Dt 99 Kt 99 — this entry is an important component of the balance sheet reformation when summing up the organization’s activities for the year. What are the legal requirements for accounting for profits and losses, what amounts can be attributed to the debit of account 99 and the credit of accounts 68, 84, 91, 09, what nuances characterize these postings - we will talk about all this in our article.

Posting contents debit 99 credit 99

Wiring Dt 99 Kt 99 is formed once at the end of the year when summing up the results and is part of the balance sheet reformation.

In fact, this is an operation consisting of several transactions Dt 99 Kt 99 inside account 99 “Profit and Loss”, depending on the number of subaccounts. The operation in practice is called “Closing accounts”. It consists of assigning the values ​​accumulated in subaccounts to one subaccount, which reveals the final annual financial result.

To understand how this happens, you need to familiarize yourself with the internal structure of account 99 and consider how subaccounts are opened for it.

How the 99 count works and its analytics

The count of 99 is used to summarize results. The resulting performance indicators are included in the financial statements. Accordingly, the analytics device must meet the main goal - the preparation of reliable reporting.

IMPORTANT! The instructions for the Chart of Accounts contain a direct indication of the need to build analytical accounting on account 99 to structure the data included in the financial results report.

Starting from the first month of the year, account 99 serves to accumulate information about the results of the organization’s work. The account accumulates:

• result from sales within the main activity;
• the result of other operations;
• amounts of recalculation of income tax and sanctions.

The account also keeps records of the values ​​defined by PBU 18/02 (if the organization is obliged/decided to apply it):

• conditional expense/income (UR/UD);
• permanent tax liabilities and assets (PNO, PNA);
• write-off deferred tax liabilities and assets (ONO, ONA).

When opening sub-accounts, it is advisable to take into account how information should be grouped and reflected in the statement of financial results (Form 2). At the same time, it is important to follow the legal requirements for recording this information. It is optimal to use the following subaccounts:

• 99.1 “Profit and loss”:
• 99.1.1 “Profit (loss) before tax.”
  To take into account the indicators that form the reporting item of the same name, the result of sales for core activities and other operations.
• 99.1.2 “Other profits and losses.”
  To account for the amounts of recalculation of income tax, tax sanctions, written off by ONO and ONA, grouped in the item “Other”.

Maximum information content is achieved by maintaining analytics on sub-accounts in the context of the component indicators taken into account. Modern software products allow you to conduct analytics within a subaccount without unnecessarily cluttering up accounting.

• 99.2 “Calculation of income tax.”
  To account for amounts involved in the disclosure of information on income tax calculations in accordance with PBU 18/02.
• 99.2.1 “Conditional consumption”.
• 99.2.2 “Conditional income”.
• 99.2.3 “PNO (PNA)”.
• 99.9 “Balance of profit and loss.”

Movement on account 99 and compliance of its data with reporting indicators

Having examined the internal structure of the account, it’s time to start studying the movement on the account. Let's look at a conditional example of what happens inside the account, how the results are reflected by postings Dt 99 Kt 99 how its data compares with reporting data.

Example:

The final indicators of the organization for the year are given, presented in the table in order of the articles of Form 2.

Index	Reporting line code	Amount, rub.	Note
Net revenue		10 000 000
Cost price		(9 000 000)
Profit (loss) from sales		1 000 000
Other income
other expenses		(440 000)
including other social expenses		(40 000)	The organization did not take into account the amount as expenses to determine taxable profit
Profit (loss) before tax		1 060 000
Current income tax		(220 000)	The value is equal to the tax payable on the tax return: 10 000 000 - 9 000 000 + 500 000 - (440 000 - 40 000) = 1 100 000; 1 100 000 × 20% = 220 000
including PNO (PNA)			40 000 × 20% = 8 000 PNO by amount of social expenditures
Other			tax penalties
Net income (loss)
Conditional consumption		(212 000)	1 060 000 × 20% = 212 000

See also article .

The table below contains entries using recommended subaccounts and example data.

Wiring		Decoding
Wiring Dt 90, 91 Kt 99
Dt 90.9 Kt 99.1.1		This is how the monthly sales total is summed up, which is added up in account 99.1.1: (10,000,000 - 9,000,000). Note. The example shows a positive result. If a loss is received during the month, then the posting is usedDt 99 CT 90.
Dt 91.9 Kt 99.1.1		This is how the monthly total for other transactions is summed up, which is added up in account 99.1.1: (500,000 - 440,000). Note. The example shows a positive result. If a loss is received during the month, then the posting is applied debit 99 credit 91.
Postings Dt 99Kt 68
Dt 99.1.2 Kt 68 / calculations with the budget		The amount of penalties determined by the tax inspectorate is reflected
Dt 99.2.3 Kt 68 / calculation of income tax		Reflected PNO
Dt 99.2.1 Kt 68 / calculation of income tax		Conditional consumption generated

For information on how to keep income tax records on account 68, read the article .

