Grounds for writing off accounts payable from the balance sheet. Creditor write-off: is it worth the hurry? How to write off accounts payable without loss

19.04.2020

Details Category: Magazine selections for the accountant Published: 10/17/2016 00:00 Accounts payable are virtually all debts of the Organization.

Accounts payable arise in two cases.

The first case is if the Organization has not settled with counterparties (for example, the loan has not been returned to the founder, the delivered goods or materials have not been repaid).

The second case - an advance payment was received, but the Organization did not fulfill its obligations on its part. For example, the Organization did not ship the goods to the buyer at the expense of the previously transferred funds.

Terms of writing off accounts payable

Both in accounting and for tax purposes, accounts payable must be written off in the following terms (clause 78 of the Accounting Regulations N 34n, clause 18 of Art.250 of the Tax Code of the Russian Federation, Letters of the Federal Tax Service of 08.12.2014 N GD-4-3 /, dated 02.06.2011 N ED-4-3 / 8754, dated 14.02.2011 N KE-4-3 / 2303, Ministry of Finance dated 12.09.2014 N 03-03-RZ / 45767, dated 25.03.2013 N 03-03-06 / 1/9152, dated 24.10.2011 N 03-11-11 / 264):

Basis for write-off	Write-off date
Expiration of the statute of limitations (usually three years)	expiry date
Liquidation of the creditor organization	date of entry in the liquidation records of the creditor organization
Exclusion of the creditor organization from the Unified State Register of Legal Entities as an inactive legal entity	the date of the entry into the Unified State Register of Legal Entities on the exclusion of the creditor organization from the Unified State Register of Legal Entities
Debt forgiveness by the lender	or the date the debt forgiveness agreement was signed; or the date of receipt from the creditor of a document that confirms debt forgiveness

The amounts of accounts payable for which the limitation period has expired are written off for each obligation on the basis of the inventory data, written justification and the order (order) of the organization (clause 78 of the Regulations on accounting and financial reporting in the Russian Federation, approved by Order dated July 29 .1998 N 34n).

Methodological guidelines for inventory of property and obligations (approved by Order of the Ministry of Finance of Russia dated 13.06.1995 N 49) determined the procedure for its implementation. In the course of the inventory, everything from the business is analyzed as of the next reporting date (the last day of the current calendar month), the amounts of accounts payable are identified that are in excess of the statute of limitations. Based on the results of its implementation, the inventory commission draws up an act of inventory of settlements with creditors.

From the moment of the beginning of the operation of the Federal Law of 06.12.2011 N 402-FZ "On Accounting", the forms of the primary accounting documents used are determined by the head of the economic entity upon the presentation of the official who is entrusted with the accounting (clause 4 of Art. 9 of Law N 402- FZ).

In this case, each primary accounting document must contain all the mandatory details, clause 2 of Art. 9 of Law N 402-FZ.

Although since January 1, 2013, the forms of primary accounting documents contained in the albums of unified forms of primary accounting documentation are not mandatory for use, to draw up this act, you can use the unified form of the inventory of settlements with buyers, suppliers and other debtors and creditors (form N INV-17, approved by the Resolution of the State Statistics Committee of Russia of 18.08.1998 N 88).

The act provides data not only on overdue accounts payable, but also on all accounts payable.

In this case, the following are indicated:

the name of the creditor;
accounting accounts on which the debt is recorded;
the amount owed, agreed and not agreed with creditors;
the amount of debt for which the limitation period has expired.

The act is drawn up on the basis of documented balances of the amounts on the relevant accounts. It is drawn up in two copies and signed by members of the inventory commission. One copy of the act is transferred to the accounting department, the second remains in the commission.

It is advisable to attach a certificate to the act of inventory of calculations, which is the basis for drawing up this act.

Such a certificate is drawn up in the context of synthetic accounting accounts.

For its compilation, data from accounting registers, as well as other documents substantiating the amount of debt, including bilateral reconciliation acts with counterparties, are used.

The certificate should include the details of each creditor, the reason and date of the debt, its value.

When using unified forms of primary documents, such can be a certificate - Appendix to Form N INV-17.

Accounts payable write-off accounting

In accounting, the write-off of accounts payable is reflected by the entry:

Debit 60 (62, 66, 76) - Credit 91- Payables written off.

Let us consider the procedure for reflecting in accounting and tax accounting an operation to write off accounts payable due to the expiration of the limitation period.

