International Accounting
 

Abstracting and Indexing

РИНЦ
Referativny Zhurnal VINITI RAS
Worldcat
Google Scholar

Online available

EBSCOhost
Eastview
Elibrary
Biblioclub

Archiving

Cyberleninka (12 month OA embargo)

Russian Accounting Standard (PBU) 18/02: A new approach to accounting for deferred taxes in the recognition of fixed asset transactions

Vol. 23, Iss. 3, MARCH 2020

Received: 10 February 2020

Received in revised form: 18 February 2020

Accepted: 25 February 2020

Available online: 16 March 2020

Subject Heading: NATIONAL STANDARDS OF ACCOUNTING AND REPORTING

JEL Classification: М41

Pages: 244–261

https://doi.org/10.24891/ia.23.3.244

Lisovskaya I.A. Russian Presidential Academy of National Economy and Public Administration (RANEPA), Moscow, Russian Federation
lisovskaya_ia@mail.ru

https://orcid.org/0000-0001-8693-9729

Trapeznikova N.G. Russian Presidential Academy of National Economy and Public Administration (RANEPA), Moscow, Russian Federation
nata-trapeznikova@yandex.ru

ORCID id: not available

Subject January 1, 2020, there came into effect a new edition of Russian Accounting Standard (PBU) 18/02, Accounting for Deferred Taxes on Corporate Income, which introduced the balance sheet approach to assessing deferred taxes. Therefore, the Russian accountants have to revise the way they have been applying PBU 18/02, and adjust the previous deferred taxes respectively.
Objectives We analyze methodological issues of accruing deferred taxes in relation to accounting for fixed assets when recognizing, measuring, remeasuring and constructing contingent liabilities for repair and others, which were introduced by PBU 18/02 as transactions resulting in timing differences.
Methods The study employs the systems analysis and logic generalization of legislative and regulatory documents and special literature on the issues under study.
Results Illustrating fixed asset transactions, we find that it is necessary to master the balance sheet method of accruing deferred taxes, including the coming changes in some provisions of PBU 6/01, Accounting for Fixed Assets.
Conclusions and Relevance Poor knowledge of the balance sheet complicates, inter alia, the use of the balance sheet method to accrue deferred taxes. Thus, it is reasonable to make methodological recommendations on the use of the balance sheet method to assess deferred taxes in line with the coming amendments to the existing standards and expedite mastering IFRS. The findings are designated for research, practice and training of accountants and auditors, and make suggestions on the improvement of the national accounting methodology, which would pursue the convergence of the modern international practices.

Keywords: deferred taxes, timing differences, fixed asset, revaluation

References:

  1. Beilin V. [The new edition of PBU 18/02]. Novaya bukhgalteriya = New Accounting, 2019, no. 2, pp. 104–113. (In Russ.)
  2. Blanka Yu. [PBU 18/02: Preparing for novelties in use]. Prakticheskii bukhgalterskii uchet. Ofitsial'nye materialy i kommentarii (720 chasov) = Practical Accounting. Official Materials and Commentaries (720 Hours), 2019, no. 2, pp. 58–66. (In Russ.)
  3. Gurina I.N. [PBU 18/02 has been amended]. Nalog na pribyl': uchet dokhodov i raskhodov = Income Tax: Accounting for Income and Expenses, 2019, no. 2, pp. 30–36. (In Russ.)
  4. Ermoshina E.L. [Amortization for intangible assets, their revaluation and the need to apply PBU 18/02]. Nalog na pribyl': uchet dokhodov i raskhodov = Income Tax: Accounting for Income and Expenses, 2018, no. 2, pp. 22–29. (In Russ.)
  5. Ermoshina E.L. [To amendments of PBU 18/02, Accounting for Corporate Income Tax Paid]. Aktual'nye voprosy bukhgalterskogo ucheta i nalogooblozheniya = Current Issues of Accounting and Taxation, 2019, no. 2, pp. 34–41. (In Russ.)
  6. Krutyakova T.L. Uchetnaya politika 2020: bukhgalterskaya i nalogovaya [Accounting policy 2020: Finance and Taxes]. Moscow, AiSiGrupp Publ., 2020, 304 p.
  7. Nikitina V.Yu. [PBU 18/02: Crucial changes]. Bukhgalterskii uchet = Accounting, 2019, no. 3, pp. 5–13. (In Russ.)
  8. Sotnikova L.V. [The balance sheet method for assessment of income tax: It's time to begin]. Bukhuchet v stroitel'nykh organizatsiyakh = Accounting in Construction Companies, 2018, no. 6, pp. 10–23. (In Russ.)
  9. Sotnikova L.V. [The specifics of auditing of financial statements prepared by an entity that early adopted the balance sheet method to account for timing difference]. Auditor, 2019, no. 9, pp. 17–30. (In Russ.)
  10. Terts N. [What has changed in PBU 18/02?]. Raschet, 2019, no. 2, pp. 50–52. (In Russ.)
  11. Akimova Ya.Yu., Kolmakova E.M. [Accounting aspects of deferred taxation in the assessment of income tax]. Upravlenie investitsiyami i innovatsiyami = Management of Innovation and Investment, 2016, no. 4, pp. 5–10. (In Russ.)
  12. Gurina I.N. [The fiscal initial value of the asset diverge from the accounting one. Is the difference permanent or temporary?]. Nalog na pribyl': uchet dokhodov i raskhodov = Income Tax: Accounting for Income and Expenses, 2019, no. 2, pp. 37–43. (In Russ.)
  13. Rabinovich A.M. [Accounting for overhaul expenditures and corporate property tax]. Stroitel'stvo: bukhgalterskii uchet i nalogooblozhenie = Construction: Accounting and Taxation, 2019, no. 6, pp. 30–36. (In Russ.)
  14. Gurov A. [Income tax: Transformation of financial statements from the Russian GAAP into IFRS]. MSFO na praktike = IFRS in Practice, 2015, no. 6, pp. 13–19. (In Russ.)
  15. Manokhova S.V. [Erecting sports facilities and entering them into accounting books]. Turisticheskie i gostinichnye uslugi: bukhgalterskii uchet i nalogooblozhenie = Tourist and Hospitality Services: Accounting and Taxation, 2018, no. 3, pp. 24–35. (In Russ.)
  16. Krainev A. [Fiscal aspects of bank guarantees]. Novaya bukhgalteriya = New Accounting, 2018, no. 10, pp. 62–73. (In Russ.)
  17. Arbatskaya O.V. [Charges for the technological connection to power networks]. Nalog na pribyl': uchet dokhodov i raskhodov = Income Tax: Accounting for Income and Expenses, 2018, no. 8, pp. 13–19. (In Russ.)
  18. Rabinovich A.M., Sinitsin V.G. [Relocation of power grid facilities during construction: Accounting and taxation by the developing investor]. Stroitel'stvo: bukhgalterskii uchet i nalogooblozhenie = Construction: Accounting and Taxation, 2018, no. 6, pp. 19–38. (In Russ.)
  19. Krutyakova T.L. Godovoi otchet 2018 [The 2018 annual report]. Moscow, AiSi Grupp Publ., 2018, 673 p.
  20. Dirkova E. [Regular maintenance of fixed assets]. Prakticheskaya bukhgalteriya = Practical Accounting, 2017, no. 12, pp. 34–36. (In Russ.)

View all articles of issue

 

ISSN 2311-9381 (Online)
ISSN 2073-5081 (Print)

Journal current issue

Vol. 23, Iss. 3
March 2020

Archive