The profit and loss statement is drawn up by. Report about incomes and material losses
The profit and loss statement is drawn up on the basis of amendments to the order of the Ministry of Finance dated September 18, 2006 No. 115-116n. Where terms such as "Operating income and expenses", "Non-operating income and expenses", "Extraordinary income and expenses" with "Other income and expenses" are summarized.
Indicators of Form No. 2 "Profit and Loss Statement" are filled in on the basis of analytical data to accounts 90 "Sales", 91 "Other Income and Expenses", 99 "Profits and Loss", which are contained, respectively, in order logs No. 11.13, 15 in case of a journal-order form of accounting or in registers similar in purpose to other forms of accounting.
Before filling out a profit and loss statement, you need to remember the basic rules. First, all data must be presented on an accrual basis from January 1 to December 31, 2007 inclusive. At the same time, column 3 should contain the turnovers on the accounts for 2007, and in column 4 - the turnovers of 2006. The second rule is that you should not offset the amount of profit as a loss (and vice versa). The third rule is negative values \u200b\u200band those indicators that the accountant must deduct are written in parentheses.
Income and expenses from ordinary activities
Revenue (net) from the sale of goods, products, works, services (net of value added tax, excise taxes and similar mandatory payments) (line 010).
The income from the ordinary activities of the enterprise is recorded here. First of all, this is revenue for products and goods, as well as for work performed and services rendered. When calculating revenue, you need to take into account the amount differences. These differences occur when goods, the price of which is expressed in conventional units, are shipped before payment for them arrives. If the contract with the buyer provides for various discounts or markups, then they must also be taken into account when determining the revenue. In addition, it is necessary to take into account the interest due from the buyer for the installment plan. This procedure is determined by the Regulation on accounting "Income of the organization" (PBU 9/99), approved by order of the Ministry of Finance of Russia dated May 6, 1999 No. 32n.
Revenue is reflected excluding VAT, excise taxes, export duties, since according to paragraph 3 of PBU 9/99, these taxes are not income.
Also, money that the intermediary received from buyers for goods belonging to the principal (principal or principal) is not considered income. Advances received and amounts received as collateral, deposit, etc. are not recognized as income. Amounts received to repay a loan or loan. In the standard form of the Report, the revenue is reflected in full, that is, without breakdowns. At the same time, if the company deems it necessary, you can write down the income and expenses from each business. To do this, form No. 2 must be supplemented with new lines (011, 012, etc.). In this case, only significant income is deciphered. In clause 18.1 of PBU 9/99 "Income of the organization" it is said that the revenue that for the reporting period is 5 percent or more of the total amount of the organization's income is considered significant.
This rule also applies to costs. The costs corresponding to each type of allocated income should be show on separate lines.
Understanding what relates to the organization's income, you need to pay attention to one nuance. We are talking about rent and amounts received in accordance with licensing agreements. In this case, the question arises - how to deal with these funds: should they be included in the composition of income from ordinary activities and reflected on line 010, or should they be referred to other income and shown on line 090? Paragraph 4 of PBU 9/99 states that the organization has the right to independently decide how it should be.
On line 010, you need to specify:
- - in column 3 - 245,867,000 rubles;
- - in column 4 - 156 170 000 rubles.
The cost of goods, products, works, services sold (line 020).
Here indicate the amount of expenses for ordinary activities for the reporting period. This indicator is indicated in parentheses.
According to clause 8 of PBU 10/99 "Organization expenses", expenses for ordinary activities are divided into:
- - material;
- - the cost of labor costs;
- - deductions for social needs;
- - depreciation;
- - others.
They are not considered expenses of the company and are not reflected in the Report:
- - amounts from the sale of goods transferred by the intermediary in favor of the principal (principal, principal);
- - costs of acquiring non-current assets (fixed assets, intangible assets, construction in progress, etc.);
- - the amounts listed in the order of prepayment of material values, works or services;
- - amounts issued as a deposit;
- - the amounts transferred to repay a loan or loan previously received by the company.
On this line, the accountant lists the expenses for ordinary activities, the proceeds of which are reflected in line 010 of the Profit and Loss Statement. According to paragraph 5 of PBU 10/99, these are the costs of manufacturing and selling products, purchasing and selling goods, as well as costs associated with the performance of work and the provision of services.
When filling out this line, there is one nuance that is interesting for the accountant of the organization, which does not write off management and commercial expenses immediately, but distributes between the sold and the remaining products. So, the share of such expenses attributable to products sold is also given in line 020.
For example.
The prime cost of goods, products, works and services sold by Maslovo LLC in 2007 was 230,722,000 rubles, and in 2006 it was 126,647,000 rubles.
In the report of LLC "Maslovo" on line 020 in parentheses, you need to reflect the value of the cost of goods manufactured, goods sold and services rendered:
- - in column 3 - 230,722,000 rubles.
- - in column 4 - 126,647,000 rubles.
Gross profit (line 029).
This is a subtotal. Here they show the gross profit of the enterprise. It is equal to the difference between revenue (line 010) and cost (line 020).
On line 029 LLC Maslovo must indicate the following amounts:
- - in column 3 - 15,145,000 rubles. (245867000 - 230722000);
- - in column 4 - 29,523,000 rubles. (156170000 - 126647000).
Selling expenses (line 030).
On this line are the costs that are associated with the sale of products. Let's say these are the costs of advertising, storage, transportation of products.
Clause 9 of PBU 10/99 allows you to write off business expenses in two ways. The first is to distribute them between the sold and the remaining products. That is, all collected costs are written off to the cost of production with the following wiring:
Dt 20 Kt 44 - commercial expenses were written off to the cost of manufactured products.
Then part of the commercial expenses attributable to the products sold is debited from the credit of account 43 to the debit of account 90. In this case, line 030 is not filled out.
The second way is to include all commercial expenses in the cost of products sold in the reporting period. In this case, a record is made:
Дт 90 subaccount "Cost of sales" Кт 44 - commercial expenses are written off to the cost of goods sold.