Determination of the limitation period

Accounts payable can be written off if the statute of limitations has expired. It is three years (Article 196 of the Civil Code of the Russian Federation).

It is also necessary to count the limitation period according to certain rules (clause 2 of article 200 of the Civil Code of the Russian Federation).

For those obligations, the maturity date of which is known, the term is counted from the day following the end of the established payment date.

For example, according to the supply agreement, the Organization was supposed to pay for the goods on May 11, 2016, but did not.

In this case, the limitation period will be counted from May 12, 2016. And if within three years the debt is not claimed, the limitation period will expire on May 11, 2019. And from that moment you can write off the "creditor".

If the specific day of debt repayment is not determined, the limitation period should be considered from the moment when the creditor sent the Organization a demand for payment of the debt.

And in the case when the Organization was given a certain time to repay the debt, at the end of the last day of this period.

In this case, the limitation period may be interrupted. This happens if the creditor has filed a lawsuit to recover a debt from you. Or if the Organization itself recognized its debt: it partially repaid it, submitted an application for offset, asked for a deferred payment, signed a reconciliation act (Resolution of the Plenum of the Supreme Court of the Russian Federation of 12.11.2001 N 15 and Plenum of the Supreme Court of the Russian Federation of 15.11.2001 N 18).

If such actions have taken place, the limitation period is interrupted and then re-calculated. In this case, the time that passed before the break is not taken into account (Article 203 of the Civil Code of the Russian Federation).

Documentary registration of writing off accounts payable

If the statute of limitations for accounts payable has expired, it should be written off.

And for this, the following documents should be prepared (clause 78 of the Regulation on accounting and reporting, approved by Order of the Ministry of Finance of Russia dated July 29, 1998 N 34n) (hereinafter - the Regulation):

1) an act of inventory of settlements with buyers, suppliers and other debtors and creditors. Such a document is necessary, since accounts payable are revealed precisely as a result of an inventory. The form of this act can be either arbitrary or unified (form N INV-17, approved by the Decree of the State Statistics Committee of Russia of 18.08.1998 N 88);

2) an accounting statement, which indicates all the necessary information about accounts payable and provides a justification for the reason for its write-off.

On the basis of these documents, an order of the head is drawn up to write off accounts payable.

Reflection of write-off of accounts payable in accounting

The written off accounts payable generates income, which is reflected in accounting on account 91, subaccount "Other income" (clauses 7 and 10.4 of PBU 9/99 "Income of the organization"). The wiring will be like this:

Debit 60 (62, 66, 67, 70, 71, 76) Credit 91, subaccount "Other income",

the amount of accounts payable with an expired limitation period was written off.

Such a record is made on the date of approval of the inventory results (part 4 of article 11 of the Federal Law of 06.12.2011 N 402-FZ "On accounting", paragraph 10.4 and paragraph 4 of paragraph 16 of PBU 9/99).

Since in clause 78 of the Regulation it is said that accounts payable must be written off in the reporting period in which the limitation period for it expired, based on inventory data, written justification of the reason for the write-off and the order.

Tax accounting

In tax accounting written off debt is included in non-operating income (clause 18 of article 250 of the Tax Code of the Russian Federation).

Only written off debt is not included in income (subparagraphs 3.4, 11, 21, paragraph 1 of article 251 of the Tax Code of the Russian Federation):

on tax and penalties;
on the payment of mandatory contributions, penalties and fines to off-budget funds;
to a member who owns more than 50% of the authorized capital of your organization (except for debt on payment of interest on loans);
to an organization, in the authorized capital of which your organization's share of participation is more than 50% (except for debts on payment of interest on loans);
in front of any member of your organization, if the document confirming the forgiveness of the debt states that this was done to increase your company (Letter of the Ministry of Finance of 07.16.2015 N 03-03-06 / 2/40933);
to members of the organization for unclaimed dividends.

In addition, when applying the simplified tax system:

written off advances are not included in the income, on account of which goods (works, services) were not delivered, since the advances were taken into account in the income when they were received (clause 1 of article 346.17 of the Tax Code of the Russian Federation, Letter of the Ministry of Finance dated 03.14.2016 N 03-11- 06/2/14135);
goods (works, services) are considered paid, the debt for which has been forgiven or the seller organization has been liquidated (Letter of the Ministry of Finance dated 05.25.2012 N 03-11-11 / 169).

VAT when writing off accounts payable

Situation 1. Debt is written off on the advance received from the buyer, on account of which the goods (works, services) have not been shipped.

