The credit of account 08 is reflected. Construction of OS in a contract way
Account 08 "Investments in non-current assets" is intended to summarize information about the organization's costs in objects that will subsequently be accepted for accounting as fixed assets, land plots and objects of nature management, intangible assets, as well as the costs of the organization for the formation of the main herd of productive and working livestock (except for poultry, fur-bearing animals, rabbits, families of bees, service dogs, experimental animals, which are accounted for as part of the funds in circulation).
To account 08 "Investments in non-current assets" sub-accounts can be opened:
08-01 "Acquisition of land plots";
08-02 "Acquisition of objects of nature management";
08-03 "Construction of fixed assets";
08-04 "Acquisition of fixed assets";
08-05 "Acquisition of intangible assets";
08-06 "Transfer of young animals to the main herd";
08-07 "Acquisition of adult animals";
08-08 "Free receipt of objects";
08-09 "Operated facilities that have not passed state registration";
08-10 "Implementation of research, development and technological
08-80 "Other".
Sub-account 08-01 "Acquisition of land plots" takes into account the costs of acquiring land plots by the organization.
Sub-account 08-02 "Acquisition of objects of nature management" takes into account the costs of the organization's acquisition of objects of nature management.
Sub-account 08-03 "Construction of fixed assets" takes into account the costs of erecting buildings and structures, installation of equipment, the cost of equipment transferred for installation and other expenses provided for by estimates, cost estimates and title lists for capital construction(regardless of whether this construction is carried out by a contract or an economic method).
Sub-account 08-03 "Construction of fixed assets" reflects the costs of erecting title buildings, structures, fixtures and devices. The costs of erecting temporary non-title structures, as well as the costs of work in progress for other (repair) work, are reflected on account 23 "Auxiliary production". Temporary titular and non-titular structures are accepted by developers for accounting as fixed assets (assessed at historical cost) to the corresponding sub-accounts of account 1
"Fixed assets" or as inventory and household supplies to the corresponding subaccounts of account 10 "Materials". Depreciation on temporary title and non-title structures accepted for accounting on account 01 "Fixed assets" is carried out in accordance with the established procedure.
Sub-account 08-04 "Acquisition of fixed assets" takes into account the costs of acquiring equipment, machinery, tools, inventory and other fixed assets that do not require installation.
Subaccount 08-05 "Acquisition of intangible assets" takes into account the costs of acquiring intangible assets.
Sub-account 08-06 "Transfer of young animals to the main herd" takes into account the costs of growing in the organization of young productive and working cattle transferred to the main herd.
Sub-account 08-07 "Acquisition of adult animals" takes into account the cost of adult and working cattle purchased for the main herd or received free of charge, including the cost of its delivery.
Sub-account 08-08 "Grant-free receipt of objects" takes into account the market value of non-current assets received free of charge in correspondence with the credit of account 98 "Deferred income" (sub-account 02 "Grant-free receipts"), as well as the actual costs of the organization for the delivery of objects received free of charge and bringing them in a usable condition.
Sub-account 08-09 "Operated objects that have not passed state registration" takes into account capital construction objects that are in temporary operation until they are put into permanent operation, as well as operated fixed assets, the rights to which
subject to state registration in accordance with the legislation of the Russian Federation.
Sub-account 08-10 "Performance of research, development and technological work" takes into account the costs associated with the implementation of research, development and technological work.
Expenses for research, development and technological work, the results of which are to be used in the production of products (performance of work, provision of services) or for the management needs of the organization, are debited from the credit of account 08 "Investments in non-current assets" to the debit of account 04 "Intangible assets".
Expenses for research, development and technological work, the results of which are not subject to use in the production of products (performance of work, provision of services), or for management needs, or for which positive results are not obtained, are written off from the credit of account 08 "Investments in non-current assets" to the debit of account 91 "Other income and expenses".
On sub-account 08-80 "Other" other investments in non-current assets are taken into account.
The debit of account 08 "Investments in non-current assets" reflects the actual costs included in the initial cost of fixed assets, intangible assets and other relevant assets.
Depreciation of fixed assets and intangible assets used in making capital investments is reflected in the debit of account 08 "Investments in non-current assets" and the credit of accounts 02 "Depreciation of fixed assets", 04 "Intangible assets", 05 "Depreciation of intangible assets".
Equipment for installation, handed over for installation, is reflected in the debit of sub-account 08-03 "Construction of fixed assets" and the credit of account 07 "Equipment for installation".
Material costs in the course of capital investments are written off to the debit of account 08 "Investments in non-current assets" from the credit of account 10 "Materials".
Young animals of all types of productive and working cattle transferred to the main herd are debited during the year from account 11 "Animals for growing and fattening" to the debit of account 08-06 "Transfer of young animals to the main herd" at the cost accrued at the beginning of the reporting year, with the addition of the planned cost of gain or gain for the period from the beginning of the reporting year until the transfer of animals to the main herd.