When closing subaccounts, it is necessary to generate transactions in the format in question Dt 99Kt 99:

Wiring
Dt 99.1.1 Kt 99.9
Dt 99.9 Kt 99.1.2
Dt 99.9 Kt 99.2.1
Dt 99.9 Kt 99.2.3

The turnover and accumulated balance of account 99 before the reformation and after the closure of sub-accounts, as well as the comparability of account data with the lines of Form 2 are shown in the table:

	Debit turnover	Loan turnover	Debit balance	Credit balance	Reporting line code
Before the Reformation
					conditional flow
After closing
	(1 000 + 212 000 + 8 000)			(1 060 000 - 221 000)

As a result of an operation from a series of transactions in the format Dt 99 Kt 99 in subaccount 99.9 a credit balance was formed equal to the net profit for the year in the amount of 839,000 rubles. The amount must correspond to line 2400 of Form 2.

Debit 99 credit 84

This is the last posting of the year in the chain of postings of the reformation procedure. It contains good news: the organization earned a profit for the year. For the example given, an entry is drawn up reflecting retained earnings: Dt 99.9 Kt 84 - RUB 839,000.

If the organization operates at a loss, then account 99.9 has a debit balance equal to the uncovered loss. It is posted to the debit of account 84: Dt 84 Kt 99.9.

Debit 99 credit 09

This is a posting for writing off the amount of ONA. PBU 18/02 describes 2 cases of write-off of IT:

1. If the tax rate changes, then the accumulated IT is changed by recalculating the balance of deductible temporary differences (DTT) at the new rate. The difference between the accumulated and recalculated amounts is posted to account 99, as required by the regulations.
2. If the asset that determined the accrual of the tax is disposed of, then the tax is subject to write-off to the extent that the profit for taxation will not be reduced in accordance with the legislation of the Russian Federation.

If the accounting of VVR and ONA is carried out correctly, then IT, as a rule, is completely repaid with a decrease in VVR. If accounting errors have been identified, then when they are corrected, it may be necessary to write off IT as a loss.

Cases of write-off of IT of the same kind are reflected in the same way in accounting: Dt 77 Kt 99.

Results

It is difficult to overestimate the importance of creating analytical accounting on account 99. Highly informative analytics is the key to high-quality accounting reporting that provides reliable information for its users. Correct reflection of analytics is ensured, among other things, by postings of the format Dt 99 Kt 99.

How is the final financial result of an enterprise’s activities for the year formed? How are the results summed up? In this article, we will take a closer look at account 99 “Profits and Losses”, why it is needed, and what transactions in account 99 are reflected during the year. Accounting for the financial results of an organization's activities shows the company's effectiveness.

In the last article we looked at it, where I already indicated the connection between the accounts. 90 and 99. We also looked at and saw the connection between the count. 91 and 99. Let's move on.

By the way, in the near future we will deal with .

Accounting for the financial results of an enterprise's activities

The financial result for the month is formed using the account. 99.

What does the financial result consist of?

1. financial results for main activities,
2. other income and expenses.
3. income and expenses related to emergency situations at the enterprise (fires, natural disasters, etc.).
4. accrued

By debit account 99 losses are reflected, and profits on the loan.

1. When reflecting the financial result for the main activities of the account. 99 corresponds with .

Postings to reflect profit and loss from main activities:

• D90/9 K99- entry to reflect profit from the main activity.
• D99 K90/9- entry to reflect losses from the main activity.

2. When taking into account other income and expenses, account. 99 corresponds with .

Postings for recording other income and expenses:

• D91 K99- other income is taken into account.
• D99 K91- other expenses are taken into account.

3. When accounting for income and expenses related to emergency situations, account. 99 corresponds with various accounts, .

4. When accounting for accrued income tax payments, account. 99 corresponds with .

At the end of the month, the total account balance is calculated. 99, if the final balance is debit, the organization is at a loss this month, if it is a credit, it is in profit.

At the beginning of each month, the balance of account 99 is transferred from the previous month to the current month. Throughout the year, the balance of profits or losses accumulates in account 99 on an accrual basis. At the end of the year 99 closes with final entries on .

Video lesson “Accounting for profit and loss on account 99: typical entries, examples”

This video lesson reveals the rules of accounting for account 99 “Profit and Loss”, examines the corresponding accounts, standard entries and accounting examples. The lesson is taught by a consultant and expert of the site “Accounting for Dummies, Chief Accountant Gandeva N.V. ⇓

You can download the slides and presentation for the video using the link below.

Postings for closing account 99

• D99 K84- final financial result - profit.
• D84 K99- the final financial result is a loss.

At the beginning of next year. 99 opens again.

As a result, on the account. 84, either profit (on credit) or loss (on debit) is reflected at the end of the year. Account 84 is used to distribute profits for any needs of the organization, for example, for payments to founders. Also, if previously on the account. 84 there was a loss, then this year’s profit can cover the loss of previous years.