VAT, from the received advance (Letter of the Ministry of Finance dated 07.12.2012 N 03-03-06 / 1/635):

In tax accounting, it is included in income as part of the written off accounts payable and is not taken into account in expenses:

In accordance with the point of view of the Ministry of Finance of Russia, VAT in the amount of accounts payable is included in the composition of non-operating income, and is not taken into account in expenses, since the possibility of accounting as part of non-operating expenses the amount of VAT on the prepayment received, written off due to the expiration of the limitation period, is directly in Ch. 25 of the Tax Code of the Russian Federation is not provided (Letters from 07.12.2012 N 03-03-06 / 1/635, from 10.02.2010 N 03-03-06 / 1/58).

Judicial practice is controversial.

There are court decisions that support the point of view that the amount of VAT calculated from the prepayment amount and transferred to the budget, in the amount of accounts payable, is included in non-operating income and can be included in expenses on the basis of paragraphs. 20 p. 1 of Art. 265 of the Tax Code of the Russian Federation as other justified expense (Resolutions of the Federal Antimonopoly Service of the Moscow District of 03/19/2012 in case No. A40-75954 / 11-115-241, FAS of the North-Western District of 10/24/2011 in case No. A42-9052 / 2010).

At the same time, there is a court decision, according to which the amount of non-operating income in the form of written off accounts payable is taken into account without VAT on the basis of paragraph 1 of Art. 248 of the Tax Code of the Russian Federation.

That is, the VAT calculated on the prepayment is not taken into account either in income or in expenses (Resolution of the Federal Antimonopoly Service of the Moscow District of 09/21/2009 N KA-A40 / 9764-09 in case N A40-2059 / 09-4-8);

It is not accepted for deduction.

Application of PBU 18/02

Due to the fact that in accounting the amount of VAT calculated on the received prepayment is included in the composition of expenses, and for the purposes of taxation profit is not taken into account, a permanent difference and the corresponding permanent tax liability (PNO) arise (clause 4, 7 of the Regulation on accounting "Accounting for settlements for organizations" PBU 18/02, approved by Order of the Ministry of Finance of Russia dated November 19, 2002 N 114n).

Accounting entry for reflecting PNO-Debit 99 Credit 68 / PNO.

Situation 2. Debt is written off on goods (works, services) received from the supplier but not paid.

VAT charged by the supplier, previously deducted (Letter of the Ministry of Finance dated June 21, 2013 N 03-07-11 / 23503):

in tax accounting it is included in income as part of the written off accounts payable and is not taken into account in expenses;
not restored.

In accounting, you need to make the wiring:

VAT charged by the supplier, but deductible in tax accounting it is included in non-operating expenses (subparagraphs 14 of paragraph 1 of article 265 of the Tax Code of the Russian Federation).

In accounting, the transactions will be as follows:

Example number one

Accounts payable of the organization for the goods received that were not paid within the time period established by the contract amounted to 354,000 rubles. (including VAT-54,000 rubles).

VAT was accepted for deduction.

Based on the inventory of calculations and the order of the head, the specified accounts payable were written off in the reporting period, when the limitation period expired.

In the accounting of the organization, the write-off of accounts payable for the goods received under the sale and purchase agreement due to the expiration of the limitation period should be reflected as follows:

Example number two

Under the contract for the sale of goods, the organization received an advance payment of 118,000 rubles. (including VAT 18,000 rubles). Within the period established by the contract, the organization did not fulfill its obligations to transfer the goods to the buyer.

On the basis of the inventory of calculations and the order of the head, the indicated accounts payable was written off due to the expiration of the limitation period.

The organization uses the accrual method in tax accounting.

In the accounting of the organization, the write-off of accounts payable on the prepayment received under the sale and purchase agreement due to the expiration of the limitation period should be reflected as follows:

	Debit	Credit	Amount, rub.	Primary document
On the date of receipt of the prepayment
Prepayment received under the sales and purchase agreement				Bank statement on the current account
VAT charged on the received prepayment (118,000 x 18/118)				Invoice
As of the date of writing off accounts payable due to the expiration of the limitation period
Accounts payable written off due to the expiration of the statute of limitations				Inventory of calculations, Order of the head of the organization
The amount of VAT calculated on the received prepayment is recognized as other expense				Accounting information
Reflected PNO				Accounting reference-calculation

Example number three

The organization purchased goods with a contractual value of 354,000 rubles. (including VAT 54,000 rubles).

Within the period established by the contract, the organization did not pay for the purchased goods.

