Almost all enterprises use specialized literature in the course of their activities. In this regard, the accountant has a need to write off the cost of subscription to magazines. The accounting procedure for these expenses depends on the period of the intended use of the periodical and the accounting policy of the enterprise.
Instructions
Step 1
Determine the useful life of the periodical. If the information in it quickly becomes outdated and is constantly updated, and the period of use of the magazine is less than 12 months, then the subscription costs should be taken into account on account 10 "Materials" as part of inventories.
Step 2
If the period of use is more than 12 months, then in this case it is necessary to estimate the cost per journal unit. If it is more than 20 thousand rubles, then the accounting is kept on account 01 "Fixed assets" with depreciation. If less than 20 thousand rubles, then subaccount 10.9 "Inventory and household accessories" is used.
Step 3
Write off journal subscriptions to cost accounts if the periodical is used in production for less than 12 months or if the accounting policy provides for accounting for these assets. Otherwise, the literature should be written off by calculating depreciation charges. Magazines generally fall into the first category.
Step 4
Sign a subscription agreement and prepay. According to clause 3 of PBU 10/99, these costs are not recognized in the accounting and are reflected as advances issued. Reflect the transfer on the credit of account 51 "Current account" and the debit of account 60 "Settlements with suppliers".
Step 5
Perform a posting and writing operation upon receipt of each journal issue. Capitalize the receipt of the periodical on the credit of account 60 and the debit of account 10. Reflect the VAT shown on the debit of account 19 and accept it for deduction by transferring the amount to the debit of account 68 "Calculations for VAT".
Step 6
Write off the cost of the journal for general business expenses from the credit of account 10 to the debit of account 26. You can also use account 20 "Main production" or account 44 "Sales costs", depending on the purpose of the information in the periodical.
