Accounting policy - an integral part of the organization's management...

Accounting policy - an integral part of the organization's management and information system

Accounting policy is the fundamental document on the basis of which the company's financial accounting is maintained. The information contained in it is an internal accounting tool within the organization, an internal set of laws and rules of the organization's accounting process.

When forming the accounting policy proceed from the assumptions of property isolation, the continuity of the activity, the sequence of application of the accounting policy, the temporary certainty of the facts of economic activity. Also, the accounting policy should meet the requirements of completeness, prudence, priority of content before form, consistency, rationality.

The latest revision of PBU 1/2008 was developed on the basis of the rules of PBU 1/98 and IAS 8 "Accounting Policies, Changes in Estimates and Errors". The new standard has a number of clarifications, but the basic principles that should guide the accountant when working with accounting policies, remained unchanged.

First, the organization can change the accounting policy on accounting in those cases, the list of which is given in and. 10 PBU 1/2008. Such cases include a significant change in the conditions of management. When making changes in the accounting policy, it is necessary to estimate in monetary terms the degree of influence that this change will have on the financial position, financial results, and the movement of the organization's cash resources. The next reason for introducing changes in the accounting policy is the development by the organization of new methods of accounting. The application of a new method of accounting involves a more reliable representation of the facts of economic activity in the accounting and reporting of the organization or less laboriousness of the accounting process without reducing the reliability of information. The third reason for introducing changes in the accounting policy may be the change in US law and (or) regulatory accounting acts.

Secondly, the timing of the entry into force of the changes is clearly regulated. As a general rule, new (amended) rules are introduced from the beginning of the reporting year (paragraph 12 of PBU 1/2008).

Third, there are strict rules for reflecting the effects of changes in accounting policies in the financial statements. As a general rule, an organization should reflect the results of a change in accounting policy retrospectively, i. recalculate the financial statements of previous periods based on the assumption that a new (modified) accounting policy was applied in these periods (clauses 13-16 of PBU 1/2008).

The regulation of accounting financial accounting is currently carried out through the establishment of common accounting principles, which allows to ensure the unity of the methodology, taking into account the features of the functioning of economic entities. With the separation of tax accounting among organizations one of the most important tasks is the justification of theoretical and practical aspects of the formation of accounting policies on the interaction of accounting systems. The formation of an accounting policy that would ensure the most interaction of financial and tax accounting, taking into account the specifics of the organization's activities, allows to organize accounting work in the organization most effectively from the point of view of ensuring credibility of accounting data and minimizing labor costs for accounting workers.

To date, the accounting policy is the main instrument of interaction between financial and tax accounting. In the provisions on accounting financial accounting, as in tax legislation, the economic entity is given the right to choose the methods of assessment, recognition and record keeping, which makes it possible to apply the same accounting methods in both accounting systems, thereby integrating them into a single integrity.

The accounting policy of the organization is formed by choosing accounting methods from several allowed by generally recognized standards. If the latter are not established methods of accounting for certain objects, the organization itself develops appropriate procedures based on general requirements for accounting policies. In this situation, it is possible to use three options for determining accounting policy: by analogy with similar operations; based on common definitions and criteria; based on recognized practice.

The formation of the accounting policy of the organization is a complex task, the solution of which requires a good knowledge of the methodology and organization of accounting, taxation issues, and involves the establishment of an accounting system in this organization. A formal approach to the formation of accounting policies reduces the effectiveness of accounting.

Accounting methods that form an assessment of assets, the procedure for recognizing revenue and writing off costs are directly related to taxation, on the one hand, and the financial position of the organization, demonstrated to the founders (participants), potential investors and creditors, on the other. Varying accounting methodology in the legal framework, it is possible to choose the most profitable way of keeping records, ensuring the desired amount of profit.

The choice and implementation of rational, economically sound accounting policy allows to influence the efficiency of using material, labor and financial resources, accelerate the turnover of capital elements, gain additional internal sources of financing capital investments and current assets, improve dividend policy, attract external resources for expansion activities.

A skillfully compiled accounting policy is one of the most important tools for managing the activities of an organization and achieving its management objectives.

Legal regulation of relations associated with the formation and application of the accounting policy of the organization for accounting purposes is carried out:

- Federal Law & "About Accounting";

- Regulations on Accounting and Accounting in the United States;

- PBU 1/2008.