This is where we end with the study of the Fundamentals of Accounting, we have analyzed the main business transactions occurring in the enterprise, and examined how the final financial result is calculated. Before we start preparing accounting and tax reporting, let’s look at taxation: what taxes exist and how they are calculated. I suggest you go to section Step 2.-.

Account 99 is written off at the end of the year:

• serves to reset balances on other accounts;
• accumulates income tax data;
• in 1C it is necessary to reform the balance sheet.

 

The purpose of commercial enterprises is to bring their activities to high profits. The size of profitability can be found out by recording in accounting the results of movements of income and expenses.

Why are intermediate records needed?

Account 99 “Profits and Losses”, as the name suggests, is specifically designed by the current Chart of Accounts for the task of summing up financial results during the reporting period.

It belongs to the active-passive class, that is, balances on it can be displayed as debits and credits, depending on the final result. To see the result, it is necessary to compare all the income and expenses of the company.

99 contains subaccounts that can be used in work:

• 99.01 - intended to display the results of main activities.
• 99.02 - for calculating income tax reflected in the financial statements.
• 99.03 - applies to extraordinary income and expenses.
• 99.06 - takes into account received tax sanctions.
• 99.09 - contains information about other profits and losses.

What records are needed?

When account 99 is regularly closed, balances are formed after other accounts are reset to zero. In particular, 99.01 is created in correspondence with

Typically, an enterprise opens an additional subaccount 99.01.1 “Profits and losses from activities with the main tax system.” Profit will be accumulated on credit, loss on debit:

• Dt 90.09 Kt 99.01.1 - profit came out;
• Dt 99.01.1 Kt 90.09 - loss written off.

90.09 is created using the formula:

• revenue - cost - VAT.

To calculate income tax, you need to carry out correspondence 99.02 with 68.04 “Income Tax”. The tax can be not only payable, but also refundable, so it is reflected as a debit or credit:

• Dt 68.04 Kt 99.02 - in case of loss;
• Dt 99.02 Kt 68.04 - profit was made.

In addition to direct posting, income tax is generated from the reduction of turnover:

• conditional income on subaccount 99.02.2;
• conditional consumption as of 99.02.1;
• permanent tax liabilities (assets) as of 99.02.3;
• calculation of deferred tax liabilities and assets as of 02/99/4.

These subaccounts are maintained by organizations whose tax and accounting records differ significantly.

As for 99.03, unlike other subaccounts, it directly corresponds with the asset and cost accounts. 99.03 is used to reflect losses resulting from natural disasters and emergencies. That is, the following wiring will be used:

• Dt 99.03 Kt 01 (07, 08, 10, 41, 20, 23, 25, 26).

Tax fines and penalties increase losses when interacting with 99.06:

• Dt 99.06 Kt.

Synthetic and analytical level

99.09 accumulates amounts coming from 91.09 “Balance of other income and expenses.” 91.09 is the final sub-account from movements by analytical levels

It is necessary for the synthetic score to be completed at 91, but at the same time the subcontos remain open. At the end of the year, analytical levels are reset using 91.09. Postings for interaction with 99.09 depend on the profitability or unprofitability of other activities of the company:

• Dt 91.09 Kt 99.09 - income is greater than expenses;
• Dt 99.09 Kt 91.09 - expenses exceeded income.

Consequently, the synthetic level 99 consists of monthly manipulations on subaccounts. At the end of the year, account 99 should be closed with transactions that will attribute the result to:

• Dt 99.09 Kt 84.01 “Profit subject to distribution”;
• Dt 84.02 “Loss to be covered” Kt 99.09.

For example, Pristan LLC received revenue of 800,000 rubles, the cost was 500,000 rubles, VAT was 122,033.90 rubles. The loan balance is formed on account 90.09:

• 800,000 - 400,000 - 122,033.90 = 277,966.10 rubles profit.

For other activities, income was received in the amount of 300,000 rubles, and expenses were 450,000 rubles. Debit balance 91.09:

• 450,000 - 300,000 = 150,000 rubles at a loss.

The accountant closes the month with the following entries:

• Dt 90.09 Kt 99.01.1 - in the amount of 277,966.10 rubles;
• Dt 99.09 Kt 91.09 - in the amount of 150,000 rubles.

Balance at synthetic account level 99:

• 277,966.10 - 150,000 = 127,966.10 rubles;

The balance sheet reformation will reflect the closure of the account:

• Dt 99 Kt 84.01 - 127,966.10 rubles.

The accountant needs to check whether profits and losses have been closed correctly:

The ending balance is zero at the analytical and synthetic level, which means there are no errors.

What to do in 1C?

Since revolutions at 99 are included in the list of manipulations for closing a period, in 1C all movements along it can be done using routine operations. When closing monthly, the “Income Tax Calculation” processing is applied. In versions 8.2 and 8.3, it is located in the “Month Closing” menu from the “Accounting, Taxes and Reporting” section.

