assets, thereby extending their service life.

Annuity method

With this method of accounting for depreciation of fixed assets, the percentage of monthly transfer is determined depending on the object. The accrual is made every year on the initial cost of the structure, equipment, and office equipment. The calculation may be adjusted over time.

Proportion method

The transfer of funds to the cost account occurs during the period when equipment, machinery or production capacity is loaded.

Straight write-off

The straight-line method of accounting for depreciation of fixed capital implies uniform (equal shares, monthly) write-off of the designated depreciation percentage (%A) throughout the entire period of operation.

The advantage of this method is the simplicity of calculations, and the disadvantage is “neutrality” in relation to scientific and technological progress.

With uniform write-off, depreciation rates are built without taking into account the age of the equipment (new or old) that is used. In this case %A is the same.

In modern conditions, fixed capital quickly ages (for example, computer equipment), both morally and technologically (physically). To correctly and optimally account for the fact of depreciation, the “accelerated depreciation” (AC) method is used.

Accelerated depreciation

The idea of this method is that in the first years of operation of new means of labor, a part of their cost is written off as costs, significantly exceeding what could be in the case of proportional write-off throughout the entire service life.

An example of calculating the operating balance using the reducing balance method:

Conclusion: with a depreciation rate of 25% per year, in the first two years the enterprise will receive significant additional internal resources to invest in capital repairs, construction or the purchase of new equipment.

The main benefits of using the accelerated method of calculating depreciation costs include the following facts:

Insurance against losses – depreciation of fixed capital under the influence of scientific and technological progress;
Increased competitiveness - the accelerated accumulation of most of the FA in the first two years allows you to purchase higher quality, high-tech equipment with increased productivity;
The released monetary resources can be used in any area of business as entrepreneurial income;
The rapid transition of fixed capital into cash equivalent attracts entrepreneurs to investments as a source of accumulation.

An accelerated method for creating FA will allow you to reduce the costs of the technological process and improve the quality of the final product.

The relationship between the selling price of a product and depreciation

Let's look at how FA is related to the price of the final product using an example:

The company purchased a grinding machine at a price of 100 thousand rubles. The service life of such equipment is 10 years. According to the accounting policy of the enterprise, a certain percentage is written off monthly to FA.

After 10 years, the organization can sell the machine at a residual value of, for example, 30 thousand rubles.

The company has the opportunity to purchase new equipment using funds from the FA (which includes a percentage of the cost of the machine), which is repaid through the pricing of the final product.

How is the depreciation percentage calculated?

%A is influenced by two factors:

Market (competition, changes in market situation, force majeure);
Wear and tear (moral and physical).

The percentage that determines the monthly amount of transfer of fixed assets to account for costs is otherwise called the depreciation rate.

Let's look at an example of how to calculate %A:

The company purchased a car for 500,000 rubles, with a warranty period of 5 years. First, we find the total amount of depreciation charges per year:

JSC (year) = 500,000 / 5 years = 100,000 rubles.

The following is the depreciation rate:

NA = 100,000 / 500,000 * 100 = 20%.

The role of the state in the process of establishing depreciation rates is twofold. On the one hand, depreciation deductions are not taxed. On the other hand, it indirectly controls the process of updating materially or physically obsolete fixed assets at the enterprise (for example, it sets the depreciation percentage not 5%, but 25%).

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Source: https://buh-spravka.ru/buhgalterskij-uchet/amortizaciya-iznos-os/amortizacionnye-izderzhki.html

Which method should you choose?

Let's analyze the features of each method using a specific example. Let's assume we have an OS worth 110,000 rubles. and SPI 9 years (108 months). Then the coefficient K for the linear method will be 0.925926, and depreciation will be accrued in equal amounts over 9 years and will amount to 1,018.52 rubles. per month.

With the nonlinear method, our OS will fall into the 5th group with a coefficient K equal to 2.7. For him, depreciation in the first month will be 2,970 rubles, after a year - 2,138.51 rubles, after 4 years - 798.31, and after 5 years and 3 months the residual value in the amount of 19,611.09 can generally be written off to one-time expenses. Thus, the nonlinear method is characterized by a more accelerated write-off of the value of property as expenses than the linear one.

If a company plans to receive stable income over a long period of time, the straight-line depreciation method will be more optimal for it. If a company was created for a specific transaction or the prospects for its activities are vague, then it is quite logical to choose a non-linear method.

Results

The methods for calculating depreciation in tax and accounting are not the same. So, in the first case, according to the Tax Code of the Russian Federation, the main methods of calculating depreciation are only linear and non-linear. And in the second, according to PBU 6/01 for OS and PBU 14/2007 for NA, greater diversity is expected in this matter - this could be a way:

linear;
reducing balance;
write-off of cost based on the sum of the numbers of years of SPI;
write-off of cost in proportion to the volume of products (works).

We see that the only way that brings the two types of accounting closer together is linear. However, based on the specifics of its activity, each company determines for itself the most suitable option for calculating depreciation, both in accounting and tax accounting, and, above all, based on its economic feasibility.

Sources:

Tax Code of the Russian Federation
PBU 6/01, approved. by order of the Ministry of Finance of Russia dated March 30, 2001 N 26n
PBU 14/2007, approved. by order of the Ministry of Finance of Russia dated December 27, 2007 N 153n

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