The parties entered into an agreement on debt forgiveness, according to which if the organization repays the debt in the amount of 254,000 rubles within 30 days, then the supplier forgives the debt in the remaining amount (100,000 rubles).

Within the specified period, the organization paid off accounts payable to the supplier in the amount of 283,200 rubles.

In the accounting of the debtor organization, the forgiveness of the creditor-supplier of a part of the debt for the purchased goods to it should be reflected as follows:

	Debit	Credit	Amount,	Primary document
In the month of purchase
Accepted goods (354 000 - 54 000)				Shipping documents supplier, Acceptance certificate
Reflected the amount of VAT, provided by the supplier				Invoice
VAT amount accepted for deduction, provided by the supplier				Invoice

Listed to supplier partial payment for goods				Agreement on forgiving a debt, Bank statement by current account
Debt forgiven recognized within other				Agreement on debt forgiveness

Tax accounting under the simplified tax system

In tax accounting under the simplified taxation system, regardless of the object of taxation, written off accounts payable is included in non-operating income (clause 1 of article 346.15 and clause 18 of article 250 of the Tax Code of the Russian Federation).

Under the simplified tax system, a "creditor" with an expired limitation period is included in income under a simplified tax system in the reporting (tax) period when its limitation period has expired (Resolution of the Presidium of the Supreme Arbitration Court of the Russian Federation of 08.06.2010 N 17462/09).

At the same time, the specific date is not of fundamental importance.

This can be both the day of expiration of the limitation period and the last day of the reporting (tax) period (Letters of the Ministry of Finance of Russia dated 03.23.2007 N 03-11-04 / 2/66, 27.12.2007 N 03-03-06 / 1 / 894).

At the same time, the written off debt for the payment of taxes, tax penalties and fines, as well as compulsory insurance contributions, penalties and fines to extra-budgetary funds does not need to be included in income under the simplified tax system (clause 1, clause 1.1 of article 346.15 and clause 21, clause 1 of article . 251 Tax Code of the Russian Federation).

In addition, when applying the simplified tax system, written-off advances are not included in income, on account of which goods (work, services) were not delivered, since the advances were taken into account in income when they were received (clause 1 of article 346.17 of the Tax Code of the Russian Federation).

Example

LLC, applying the "simplified tax" with the object "income minus expenses", in June 2013 received goods from the trading company in the amount of 70,800 rubles. (including VAT - RUB 10,800).

According to the supply agreement, they had to be paid before June 25, 2013. The LLC did not pay for the due date.

For three years, the trading company made no attempts to recover the amount of the accounts payable from the LLC. On June 25, 2016, her statute of limitations expired.

The head of the LLC decided to write off accounts payable due to the expired limitation period.

To do this, on June 25, 2016, on the basis of an inventory of settlements and an accounting statement, he issued an order to write off accounts payable.

The following entries will be made in the accounting of LLC:

in June 2013

Debit 41 Credit 60

RUB 70 800 - the receipt of goods is reflected;

in June 2016

Debit 60 Credit 91, subaccount "Other income",

RUB 70 800 - the amount of accounts payable has been written off for unpaid goods with an expired limitation period.

In tax accounting under the USN, the accountant wrote off accounts payable in the amount of 70,800 rubles. included in non-operating income as of the date of expiration of the limitation period - June 25, 2016

On the same day made a corresponding entry in the book of income and expenses

In this situation, when accounts payable arose in connection with the purchase of goods and includes the amount of "input" VAT, the entire amount of the "creditors" together with VAT is attributed to non-operating income.

At the same time, the Organization will not be able to write off the cost of the unpaid goods as expenses in case of a "simplification". Even if the product is sold. Because the Organization did not pay for him.

Since, under the simplified system, it is allowed to take into account the costs only if two conditions are met at once: the goods are shipped to the end buyer and the company has paid for it with the supplier (clause 2, clause 2 of article 346.17 of the Tax Code of the Russian Federation). A similar conclusion is contained in the Letter of the Ministry of Finance of Russia dated 07.08.2013 N 03-11-06 / 2/31883.

Thus, the Organization will not have expenses when writing off unclaimed accounts payable, since expenses are accounted for in the tax base under the simplified taxation system only if payment is available (clause 2 of article 346.17 of the Tax Code of the Russian Federation).

The exception is the liquidation of the counterparty. In this case, the obligations are completely terminated. Goods, works and services, the debt for which was written off due to the liquidation of the counterparty, are considered paid (Article 419 of the Civil Code of the Russian Federation). And they can be attributed to the costs of "simplified".