Acquired adult animals are credited to the debit of account 08 "Investments in non-current assets" according to actual cost their acquisition, including shipping costs. Adult animals received free of charge are accepted for accounting according to market value, to which are added the actual costs of delivering them to the organization.
The costs of completed operations for the formation of the main herd are debited from account 08 "Investments in non-current assets" to the debit of account 01 "Fixed assets".
Deviations in the cost of equipment transferred for installation, materials used to make capital investments, young livestock transferred to the main herd are reflected in the accounting records under the debit of the corresponding sub-accounts of account 08 "Investments in non-current assets" and the credit of account 16 "Deviations in the cost of material values". Positive deviations are written off by an additional entry, negative deviations - by a reverse one.
In cases where the legislation Russian Federation it is provided for the inclusion of the amount (part of the amount) of the value added tax paid by the seller in the cost of the object, an entry is made on the debit of account 08 "Investments in non-current assets" and the credit of account 19 "Value added tax on acquired values".
Write-offs of auxiliary production services provided by them in the course of capital investments are reflected in the debit of account 08 "Investments in non-current assets" and the credit of account 23 "Auxiliary production" in the share attributable to this object.
The part of general business expenses directly related to the implementation of capital investments is reflected in the debit of account 08 "Investments in non-current assets" and the credit of account 26 " General running costs" in the share attributable to this object.
Accounts of suppliers and contractors when making capital investments are accepted under the debit of account 08 "Investments in non-current assets" and the credit of sub-account 60-01 "Settlements with suppliers and contractors under accepted and other settlement documents".
When obtaining loans and borrowings for capital investments before the commissioning of facilities, interest on borrowed funds are charged on the debit of account 08 "Investments in non-current assets" and on the credit of accounts 66 "Settlements on short-term loans and borrowings", 67 "Settlements on long-term loans and borrowings".
Value added tax on capital investments made in an economic way, which is not subject to deduction when an object is put into operation, is reflected in the debit of account 08 "Investments in non-current assets" and the credit of account 19 "Value added tax on acquired values".
The accrual of payment to employees engaged in work related to capital investments, and the corresponding deductions for social insurance and security, is made on the debit of account 08 "Investments in non-current assets" in correspondence with accounts 69 "Settlements on social insurance and security" and 70 "Settlements with personnel for remuneration".
Expenses on capital investments made by an accountable person are reflected in the debit of account 08 "Investments in non-current assets" and the credit of account 71 "Settlements with accountable persons".
The value of non-current assets received from the founder as a contribution to authorized capital, is taken into account as part of capital investments in correspondence with account 75 "Settlements with founders", subaccount 01 "Settlements on contributions to the authorized (reserve) capital".
Write-off of unsatisfied claims for amounts related to capital investments is carried out on the debit of account 08 "Investments in non-current assets" and the credit of account 76 "Settlements with different debtors and creditors", subaccount 02 "Calculations on claims".
Additional costs for the acquisition, construction or manufacture of fixed assets (including amount differences) incurred after the acceptance of the fixed asset object for accounting (transfer of costs from the credit of account 08 "Investments in non-current assets" to the debit of account 01 "Fixed assets") initial the value of fixed assets is not increased, but is charged to account 91 "Other income and expenses".
Objects of non-current assets that have not been put into operation, when transferred to units allocated to a separate balance sheet, are reflected in the receiving unit on the debit of account 08 "Investments in non-current assets" and the credit of account 79 "Internal business settlements".
When carrying out activities under a simple partnership agreement, capital investment objects made by partners are credited to the separate balance sheet of the partnership on the debit of account 08 "Investments in non-current assets" and the credit of account 80 "Contributions of partners".
Upon receipt of targeted financing in the form of objects of non-current assets, account 08 "Investments in non-current assets" is debited in correspondence with account 86 "Targeted financing".
When non-current assets are put into operation, targeted financing is accounted for as deferred income with subsequent attribution over the period beneficial use objects of non-current assets in the amount of accrued depreciation on financial results organizations as non-operating income.
Posting of previously unaccounted for objects of incomplete capital investments identified in the inventory process is carried out on the debit of account 08 "Investments in non-current assets" and the credit of subaccount 91-01 "Other income". Attribution to capital construction costs of the amounts of missing and damaged valuables within the limits of the norms is reflected in the debit of account 08 "Investments in non-current assets" and the credit of account 94 "Shortages and losses from damage to valuables".
The reservation of certain amounts against future payments related to capital investments is carried out under the debit of account 08 "Investments in non-current assets" in correspondence with account 96 "Reserves upcoming expenses and payments."
The write-off of a part of deferred expenses for capital investments is reflected in the debit of account 08 "Investments in non-current assets" and the credit of account 97 "Deferred expenses".
The gratuitous receipt of non-current assets in accounting is reflected in the debit of subaccount 08-08 "Free receipt of objects" in correspondence with account 98 "Deferred income", subaccount 02 "Gratuitous receipts".
formed initial cost objects of fixed assets, intangible assets accepted for operation and executed in accordance with the established procedure, is debited from account 08 "Investments in non-current assets" to the debit of accounts: 01 "Fixed assets", 03 "Profitable investments in material values", 04 "Intangible assets", etc.