And line 030 is filled accordingly.
Let's continue our example.
The costs of OOO Maslovo for storage and delivery of products in 2005 amounted to 3,310,000 rubles, and in 2004 - 2,062,000 rubles.
On line 030, the accountant of LLC Maslovo must write down the following amounts in parentheses:
- - in column 3 - 3,310,000 rubles;
- - in column 4 - 2,062,000 rubles.
Administrative expenses (line 040).
Here are the general expenses of the enterprise. Such costs, in particular, include:
- - costs of remuneration of administrative personnel;
- - expenses for training and retraining of personnel;
- - expenses for the maintenance of property of general economic purpose;
- - the cost of office supplies and other materials and inventory used for management needs, etc.
Administrative expenses are written off to the cost of production in the same way as commercial ones. That is, either all at once - then the accountant must fill in line 040, or in proportion to the share of products sold - in this case, the entry is made on line 020, line 040 in this case remains empty. In our case, line 040 is empty.
Profit (loss) from sales (050).
On line 050, the financial result from the sale of products (goods, works, services) is indicated. You can get it if the sales proceeds (line 010) deduct the cost of goods sold: goods (age 020), commercial (line 030), and management (line 040) expenses. The same result will be if the selling and administrative expenses were deducted from the gross profit (line 029). If the result is a loss, then its amount must be shown in the Report in parentheses.
We continue our example:
On line 050, the accountant of LLC Maslovo indicates the following values:
- - in column 3 - 11,835,000 rubles. (14145000 - 3310000);
- - in column 4 - 27,461,000 rubles. (29523000 - 2062000).
To complete the section "Income and expenses from ordinary activities" of the Profit and loss statement, you need to know where to get the information and information for this. Let us consider the sources of information for filling in this section of the Report in Table 4.
Table 4
Sources of information for completing this section of the Report
Invoice line |
Line code |
How to generate indicators of the Profit and Loss Statement |
Revenue (net) from the sale of goods, products, works, services (net of VAT, excise tax and similar mandatory payments) |
The difference between the credit turnover of the subaccount "Revenue" of account 90 and the debit turnover of the subaccounts "VAT", "Excise", "Export duties" of account 90 |
|
The cost of goods, products, works, services sold |
Debit turnover on the subaccount "Cost of sales" of account 90 in correspondence with accounts 20,41,43 and 45. Organizations that use account 40 to account for production costs must adjust the debit turnover on the "Cost of sales" subaccount of account 90 for the difference between the actual and standard production costs. If the actual cost price turns out to be higher than the standard one, then the excess amount is added to the debit turnover on the "Cost of sales" subaccount, and if it is lower, then it is deducted from it. |
|
Gross profit |
Difference between lines 10 and 020 |
|
Business expenses |
Debit turnover of the subaccount "Cost of sales" of account 90 in correspondence with account 44 |
|
Administrative expenses |
Debit turnover of the subaccount "Cost of sales" of account 90 in correspondence with account 26 |
|
Profit (loss) from sales |
Subtract lines 030 and 040 from line 029 |
Other income and expenses
Interest receivable (line 060).
For this line, organizations give the interest that is due to them. In this case, we are talking about interest on government bonds and securities, bank deposits and deposits, as well as on loans provided. Please note: interest on the loan is charged at the end of each reporting period in accordance with the terms of the agreement (clause 16 of PBU 9/99).
We continue our example.
In 2007 LLC Maslovo did not lend to anyone and did not lend to anyone. The situation was the same in 2006. Thus, on line 060, a dash is put in both columns.
Interest payable (line 070).
This line records the interest that the company must pay on bonds, shares, loans and borrowings. In this case, interest must be calculated every month while the company uses borrowed funds, regardless of when these funds will be paid. The exception is payments on loans taken for the purchase of investment assets. Such interest until the moment of capitalization is taken into account in the cost of the purchased property. If interest was accrued after the investment asset was accepted for accounting, in this case, it refers to other expenses and is also reflected in line 070. Note that interest on borrowed funds that are not used to purchase investment assets can be written off at a time.
Suppose that in 2007 LLC "Maslovo" took out a loan for the purchase of meat processing equipment. For the year, the company calculated interest in the amount of 2,378,000 rubles, and in 2006. in the amount of 2,747,000 rubles. Line 070 indicates in parentheses:
- - in column 3 - 2,378,000 rubles;
- - in column 4 - 2,747,000 rubles.
(line 080).
It shows income from participation in the authorized capital of other organizations (for example, dividends on shares, etc.). Organizations can also work together by pooling their contributions. To do this, they conclude a simple partnership agreement. In this case, income from joint activities is accrued on the day when the comrades distribute the profit among themselves. This amount is reflected in line 080 of the Report. In 2007 and 2006, the farm did not participate in other organizations and did not enter into a “simple partnership” agreement with anyone, so we put a dash on line 080.
Other income (line 090).
This line contains operating income that was not presented in the previous lines of the Report. First of all, these are incomes from the lease of property (if such income is received by the company irregularly), the sale of fixed assets, intangible assets, materials, etc., and also the profit that the organization received under a simple partnership agreement, etc. As well as concepts such as operating, non-operating and extraordinary income.
This line of the Report reflects, in particular, income (excluding VAT) from the lease of property, from the sale of other company property (fixed assets, intangible assets, capital construction in progress or materials), as well as income from the liquidation of fixed assets. The company had income from the sale of agricultural machinery, which amounted to
- - in column 3 - 28,717,000 rubles;
- - in column 4 - 9,528,000 rubles.
Other expenses (line 100).
Here are indicated those operating expenses that were not included in the previous expense items of the Report. Other costs, in particular, now include costs:
- - for the lease of property;
- - from the write-off of other property of the company (fixed assets, intangible assets, materials, etc.);
- - on payment for bank services;
- - to pay interest on loans and borrowings;
- - recognized fines, penalties, forfeits for violation of the terms of contracts;
- - losses of previous years revealed in the reporting year;
- - negative exchange rate differences;
- - losses reimbursed to other firms, etc.