Goods (works, services) are also considered paid, the debt for which is forgiven (Letter of the Ministry of Finance of 05.25.2012 N 03-11-11 / 169).

Example

The organization applying the "simplified" with the object "income minus expenses" received an advance in the amount of 60,000 rubles.

Before the expiration of the limitation period, the organization did not complete the work. The limitation period for accounts payable arising from the organization before expires in June of the current year.

The transaction to write off accounts payable should be reflected in the following entries:

Debit

Credit

Amount,

Primary

document

Reflected creditor

total debt

received advance

Bank statement by

current account

The payable

debt with expired

limitation period

inventory

calculations,

head

enterprises

Since organizations applying the simplified tax system, the date of receipt of income is the day of receipt of the accounts in banks and (or) in the cashier of the organization, the amount of the advance received was recognized as income in the period of receipt.

Consequently, the amount of accounts payable arising in connection with the receipt of an advance after the expiration of the limitation period is not re-included in the income (clause 1 of article 346.15, clause 1 of article 346.17 of the Tax Code of the Russian Federation, see also the Decision of the Supreme Arbitration Court of the Russian Federation of 20.01 .2006 N 4294/05).

Example

The organization purchased raw materials with the contractual value of 236,000 rubles. (including VAT 36,000 rubles).

In the month of acquisition, the raw materials were released into production.

Within the period established by the contract, the organization did not pay for the purchased raw materials. The parties entered into an agreement on debt forgiveness, according to which if the organization pays off the debt in the amount of 200,000 rubles within 30 days, then the supplier forgives the debt in the remaining amount (36,000 rubles).

Within the specified period, the organization paid off accounts payable to the supplier in the amount of 200,000 rubles.

In the accounting records of an organization (debtor) applying the simplified tax system (the object of taxation "income reduced by the amount of expenses"), the forgiveness of the creditor-supplier of part of the debt for the purchased raw materials should be reflected as follows:

	Debit	Credit	Amount,	Primary document
In the month of purchase of raw materials
Raw materials are capitalized				Shipping documents supplier, Receipt order
Raw materials released in production				Demand- waybill
As of the date of settlement and debt forgiveness
Listed to supplier partial payment for raw materials				Agreement on forgiving a debt, Bank statement by current account
Debt forgiven recognized within other				Agreement on debt forgiveness

At the same time, on the date of debt forgiveness, the organization's debt on payment for purchased raw materials is partially terminated, i.e. the cost of raw materials in the amount of the forgiven debt is considered paid.

Thus, as of the date of the transfer of funds to the supplier and the date of his forgiving part of the organization's debt, the condition necessary for the recognition of expenses for the purchase of raw materials and the amount of input VAT related to them is met in tax accounting.

Under the simplified tax system, the "creditor" with the expired statute of limitations is included in the income under the "simplified tax system" in the reporting (tax) period when its statute of limitations expired (Resolution).

At the same time, the specific date is not of fundamental importance.

Example

LLC, applying the "simplified tax" with the object "income minus expenses", in June 2013 received goods from the trading company in the amount of 70,800 rubles. (including VAT - RUB 10,800).

According to the supply agreement, they had to be paid before June 25, 2013. The LLC did not pay for the due date.

For three years, the trading company made no attempts to recover the amount of the accounts payable from the LLC. On June 25, 2016, her statute of limitations expired.

The head of the LLC decided to write off accounts payable due to the expired limitation period.

To do this, on June 25, 2016, on the basis of an inventory of settlements and an accounting statement, he issued an order to write off accounts payable.

The following entries will be made in the accounting of LLC:

in June 2013

Debit 41 Credit 60

RUB 70 800 - the receipt of goods is reflected;

in June 2016

Debit 60 Credit 91, subaccount "Other income",

RUB 70 800 - the amount of accounts payable has been written off for unpaid goods with an expired limitation period.

On the same day made a corresponding entry in the book of income and expenses

Since, under the simplified system, it is allowed to take into account the costs of purchasing goods only if two conditions are met at once: the goods are shipped to the final buyer and the company paid for it with the supplier (clause 2, clause 2 of article 346.17 of the Tax Code of the Russian Federation). A similar conclusion is contained in the Letter of the Ministry of Finance of Russia dated 07.08.2013 N 03-11-06 / 2/31883.

