October 05, 2016 23:02

How to write off receivables .How to write off receivables and avoid mistakes .

If the debtor does not perform its obligations under the debt payment for three years, then this debt is recognized overdue receivables.The law prescribed the following rules of writing off receivables.

is necessary to set a limitation period.The statute of limitations - the date when the debtor learned of the abuses in the payment of debt.It refers to the date of drawing up contracts, warning letters, which were sent to the debtor.

limitation period may be interrupted by the law in two cases: if there were any payments or has been filed within three years of a lawsuit.Thus, if in three years the debtor has made some payments, the limitation period begins again after the last payment and is also three years.If one of the companies declared bankrupt, the debt is canceled.

Before you spend writing off receivables, it is necessary to make an inventory.On the basis of the inventory write-off takes place the required amount to the account, which takes into account the reserve for
doubtful debts.Order of the inventory - unified form number INV-22, in some accounting programs it is generated automatically.

If the enterprise does not account for the cancellation of the provision for doubtful debts, write-off of receivables takes place at non-operating expenses.considered on subaccount "Other expenses" in accounting such expenses.

5 Write-off of accounts receivable does not imply that a debtor from any liability to pay the debt.The amount of debt continues to hang on the account 91 for five years.This amount accounted for five years in the company's balance sheet, and it has the right to demand payment from the debtor.

In tax accounting procedure for writing off receivables regulates P ismo Russian Ministry of Finance N 03-03-06 / 1/3 from 13.01.2009.It states that at the expiration of the limitation period receivables are carried in expenditure in the taxation of profit of the organization.

If the sum of receivables reflected in non-operating expenses, the tax authorities must provide any documents confirming the amount of the debt.These documents include: payments, reconciliation acts, acts of completed works, invoices and other documents.

To avoid errors in the write-off of receivables, as often as possible is necessary to refer to the legislation.For example, a 77 point P rikaza Ministry of Finance dated 29 July 1998 № 34n "On Approval of the Regulations on accounting and financial reporting in the Russian Federation".