The annual close involves processing “Balance Reformation”. It is the last one on the list of necessary operations. Before starting the balance sheet reformation, you must:

• make all the wiring;
• carry out all documents;
• complete the closing of December according to the procedure established in the program.

Important point! After the balance sheet reformation, no more entries are made in the reporting year.

The results of the posting can be seen by right-clicking on the transaction and using the “Show postings” command.

To make sure there are no errors at the end of the reformation, you need to use the accounting register analysis of account 99 and group by subaccounts.

The report will show all turnover and final balances. If all subaccounts are closed at zero, then everything is done correctly. Otherwise, it is necessary to check whether the balances of income and expenses are reflected correctly.

To clearly see how balance reformation works, you can watch the video

Characteristics of account 99

Account 99 in accounting is an active-passive profit and loss account, i.e. it can have both a debit and a credit balance. The contents of account 99 are described in detail in the current Chart of Accounts, approved by order of the Ministry of Finance of the Russian Federation dated December 31, 2000 No. 94n.

In accordance with this document, information is accumulated on account 99:

• about the financial results that the enterprise receives from the main type of economic activity (in correspondence from account 90);
• on other income and expenses for the reporting period (in correspondence from account 91);
• on penalties imposed on payments to the budget and extra-budgetary funds, accrued payments and recalculations made for income tax (in correspondence from account 68).

For organizations in the agricultural sector, there is a Chart of Accounts, which was approved by the Ministry of Agriculture dated June 13, 2001 No. 654. According to this plan, when taking into account debit-credit turnover when calculating the financial result on account 99, it is also necessary to take into account income and losses from force majeure and other emergencies (fire, natural disasters, etc.). Income from an emergency includes insurance compensation received by the company and income from the sale of materials during the dismantling of destroyed buildings and structures. Costs in such situations include losses that are not compensated by the insurance company.

Analytical accounting for accounting 99 is structured in such a way as to ensure the generation of information for drawing up the final report on financial results.

Account 99: what does debit and balance show?

The debit of account 99 shows the expenses and losses of the organization. Expenses are the total amount of expenses that were incurred by the enterprise for a certain period (year, quarter, month) based on the results of its activities. These costs include funds spent on raw materials and materials, acquisition of fixed assets, compensation of workers, operation of vehicles, etc. Expenses are in correspondence under the loan with accounting accounts 01, 03, 10, etc. For example, as a result of an emergency the company lost its own products - Dt 99 Kt 41.

The most important accounting indicator is the accounting balance 99, which is the difference between financial profit and expenses. This indicator appears as a result of the production and sale of goods. The balance is determined at the beginning and at the end of a certain time interval, and, accordingly, is called initial or final.

The goal of every organization is to make a profit. If the balance of account 99 at the end of the reporting period turned out to be a debit, this means that the level of profit was lower than the level of costs. If the balance is negative, the company made a profit for the selected period of its operation.

Below is the answer to the question, Kt 99 of the account is profit or loss.

Is credit a profit or a loss? What does account credit 99 show?

Account credit 99 shows the company's income. Income is the sum of all income received by an organization into a bank account for a specific time interval. Income includes: revenue, profit from transactions with securities, interest received on deposits, income from leasing property, etc. The credit of account 99 is in correspondence with accounting accounts 90, 91, 73, etc. For example, income received from Sales of goods produced or services provided are reflected by posting Dt 90 Kt 99.

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Thus, it is important to answer the question: is the credit of 99 accounts a profit or a loss? The loan shows the company's profit, i.e. it has a positive credit balance at the end of the reporting period.

Closing the reporting period

At the end of each reporting period, companies must close account 99, and at the beginning of the next year, open it again. These operations are necessary in order to have an idea of ​​the results of the enterprise and its level of profitability.

Accounting reporting periods coincide with tax periods, therefore, resetting account balances 99 to zero is also necessary in order to make timely and complete tax payments.

The balance at the beginning of the next period should be zero. To close account 99, you must first close the accounts associated with it. These include:

• Account 90 “Sales”. This reflects income from the sale of goods and services that were produced as a result of the company’s activities. To detail accounting transactions for this accounting account, subaccounts are opened for it: 90.1, 90.2, 90.3, 90.9.

Account 90 is closed with the following transactions:

Dt 90.1 Kt 90.9

Dt 90.9 Kt 90.2

Dt 90.9 Kt 90.3

• Account 91 “Other income and expenses.” It is formed on the basis of other income and expenses of the company. The most used subaccounts for this accounting account are: 91.1, 91.2, 91.9.

After these accounts are closed, the total for account 99 and the final balance are displayed. If a positive amount is obtained from the debit account, then a loss is formed; if such a value appears on the credit account, a profit is formed.

Then a posting is made to account 84, where retained earnings (Dt 99 Kt 84) or loss (Dt 84 Kt 99) are reflected, and the account is closed. The balance on it remains zero.

Subaccounts to account 99: which one reflects the financial results of the reporting year?

