Account 02 Depreciation of fixed assets used by organizations if they have fixed assets subject to depreciation. Land and environmental management facilities are not subject to depreciation, since their consumer properties do not change over time. Such fixed assets are reflected in the balance sheet at historical cost.

Depreciable fixed assets are indicated in the balance sheet according to residual value: original cost minus accrued depreciation.

Account 02 is passive.

Instructions 02 count

Instructions for using the chart of accounts accounting financial and economic activities of organizations in accordance with the Order dated October 31, 2000 N 94n

Account 02 “Depreciation of fixed assets” is intended to summarize information about accumulated during the operation of fixed assets.

The accrued amount of depreciation of fixed assets is reflected in accounting under the credit of account 02 “Depreciation of fixed assets” in correspondence with the accounts of production costs (sales expenses). The lessor organization reflects the accrued amount of depreciation on leased fixed assets in the credit of account 02 “Depreciation of fixed assets” and in the debit of the account 91 “Other income and expenses” (if rent forms other income).

Upon disposal (sale, write-off, partial liquidation, transfer free of charge, etc.) of fixed assets, the amount of depreciation accrued on them is written off from account 02 “Depreciation of fixed assets” to the credit of the account (subaccount “Disposal of fixed assets”). A similar entry is made when writing off the amount of accrued depreciation for missing or completely damaged fixed assets.

Analytical accounting Account 02 “Depreciation of fixed assets” is carried out for individual inventory items of fixed assets. At the same time, the construction of analytical accounting should provide the ability to obtain data on the depreciation of fixed assets necessary for managing the organization and drawing up financial statements.

Typical postings for account 02

By debit of the account

By loan accounts

Account 86 is used by enterprises and organizations that receive targeted funds from government and commercial sources. We will look at how target financing is accounted for, the receipt and use of funds, in our article.

Account 86: use

Account 86 takes into account the amounts of funds received by the organization to finance targeted activities. The sources of funds can be both state-owned companies and commercial firms and even private individuals.

The main criterion for accounting for funds in account 86 is a clear definition of the purpose and purpose of their use in accordance with the concluded agreement.

Account 86, as a rule, accounts for funds received in favor of the organization in order to finance social programs and socially useful events (subsidies for payment utilities, subventions for the construction of social housing, support for preferential and low-income categories of the population, etc.).

Accruals of target funds are reflected according to Kt 86. Dt 86 is used to account for the use of funds received within the framework of contractual terms.

Let's look at typical wiring:

Video lesson “Accounting for target financing”: postings, examples

Video lesson about accounting in an organization using account 86 “Targeted financing”. Practical examples with accounting entries are analyzed. The lesson is taught by the teacher of the site “Accounting and Tax Accounting”, Chief Accountant Gandeva N.V. ⇓

Accounting account 86: typical entries in infographics

The figure below shows accounting account 86 “Targeted financing” in the infographic. To enlarge the picture, click on it.

Account 86 “target financing”. Postings

Accounting for receipt and write-off of target funds using examples

For a detailed examination of various operations using target revenues, we use illustrative examples of typical situations.

Receiving government subsidies

JSC “Minister” operates in the field of real estate construction. In March 2016, “Minister” took part in a tender to receive government subsidies for their subsequent use for the construction of social housing. The amount of state aid is 3,478,000 rubles.

In April 2016, upon completion of the tender, JSC “Minister” was recognized as the winner, and therefore funds in the amount of 3,478,000 rubles were credited to the organization’s current account. In addition, the Minister received construction materials in the form of state aid, the cost of which amounted to 1,714,200 rubles.

The received government subventions were taken into account by the “Minister” in the following way:

Reimbursement by the state for lost income

As part of the state program, JSC “Canteen No. 1” provides social food distributions to preferential categories of the population. The cost of rations issued to Canteen No. 1 in November 2015 is 412,850 rubles. This amount is fully compensated from the state budget.

The accountant of Canteen No. 1 made the following entries in the accounting records:

Investment of targeted proceeds in non-current assets

Progress JSC is engaged in the production of medical equipment. An agreement was concluded between JSC Progress and the charitable organization Mecenat, according to which:

• “Progress” receives funds from “Maecenas” in the amount of 1,953,500 rubles;
• the funds should be used to purchase an improved conveyor line, which will increase the production of medical equipment.

In September 2015, funds were received from Maecenas, the conveyor line was purchased and put into operation:

• cost of the conveyor line - 1,953,500 rubles;
• term beneficial use- 12 years old;
• the amount of monthly depreciation is 12,522 rubles. (RUB 1,953,500 / 13 years / 12 months).