The New Federal Law "On Accounting made some changes with regard to the rules concerning accounting policies of organizations. They are associated with a new definition of this concept, the procedure for the formation of accounting policies of organizations for accounting purposes and the composition of applications to these documents.

In accordance with the requirements of the Law (Article 8), rules are established for the formation of the accounting policy of the organization for accounting purposes, other than those envisaged by the former Law. The main provisions of the current Federal Law On Accounting provide the following:

- Accounting policy is formed by the economic entity independently, on the basis of current US legislation, as well as federal and industry accounting standards. It should also be noted that if the specific situation encountered by the organization is not provided for by these standards, an economic entity may apply to international accounting standards;

- when forming an accounting policy for a specific accounting object, the method of conducting it should be selected from the methods that are allowed in federal standards. At the same time, the priority in selecting accounting methods is the norms of federal standards;

- If for a particular object the accounting method is not established by federal standards, then the organization can develop it independently based on the norms of the current legislation, federal and industry standards. Also, of course, an organization can try to find the necessary rules in international standards, but only insofar as they do not conflict with federal and industry standards.

The law introduces a new requirement for the formation of applications to the accounting policies of the organization. Now the head of the economic entity must approve the following list of applications:

- working plan of accounts of accounting;

- forms of primary accounting documents, accounting registers and internal accounting documents;

- the procedure for conducting an inventory of assets and liabilities;

- ways to assess assets and liabilities;

- the rules of document circulation and the technology of processing accounting information;

- the order of control over business transactions;

- other documents that are necessary for a particular economic entity to organize accounting.

It is necessary to avenge that the new legislation does not provide for mandatory application of a number of unified forms of documents by economic entities. In particular, it concerns the forms of primary accounting documents. Now, economic entities are developing such forms independently. Meanwhile, in order not to break the documentary uniformity as a whole, it is possible to recommend to the organizations still to take as a basis the unified forms of documents that existed before. In addition, the use of pre-existing forms will save time and resources of the company.

Consider some of the main provisions of the accounting policy of an organization for accounting purposes.



Accounting policy provisions

Acceptable Accounting Options


Forms of primary records

Established by the organization on its own and given in the annex to the Regulation on Accounting Policies. Also, the use of unified forms of primary accounting documents is permitted


Normative legal acts created and approved in the organization itself

They include:

- the schedule of workflow;

- working plan of accounts of accounting;

- provision on accounting policies.

Established by the organization on its own and given in the annex to the Accounting Policy Statement


The order of revaluation of fixed assets

Carried out in the case of selection for accounting purposes of the method of accounting for fixed assets at revalued (replacement) value. At the same time, the revaluation is carried out regularly in order to prevent a significant deviation of the book value of the property from its market value


The procedure for reassessing intangible assets

The initial value is subject to change, in case of revaluation and impairment of an intangible asset (PMA). At the same time, their current market value for revaluation is determined by the active market of the NMA. LMOs can also be tested for impairment. An entity can be tested for impairment on its own in the manner defined by IAS 36 Impairment of Assets.


Methods of depreciation of fixed assets

There are four ways:

- linear;

- the method of decreasing balance;

- by the sum of the years of useful life;

- in proportion to the volume of products (works, services)


Ways of amortization of intangible assets

There are three ways:

- linear;

- the method of decreasing balance;

- in proportion to the volume of products (works, services)


The way of writing off expenses for research, development and technological work

There are two ways:

- linear;

- in proportion to the volume of products (works, services)


Ways of valuation of inventories written off for production needs

There are three ways:

- at the cost of each unit;

- the average cost price;

- the FIFO method


Methods for evaluating finished products

The following methods are available:

- according to the actual production full or incomplete cost price

- the normative (planned) cost price

- contract prices


Product Valuation Methods

The following methods are available:

- at purchase prices;

- the selling price, taking into account the trade mark-up (surcharge)


Methods of accounting for production costs

There are four methods:

- Custom;

- Processor;

- normative;

- cross-section


Methods for evaluating objects that are not completed by production

The following methods are installed:

- by direct calculation cost items (materials and basic wages of production workers);

- the cost of raw materials, materials, semi-finished products

- the normative (planned) cost price


Valuation methods for retiring financial investments

The following methods are installed:

- at the initial cost of each unit;

- the average initial cost;

- FIFO way

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