When young animals are transferred to the main herd, subaccount 01-08 "Working cattle" or subaccount 01-09 "Productive and breeding cattle" are debited and subaccount 08-06 "Transfer of young animals to the main herd" is credited. At the end of the reporting year, after the reporting calculation is made, the difference between the indicated value of the young cattle transferred during the reporting year and its actual cost is debited additionally or reversed from account 11 "Animals for growing and fattening" to subaccount 08-06 "Transfer of young animals to the main herd" while updating the assessment of livestock on the sub-accounts of account 01 "Fixed assets".
Claims to suppliers or contractors for capital investments are reflected in the credit of account 08 "Investments in non-current assets" in correspondence with account 76 "Settlements with various debtors and creditors", subaccount 02 "Settlements on claims".
When transferring objects of unfinished capital investments to partners upon termination of
W.W.W...I.n.e.t.L.i.b:Ru. -
of a simple partnership agreement on a separate balance sheet of the partnership, an entry is made on the credit of account 08 "Investments in non-current assets" in correspondence with the debit of account 80 "Contributions of comrades".
Incomplete capital investments upon their disposal (sale, write-off, etc.) are written off from account 08 "Investments in non-current assets" to the debit of sub-account 91-02 "Other expenses".
The identified shortage of objects of incomplete capital investments as a result of the inventory is reflected in the credit of account 08 "Investments in non-current assets" in correspondence with account 94 "Shortages and losses from damage to valuables". Further distribution of the amount of shortages and losses is given in the comments to account 94 "Shortages and losses from damage to valuables."
Losses on capital investments resulting from natural disasters and other emergencies are reflected in the credit of account 08 "Investments in non-current assets" and the debit of account 99 "Profits and losses", sub-account 03 "Losses, income and expenses due to emergency circumstances of the economic activities".
The balance on account 08 "Investments in non-current assets" reflects the value of the organization's investments in construction in progress, pending transactions for the acquisition of fixed assets, intangible and other non-current assets, as well as the formation of the main herd.
Analytical accounting on account 08 "Investments in non-current assets" is carried out: -
for costs associated with the construction and acquisition of fixed assets - for each item of fixed assets under construction or acquired. At the same time, the construction analytical accounting should provide the possibility of obtaining data on the costs of: construction work and reconstruction; drilling operations; installation of equipment; equipment requiring installation; equipment that does not require installation, as well as tools and inventory provided for by estimates for capital construction; design and survey work; other capital investment costs; -
for costs associated with the acquisition of intangible assets - for each acquired object; -
for the costs associated with the formation of the main herd - by animal species (cattle, pigs, sheep, horses, etc.).
Table 1.7.
Account 08 "Investments in non-current assets" corresponds with accounts By debit By credit 02 "Depreciation of fixed assets" 01 "Fixed assets" 05 "Depreciation of intangible assets" 03 "Profitable investments in tangible assets" 07 "Equipment for installation" 04 "Intangible assets " 10 "Materials" 7 6 "Settlements with different debtors and creditors" 11 "Animals for growing and fattening" 7 9 "On-farm settlements" 16 "Deviation in value" 8 0 "Authorized capital" 19 "Value added tax on acquired values "91 "Other income and expenses" 23 "Auxiliary production" 94 "Shortages and losses from damage to valuables" 2 6 "General expenses" 99 "Profits and losses" 60 "Settlements with suppliers and contractors" 66 "Settlements for short-term loans and borrowings "68 "Settlements for taxes and fees" 69 "Settlements for social insurance and security" 7 0 "Settlements with personnel for wages" 71 "Settlements with accountable persons" 75 "Settlements with founders" 7 6 "Settlements with various debtors and creditors" 7 9 "Internal settlements" 8 0 "Authorized capital" 86 "Target financing" 94 "Shortages and losses from damage to valuables" 96 "Reserves for future expenses" 97 "Deferred expenses" 9 8 "Deferred income" Example
Account 08 Investments in non-current assets. Characteristics, sub-accounts, correspondence.
Account 08 "Investments in non-current assets" is intended to summarize information about the organization's costs in objects that will subsequently be accepted for accounting as fixed assets, land plots and nature management objects, intangible assets, as well as about the organization's costs for the formation of the main herd of productive and working livestock (except for poultry, fur-bearing animals, rabbits, families of bees, service dogs, experimental animals, which are accounted for as assets in circulation).
To account 08 "Investments in non-current assets" sub-accounts can be opened:
- 08.1 "Acquisition of land"- the costs of acquiring land plots by the organization are taken into account.
- 08.2 "Acquisition of objects of nature management"- expenses on acquisition of objects of nature management by the organization are taken into account.