Let the company accrued 50,000 rubles for 2005. property tax and 40,000 rubles. advertising tax.
In 2007, the organization incurred other expenses. It turns out that on line 100 in parentheses, the accountant of Maslovo LLC should write:
- - in column 3 - 905,000 rubles;
- - in column 4 -2231000.
Lines 120 ( non-operating income) and 130 ( non-operating expenses) were excluded from the “Profit and Loss Statement” as separate lines and were included in lines 090 (other income) and 100 (other expenses), respectively, by order of the Ministry of Finance of Russia dated September 18, 2006 No. 115n.
As for filling out the first section of the Profit and Loss Statement, to fill in the "Other income and expenses" section, the accountant needs to know where to get the information for this. Let's draw up the main sources of information for filling in the second section of the Report in Table 5.
Table 5
Main sources of information for filling out the second section of the Report
Report line |
Line code |
|
Interest receivable |
Credit turnover of sub-accounts of account 91, which show interest receivable |
|
Percentage to be paid |
Debit turnover of sub-accounts of account 91, which reflects interest payable |
|
Income from participation in other organizations |
Credit turnover of sub-accounts of account 91, which shows the amount of income from equity participation in other organizations |
|
Other income |
Credit turnover on sub-accounts of account 91, where other operating income is indicated, minus the amount of VAT |
|
other expenses |
Debit turnover on sub-accounts of account 91, which reflect other operating expenses |
Profit (loss) before tax (line 140)
This line shows the financial result of the organization for the year. It is calculated according to the data of the Profit and Loss Statement. This is nothing more than "accounting" profit or "accounting loss".
Let's continue our example.
On line 140, the accountant must indicate:
- - in column 3 -37269000 rubles. (11835000 - 2378000 + 28717000 - 905000);
- - in column 4 - 332,011,000 rubles. (27461000 - 2747000 + 9528000 -2231000).
Deferred tax assets (line 141).
This line is intended for deferred tax assets that were generated in the organization's accounting for 2007. From January 1, 2003, calculating and showing them is obliged by PBU 18/02 "Accounting for calculations of income tax". This PBU was approved by order of the Ministry of Finance of Russia dated November 19, 2002 No. 114n.
Deferred tax assets are derived by multiplying the so-called deductible temporary differences by the income tax rate. And the deducted differences, in turn, are formed when:
- - the amount of depreciation, which is calculated in the accounting for the reporting period, exceeds that calculated according to the rules of tax accounting;
- - commercial and administrative expenses in accounting and for tax purposes are written off in different ways;
- - carry forward to the future loss, which will reduce taxable income in subsequent reporting periods;
- - the overpayment of income tax is not returned to the organization, but is offset against future payments;
- - an enterprise using a cash method in accounting includes in the costs the cost of materials that have not yet been paid, etc.
So, in line 141 of the Report, the difference between the debit and credit turnovers on account 09 will fall. There can be two situations here. If the obtained value is positive, then the difference (that is, the amount of accrued assets minus those repaid and written off) is added to profit before tax. If, on the contrary, it is negative, then the amount of assets in the reporting period must be deducted from profit.
Let's continue our example and show how they are reflected in the profit and loss account. All calculations will be conditional, since LLC Maslovo did not fill in lines 141 and 142.
Let for 2007 the amount of deferred tax assets of OOO Maslovo was 2,000 rubles. (positive difference between the debit and credit turnovers of account 09), respectively, 2006 the amount of deferred tax assets amounted to 2500 rubles. On line 141 "Deferred tax assets", the accountant of Maslovo LLC must record:
- - in column 3 - 2000 rubles;
- - in column 4 - 2500 rubles.
(line 142).
Deferred tax liabilities are determined by multiplying the amount of temporary differences by the income tax rate (clause 15 of PBU 18/02). Taxable accounting temporary differences arise when:
- - the amount of depreciation accrued in tax accounting for the reporting period is greater than that calculated according to the accounting rules;
- - you accrued interest on loans issued on a monthly basis, and the debtor repaid them at a time. In this case, the difference arises if your firm uses the cash method;
- - interest on loans and sum differences in tax accounting are included in non-operating expenses, and in accounting - in the cost of fixed assets or materials;
- - expenses are reflected in accounting as a composition of deferred expenses, and in tax records they are written off immediately.
As in the case of assets, deferred tax liabilities can be deducted from profit (loss) before tax, or added. As in the case of assets, the difference between the turnover on account 77 is included in the Report if the credit turnover (where accrual is reflected) exceeds the debit turnover (where the write-off of the liability is shown), then this indicator will reduce profit. If on the contrary, it will increase.
Let for 2007 the amount of deferred tax liabilities of LLC Maslovo was 8,000 rubles. (positive difference between credit and debit turnovers of account 77), respectively, in 2006, 7000 rubles. (all the given figures are conditional). That is, the accountant of LLC Maslovo will write on line 142:
- - in column 3 - 8000 rubles. (in parentheses);
- - in column 4 - 7000 rubles.
Current income tax (line 150).
Clause 21 PBU 18/02 provides a formula for calculating the current tax and profit:
Contingent income tax expense (contingent income) + permanent tax liability (asset) + deferred tax asset - deferred tax liability \u003d current income tax expense (income).
Conditional expense (income) is the “accounting” profit (or loss) from line 140 of the Statement, multiplied by the income tax rate. Contingent income is accrued only if the organization has made a profit in tax accounting.
Permanent tax liabilities can be obtained by multiplying the permanent differences by the income tax rate. Such differences arise when expenses that are accounted for for accounting purposes are not included in expenses when calculating income taxes. We are talking, say, about the amounts that the organization has spent in excess of the norms established in the tax code of the Russian Federation. This applies to daily allowances, compensation for the use of personal transport, entertainment expenses, insurance costs.