According to the current Chart of Accounts, subaccounts can be opened for account 99:

• 1 “Profits and losses from ordinary activities” is intended to account for the financial results obtained from the sale of goods, provision of services, and performance of work.
• 2 “Profits and losses from operating activities.” This takes into account the financial result, which is identified on account 91 (for example, from the sale and other write-off of fixed assets, intangible assets, from the sale of materials, etc.).
• 3 “Profits and losses from non-operating transactions” reflects the financial result from non-operating transactions on account 91.
• 4 "Extraordinary Income". This sub-account keeps records of emergency income broken down by type (from emergency incidents).
• 5 "Extraordinary expenses".
• 6 “Payments for income tax and financial sanctions” displays transactions for calculating income tax and penalties.
• 7 “Profit and loss of the reporting year” reflects the financial result at the end of the reporting period.

***

Which account is the profit (loss) of the enterprise reflected in? Account 99 is intended for this purpose, which reflects the financial results of the organization for a certain period of time. This result is then entered into Form No. 2 of the financial statements “Report on Financial Results”. This accounting account is active-passive: a positive debit balance means a loss at the end of the financial period, and a credit balance means a profit. At the end of each reporting period, it is necessary to close account 99 to reset the balances. Sub-accounts can be opened to this accounting account for a more detailed reflection of transactions.

Greetings! Today we will look at the process of “closing the month” for a real company providing services. We'll see how our accounting theory works in practice. At the same time, let’s once again learn to “look at the turns.”

According to the basics of accounting theory and our new knowledge, let's try to predict what we should see after the “closing of the month.” For clarity, let’s take as a basis the Turnover Balance Sheet (TSV) of our enterprise. Here is an example of OSV.

Is this not what we expect to see?

• Account 26 should have no balance at the end of the month.
  those. BalanceEndingDebit(SKD) = 0
• Accounts 90 and 91 must be without balance
• Some amounts should appear in the Turnovers for the period for account 99

Let's see how our turnover has changed.

I'll comment a little.

Look, account 26 at the end of the month was “closed” - it became 0. This is good. Here's a log of the wiring showing how it happened.

As we can see, expense accounts “transfer” their accumulated amounts from their Credit to Debit account to the financial result account. Remember the financial result formula? What accounts are involved?

So, Debit 90 and 91 accounts collect the expenses of our company for the current month.

Postings to account 99

Now we can calculate the financial result for each of them. Calculating the financial result is some kind of action on 90, 91 accounts. As you remember, accounts 90 and 91 after summing up the financial result should be equal to 0. And the final result of financial activity will be on account 99.

Zero balances for accounts 90 and 91 should be for the account as a whole. Sub-accounts of these accounts will have balances until December 31, pending the procedure - balance reformation. But more on that later.

This is how the situation looks in our SALT for accounts 90, 91 and 99. This situation arises after the “transfer” of expenses to account 90, BUT until closing 90, 91.

Look, I have highlighted key accounts from the entire SALT to show the intermediate stage of “closing the month”. We see that account 26 has been closed: its balances are zero. And, in our case, the amount of account 26 was displayed in the Debit of account 90.

In our example, the company has only account 26. If there were an account 44, it would also be closed and the amount from it would go to the Debit of account 90.

Thus, Debit 90 of account collects amounts from the company’s expense accounts, plus accumulates the cost of goods sold and products. Cost, as you understand, is available to manufacturing and trading companies. For us, only accumulated expenses from account 26.

Now we see that on accounts 90 and 91 different amounts were formed for Debit Turnover (DO) and Credit Turnover (CR). It turns out that for each of these accounts there is a final balance: 1705778.54 and 11374.53. Now it doesn’t make much difference for us where this balance is - in Debit or Credit. Only one thing is important to us:

Closing accounts 90 and 91 implies such actions so that the balance turns to zero. Those. we must make such entries for each account in correspondence with 99 so that our numbers - 1705778.54 and 11374.53 - go away. Those. the remainder would become zero. This is the rule for closing a total of 90 and 91 accounts - the balance on them should be zero.

And in order for the balances to become zero, we must transfer the existing differences between DO and KO (these are final balances) by posting to account 99. In other words,
— for account 90 we will “add” 1705778.54 to Debit.
— for 91 accounts we will “add” 11374.53 to the Credit

The following report shows how we “add the necessary numbers” through postings, thereby closing accounts 90 and 91. The closure of these accounts will be correct if, after that, their balances at the end of the period (month) become 0.

As you can see, the closure of accounts 90 and 91 goes through their internal subaccounts 90.9 and 91.9 in correspondence with account 99. Where 90.9 (91.9) will appear in the Debit or Credit entry depends on where there are not enough amounts so that the account at the end of the period gives 0.

Conclusion
Now we have looked at the very, very, very simple option of what “turnover” looks like and the principle of “closing the month” for companies providing services.