- 08.3 "Construction of fixed assets"- costs for the construction of buildings and structures, installation of equipment, the cost of equipment transferred for installation and other expenses provided for by estimates, cost estimates and title lists for capital construction are taken into account (regardless of whether this construction is carried out by a contract or economic method).
- 08.4 "Acquisition of fixed assets"- expenses for the purchase of equipment, machinery, tools, inventory and other fixed assets that do not require installation are taken into account.
- 08.5 "Acquisition of intangible assets"- expenses for the acquisition of intangible assets are taken into account. The debit of account 08 "Investments in non-current assets" reflects the actual costs of the developer, included in the initial cost of fixed assets, intangible assets and other relevant assets. The formed initial cost of fixed assets, intangible assets, etc., accepted for operation and executed in the prescribed manner, is debited from account 08 "Investments in non-current assets" to the debit of accounts "Fixed assets", "Profitable investments in tangible assets", "Intangible assets" etc.
- 08.6 "Transfer of young animals to the main herd"- taking into account the costs of growing in the organization of young productive and working cattle transferred to the main herd.
- 08.7 "Acquisition of adult animals"- the cost of adult and working cattle purchased for the main herd or received free of charge, including the cost of its delivery, is taken into account.
Young animals transferred to the main herd are valued at their actual cost. Young growth of all types of productive and working livestock, transferred to the main herd, is debited during the year from the account "Animals for growing and fattening" to the debit of account 08 "Investments in non-current assets" at the cost accrued at the beginning of the reporting year, with the addition of the planned cost of gain or growth for the period from the beginning of the reporting year until the transfer of animals to the main herd. When young animals are transferred to the main herd, the account "Fixed assets" is debited and account 08 "Investments in non-current assets" is credited. At the end of the reporting year, after the reporting calculation is made, the difference between the indicated value of the young cattle transferred during the reporting year and its actual cost is additionally written off or reversed from the account "Animals for growing and fattening" to account 08 "Investments in non-current assets" while updating the assessment of livestock in the Fixed Assets account.
Acquired adult animals are debited to account 08 "Investments in non-current assets" at the actual cost of their acquisition, including delivery costs. Adult animals received free of charge are accepted for accounting at market value, to which are added the actual costs of delivering them to the organization.
The costs of completed operations for the formation of the main herd are written off from account 08 "Investments in non-current assets" to the debit of the account "Fixed assets". - 08.8 "Performance of research, development and technological work"- costs associated with the implementation of research, development and technological work are taken into account.
Expenses for research, development and technological work, the results of which are to be used in the production of products (performance of work, provision of services) or for the management needs of the organization, are debited from the credit of account 08 "Investments in non-current assets" to the debit of the account "Intangible assets ".
Expenses for research, development and technological work, the results of which are not subject to use in the production of products (performance of work, provision of services), or for management needs, or for which positive results are not obtained, are written off from the credit of account 08 "Investments in non-current assets" to the debit of the account "Other income and expenses".
The balance on account 08 "Investments in non-current assets" reflects the value of the organization's investments in construction in progress, pending transactions for the acquisition of fixed assets, intangible and other non-current assets, as well as the formation of the main herd.
When selling, transferring free of charge and other investments accounted for on account 08 "Investments in non-current assets", their value is debited to the debit of the account "Other income and expenses".
Analytical accounting on account 08 "Investments in non-current assets" is conducted:
- for costs associated with the construction and acquisition of fixed assets - for each item of fixed assets under construction or acquired. At the same time, the construction of analytical accounting should provide the possibility of obtaining data on the costs of: construction work and reconstruction; drilling operations; installation of equipment; equipment requiring installation; equipment that does not require installation, as well as tools and inventory provided for by estimates for capital construction; design and survey work; other capital investment costs;
- for costs associated with the acquisition of intangible assets - for each acquired object;
- for the costs associated with the formation of the main herd - by animal species (cattle, pigs, sheep, horses, etc.);
- for expenses related to the implementation of research, development and technological work - by type of work, contracts (orders).
Account 08 "Investments in non-current assets" corresponds with the following accounts of the Plan:
by debit
- "Depreciation of fixed assets"
- "Depreciation of intangible assets"
- "Installation equipment"
- "Materials"
- "Animals on cultivation and fattening"
- "Deviation in the value of material assets"
- "Value Added Tax on Acquired Values"
- "Auxiliary production"
- "General running costs"
- "Settlements with suppliers and contractors"
- "Calculations on short-term credits and loans"
- "Settlements on long-term credits and loans"
- "Calculations on taxes and fees"
The purpose of account 08 is to summarizing indicators property funds, financial costs used for property with an unformed value, as well as not ready for operation. This also includes the transfer of livestock to the rest of their representatives, which are part of the main herd.
Definition and characterization
On account 08, investments are entered relative to long-term non-current resources. Its purpose is to enter the final information on the costs of the enterprise for property objects, land areas, natural objects, intangible property, the formation of domestic animals in a herd, excluding birds, rabbits, bees, dogs included in current assets.