Goods (works, services) are also considered paid, the debt for which is forgiven (Letter of the Ministry of Finance of 05.25.2012 N 03-11-11 / 169).

Example

The organization applying the "simplified" with the object "income minus expenses" received an advance in the amount of 60,000 rubles.

Before the expiration of the limitation period, the organization did not complete the work. The limitation period for accounts payable incurred by the organization to the customer expires in June of this year.

The transaction to write off accounts payable should be reflected in the following entries:

Content of operations

Debit

Credit

Amount,

Primary

document

Reflected creditor

total debt

received advance

60 000

Bank statement by

current account

The payable

debt with expired

limitation period

60 000

inventory

calculations,

head

enterprises

Since organizations that use the simplified tax system, the date of receipt of income is the day of receipt of funds to accounts in banks and (or) to the organization's cash desk, the received amount of the advance was recognized as income in the period of receipt.

Example

The organization purchased raw materials with the contractual value of 236,000 rubles. (including VAT 36,000 rubles).

In the month of acquisition, the raw materials were released into production.

Within the specified period, the organization paid off accounts payable to the supplier in the amount of 200,000 rubles.

Content of operations	Debit	Credit	Amount,	Primary document
In the month of purchase of raw materials
Raw materials are capitalized			236 000	Shipping documents supplier, Receipt order
Raw materials released in production			236 000	Demand- waybill
As of the date of settlement and debt forgiveness
Listed to supplier partial payment for raw materials			200 000	Agreement on forgiving a debt, Bank statement by current account
Debt forgiven recognized within other			36 000	Agreement on debt forgiveness

Overdue debts of the organization are to be written off. But you need to comply with the terms and correctness of registration from the accounting point of view. How to write off accounts payable correctly in 2020?

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Incorrect writing off of overdue accounts payable becomes the reason for claims from the tax office.

In order to avoid possible additional charges, it is necessary to correctly execute the operation. How to write off overdue loan debt in 2020?

Highlights

One of the main tasks of accounting is to form a reliable picture of the financial condition of the organization.

The presence of accounts payable, for which the period of limitation has expired, distorts the real idea of \u200b\u200bthe obligations of the legal entity.

Accounts payable are debts of an enterprise to third parties. For example, the company did not settle accounts with its counterparties - did not pay for the delivered goods, did not pay a bank loan, did not return.

Another possible option is to receive an advance payment followed by default. For example, the company received payment, but did not ship the goods to the buyer or did not fulfill the agreed amount of work.

The expiration of the statute of limitations does not allow the creditor to collect debts forcibly.

Accordingly, unpaid debts for the organization become non-operating income.

And if you just write off such a debt from accounting, it turns out that the organization has hidden part of the profit.

And this is already a tax violation. What are the rules for writing off loan debts in 2020?

What it is

Accounts payable are debts to suppliers, buyers, the budget, funds, and other persons. Indebtedness reflects an estimate of the entity's financial liabilities.

The diversity of the subjects of the relationship according to calculations determines the complexity of the effective management of the creditor.

To a large extent, the current financial condition of the organization depends on how timely the financial obligations are fulfilled.

Accounts payable written off are included in income. Subsequently, the creditor cannot demand the repayment of the debt, since the debt is actually gone.

But so that no claims on the part of the creditor really arise, you need to correctly calculate the limitation period.

The end of the statute of limitations for accounts payable allows the organization to write off debts. But is it really that important?

Advantages and disadvantages

The importance of accounts payable management is that its condition is reflected in the indicators of the company's solvency and liquidity.

Simply put, a large volume of unrecoverable, but not written off accounts payable reduces the company's solvency and financial attractiveness.

But debt writing off on a loan has both advantages and disadvantages. It is beneficial to write off accounts payable in order to increase the taxable profit of the organization.

For example, in the reporting period, the organization suffered losses, the amount of which exceeded the amount of debt.

In such a situation, you will not have to pay off the debt recognized as non-operating income.

It will be unprofitable to write off accounts payable in the tax period in which a profit was obtained that significantly exceeds the amount of debt.

It will not be possible to compensate the debt at the expense of losses during write-off. All non-operating income must be included in the tax base.

Therefore, it is more expedient for an organization to extend the statute of limitations, if possible, which will make it possible to write off during a period with a lower tax burden.

Legal grounds

Regardless of the reason for the appearance of accounts payable, the requirement for its confirmation by primary documents is mandatory. Such a norm follows from.

In some cases, a break in the term allows you to legally defer the payment of taxes from an overdue "creditors". It is enough for the debtor to perform actions confirming the existence of debt.