For trading organizations, SALT looks somewhat different. For example, we will see 41 and 44 counts. For production ones - it will be 20, 25, 40, 43, 44.

All businesses can have 76 and 73 accounts. In addition, many enterprises have 01 accounts with their own 02 and 08 auxiliary accounts.

All this diversity is not as complicated as it seems at first glance. Whatever accounting accounts you have to deal with in accounting, everything will come into “turnover”, where it will be necessary to take the amounts from all accounting accounts of Expenses and “move” them to accounts 90 and 91. Then from accounts 90 and 91, move the resulting balances to account 99. And so on every month until December. In December, there will be another operation called “balance sheet reform” at the “closing of the month.”

For the “closing the month” process, there is some more basic knowledge that affects the rules for transferring amounts to account 90. We look at all this in practical classes and learn how to solve such accounting situations from the event to the end of the month.

Addition
The article raised questions, which was expected. Accounting is not a difficult subject, but all its numbers and rules make it difficult, confusing and confusing. The first questions showed that more clarification should be given to this article. The following article answers two important questions:
— should more details be given in the SALT?
- in SALT for account 26 there are different amounts - is this an error in the article?

BP 2.0 Accounting experts, please tell me what entries should be made to close account 99, balance sheet reformation, judging by the turnover: http://s019.radikal.ru/i633/1312/27/6823dd89e531.jpg

P.S. Standard situation: a “dying” enterprise, another accountant was told to do the closing of the year, for whom the closing was always “done by the 1C program itself.” And in this case, the entire year, the closing of months was done by manual postings by another chief accountant. Accordingly, now at the end of the month - December (balance sheet reform), nothing is closed automatically. There is no point in setting it up now. The accountant only knows that everything should go to account 84. And what intermediate postings should be - it’s difficult to say. Therefore, everything smoothly flowed to me. Therefore, I ask you not to discuss the accountant, but to help with the postings.

If it’s difficult, that is, auditors or PBU

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Accounting entries when closing a financial year for legal entities are drawn up in the following sequence:

1. Closing accounts for cost accounting (including indirect costs).
2. Closing 90 accounts, calculating company profits.
3. Balance sheet reformation: closing the main accounts for accounting for the company’s income and expenses, analyzing the financial condition of the enterprise, the efficiency of business activities, obtaining an indicator of the organization’s net profit or net loss.

Closing the year is a summary of the financial results of the organization as of December 31 of the reporting year.

Before closing, it is necessary to double-check all basic data and carry out mandatory regulatory operations:

1. Reconcile settlements with counterparties, analyze accounting documentation, restore the sequence of displaying business activities (analysis of accounts 50, 51, 60, 62, 76, etc.).
2. Calculate employee wages, taxes and insurance contributions at the end of the year (accounts 70, 68, 69).
3. Analyze the balances of goods and inventories (accounts 41, 10, 43). Conduct a warehouse inventory and adjust data if necessary.
4. Calculate depreciation on fixed assets, carry out revaluation (account.
5. Check the costs incurred (monitoring accounts 20, 29, 25, 26, 44, etc.).
6. Calculate all received income and expenses of the company (balances from accounts 90 and 91 are written off to account.

   Account 99 “Profits and losses”. Accounting for financial results. Postings

Something to keep in mind! According to the legislation of the Russian Federation, the submission of financial statements to the tax authorities is carried out before March 31 of the year following the reporting year. However, all verification activities before the end of the year should be carried out gradually throughout the 4th quarter.

After the preparatory procedures are completed, the year is closed - the balance sheet is reformed, in which the company's net profit or net loss is revealed.

Basic accounting entries for year-end closing

Sales analysis

To summarize the results of activities of organizations for ordinary activities, it is necessary to analyze the subaccounts of account 90:

• 90.1: this subaccount displays all receipts received by the company for goods sold. The balance of the subaccount is the revenue received for the period:

  Dt50.51 Kt90.01 - payment received;

  Dt62 Kt90.01 - sales revenue is reflected;

• 90.02: cost of goods sold upon sale:

  Dt90.02 Kt41 - write-off of the accounting value of goods;

  Dt90.02 Kt20 - cost of work performed;

• 90.03: VAT accrued for payment to regulatory authorities is displayed:

Every month, the subaccount data is compared, and the balance is transferred to subaccount 90.09, which displays the calculated financial results: Dt - loss; Kt - profit.

When closing the period, the balances of 90.09 go to the debit of account 99 with the profit received for ordinary types of business activities and to the credit of the account. 99 for unprofitable work.

Analysis of non-operating activities

For transactions not related to the normal business activities of the organization, the analysis is carried out on the basis of monitoring subaccounts of 91 accounts:

• 91.01: the subaccount is intended to contain information about other income of the company. These may include: exchange rate differences, surplus inventories as a result of inventory, income from borrowed funds provided to counterparties, etc.:

  Dt50.51 Kt91.01 - income received from the sale of own equipment;

  Dt73 Kt91.01 - income from loans provided in the form of interest paid;

• 91.02: information about all non-operating costs is collected here: bank commissions, shortages of goods, tax fines and penalties, etc.:

  Dt91.02 Kt66.67 - payment of interest for the use of borrowed funds;

  Dt91.02 Kt01 - reduction in the cost of equipment based on the results of revaluation.