The costs of non-current property are formed according to reasons: main, new construction, restoration work, development and equipping of existing assets in the company with appropriate equipment. These activities, excluding the construction of new facilities, allow you to change the goals for which they are carried out.
Costs may be associated with:
- purchased buildings, equipment, vehicles, agricultural technical equipment;
- purchased land areas, natural resources;
- purchase or production of intangible property;
- the acquisition of domestic animals for exploitation or breeding, which are part of the main herd;
- the direction of the grown up young cattle in the herd;
- planting, caring for perennial vegetation.
Accounting for investments relating to property not participating in turnover serves to:
- timely, complete, accurate display of various types of property carried out for construction work;
- measures to control the construction process, the introduction of means of production, fixed assets;
- correct calculation, as well as display of price indicators for putting into use, acquired assets of property reserves, land areas, nature management objects, intangible property.
Types of postings and features of correspondence
According to the plan of correspondent accounts of the balance sheet, a number of the following sub-accounts:
- 08.01 - general data on contributions to land plots;
- 08.02 - accounting of used natural resources;
- 08.03 - re-formed property funds;
- 08.04 - on fixed assets acquired by the company;
- 08.05 - purchase of intangible objects from third-party companies;
- 08.06 - direction of young cattle to the composition of the main herd;
- 08.07 - registration of adult animals included in the main herd;
- 08.08 - about the results of the work of the scientific field.
When an organization acquires property, it must in fact reflect its price, taking into account the account in the debit line 08, and 60 in the credit area. We must not forget about the value added tax reflected by posting debit 19 credit 60.
Registration of the refund of this tax is made by recording: in debit they write operations on, on credit - on. Debit 08, together with account 23, indicate the cost of additional workshops for the independent creation of an asset.
material costs, along with salary fixed with wiring: debit will again have 08 account, and credit -, or.
The gratuitous acquisition of property is taken into account dt. 08, ct. 76 and 98.02 (on accounting for the results of the inventory). The tariff is set according to average cost on the market. Contribution of assets to authorized funds in balance sheet reflect the wiring, where the accounts are indicated: in debit 08 and credit 75.
At the necessary installation or settings of the received equipment, the costs associated with them are fixed by a mark in which the accounts are marked: on the debit line - 08, and on the credit line - 07.
Postings relating to livestock are formed in next order:
- if it is necessary to take into account the price indicator of grown cattle transferred to the rest of the herd, then 08.06 is written in the debit area, indicating the transfer of young animals, and in credit 11 (about animals that are raised and fattened);
- reflection of the increase in the price of all animals in the main herd is written off by entry, where the 07 operation is entered in the debit line, where the credit is noted on 08.06.
Accounting for fixed assets put into use must be indicated by a posting in which accounts 01, 03, 04 are recorded in the debit line, and 08 in credit.
This record avoids claims from tax authorities associated with a reduction in the amount of tax on property accepted for use.
Active or passive
Investments in long-term funds of a non-current type, when reflected in the balance sheet, are considered active operations, taking into account the general indicator of the company's financial costs associated with the main assets.
Its task is to register movements, changes in property objects in accordance with their types. It denotes data on the financial capital owned by the enterprise. Maintaining an analytical system accounting records relating to account 08 is made according to costs for ready-made property objects under construction.
The generated analytical accounting allows you to obtain information on the costs of restoration work, the formation of fixed assets. These costs may relate to:
- drilling, installation, tools, inventory, which are taken into account in the estimated calculation of the main construction;
- acquisition of intangible property;
- the creation of a herd of working, productive livestock, which may consist of horses, representatives of a large horned family, sheep, pigs, and so on;
- costs for the implementation of research, technological, experimental design work.
Reflection of the balance sheet
Schematic reflection of 08 accounts does not have a closing and opening balance, except for objects requiring long-term production or installation work. It's best for reporting period each amount reflected in the debit of account 08 must be closed.
Primary tariffs for property, intangible funds already in use are drawn up in accordance with accepted standards: debit 01 or 04(about the present property or assets of an intangible nature), loan 03(on payment for raw materials, including materials).
As regards the tariffs for young animals sent to the rest of the herd, their size is based on the fact. When transferring any individuals of young representatives of the animal world to the herd, for production and exploitation, they carry out write-off for 12 months on 11 accounts- on the maintenance of livestock for feeding and breeding.
The price amount is taken into account in accordance with the indicators at the beginning of the current year, including the planned cost of growth, from the first stage of the past year, ending with the period in which young representatives of livestock are sent to the herd. This process is accompanied by wiring: in the debit line indicate account 01, reflecting the main property, and on the credit line - account 08.
At the end of the past year, when the accounting calculation is drawn up, accountants write off the difference formed between set price young livestock transferred during the current year and the real price. The write-off is carried out from account 11 on grown, fattened representatives of the fauna using account 08 on non-current assets, at the same time, the cost indicators of livestock are specified with the help of, relating to the main property.