There are also permanent tax assets. They also arise from constant differences. For example, if tax expenses are not accepted for accounting purposes. Unlike permanent tax liabilities, permanent tax assets in the reporting period reduce the accrued income tax. Since they did not exist either in 2007 or in 2006, we are not writing anything.
Net profit (loss) of the reporting period (line 190).
Line 190 shows the net profit (loss) received for 2007. This is the final financial result of the company minus income tax.
To obtain net profit (line 190), the current income tax adjusted for the amount of deferred tax liabilities and assets, as well as other payments to the budget must be deducted from profit before tax (line 140) (151).
On line 190 "Net profit (loss) of the reporting period" of the profit and loss statement, the accountant must indicate:
- - in column 3 - 36,937,000 rubles. (37269000-332000);
- - in column 4 - 32,011,000 rubles.
In table 6 we consider the sources of information for filling in the section "Other income and expenses".
Table 6
Information for filling out the section "Other income and expenses"
Report line |
Line code |
How to generate indicators for the profit and loss statement |
Profit (loss) before tax |
Line 050 + line 060 - line 070 + line 080 + line 090 - line 100 + line 120 - line 130 |
|
Deferred tax assets |
The difference between the debit and credit turnovers of account 09 (if the result is positive, it is added to line 140, if negative, it is subtracted) |
|
Deferred tax liabilities |
The difference between the credit and debit turnovers of account 77 (if the result is positive, it is subtracted from line 140, if negative, it is added) |
|
Current income tax |
Debit turnover on account 99 “Profits and losses” in correspondence with the sub-accounts of account 68, which reflect the calculations of income tax and penalties. This amount is adjusted for deferred tax assets and liabilities. |
|
Other payments from profit |
||
Net profit (loss) of the reporting period |
Line 140 (+/-) line 141 (+/-) line 142 - line 150 |
Reference data
An organization must complete this section if it has permanent tax liabilities (assets) or pays dividends.
Permanent tax assets (liabilities) (line 200).
Permanent differences arise when an entity incurs expenses that are recognized in accounting, but are not taken into account when calculating income tax. For example, the cost of property donated. Or they are taken into account, but within the limits of the standards, while in accounting they are written off completely. Say, hospitality, advertising costs, or compensation costs for the use of personal cars for business travel.
If you multiply this constant difference by 24 percent, you get a permanent tax liability. This value for reference must be reflected on line 200 of the Report. The Maslovo LLC organization did not have such expenses either in 2007 or in 2006.
Basic earnings (loss) per share (line 210).
For this line, the accountant must show basic earnings (loss) per share. This is a part of the profit of the reporting year, which is due to shareholders - owners of ordinary shares. To calculate this indicator, you need to divide the underlying profit (loss) of the reporting period by the weighted average number of ordinary shares in circulation. Only joint stock companies fill in this line. Limited liability companies should use a dash on this line. Here is the basic earnings (loss) per share. This is the portion of the profit for the reporting period that is attributable to the owners of ordinary shares. To calculate this indicator, you need to use the Methodological Recommendations for the disclosure of information on earnings per share, which were approved by order of the Ministry of Finance of Russia dated March 21, 2000 No. 29n. Since LLC "Maslovo" is not a joint stock company, the accountant does not fill in this line
Diluted earnings (loss) per share (line 220).
Here is the value of the so-called diluted earnings (loss) per share. This indicator reflects a possible decrease in the level of basic earnings per share in the next reporting period.
Deciphering individual gains and losses.
This section describes the most significant non-operating income and expenses.
Line 230 reflects the accrued fines, penalties and penalties for violation of the terms of business contracts. In our case:
- - in column 3 - a dash, because they are not
- - in column 5 - 26,000 rubles.
On line 240, indicate the profit (loss) of previous years, identified in the reporting year (the same applies to the loss).
On line 250, the amounts of compensated losses are given.
On line 260 exchange rate differences are shown.
On line 270, you need to record what amounts were transferred to the estimated reserves.
On line 280, written off receivables and payables are represented, for which the limitation period has expired.
So, we examined the procedure for drawing up the Profit and Loss Statement. Since we took the conditional values \u200b\u200bof the indicators, in table 7 we will consider how, on the basis of the indicators calculated by us, to draw up a profit and loss statement in accordance with the new form and with the recommendations of PBU 18/02.
Table 7
Profit and loss statement for 2007 LLC "Maslovo"
Index |
During the reporting period |
For the same period of the previous year |
|
name |
|||
Income and expenses from ordinary activities Revenue (net) from the sale of goods, products, works, services (net of VAT, excise taxes and similar mandatory payments) |
|||
Cost of sales goods, products, works and services |
|||
Gross profit (line 010 + 020) |
|||
Business expenses |
|||
Administrative expenses |
|||
Profit (loss) from sales (p. 029 + 030 + 040) |
|||
Other income and expenses Interest receivable |
|||
Percentage to be paid |
|||
Income from participation in other organizations |
|||
Other income |
|||
other expenses |
|||
Profit (loss) before tax (line 50 + 60 + 70 + 80 + 90 + 100) |
|||
Deferred tax assets |
|||
Deferred tax liabilities |
|||
Current income tax |
|||
Other payments from profit |
|||
Net profit (retained earnings (loss) of the reporting period) (line 140 + 141 + 142 + 150 + 151) |
|||
REFERENCE Permanent tax liabilities (assets) |
|||
Basic earnings (loss) per share |
|||
Diluted earnings (loss) per share |
So, based on the rules and principles of drawing up a profit and loss statement, we have compiled a profit and loss statement as required by accounting with all the reforms carried out in this area.
