76 accounting account balance sheet is used to summarize information on settlements with creditors and debtors, which are not mentioned in accounts 60-75. Let us further consider what information is reflected in it. The article will also provide examples of entries and clarifications will be given to them.
General information
Account 76 shows the calculations for:
- Personal and property insurance.
- Claims.
- Amounts deducted from the salary of employees in favor of other persons or organizations according to executive documents, court orders, etc.
Score 76: subaccounts
It may open articles on calculations for:
- personal / property insurance (76.1);
- claims (76.2);
- due dividends and other income (76.3);
- deposited amounts (76.4).
Insurance payments
On subaccount 76.1 reflect the calculations for insurance of personnel and property. The exception is the amount of compulsory medical insurance and social payments. Calculation of contributions is reflected in K-tu 76 in correspondence with the articles of accounting for expenses on production (sale) or other sources of insurance payments. The transfer of amounts in favor of organizations is made by debit. Account 76 in this case corresponds to the items fixing the cash. In D-those, losses are written off for insured events. For example, they may be associated with the deterioration and destruction of finished products, inventories, and other material assets.
The write-off is carried out with K-t accounting for fixed assets and so on. D-tu also reflect the amount of insurance compensation, which is laid down in the contract in correspondence with bills 73. The latter records the calculations with the staff for other operations. The amount of compensation that the organization receives from insurance companies under contracts is transferred to Dt (account 51 or account 52), as well as Kt (account 76). Uncompensated losses from insured events are deducted from the credit of the article for settlements with various debtors / creditors in the account. 99. The analytical accounting of subaccount 76.1 is kept under separate contracts and insurers.
Claims
They can be presented to transport and other organizations, suppliers, contractors. On subaccount 76.2 also reflect the amount of recognized / awarded forfeits, fines and penalties. On the debit fix calculations on claims:
- To contractors, suppliers, transport and other companies for discrepancies in tariffs and prices due to agreements revealed during the audit, if arithmetic errors are detected. Postings to account 76 in this case are in correspondence with the account. 60 or with articles on inventories, goods and related costs, if overstatements and tariffs or errors were identified after making entries on inventory or costs.
- To suppliers of goods, materials and processing organizations for identified non-compliance with quality specifications, standards, and orders. Calculations reflect in correspondence with sc. 60.
- To suppliers, transport and other companies for identified shortages of goods in excess of the amounts established by the contract. Amounts are also shown in correspondence with the account. 60.
- For downtime and marriage arising from the fault of contractors / suppliers. Reflection is carried out in the amounts that were awarded by court order or recognized by payers. Postings are in correspondence with the accounts for the accounting of production costs.
- To credit companies for amounts debited / transferred by mistake. They are reflected in correspondence with accounts for loans and cash.
- For fines, penalties, fines exacted from contractors / suppliers, buyers / consumers, customers for violation of contractual obligations. Amounts are reflected in the amounts recognized by the payer or awarded by the court.Recording is carried out in correspondence with sc. 91.
Account 76 is credited to the amount of the payments made with entries for cash flow items. Amounts, which, as it turned out later, are not recoverable, are, as a rule, credited to the accounts from which they were registered for debit. Analytical records are kept for each claim and individual debtor.
Dividends and other income
On subch. 76.3, among other things, take into account calculations for losses, profits and other results by agreement of a simple partnership. Amounts to be distributed / received are reflected in the D-th account. 76 and K-th. 91. Assets that are received by the enterprise as profit are recorded according to the D-th account. 51 and others, as well as on the K-th of articles on settlements with different creditors / debtors.
Amounts deposited
By subch. 76.4 reflect calculations with employees of the enterprise on accrued but not paid funds (due to the non-appearance of recipients). The deposited amounts are recorded according to the K-th of the article on settlements with creditors / debtors and D-th account. 70. When paying the specified funds make a record on the D-th account. 76 and K-tu accounts for the accounting of money.
Specificity
Account 76 separately records settlements with various debtors / creditors within the group of interconnected enterprises, for the activity of which consolidated reporting is generated. The new plan notes a significant expansion of the functions of this article. Of all the others, account 76 is used most often. This is due to the fact that most of the calculations go through it. The number of records it contains prompted the developers of the plan to open several sub-accounts for it. Each of them should be intended for specific calculations.
Prepayments and advances VAT
They are reflected in the account 76.A. This article is used to summarize information on the calculation of the amount of value added tax on payments made in advance. In the analytical account 76.AB make entries for customers and customers who transferred payments for the upcoming shipment of products, goods, work or services. In addition, this article reflects the amount according to the documents of receipt of advance payment. Each customer and buyer, for which entries are made to the account 76.AB, is an element of the "Contractors" directory. The plan also provides for an article on VAT on advances paid and prepayments. The information on these amounts is reflected in account 76.ВА
Examples
Consider accounting entries. 76 account, as mentioned above, reflects the amount of the calculations for personal / property insurance. Obligations are recorded by:
- D 26, 91.2, 44 and so on.
- Set 76.1.
Insurance payments reflect:
- Dr. 76.1.
- Set 51.