The purchase by the organization of adult animals is recorded in the debit of account 08 at the real price, which is the same as the initial price, together with the payment for delivery. Free receipt of already grown livestock accounted for at market cost, including additional actual investments for delivery to the enterprise.
The costs of completed operations for the formation of a herd of domestic animals are debited to debit 01 of the fixed assets account. Sub-account 08-8 on the performance of work regarding science, research, engineering, structures and technologies helps to take into account the costs of performing work.
Research and development activities related to technological processes require costs, because in accordance with their results, products are produced or the organization is managed.
Expenses are deducted by a transaction in which on the loan indicate 08 account on the transfer of capital to funds that do not participate in circulation, but debit will be account value 04 on intangible property. Costs for modern technological equipment, scientific research, design services, the results of which will not be useful for the release of the product and the implementation of certain types of work, services, enterprise management, in the balance sheet must be written off.
The results of these activities can also be negative. In both cases, the costs are written off by an entry in which credit is account 08, debit - account 91, which characterizes additional profit, including costs.
The balance of account 08 expresses the company's payments for the necessary unfinished construction, unfinished operations on acquired intangible and non-current assets, including a herd of livestock. Sale, free provision of property or other costs are reflected in account 08, debited debit, disclosing other expenses along with profit.
Account 08 for accounting has important, because it provides information about the possible ownership of the enterprise, which it possesses. Fixed assets are essential to a successful operation, including production cycles.
Additional information is provided in this video.
Account 08 accounting- this is an active account "Investments in non-current assets", which takes into account all the costs of the enterprise in objects. With the help of typical postings and practical examples, we will understand the specifics of using account 08 in accounting. We will study the features of reflecting operations for the construction of fixed assets in an economic and contract way according to sub-account 08.03.
Non-current assets are subsequently accepted for accounting and tax accounting as the main tool land plot, an object of nature management or an intangible asset.
Account 08 "Investments in non-current assets" has the following sub-accounts:
The main aspect of using sub-account 08.03 "Construction of fixed assets" is that the sub-account reflects:
- All costs for the construction of buildings and structures;
- Equipment installation costs;
- Other expenses indicated in the estimated financial calculations for capital construction by contract or economic means:
Contract construction method is construction work and installation work performed in accordance with the concluded construction contract (Articles 740, 743, 746 of the Civil Code of the Russian Federation).
Economic way of building- this is construction work and installation work performed by employees of the organization.
Formation of the initial cost of OS:
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Basic postings on the account "Construction of fixed assets"
Account debit | Account credit | Operation description |
Reflection in the accounting of construction by a contract method | ||
08.03 | 60 (76) | The cost of contract work for the construction of fixed assets was taken into account |
19 | 60 (76) | Accounted for VAT presented by the contractor |
Reflection in the accounting of construction in an economic way | ||
08.03 | 10 (23; 25; 26; 60; 70; 76) | All costs of construction of a fixed asset suitable for use are taken into account |
19 | 60 (76) | VAT included on all costs of construction of a fixed asset suitable for use |
Account Posting Examples 08
Let us consider in more detail the examples of the reflection of operations on the subaccount 08.03.
Example 1. Accounting for the construction of fixed assets in an economic way on account 08.03
Let's assume that VESNA LLC in March 2016 began the construction of a production warehouse in an economic way. The organization completed the construction in April 2016. The production warehouse was put into operation in April 2016.
In this case, according to the conditions of the example:
- In March, building materials were purchased - 472,000 rubles, incl. VAT - 72,000 rubles;
- In March, building materials were spent - 250,000 rubles;
- In April, building materials were spent - 150,000 rubles;
- Salaries of employees involved in the construction of the facility, taking into account social contributions, in March amounted to 105,000 rubles, and in April - 95,000.00 rubles.
Postings on account 08 for accounting for construction in a contractual way:
dt account | CT account | Posting amount, rub. | Wiring Description | A document base |
10.08 | 60 | 400 000 | Reflected the cost of purchased building materials | Waybill (TORG-12) of the supplier |
19 | 60 | 72 000 | Reflected VAT on purchased building materials | Invoice received |
68 | 19 | 72 000 | Paid VAT accepted | Book of purchases |
08.03 | 10.08 | 250 000 | Reflected in capital investments is the cost of building materials transferred for the construction of a warehouse in March | Invoices, Payroll and social payments |
08.03 | 70 (69) | 105 000 | Reflected as part of capital investments wage(including insurance premiums) employees employed in the construction of a warehouse in March | |
08.03 | 10.08 | 150 000 | Reflected in the cap. investments cost of building materials transferred for the construction of a warehouse in April | |
08.03 | 70 (69) | 95 000 | Reflected as part of capital investments is the salary (including insurance premiums) of employees employed in the construction of a warehouse in April | |
01 | 08.03 | 600 000 | A production warehouse built in an economic way was accepted for accounting and put into operation (250,000.00 + 105,000.00 + 150,000.00 + 95,000.00) | Acceptance-transfer act (OS-1), inventory card accounting (OS-6) |
19 | 68 | 108 000 | Reflected the accrued VAT on construction work, performed by an economic method ((250,000.00 + 105,000.00 + 150,000.00 + 95,000.00) * 18%) | Invoice received. Book of purchases |
68 | 19 | 108 000 | Accepted for deduction accrued VAT on construction work performed by an economic method |
Example 2. Accounting for the construction of fixed assets in a contractual way on account 08
Suppose VESNA LLC has concluded an agreement with a contractor for the construction of an object - a production warehouse. According to the contractor's estimate and financial calculations, the costs for the construction of the production warehouse amounted to:
- The cost of budgeting services is 59,000 rubles, incl. VAT - 9,000 rubles;
- The cost of construction is 826,000 rubles, incl. VAT - 126,000 rubles.
