Subject. This article discusses the issues related to the upcoming changes in the regulations of the financial accounting for organizations' expenses. Objectives. The article aims to identify the prospects for addressing areas of concern of regulatory framework of organizations' expenses financial accounting. Methods. For the study, I used critical analysis, synthesis, comparison, observation, and systematization. Results. Based on the analysis of the economic substance of expenses in accordance with their definition in the Draft Russian Accounting Standard (FSBU) – Expenses, PBU 10/99, the Concept of Accounting in the Market Economy of Russia, as well as in the Conceptual Framework for Financial Reporting under IFRS, the article identifies and substantiates the issues related to the regulation of accounting for expenses not included in profit or loss, as well as the possible identification in the Draft FSBU – Expenses of costs included in the cost of assets and expenses. The article proposes a name for the part of equity formed by income and expenses not included in profit or loss, which can be used in financial accounting. Conclusions and Relevance. The Draft FSBU – Expenses contains both logical and debatable regulations concerning the financial accounting for expenses. At the same time, the Draft FSBU – Expenses has certain shortcomings. The continuation of the discussion of the Expenses project will ensure the elimination of its shortcomings and the inclusion in the new RAS FSBU – Expenses of regulations that ensure the reliable recognition of expenses in accounting and reporting. The results obtained have both practical and theoretical areas of application in the field of financial accounting.
Keywords: expenses, profit or loss, expenses included and not included in profit or loss
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