A profit and loss statement is one of the two main forms of accounting that all legal entities are required to draw up and submit to inspection authorities and other interested parties. Let's consider its structure, content and rules for filling in 2018–2019 in full and in a simplified form. We will tell you where to get the form and see the completed sample. We will also show you where to read about upcoming changes in the procedure for submitting accounting reports and a severe increase in fines for those who do not submit it.
What does the profit and loss statement reflect
The modern form 2 is called the statement of financial results (clause 1 of article 14 of the law "On accounting" dated 06.12.2011 No. 402-FZ). It is applied from the reporting for 2011, although changes in the text of the order of the Ministry of Finance of Russia dated 02.07.2010 No. 66n, which approved this form, in part of the name were introduced only in 2015 (by order of the Ministry of Finance of Russia dated 06.04.2015 No. 57n).
This renaming, in fact, became the only (apart from a number of manipulations with the word "for reference" in the 2nd table of the report) change in the content of the profit and loss account form since its approval by Order No. 66n. At the same time, the signature of the chief accountant disappeared from the signatures under it, which was not considered mandatory already from the 2011 report.
A similar form that was in force earlier (for reporting for 2006-2010) was introduced by order of the Ministry of Finance of Russia dated July 22, 2003 No. 67n. It was also called the income statement and, as Form 2, was listed in the list of accounting forms. Since the essence of the report changed little when the form was reapproved, it is often continued to be called the profit and loss statement (or, for short, form 2). We will use these names too.
The total totals in the profit and loss statement for a certain period show how and from what the financial result of the organization was formed. These figures are compared with the same period of at least 1 of the previous year. Thus, the profit and loss statement makes it possible to analyze the indicators not only at the reporting date, but also in dynamics.
Annual reporting is obligatory and intended for submission to the regulatory authorities (IFTS, Rosstat).
NOTE! Soon it will not be necessary to submit reports to Rosstat. Read about this and other changes that will occur in the order of submission starting with the reporting for 2019. And about increasing the fine for failure to submit reports to 700 thousand rubles. tells this publication.
Its integral part is Form 2, which, together with the balance sheet, is filled out by all legal entities without exception.
A report drawn up for interim dates of the reporting year may be needed:
- economic service;
- leaders;
- founders;
- banks;
- investors;
- counterparties.
As a rule, it is formed according to the same principles (on an accrual basis, taking into account the data on the closing of the next month of the year). However, a report drawn up for a specific period (month or quarter) or including an incomplete last month may also be required.
What is the structure of Form 2 enterprises in 2018-2019
The structure of the profit and loss statement for 2018-2019 corresponds to the current one starting from the statements for 2011. It still highlights the ones to be filled in:
- the heading part of the report, which indicates the period for which it was compiled, the date of compilation, all the main statistical codes (with their textual interpretation) and the tax number of the legal entity, as well as the order of the unit of measure in which the numbers are entered in the report;
- the main table containing the calculation of the financial result itself;
- reference table;
- signature of the head and date of signing.
In the form of a profit and loss statement given in order No. 66n, the main table consists of 4 columns:
- explanations that are filled in if there are deviations from the lines proposed in the form or if there are figures in the report that require more detailed disclosure;
- unified names of indicators (rows of the table, in which the financial result of work for the period indicated in the title is calculated sequentially from the amount of proceeds received to accounting for IT and IT that affect income tax);
- numerical values \u200b\u200bof these indicators corresponding to the reporting period;
- numerical values \u200b\u200bof these indicators corresponding to the same period of the previous year.
Reporting lines submitted to Rosstat must be coded. The codes required for this are given in Appendix 4 to Order No. 66n. In order not to correct the reporting submitted to different authorities, it is more convenient to initially draw up it in the form containing the "Code" column between the 2nd and 3rd columns of the form recommended by the Ministry of Finance. Moreover, in the current work with reports, it is often preferable to indicate the line numbers of the form, rather than their names.
What the reference table shows
The 2nd table in the profit and loss account contains reference information, divided into 2 parts:
- on incomes that increase the profit received by directly attributing them to capital (for example, the sums of the revaluation of fixed assets and intangible assets that fall directly into the additional capital), indicating the amount of the total profit of the period, adjusted for these income;
- profit (loss) attributable to 1 share (this data is needed for JSC).
General rules for drawing up form 2
The profit and loss statement is filled out according to the following rules:
- Cumulative total throughout the year, monthly changing the data for the calculation and the overall financial result. For official reporting, the reporting period will be a year. For its own purposes, a legal entity can do it by anyone.
- According to accounting data, comparing the figures calculated according to the report with similar turnovers or totals for the corresponding accounting accounts.
- Sums that have a negative (or opposite to the original, as, for example, for IT or IT) sign are shown in parentheses.
- The columns for the lines of missing indicators are crossed out.
How to fill out the complete form
When filling out the profit and loss statement, information is entered using the turnover data on accounting accounts:
- 90 (in relation to main activities) and 91 (in other income and expenses). VAT and excise taxes are excluded from revenue. The total obtained from the profit and loss statement in terms of the amount of profit (loss) before tax must coincide with the similar total of account 99.
- 09 and 77 (according to SHE and ONO) for legal entities using PBU 18/02. The values \u200b\u200bof income tax and net profit, formed with their use in the report, must give, respectively, the amount of tax received on the declaration, and the amount of total profit (loss) that arose in accounting.
- 83 (for income not included in net income) when entering data in the lookup table.
Read about the rules for drawing up a similar report for the purposes of IFRS in the material "We draw up a profit and loss statement in IFRS format" .
How to compile a report in a simplified form
Some legal entities can prepare a profit and loss statement using a simplified form. This is directly indicated in Order No. 66n, in Appendix 5 to which this form is given. There is no reference table in it, and the main one is built in the same way as in the full form of the report, but the rows are combined (enlarged).
It is also convenient to enter an additional column "Code" into it. A feature of specifying the code in the lines of the combined indicators will be the choice of the cipher for them, the data on which prevails in the line.