The receipt of funds from “Maecenas”, the acquisition and commissioning of the conveyor line were recorded in the accounting records of “Progress” with the following entries:

Use of targeted funds for current needs

JSC “Consul”, under a targeted financing agreement, transferred funds to LLC “Zoo” in the amount of 642,300 rubles. Funds have been provided for the repair of animal enclosures. Using the funds received from the Consul, the Zoo purchased the materials necessary to repair the enclosures. The actual repairs were carried out by the Zoo’s own staff.

The following transactions are recorded in the Zoo’s accounting records:

All enterprises with a balance sheet are required to keep records of depreciation charges. To do this, monthly entries are made in accounting to write off part of the cost of fixed assets as depreciation.

In addition, the accountant encounters this concept when revaluing, modernizing, retiring, or writing off objects. Each of these operations entails the need to reflect double entries in the depreciation accounts.

Through depreciation there is a gradual transfer of the value of the fixed asset, according to which it is listed in accounting, for products, goods. Ultimately spent on purchasing the OS cash return to the company after receiving payment from customers for purchased values.

This process is gradual and continues throughout the entire useful life. To account for it, the accountant makes monthly entries in specially designated accounting accounts.

As long as the fixed asset is listed on the balance sheet of the enterprise, the accountant must make depreciation payments monthly. This procedure is carried out until complete wear and tear, write-off due to unsuitability, breakdown or transfer to other persons.

The process of depreciation accumulation is suspended only in two cases:

1. Finding the OS on conservation, provided that its duration exceeds 3 months.
2. Recovery, reconstruction of the facility, if this process takes more than a year.

If a decision is made to sell an object or write it off, the accountant determines the residual value of the asset. To do this, the depreciation accrued for the entire period is written off by posting to account 01, where the residual parameter is determined.

If during the operation of equipment or other object the initial cost changes due to revaluation, then also depreciation accruals are recalculated and the necessary wiring is performed.

Thus, with the need to reflect transactions When accounting for depreciation of fixed assets, the accountant is faced with the following cases:

• making monthly depreciation payments;
• changes in accumulated deductions due to (may either increase or decrease);
• write-off of a depreciable object as unnecessary (physical or moral wear and tear, breakdown, irreparable defects);
• disposal of fixed assets to third parties (sale, donation, contribution to the authorized capital of other enterprises).

On what account are they reflected?

For the purpose of accounting for depreciation accumulations for fixed assets, it is provided in the Plan count 02:

• By debit– shows the amount of depreciation for written-off and retired objects, as well as a decrease in savings due to the devaluation of fixed assets.
• By loan– accrued depreciation included in the cost price is collected, and an increase in accumulated deductions due to revaluation is also reflected.

On account 02 it is possible opening subaccounts:

• 1 – deductions are shown for owned assets on the balance sheet;
• 2 – depreciation is reflected on fixed assets taken on a long-term lease and on the leased balance sheet. Accounting and

On account 02 it is necessary to provide analytical accounting for each individual fixed asset or a group of homogeneous objects.

This will allow you to obtain the necessary information to analyze the efficiency and feasibility of using fixed assets.

Monthly double entries on account 02 when accrued

From the month immediately following the month in the organization, it is necessary to calculate depreciation and write it off as expenses.

Calculation of depreciation charges posted to account 02 credit in correspondence with the debit of the enterprise's cost accounting accounts.

Selecting a corresponding account depends on the purpose and place of use of the OS object, as well as on the nature of the enterprise’s activities - trading, manufacturing.

Depreciation may be written off to the following accounting accounts :

• 20, 23 – for production facilities, equipment engaged in primary and auxiliary production;
• 44 – for fixed assets operated by trading companies;
• 91 – for OS leased.

Posting table for calculating depreciation of fixed assets :

Postings are made monthly throughout useful life in reporting period to which they belong. It doesn’t matter which financial results activities of the enterprise.

The accumulation of royalties must not stop, except for long-term cases of restoration and conservation.

The amount for which an accounting entry is made is calculated using one of the established four methods.

How is it written off upon disposal?

The need to deregister a fixed asset occurs for various reasons:

• Depreciation is obsolete - the equipment is outdated.
• Physical wear and tear – the service life has ended, or the object has become so worn out that it is no longer suitable for use.
• Breakdown - if its repair is not feasible for economic reasons or is not possible.
• Transfer to other parties when selling, donating, or entering into the charter capital of other companies.
• Shortages identified after inventory.