Every month, the subaccount data is compared, and the balance is transferred to subaccount 91.09, which displays the calculated financial results: Dt - loss; Kt - profit.

When closing the period, the balances of 90.09 go to the credit of account 99 for profit received for ordinary types of business activities and to the debit of the account. 99 for unprofitable work.

Balance Reformation

After closing all main accounts in accordance with the rules of accounting and analyzing all collected information, the balance sheet is reformed - identifying the overall financial result and assigning it to the account. 84 for subsequent distribution. The reformation carried out can tell about the effectiveness of the organization’s use of labor and material resources:

1. Dt99 Kt84 - display of profit undistributed during the year;
2. Dt84 Kt99 - information about uncovered losses.

Decisions on the distribution of profits or methods of covering losses are made at the general meeting of owners after the approval of the annual financial statements.

A practical example of preparing year-end closing transactions

Limited Liability Company "Kolosok" is engaged in the sale of office chairs purchased from suppliers for 3,000 rubles (including VAT 18% - 457.62). During the year, the purchase price did not change, so the selling price remained constant: 5,000 rubles (including 18% VAT - 762.71). During the year, all goods were sold (40 units).

In addition, the company pays for bank services, which amounted to 890 rubles.

Accounting entries for completed business transactions:

• Dt41 Kt60: 101,694.20 rubles - receipt of office furniture to the warehouse for further sale;
• Dt19.03 Kt60: 18,305.80 rub. - VAT from the supplier;
• Dt51 Kt90.01: 200,000 rubles - proceeds from the sale of chairs;
• Dt91.02 Kt41: 101,694.20 rub. - write-off of the cost of chairs (the cost of Kolosok LLC includes only the purchase price of suppliers);
• Dt90.03 Kt68.02: RUB 30,508.47 - calculation of VAT payable to the tax authorities;
• Dt91.02 Kt51: 890 rub. - bank commissions.

Results for account 90 at the end of the month:

Dt: RUB 101,694.20 + 30,508.47 rub. = 132,202.67 rub.

Kt: 200,000 rub.

Final balance: 67,797.33 rubles - profit received from the sale.

Results for 91 accounts at the end of the month:

Dt91.09 Kt91.02: 890 rub. - loss.

Closing of the year:

Dt90.09 Kt99: 67,797.33 rub. - profit from ordinary types of business activities is displayed.

Dt91.09 Kt99: 890 rub. - loss from non-operating activities.

At the end of the reporting year, Kolosok LLC received profit, which will be included in undistributed profit:

Dt84 Kt99: 66,907.33 rub. - determination of the financial results of the company’s economic life at the close of the year, as of December 31.

Questions and answers on the topic

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What is balance sheet reformation?

Publication date

Balance Reformation is a procedure that is carried out annually, especially in large companies and corporations, by decision of the board of directors. Its purpose is to establish the final financial result for the past year. This is done on the basis of a comparison of indicators of revenue and profit received and data on the use of funds.

Balance Reformation is a process that can only be carried out if there is appropriate permission or order from an authorized person. As a rule, the board of directors, convened annually, approves a representative by general vote, or investors resolve issues directly at the meeting.

Balance sheet reformation: postings

So, first of all, you should familiarize yourself with the accounting entries compiled by a specialist of the enterprise. Of particular interest is account 80, called “Profits and Losses,” since it contains amounts that reflect the receipt of funds and their direction for certain needs. Accordingly, the credit side indicates a loss of financial resources, and the debit side indicates their inflow by source. It becomes clear that the company’s position at the reporting date largely depends on the balance of this account.

After it has been decided that balance reform must be carried out, the accountant, based on the wishes and requirements of the management team, distributes profits. Most of it is intended for the owners; it is divided into shares in proportion to the amounts of investor deposits. If, as a result of this operation, a surplus is formed, then it is attributed to a special account 88, which is given the self-explanatory name “Retained earnings of previous years.” This amount is then partially sent to reserve accounts to cover unexpected expenses.

Currently, not all enterprises believe that balance reform is an important and necessary element in accounting practice. However, this procedure really helps the management team to clearly show investors and owners how much money they receive from the operation of the company and where other resources are allocated. In this regard, we can conclude that reformation serves as a fairly effective mechanism that does not lose its relevance at all times.

This area also has its shortcomings and difficulties.

The procedure itself is not a super complex scheme that requires an investment of time and effort. Problems often arise due to poor accounting practices. Often the “stumbling block” is the mistakes made at the time of closing accounts and summing up results.

Closing 99 accounts

In order to avoid such significant errors, companies should pay special attention to the audit of financial documentation. High-quality and timely inspection will increase not only productivity, but also the degree of trust on the part of inspection services.