The accounting reporting falls on the shoulders of all business entities. Reporting documents must be submitted annually. The main accounting document is. As for the profit and loss statement, it is rather an additional document.
The Profit and Loss Statement Form (form according to OKUD 0710002) can be downloaded at.
You can download a sample of filling out form 2 at.
When drawing up a profit and loss statement, the title part can be safely considered the “title” of the balance sheet, since the information specified in this part will be the same. Each line of the OKUD 0710002 form is filled in with summary indicators.
The profit and loss statement form requires line-by-line filling, as in the balance sheet, while the order of filling is slightly different, which is better to consider with several examples:
- 2110 - it is necessary to calculate the difference between the total revenue of this enterprise received from the sale of goods or services and the amount of VAT paid. The data for this line is taken from account 90 for sales.
- 2120 shows the cost after excluding all costs, the data for this item is taken from the Debit of account 90.
- 2100 - this line is intended to determine the gross profit and is found as the difference between the lines indicated above.
- 2210 - the line is intended to show commercial costs, the values \u200b\u200bof which are taken from Debit 44. This also includes the cost amounts.
- 2220 - before filling out the income statement, this value is taken from Debit 44.
Sample filling out the profit and loss statement
First sheet
Second sheet
The essence of the statement of financial results
The profit and loss statement of an enterprise contains the amount of income of a given object, by which it is possible to judge how efficiently this object is operating, how profitable it is, and also to view the growth in profit for it. This document is compiled by the accrual method, which allows you to view the dynamics of growth or decrease in income from activities.
This document is sometimes also called "financial statement of profit" or "statement of financial results", it plays a key role in the formation of an understanding of the activities of this facility and the benefits of its founders.
The profit and loss statement is drawn up on the basis of parameters for profits, losses, results of implementation and non-sales processes, costs of the company for sales and production, other costs, as well as taxes, etc.
The profit and loss statement is submitted in form 2 (OKUD 0710002), which is provided by law. With the help of this form, it is established how profitable the given enterprise and individual components of the business process are.
The profit and loss statement should fully characterize the profit of this enterprise. That is, due to what it was received, shares by type of activity, all the costs of the entrepreneurship process, as well as net profit after payment of these costs.
In order to correctly assess the development trend of the object of entrepreneurial activity, it is necessary to carry out a comprehensive analysis of the profit and loss statement. It is this procedure that helps to determine how effective the business model of a given business entity is. This is important not only for those who manage the company, but also for investors and lenders.
Good video on the essence of the profit and loss statement:
The structure of the profit and loss statement is such that the most significant indicators are placed at the beginning of this document, depending on the degree of importance. After the main indicators, data are entered on those sources of income and expenses that are indirectly related to the main ones. Before compiling a profit and loss statement, it is also worth calculating the amount of tax payments that this company makes, since this will directly affect the amount of net profit, which will also be indicated in the profit and loss statement.
So, this type of reporting is mandatory for business entities and can be submitted in a simplified form of a statement of losses and profits. The importance of this document corresponds to the importance of the balance sheet. It helps to assess the profitability and profitability of the studied enterprise, therefore it is important not only for the regulatory authorities, but also for the managers themselves.
The profit and loss account or the so-called statement of financial results is considered one of the most useful methods of accounting within any enterprise. This report describes in detail the result of the financial work of the company in the reporting period. Reporting is of particular interest not only to the owner of the organization, but also to the tax authorities.
What is profit and loss reporting?
Profit and loss statements show not only the financial performance of the enterprise, but also the way in which these or other funds were received and spent. This report allows you to analyze the performance of the organization. It is considered along with the balance sheet as one of the most important sources for analyzing the economic situation in the company.
In addition, the report can be used for the following purposes:
- Comparative analysis of the current reporting period with the past to identify positive and negative trends.
- Determination of factors affecting the final financial result of activities.
- Study of the structure, composition, as well as dynamics, income from various sales, etc.
- Determination of the effectiveness of the activity of a particular organization, as well as the level of profitability of investments in this enterprise.
Profit or loss reporting is drawn up in accordance with the form No. 2 established by the Ministry of Finance. Knowledge of this form is a must for all accountants and financiers.
Profit and loss statement structure
The structure of the report contains several components:
- Income ... This article of the report consists of any kind of contributions that increase the company's budget, excluding the contributions of the owners. One of the most important items in income is revenue. Revenue includes rent, sales, interest and dividends, payments for services, royalties. Other types of income inherently differ little from revenue and serve to increase the company's budget.
- Expenses ... The costs include all operations that reduce the economic benefits of the enterprise due to the waste of fixed capital in one direction or another. Expenses include various losses, as well as natural costs arising in the course of the operation of the enterprise.
- Gross profit ... It is calculated through a deduction from the proceeds from the sale of the cost of goods sold. The remaining costs are deducted from the resulting gross profit, which are not included in the production cost.
The form of the document looks like this:
Thus, the holistic structure of the report includes income and expenses with all their items, as well as detailed calculations to determine the performance of the enterprise.
How to prepare a profit and loss statement?
Sometimes in business documents, a long nomenclature is specifically replaced with this - capacious, short and clear - form No. 2. It must fill in the following articles:
- Statement of income with expenses for ordinary activities ... According to the direct nature of the enterprise's activities, it itself declares which of the income and expenses are related to ordinary activities, and which are not. For example, an ordinary activity can be considered one, the share of income from which is more than 5% of the total amount of income.
- Other income and expenses ... Operating, non-operating and extraordinary income or expenses are attributed to such income and expenses. It is important to take into account that non-operating and operating expenses and income are reflected in one account (91), and extraordinary ones in another (99).
- Determination of the financial result ... This article reflects directly the calculations that determine the "net" income of the enterprise or loss from sales, depending on the efficiency of work. This calculation is made before taxation, therefore, it does not show completely accurate data. The financial result is indicated under line 050.