Postings on account 08 for accounting for construction in an economic way:
dt account | CT account | Posting amount, rub. | Wiring Description | A document base |
08.03 | 60 (76) | 50 000 | Reflected the cost of the services of the contractor in the preparation of estimates | Contract agreement, Acts of completed work, Reports on the cost of building materials |
19 | 60 (76) | 9 000 | Reflected VAT on services | |
08.03 | 60 (76) | 700 000 | Reflected the cost of building a production warehouse | |
19 | 60 (76) | 126 000 | Reflected VAT on construction | |
68 | 19 | 135 000 | Paid VAT is presented for deduction |
08 accounting account is of particular importance. With the help of this account, enterprises keep records of costs for fixed assets, intangible assets and profitable investments in tangible assets. We will consider the nuances of accounting for the 08th account in more detail.
General accounting rules for the 08th account
The main documents that an accountant should be guided by when working with the 08th account:
- order of the Ministry of Finance of the Russian Federation dated October 31, 2000 No. 94n “On approval of the Chart of Accounts for accounting of financial and economic activities of organizations and instructions for its application” (hereinafter referred to as order No. 94n);
- "Instructions for the application of the Chart of Accounts for the financial and economic activities of organizations", approved by order of the Ministry of Finance of the Russian Federation dated October 31, 2000 No. 94n (hereinafter referred to as instruction 94n);
- PBU 6/01;
- PBU 17/02.
08 accounting account is designed to accumulate data on enterprises' investments in tangible and intangible non-current assets, which in the future can be accounted for on accounts 01, 03, 04 as fixed assets, intangible assets or profitable investments, respectively. Today, by order No. 94n, eight sub-accounts have been established for account 08.
IMPORTANT! The enterprise in the working chart of accounts can clarify the content of the list of second-order accounts (sub-accounts), excluding or merging them. If necessary, additional sub-accounts can be introduced if this is required by the characteristics of the activity or such an introduction is dictated by the need to deepen its control and analysis. In this regard, the register of sub-accounts for the 08th account in standard plan accounts is advisory and methodological in nature. It is this circumstance that explains the need to approve the working chart of accounts for the enterprise (clause 5 PBU 1/98).
According to order No. 94n, sub-accounts 1, 2, 4, 5 and 7 to account 08 are intended to account for investments in finished non-current assets. Account 08-1 is intended for the synthesis of data on capital investment companies to purchase land. Investments in nature management facilities are accounted for on sub-account 08-2. The 4th sub-account takes into account the costs of purchasing individual OS objects that do not require installation. The 5th sub-account accumulates data on investments in intangible assets, in which case these objects should also be completed. Sub-account 7 synthesizes the costs of purchasing adult animals.
Sub-account 3 is intended for accumulation of information on the construction of OS objects, and on the 6th one takes into account the costs of raising young animals before transferring them to the main herd. The 8th sub-account takes into account the costs associated with research, design work, development of new technological and management processes.
Analytical accounting on accounts 08-1, 08-2, 08-3, 08-4, 08-5 is maintained for each fixed asset (acquired or built). According to accounts 08-6 and 08-7 - for each type (group) of animals. On account 08-8 - for each type of work (service) or R&D.
You can clarify the procedure for reflecting the balance of account 08 in the balance sheet in the material.
Intangible assets and 08th account
Intangible assets (IA) are assets that have a certain value, are able to generate income for the enterprise, but do not have a pronounced tangible form. The accounting rules for intangible assets are established by RAS 14/2000. PBU 17/2 establishes the rules for accounting for expenses for research, experimental, design and technological development.
Account 08 has two sub-accounts where information on intangible assets is accumulated. These are sub-accounts 08-5 "Acquisition of intangible assets" and 08-8 "Performance of research, development and technological work."
However, if the results of the scientific research, experiments, design documentation and developed technologies will find their application in the production process of products (works, services) or in the management activities of the enterprise, then the costs of their implementation upon completion of work are debited from credit 08-8 to the debit of the 04th account "Intangible assets" .
If, as a result of research, experiments, design developments or testing of technologies, positive results are not obtained, or if these results are not introduced into the production of products (works, services) or do not affect the management processes in the organization, then such expenses are written off from loan 08-8 in debit 91 “Other income and expenses”.