How to write off accounts payable

The accounts payable of the organization is written off in the following order:

An inventory of settlements with all suppliers and buyers is carried out. It is important to carry out this procedure every reporting period.

Based on the results of the inventory, an act is drawn up with the attachment of an explanatory note in free form, which explains the cause of the debt and its size.

An accounting statement is issued on the basis of the results.

An order is issued to write off accounts payable.

Debt is being written off.

The necessary postings are registered.

For what reasons

The enterprise is obliged to repay debts on the loan. But obligations are not always fulfilled.

The reasons can be:

lack of demand for debt repayment;

the creditor as a legal entity;

debt forgiveness;

unknown location of the creditor, etc.

The period applies to accounts payable. At this time, creditors have the right to demand the fulfillment of financial obligations.

If the statute of limitations has expired, but no claims regarding the debt have been received, then the debt is written off, that is, it is recognized as irrecoverable.

With expired statute of limitations

Debt cancellation is carried out according to the standard procedure. The nuance is that the Tax Code of the Russian Federation does not clearly establish when to write off debts to a liquidated creditor - at the time of its termination or after the expiration of the limitation period.

But in principle, any creditor has the right to forgive a debt. For example, in a difficult financial condition of the debtor, the parties can agree on partial recovery of the debt.

If the creditor believes that he will not be able to return the full amount of the debt, then he can agree to a partial repayment, forgiving the balance of the debt.

Reflection by postings

When writing off debts, income is generated. To display it, the account for writing off accounts payable in debt adjustment is used - account 91 "Other income".

An operation to write off expired debt is displayed by the following transaction:

Dt 60 (62, 66, 67, 70, 71, 76) CT 91 subaccount "Other income"

The record is performed at the time of approval of the results of the inventory carried out in the reporting period, when the limitation period has expired.

The basis is the results of the inventory, written justification of the reasons for the write-off and the corresponding order.

How to draw up an accounting statement

The accounting statement becomes a written justification for the need to write off. They compose it based on the results of the inventory, indicating:

amount of debt;
cause of occurrence;
lender details;
grounds for write-off.

A sample accounting statement of accounts payable is available. Guided by the act and the certificate, the head of the enterprise publishes.

Nuances with STS

Under the simplified tax system, the exact timing of write-off of accounts payable is not determined. Therefore, after drawing up an inventory act, the write-off can be carried out:

upon expiration of the limitation period;
on the last day of the tax period.

In addition, when the income does not include written off advances for unfulfilled obligations, since these advances are recognized in income when they are received.

Important! The written-off "creditor" under the simplified tax system always refers to income, regardless of whether the "income" or "income minus expenses" regime is used.

VAT recovery

As a rule, the organization's accounts payable are formed due to the purchase of goods (services, works) and receipt of advances.

For purchased goods subject to VAT and in the presence of correctly drawn up VAT, the following is deducted:

Dt 68 subaccount "VAT" Kt19

The write-off of accounts payable does not apply to cases when VAT accepted for deduction is subject to recovery. Accordingly, VAT is not restored when debts are written off.

As for the VAT on the received advance, it is calculated to be paid to the budget at the time of receipt of the advance payment. This means that in this case it will not be possible to restore.

For tax purposes, VAT from an advance payment can be deducted when fulfilling obligations against an advance payment or when changing an agreement and refunding an advance payment.

When writing off accounts payable, advance VAT is not accepted from the seller.

Sample act

Documentary evidence of the presence of overdue accounts payable is revealed in the inventory process.

Unfulfilled obligations of the organization are recorded in the inventory act. This document, together with the accounting statement, becomes the basis for writing off the "creditor" and issuing a proper order.

An act is drawn up in any form. The act of inventorying the company's financial obligations indicates:

lender details;
accounting account numbers;
the amount of debt;
additional circumstances (confirmed / unconfirmed debt, with an expired limitation period).

In the modern world, lending plays a rather important role. Borrowed funds allow citizens to make high-value purchases, purchase real estate and cars. However, there are cases when certain circumstances become the reason for the impossibility of further loan repayment. As a result, accounts payable are formed, which, after a certain period of time, must be written off.

If a company or an individual citizen used the borrowed funds belonging to the creditor, then their debt is called accounts payable. The debtor can be a large concern, a small developing company, or any person who has entered into a loan agreement. Any debt is a financial obligation to be fulfilled.