- Income tax calculations ... Here you must indicate the amount of tax for the current one. It is determined according to tax accounting for the reporting period. In accounting, the indicated amount should be reflected on account 68.
- Calculation of net profit or loss ... In this case, the accountant will need to indicate the net profit or loss, taking into account various nuances for the billing period. The form also provides for the writing of net profit or loss for the past year for comparative analysis.
- reference Information ... As background information, the Ministry of Finance recommends indicating the amount of permanent tax liabilities of the organization, as well as the size of the basic and diluted loss (or profit) per share in accordance with the current economic situation.
It is possible to significantly simplify the procedure for filling out the report, relying on the filling pattern proposed by the Ministry of Finance:
Profit and loss statement according to IFRS
IFRS is an international financial reporting standard. Novice accountants can confuse this type of reporting with accounting standards (for example, Russian PBU). IFRS is the standard that reflects the final stage of accounting work on the report. IFRS uses two options for presenting expenses, according to which expenses are divided into subclasses. Let's consider these methods in more detail:
Nature of costs
The criterion of the nature of costs involves the pooling of costs in accordance with the nature and the exclusion of further reallocation according to the purpose within the organization. This method is considered the simplest due to the absence of the need for cost allocation.
According to this method, the classification includes:
- revenue;
- other income;
- changes in the amount of residues of manufactured products or work in progress;
- raw materials and materials that were used;
- employee costs;
- depreciation and other expenses;
- general expenses;
- results of calculations.
By cost destination
A more complex method that requires a lot of paperwork. In this case, expenses will need to be broken down into subclasses according to their purpose as cost of sales. The distribution is quite subjective, which is one of the very serious disadvantages of the method. However, it provides more useful information than the previous method.
The classification will include:
- revenue;
- cost of sales;
- gross profit with other income;
- costs and expenses, including administrative;
- final net profit.
Russian practice provides for the classification of costs precisely by functional purpose as the most effective for analyzing the activities of an enterprise.
Video: Profit and Loss Statement
A complex topic in simple language: how to draw up a profit and loss statement correctly, and what is it for? The answers to these questions will be given by Stanislav Furta, a well-known business coach:
The financial statements also include filling out a profit and loss statement in accordance with Form No. 2. It will allow you to monitor the performance of entrepreneurial activities.
The income statement (form No. 2) characterizes the financial results of the organization for the reporting period and is an important source of data for analyzing the income and expenses of the organization in the context of current, investment and financial activities.
In the profit and loss statement, the income and expenses of the organization for the reporting period are reflected with a subdivision into income and expenses from ordinary activities, operating and non-operating income and expenses, and, if any, extraordinary income and expenses. Their composition and recognition procedure is determined by the Accounting Regulations “Income of the organization” (PBU 9/99) and “Expenses of the organization” (PBU 10/99), approved by orders of the Ministry of Finance of Russia dated 06.05.99, No. 32n and No. 33n, respectively. The indicated income and expenses in the income statement are grouped into two sections: income and expenses from ordinary activities and other income and expenses.
The indicators of the section “Income and expenses from ordinary activities” are formed in accounting on account 90 “Sales” in the context of sub-accounts.
The usual activities are the production and sale of products, goods, the performance of work, the provision of services and other operations that are the subject of the organization.
Income from ordinary activities is revenue. The amount of revenue is determined in accordance with clause 6 of PBU 9/99.
In the income statement, revenue is shown in net valuation, i.e. net of value added tax, excise taxes and similar mandatory payments. As a rule, its value is determined according to accounting data as the difference between the balance of account 90-1 “Revenue” and 90-3 “Value added tax”.
Information on expenses for ordinary activities of the reporting period is generated in accounting on account 90-2 "Cost of sales".
The composition of the indicators of Form No. 2 on the costs of organizations that produce products, perform work, provide services depends on the option of accounting for finished products (works, services).
If they are accounted for at a reduced production cost, then in the profit and loss statement on the line "Cost of goods, products, works, services sold" the amount of production costs is shown without including general business expenses, which is reflected in the accounting at the debit of account 90-2 "Cost of sales" in correspondence with the credit of accounts 20 "Main production", 23 "Auxiliary production", 29 "Service production and facilities", 43 "Finished goods".
In this case, the general business expenses of the organization are indicated on the line “Administrative expenses”. The value of this indicator is determined on the basis of accounting data reflected in the record:
Credit 26 "General Business Expenses".
If organizations keep records of finished products (works, services) at full production cost, then there is no indicator for the line "Administrative expenses" in such organizations. All costs of these organizations, which make up the full production cost of products sold, are reflected in the line “Cost of goods, products, works and services sold”. In this case, the line "Administrative expenses" in Form No. 2 is not provided.
The difference between revenue and cost is gross profit.
The costs associated with the sale of products, works, services (advertising costs, packaging, transportation, etc.) and reflected in the accounting on the debit of account 90-2 "Cost of sales" in correspondence with the credit of account 44 "Sales costs", in the income statement is indicated on the line "Commercial expenses".
Trading organizations in the profit and loss account provide the following information about the costs incurred:
the line “Cost of goods, products, works, services sold” reflects the actual costs of purchasing goods sold. In accounting for the amount of these costs, an entry is made:
Debit 90-2 "Cost of sales"
Credit 41 "Goods";
on the line "Commercial expenses" indicate data on all expenses of the organization incurred in connection with the acquisition, storage and sale of goods, reflected in the debit of account 90-2 "Cost of sales" and credit of account 44 "Expenses for sale".
Selling and administrative expenses may be recognized in the cost of goods (works, services) sold in full in the reporting year of their recognition as expenses for ordinary activities or distributed between reporting periods.
The selected method of recognizing these expenses is approved in the accounting policy for accounting purposes.
The difference between gross profit and selling and administrative expenses is the profit (loss) on sales.
The indicators of the "Other income and expenses" section are formed on the basis of analytical accounting data for account 91 "Other income and expenses".