Regardless of the reason for deregistration of the fixed asset procedure is the same:

1. A separate sub-account 11 is opened on account 01.
2. The initial or replacement cost of the fixed assets is written off to the debit of the open subaccount.
3. The accumulated depreciation is transferred to the credit of the open subaccount.
4. The residual value is determined and written off depending on the reason for deregistration of the asset.

The transfer of depreciation charges accumulated to the date of disposal or write-off is carried out using an accounting entry: Dt 02 Kt 01-11– the amount of accrued depreciation is written off.

When revalued

Revaluation is procedure for recalculating that cost, according to which the fixed assets are listed on the balance sheet. This is done to match actual market prices.

The result of this process can be an additional valuation when the initial cost increases, and a markdown when it decreases.

The value indicator by which fixed assets are accounted for in the debit of account 01 changes depending on the results of the revaluation - it increases or decreases. The resulting cost will already be called replacement cost.

Depreciation accumulations on account 02 also change accordingly. Moreover, a proportional calculation is made of the amount by which accrued depreciation must be reduced or increased, depending on changes in the replacement cost of the fixed asset.

Formula for recalculating depreciation:

Formula:

Recalculated A. = Restorative Art. * Accumulated A. / Initial Art.

Posting table on accounting for depreciation during revaluation :

Example

Initial data:

On February 20, 2018, the company bought a machine; the total cost was 720,000 rubles.

The period of use for the machine is set at 6 years = 72 months.

Depreciation is calculated using the straight-line method, monthly deductions = 10,000.

What entries should the accountant record for the period from February to June 2018?

Solution:

Postings for depreciation charges must begin from March 1, 2018 to June inclusive.

Let's assume that the company operates under the simplified tax system and does not pay VAT.

Posting table:

How is the excess accrued amount for the previous period reflected?

If depreciation for past period accrued incorrectly in excess amount, then errors need to be corrected. It is important in what period they were admitted - this year or the past.

Depreciation of the company's property assets, distributed evenly over the period of their use, calculated in monetary terms, is called depreciation charges. In this article we will tell you which accounting accounts should be used to reflect depreciation and which entries to record depreciation operations.

Features of depreciation accounting

Accrued depreciation charges (AM) are accumulated in special account 02 in accounting. Depreciation accounting is carried out for each property of the company. It is unacceptable to make accounting entries without detailing the accounting objects.

Taking into account the peculiarities and specifics of its activities, each company has the right to open additional sub-accounts to account 02. Such detailing is carried out by the types of property assets owned by the company. For example, the company uses subaccounts: 02-01 - depreciation for buildings; account 02-02 - depreciation of machinery and equipment; 02-03 - AM on vehicles.

A complete list of subaccounts used should be determined individually for each company and fixed in the accounting policy.

Let us note that the property must be owned, because assets accepted for temporary safekeeping are not accepted on the balance sheet and are subject to accounting off the balance sheet, on the books. account 002. For assets capitalized on off-balance sheet accounts, depreciation is not accrued. However, there are exceptions. For example, objects received for rent or under leasing agreements, which, according to the terms of the agreement, must be taken into account on the balance sheet of the lessee.

Accounting structure and typical postings

As we noted earlier, accounting account 02 is used to maintain accounting records for the amounts of calculated AM in the context of each property and tangible asset.

02 which account: passive or active? Accounting account 02 is passive, since the amounts of accrued depreciation on property objects are reflected as a credit, and the write-off of the calculated AM is reflected as a debit.

Account structure:

• the credit balance at the beginning of the reporting period shows the amount of calculated depreciation at the beginning of the reporting period;
• credit turnover for the period reflects the amount of accrued AM for the selected period of time;
• debit turnover in accounting account 02 indicates the amount of written-off depreciation charges for retired objects (written off, sold, transferred to third parties);
• The credit balance at the end of the reporting period is the amount of accumulated depreciation charges at the end of the reporting period.

Typical wiring:

Closing an account 02

It is necessary to write off accrued AM in different cases, but in this situation one condition applies: the fixed asset must be deregistered from the company’s register. In other words, the depreciation account is closed if the property is deregistered upon sale, free transfer, its damage, liquidation and in other situations provided for by the PBU.

Therefore, the question of how to close account 02 with full depreciation is not relevant. Depreciation will be recorded in the credit balance of account 02 until the company decides to write off the object. Let us remind you that complete depreciation is the complete attribution of the original cost to the AM.

Typical depreciation write-off entries.