If we are talking about a legal entity, then the most common options for accounts payable are non-payment for the delivered goods or services rendered. As for individuals, they become in the event that they, being borrowers of financial resources, cannot repay the debt.

The resulting debt remains on the company's balance sheet, which negatively affects the formation of the final profit. In order to see the real situation in which the company finds itself, it is required to take into account the real indicators. If there is debt on the balance sheet, then this automatically reduces all indicators, and the real picture looks completely different.

That is why, after a certain period of time, the overdue debt is written off, since not only the borrower is interested in this, but also the lender himself.

The write-off procedure is an extreme measure, indicating that all the terms provided for by the current legislation have already expired, but the debtor has not been able to fulfill his financial obligations. There are 3 circumstances that are the basis for writing off the debt:

36 months have passed since the debt was formed;
The company officially ceased operations after declaring itself bankrupt;
Force majeure circumstances (catastrophe, natural disaster, fire, etc.) became the reason for the formation of the company's accounts payable.

If circumstances have developed in such a way that the enterprise is not able to continue to carry out its activities, then the debt is subject to write-off before the expiration of the 3-year period established by the current legislation.

It is important to understand that debt cancellation and debt cancellation are completely different concepts. If the debt is written off, then this does not indicate its cancellation. If the debtor's welfare improves in the next 5 years, the debt will be recovered.

As mentioned earlier, accounts payable, reflected on the company's balance sheet, negatively affect the overall condition of assets. The company gets the opportunity to write off the debt only if 3 years have passed since its formation. At the same time, it should be borne in mind that, under certain circumstances, the terms established by law may be prolonged. The reason for the increase in the term may be the absence of a debtor, military service, health problems and other nuances.

When all the circumstances preventing the write-off have disappeared, the creditor can proceed to the appropriate procedure. However, he is obliged to follow a certain procedure, as otherwise, the company may get into trouble with the tax office.

Algorithm of actions provided by law:

Carrying out a complete inventory;
Reconciliation of data on financial assets, with the subsequent formation of an act on the results of control over funds;
Drawing up a letter on behalf of the manager explaining the reasons for the debt, indicating the amount, date and other characteristics of the debt;
Formation of an order on behalf of the manager to write off the debt (the date of the order must correspond to the date of the inventory act);
Making changes to the accounting documentation (based on the order).

It is necessary to understand that the write-off procedure takes place at the internal level. The relevant information is not subject to official disclosure, but is only reflected in the transactions and reporting.

To formalize the write-off procedure, accounting entries are formed only after the head of the corresponding order is issued. Writing off overdue debts is carried out on the basis of an inventory report and is reflected in the item "Other expenses".

Scheduled inventory is usually scheduled at the end of the year, allowing accountants to accurately report company performance and asset status in their reports. At the same time, it should be borne in mind that debt cancellation, and therefore a full inventory, should be carried out in the quarter when the period established by law has expired. To prevent possible problems with the tax service, accountants conduct quarterly inventories, and do not wait until the end of the calendar year.

At registration, the delay is included in the income after writing off, which meets the tax requirements. The grounds on which the write-off is made must be identical for both financial statements and tax documentation, including:

The results of the inventory and reconciliation of assets;
Debt write-off order;
A letter explaining the reasons for the formation of debt and the individual characteristics of the debt.

When the debtor is a legal entity, the overdue debt cancellation can be made due to the liquidation of the company or initiated by the tax office.

Write-off requires mandatory compliance with the deadlines set by law. When 36 months have passed from the date of payment specified in the loan agreement, the lender is able to write off the debt.

If the agreement is formed in such a way that there are no specific dates in it, the countdown begins from the moment when the creditor fulfills all obligations, including the performance of work and the provision of services to the debtor. If we talk about the peculiarities of the current legislation, then it completely takes the side of creditors, allowing, in addition to reclaiming the principal debt, to impose fines and penalties on the borrower for delays.

Upon the occurrence of certain circumstances, the period established by law may be temporarily suspended or interrupted altogether, but only for individuals. The reason for the corresponding changes is the absence of the borrower for reasons beyond his control. After the disappearance of these circumstances, the countdown continues.

What can be the reason for interrupting the countdown?

Signing a debt restructuring agreement;
Partial debt repayment by the borrower;
Recognition by the borrower of the claim received from the lender.

If any of the above actions occurs, then the countdown that was conducted earlier is reset to zero and starts from the very beginning. In accordance with the legislation, debt cancellation can be made only after the expiration of the 3-year limitation period, which runs continuously.