If an insured event occurs, the developers of the plan offer to write off the deceased property at the expense of insurers. But this action is true in cases where the latter recognize their obligations immediately after the occurrence of the event. As a rule, in reality this does not always happen. Often, the moment of recognition may be extended for a long period or the dispute may go to court. In this regard, before the forced / voluntary consent to the repayment of obligations by insurers, the deceased values are accounted for on account. 94. Only after the recognition of responsibility by the organization, you can record:
- Dr. sch. 76.1.
- Kt sc. 94.
If the insurer repays the obligation in part or does not repay it at all, the transaction is compiled:
- D 99.
- Set 94.
Reimbursement should be arranged as follows:
- D 51.
- Set 76.1.
As for payments for personal insurance of an employee at the expense of his salary, the accrual and fulfillment of obligations is made out of the record:
- Dr. sch. 70.
- Kt sc. 76.1.
For the amount of compensation due to the employee under the insurance contract, make an entry:
- Dr. sch. 76.1.
- Kt sc. 73.
From the above examples it can be seen that with personal or property insurance, account 76 is active-passive.The credit balance determines the indebtedness of the company for insurance payments, debit - the debt of the insurance company for reimbursements.
Claims Clarifications
The developers of the plan offer to debit subsch. 76.2 from the moment of occurrence, in the opinion of the management of the enterprise, of a violation of contractual terms. But at the same time there is a need to reserve a risk. In fact, if the administration of the enterprise believes that one of the employees, contractors, suppliers is guilty of damage caused to the company, and these persons acknowledge the claims and give a receipt that they are ready to compensate for the damage, then there will be no problems. In this case, the accountant will debit the subaccount. 76.2 and credit articles of missing values, financial results, calculations, etc. Persons to whom the administration claims may be completely or partially disagree with them. In this case, the accountant can choose one of the options:
- Debit subaccount. 76.2 and credit accounts for missing values.
- Record on the D-th account. 94.
In postings for subaccount. 76.2, like any other account for settlements with debtors, it should be remembered that no one can impute obligations without consent. If, upon the occurrence of a claim, a corresponding entry is made immediately, a debt will arise. However, there is no certainty that the debtor will agree with him. In this regard, the accountant, following the recommendations of the developers of the plan, must immediately create a reserve:
- Dt 91.2.
- Kt 63.
If this rule is ignored, then it is easy to hide theft, distortion, shortage, embezzlement by creating fictitious property in the form of pseudo-receivables. Its inevitable write-off will subsequently make it possible to hide real profit. The amount of the provision to be made must provide for the justified minimum amount of the claim, of which there is no doubt of receipt. Nevertheless, it is more advisable to adhere to the rule that no one can be made a debtor without obtaining consent. Before the defendant acknowledges the shortage and before the court decision is made, the accountant should reflect the amount of the claim in the D-th account. 94. After the debtor agrees to indemnify, an entry is made:
- Dr. 76.2.
- Set 94.
Important point
It should be remembered that the court decision, which confirms the indisputability of the fact of debt, does not mean that it will be repaid. The person to whom the claim is brought may appeal the decision, he may not have the necessary funds, or by the time the enforcement proceedings are instituted, he may officially cease his activities. Therefore, the use of cf. 63 is still advisable. The amount of reserves, however, in this case will be less.
Revenue recognition
The main difficulties in practice are connected with this moment. The developers of the instruction suggested that the repayment of the claim, therefore, the recognition of the income itself occurs when paying. In this case, the drafters provide for the cash method instead of accrual, and recommendations are made contrary to the assumption of certainty over time of the facts of economic activity and the accounting logic in accordance with RAS 1/98 (paragraph 6). Due to the fact that the rules are registered with the Ministry of Justice, and the plan is not, the PBU rules are more important. From this it follows that the accountant needs to make notes according to this scheme:
- Dt 94, Kt 41 - the fact of shortage of 10 thousand rubles.
- Dt 76.2, Kt 91.1 - recognition of the culprit for the loss of 10,000 rubles.
- Dt 51, Kt 76.2 - the debtor returns the damage caused 10 thousand rubles.
- Dt 91.2, Kt 94 - write-off of the revealed loss of values of 10,000 rubles.
If we assume that the damage will not be compensated, then a deduction is made:
- D 91.2, K 94.
The amount of the claim is reversed:
- D 76.2, 91.1.
It should be said here that reimbursement can be carried out not only in cash, but also with other values, if the management of the enterprise agrees with this.
Explanation of dividends and other income
In this case, account 76 becomes active. It is associated with profit from financial investments in third-party companies.Such enterprises should be understood only as organizations that have the rights of a legal entity or are connected under a simple partnership agreement. When these companies announce payments on invested funds, a notification is sent to the investor. In accordance with this notice, entries are made:
- D 76.3, 91.1.
The payer will have the following entry:
- Dt 84, Kt 75.2.
It can be seen here that the developers of the plan clearly follow the assumption of certainty over time. Income is the expression of the will of the owners of the company in which the finances were invested, and not the actual receipt of profit in the form of money, etc. The fact of enrollment is made out as follows:
- D 51, C 76.3.
The payer has the following wiring:
- Dt 75.2, Kt 51.
For the payer, the fact of charging will not be considered an expense. This is a recognition of the rights of the depositor (founder, as a rule) to part of the profit.