When presenting information on other income and expenses from operating income in the profit and loss statement, separate disclosure shall include income in the form of interest on bonds, deposits, government securities, interest for lending money to other organizations, interest for the use of cash by a credit institution located on the current account. The specified income is reflected in the line “Interest receivable”. Accordingly, expenses in the form of interest payable on bonds, shares, for the use of loans from other organizations and bank loans are reflected in the “Interest payable” line.
Income from participation in other organizations (dividends on shares and income from participation in authorized capital) is also separately distinguished from operating income. All other income and expenses related in accordance with PBU 9/99 and PBU 10/99 to operating, are reflected as other operating income and other operating expenses.
Income and expenses from property disposal operations are reflected in the income statement on a gross basis: sales income (excluding VAT) as part of other operating income, the other operating expenses line reflects the residual value of the retired depreciable property, the actual cost of disposed inventories, and also the costs associated with their disposal.
The composition of non-operating income and expenses reflected in the income statement is determined by PBU 9/99 and PBU 10/99.
Profit (loss) from sales, increased (decreased) by the amount of operating and non-operating income (expenses), is profit (loss) before tax.
If in the reporting period the organization had extraordinary income and expenses, then the corresponding lines can be entered in Form No. 2. This takes into account the materiality of the information.
Information about such income and expenses in accounting is formed on account 99 “Profits and losses”.
Starting from the reporting for 2003, new indicators were introduced into the profit and loss statement: deferred tax assets, deferred tax liabilities, current income tax, permanent tax liabilities (assets) (the last indicator
is given in the report for reference). Their presence is due to the application from January 1, 2003 of the Accounting Regulations “Accounting for Profit Tax Calculations” (PBU 18/02), approved by order of the Ministry of Finance of Russia dated November 19, 2002, No. 114n.
A permanent tax liability is the amount of tax that results in an increase in income tax payments during the reporting period. Its amount is determined based on the amount of permanent tax differences arising in the reporting period and the income tax rate in force at the reporting date.
Permanent differences are understood as income and expenses that form the accounting profit (loss) of the reporting period and are excluded from the calculation of the tax base for income tax both in the reporting and subsequent reporting periods.
Deferred tax assets - part of deferred income tax, which should lead to a decrease in income tax payable to the budget in the next reporting period or in subsequent reporting periods. Its amount is determined based on the amount of deductible temporary differences and the income tax rate.
Deferred tax liability is a part of deferred income tax, which should lead to an increase in income tax payable to the budget in the next reporting period or in subsequent reporting periods. Its amount is determined based on the amount of taxable temporary differences and the income tax rate.
Temporary differences mean income and expenses that form accounting profit (loss) in one reporting period, and the tax base for income tax - in another or in other reporting periods. Temporary differences arise for expenses and income, the amount of which is recognized in accounting and for tax purposes, but the period of their recognition, methods of inclusion and, as a result, the amounts recognized in this reporting period may differ.
Current income tax is determined based on contingent income tax expense increased by permanent tax liabilities, deferred tax assets and reduced by deferred tax liabilities. The amount of deemed income tax expense (income) is calculated by applying the tax rate to the profit (loss) before tax.
Net profit (loss) of the reporting period is determined by increasing profit (loss) before tax by the amount of deferred tax assets and decreasing by the amount of deferred tax liabilities and current income tax.
For reference, the income statement provides data on the amount of basic and diluted earnings (loss) per share.
Such information is presented in the annual financial statements of joint stock companies. The procedure for calculating these indicators is determined by the Methodological Recommendations for the disclosure of information on earnings per share, approved by order of the Ministry of Finance of Russia dated March 21, 2000, No. 29n.
Basic earnings (loss) per share is defined as the ratio of the basic profit (loss) of the reporting period to the weighted average number of ordinary shares outstanding during the reporting period.
Basic profit (loss) of the reporting period is determined by reducing the net profit (loss) of the reporting period by the amount of dividends on preferred shares accrued to their owners for the reporting period.
The weighted average number of ordinary shares in circulation during the reporting period is calculated by summing the number of ordinary shares in circulation on the 1st day of each calendar month of the reporting period and dividing the amount received by the number of calendar months in the reporting period.
Diluted earnings (loss) per share reflects the maximum possible decrease in profit (increase in loss) attributable to one ordinary share of a joint-stock company, if all convertible securities of the joint-stock company will be converted into ordinary shares, as well as upon the execution of all contracts for the purchase and sale of ordinary shares from issuers at a price below market value.
Diluted earnings (loss) per share is the ratio of the underlying profit (loss), adjusted by the amount of its potential gain, to the weighted average number of ordinary shares outstanding, adjusted by the amount of the possible increase in their number as a result of the conversion of securities into ordinary shares and execution contracts for the purchase and sale of shares at prices below their market value. In this case, the value of the basic profit (loss) of the reporting period is adjusted for the sum of all expenses (income) related to convertible securities. Expenses include: dividends due on preference shares that can be converted into ordinary shares; interest paid on convertible bonds; the amount of writing off the difference between the offering price of convertible securities and the par value, if they were placed at a price lower than the par value; other similar expenses. The income includes the amount of write-off of the difference between the offering price of convertible securities and the par value, if they were placed at a price higher than the par value, and other similar income.
The transcript to Form No. 2 provides data on individual profits and losses received by the organization during the reporting period. From operating expenses, information is disclosed about the loss from the decline in the cost of tangible assets at the end of the reporting period. Of the total amount of non-operating expenses and income reflected in the profit and loss statement, additional disclosure is subject to: exchange rate differences, fines, penalties under business contracts, profits (losses) of previous years revealed in the reporting year, written off receivables (payables) with an expired claim prescription.
All information in the income statement is provided at least for the reporting year and the previous year. If an organization decides to disclose data for each numerical indicator for more than two years in the submitted financial statements, then the organization ensures, when developing, accepting and producing forms of forms, a sufficient number of columns necessary for such disclosure.