Sub-account 08-5 “Acquisition of intangible assets” refers to those intangible assets that are acquired in several stages and have associated costs. All these expenses until the completion of the process of obtaining rights to intangible assets are collected on sub-account 08-5. Upon completion of the acquisition process upon receipt of documents confirming the right to own objects of intangible assets or the right to use them, the expenses from credit 08-5 are written off to the debit of the 04th account.
The question often arises: is an intangible asset design documentation for the construction of fixed assets? For an organization that develops design documentation, these intellectual property objects are intangible assets and the costs of their creation are collected on subaccount 08-8, if such an asset does not have the characteristics of a “good” for such an organization and is not intended for sale / resale it.
For organizations that receive this documentation as a result of contractual relations, and with it the right to use it, transfer it to third parties, such documentation should also be included in the composition of intangible assets. But if the contract for the creation of design documentation does not indicate that, along with the documents, the rights to dispose of this intellectual property are transferred from the contractor to the customer, then the costs of creating the project and developing design documentation must be attributed to the costs of creating (constructing) that object OS for which such documentation was created.
The nuances of accounting for the construction of fixed assets
The construction of fixed assets begins with planning and design. Projects for buildings, structures, technical facilities, as we have already found out, can be both an intangible asset (and then the costs of design and estimate documentation are taken into account on sub-account 08-5), and part of the costs of creating a fixed asset.
The process of OS construction can be carried out by attracting contractors or carried out by a special division of the enterprise. In the first case, contracts are concluded with contractors, and they are responsible for the fact that the object in its finished form must comply with the project. In the second, the workflow process is regulated by the internal rules of the enterprise. In both cases, expenses are accumulated on subaccount 08-3.
Even in the case of OS construction by contractors, it can be made from customer materials. Accounting for materials used in construction is a laborious process. Write-off of materials for construction is carried out on the basis of primary documents. Here it is necessary to recommend the development and application of such primary documents that will help to control the use of materials in the framework of estimates. An example of such primary document can serve as a limit fence card.
More about order warehouse accounting and the issuance of materials from the warehouse, as well as the forms of warehouse documents, we recommend that you learn from the following materials:
The enterprise has the right to develop its own form of the primary document, convenient for monitoring and analyzing the construction process.
Initially, the cost of purchasing materials for construction is reflected in the debit of the 10th account. As needed, within the framework of the standards, the materials are delivered to construction site. The accounting department writes them off for construction by correspondence Dt 08.3 Kt 10. Thus, material costs for the construction of a particular facility are accumulated on the debit of sub-account 08.3 until the OS object is put into operation. The commissioning of the OS object into operation upon completion of construction is reflected in the posting Dt 01 Kt 08.3.
The nuances of accounting for investments in non-current assets in agriculture
For agricultural enterprises or organizations where there are livestock divisions, two special sub-accounts are allocated on account 08:
- 08-6 "Transfer of young animals to the main herd";
- 08-7 "Acquisition of adult animals".
The acquisition of sexually mature animals, as a rule, does not cause any problems in accounting. The formation of the actual cost of purchasing an adult animal is carried out by synthesizing the cost of acquiring the fixed asset itself, the costs of its delivery, examination or evaluation, and other costs associated with the fact of acquiring the animal. After the animal is put into operation, its value is transferred from account 08 to account 01 by standard posting.
The moment of putting the animal into service may be the date:
- its entry into the main herd (including breeding);
- its receipt in the unit where its further maintenance is planned (zoos, laboratories, service dog breeding departments).
If the animal is received by the enterprise free of charge, then its acceptance is made on the basis of the market value of animals with similar indicators (breed, age, constitution, color). Then the initial cost of such an OS object is equal to the market value of the object, increased by the costs of its delivery, examination, etc.
A large number of questions arise in accounting for the costs of rearing young animals. In the chart of accounts there is an account 11 “Animals for growing and fattening”. Accountants often have a question, why then do we need a sub-account 08-6?
Firstly, instruction 94n does not imply direct wiring Dt 01 Kt 11.
Secondly, through account 08.6, the planned cost of young animals transferred to the main herd is debited from the cost of all fattening and rearing animals.
If the organization transfers young animals to the main herd, typical wiring look like this:
Dt 08.6 Kt 11 - write-off of the cost of young animals;
Dt 01 Kt 08.6 - increase in the cost of animals of the main herd due to the arrival of young animals.
During the year, young animals can be transferred to the herd several times. Its transfer is carried out at the planned cost. At the end of the year, the farm is obliged to adjust the planned cost of the transferred young stock to the actual cost. In this case, the reversal or increase in amounts is done in the same way as the transactions shown above.
Results
Account 08 in accounting is used for the purpose of synthesizing information on the cost of fixed assets acquired (or manufactured independently) by the enterprise, intangible assets and profitable investments in tangible assets. The nuances of accounting for such investments are regulated by accounting legislation - PBU 6/01, PBU 17/02 and the chart of accounts.