Posting for VAT - is it so difficult

Value-added tax is a serious article for an accountant working on the main taxation regime. Perhaps, only two taxes cause a huge number of tax disputes - profit tax and VAT. If the land, transport, excises, and the mineral resource tax are to be paid by enterprises operating in certain types of activities or owning certain types of property, these two taxes - profits and VAT - must be paid by all commercial organizations on the basis of any form Property owned by the property or type of activity. All accounting entries for accounting for the accrual and refund of VAT are one of the most important and sometimes time-consuming duties of an accountant on an independent balance sheet. Large organizations for conducting these operations very often hire a separate staff unit.

In which cases do we charge VAT

Consider the most common cases when there is a need to calculate VAT for payment to the budget:

• Sale of goods, work, services;
• Receipt of advance payment from the customer;
• VAT recovery in connection with the sale of a previously acquired asset (regardless of whether it was self-destructed or not);
• VAT accrual on the cost of construction, self-made work.

And now consider each case separately and immediately indicate which VAT entries will be in this or that case. I will not give sub-accounts on some accounts, because they can be different for different enterprises.

Sales of goods, works, services

Any commercial enterprise uses this operation in its activity, because it is impossible to get the most important result of the activity - profit, without realizing the realization of works, services or goods. Postings for VAT during the implementation will be as follows:

• Д62 - К90.01 - sold the goods, work, service;
• Д90 - К68.02 - charged VAT in the budget. It is considered to be a way of multiplying the sales amount by 18%.

Receipt of advance payment from the customer

As you know, when you receive money earlier than the date of rendering any services, performing various works or selling goods, the seller must charge the amount of VAT deducted from the received advance payment to the budget. In this case, the postings should be as follows:

• D51 or 50.01 - K62 - money was received from the customer to the settlement account;
• Д76АВ - К68.02 - VAT is added to the budget from the advance amount. It is considered in this case by the formula 18% / 118%. That is, the amount of advance must be multiplied by 18 and divided by 118, or vice versa - first divide, and then multiply.

VAT recovery in connection with the sale of a previously acquired asset (regardless of whether it was self-destructed or not)

According to Part 2 of the RF Tax Code, the sale of the previously purchased fixed asset is considered income that is subject to VAT. And in this case, the recovery of VAT should be made both by enterprises on the general regime, and at the simplified taxation system in the "revenue minus expenses" mode. After all, they also once, when acquiring a fixed asset on the basis of an invoice issued by the seller, took this VAT as an expense that reduces the taxable base for a single tax. Accounting entries for VAT are as follows:

• D91.02 - K01 - depreciation of the asset at its historical cost;
• D02 - K91.01 - the amount of depreciation accrued for this OS was written off;
• D76 - K91.01 - the proceeds from the sale of the OS have been credited;
• D91 - K68.02 - VAT charged for payment to the budget.

VAT accrual on the cost of self-made construction work

When carrying out construction work for their own needs by their own forces (the so-called hoszposobom), enterprises are obliged to charge VAT for the entire cost of construction and installation works. At the same tax is charged at a rate of 18%. The postings are as follows:

• D19 - K68.02 - VAT charged for payment to the budget.

In what cases are we taking VAT to offset?

But the value-added tax is not only necessary to be paid to the budget. It can also be reimbursed - that is, to reduce the amount payable to the budget by the amount already paid to the supplier of works, goods, services or fixed assets. In addition, the refund of VAT occurs when offsetting the advance payment received from the customer, made when selling works, goods, services to it. In addition, it is possible to reimburse the previously paid VAT from the amount of construction work carried out by the employer. To do this, however, it is necessary to observe a number of rules. But here we are only talking about postings, so we will return to them. So, let's consider three cases of VAT refund.

VAT offset when purchasing goods, works, services

Postings for VAT for this operation are quite simple:

• Д08,10,26,20,23,41 - К60 - goods, works, services received from the supplier;
• Д68.02 - К19 - the VAT amount claimed by the supplier when purchasing goods, services or works on the basis of its invoice is deducted. In this case, an obligatory condition for offsetting VAT is the fact that works, goods, services, fixed assets or materials are taken into account.

Set-off of VAT that was previously paid upon receipt of the advance payment

In this case, the VAT to offset is taken in the month in which the previously received advance payment from the customer is closed by an implementation in his address. Postings for VAT at the same time:

• Д62 - К90.01 - sale of services, goods, works to the address of the customer is reflected;
• Д68.02 - К76АВ - the amount of VAT previously accrued from the advance amount is accepted for offset.

Reimbursement of VAT from independently carried out construction and installation works (by the household)

• D68.02 - K19 - the amount of VAT accrued earlier from the amount of construction and installation works performed by the employer is accepted for deduction. A prerequisite for such an offset is the condition for paying this amount of VAT to the budget.