The annual financial statements must first be finalized and then the balance reform, during which the profit of the previous reporting period is written off and other accounts are closed. The undistributed balance will go towards covering losses from previous years. The economic meaning of this procedure lies in a slight improvement of the compiled balance sheet. In the future, it will be easier to work with such a document, since all the necessary postings have been made and the accounts are closed.

A legal entity has the right to independently choose a specific method for carrying out reformation, having previously noted the method in the documents. In addition, this process requires no less accuracy and literacy from a specialist, since third-party audit organizations also carefully check the formatted balance sheet.

Balance Reformation

When preparing annual financial statements, it is necessary to reform the balance sheet in order to start accounting “on a new page” in the new year. First of all, it is necessary to close accounts 90 “Sales”, 91 “Other income and expenses” and 99 “Profits and losses”. As a rule, balance sheet reformation entries are dated December 31st.

Closing account 90 "Sales"

During the year, account 90 collects data on the organization’s income and expenses for ordinary activities. Various sub-accounts are opened for account 90 “Sales”. To account for sales revenue, subaccount 90-1 “Sales Revenue” is opened. The cost of products sold (goods, works, services) is reflected in subaccount 90-2 “Cost of sales”. The amount of value added tax included in the price of products sold (goods, works, services) is taken into account in subaccount 90-3 "Value Added Tax", and the amount of excise tax included in the price of products sold is taken into account in subaccount 90-4 " Excise taxes." If an organization pays export duties, then it is additionally necessary to use subaccount 90-5 “Export duties”. Firms can use other subaccounts, for example 90-6 “Sales Tax”, 90-7 “Sales Expenses”, 90-8 “Administrative Expenses”.

To reflect the financial result from ordinary activities, subaccount 90-9 “Profit/loss from sales” is used.

Attention! At the end of each month, the accountant compares the amount of debit turnover in subaccounts 90-2 - 90-8 with credit turnover in subaccount 90-1.

Debit account 99

The resulting result is the profit or loss from sales for the month. This amount is written off at the end of the reporting month to account 99 “Profits and losses”. If a profit is made from sales, the following posting is made:

Debit 90-9 Credit 99

If a loss is incurred, an entry is made:

Debit 99 Credit 90-9

It turns out that at the end of each month there is no balance in the synthetic account 90 “Sales”. However, all subaccounts of this account have debit or credit balances, the value of which accumulates. These balances cannot be written off during the year.

On the last day of December of the reporting year, after writing off the financial result for December, all subaccounts must be closed inside account 90 “Sales”. In this case, the balances on them are transferred to subaccount 90-9:

Debit 90-9 Credit 90-2 (90-3, 90-4, 90-5, 90-6, 90-7, 90-8)

• the balance of subaccounts of account 90 is written off;

Debit 90-1 Credit 90-9

• The balance of the "Revenue" subaccount is written off.

As a result of these entries, as of January 1 of the new reporting year, the subaccounts of account 90 “Sales” do not have a balance.

Example. In the accounting records of the production enterprise Vasilek LLC at the end of 2002, there was a balance on the loan of subaccount 90-1 in the amount of 630,000 rubles. And the debit balances for account 90 “Sales” were as follows:

subaccount 90-2 - 345,000 rubles;

subaccount 90-3 - 100,000 rubles;

subaccount 90-6 - 30,000 rubles;

subaccount 90-7 - 80,000 rubles;

subaccount 90-9 - 75,000 rubles.

When reforming the balance sheet, the accountant of Vasilek LLC will make the following entries:

Debit 90-1 Credit 90-9

• 630,000 rub. — the balance of the “Revenue” subaccount is written off;

Debit 90-9 Credit 90-2

• RUB 345,000 — the balance of the “Cost of sales” subaccount is written off;

Debit 90-9 Credit 90-3

• 100,000 rub. — the balance of the “Value Added Tax” subaccount is written off;

Debit 90-9 Credit 90-6

• 30,000 rub. — the balance of the “Sales Tax” subaccount is written off;

Debit 90-9 Credit 90-7

• 80,000 rub. — the balance of the “Sales Expenses” subaccount is written off.

Closing account 91 "Other income and expenses"

Operating and non-operating income and expenses are recorded in account 91. The structure and procedure for its use are similar to the structure and procedure for use of account 90 “Sales”.

Three sub-accounts are opened for account 91:

• 91-1 "Other income";
• 91-2 "Other expenses";
• 91-9 "Balance of other income and expenses."

In addition to these, enterprises can also introduce additional sub-accounts for separate accounting of non-operating income and expenses:

• 91-3 "Non-operating income";
• 91-4 "Non-operating expenses".

Note. At the end of each month, the accountant compares the turnover in subaccounts: debit turnover in subaccounts 91-2 and 91-4 with credit turnover in subaccounts 91-1 and 91-3.

The resulting result represents the profit or loss for the month. This amount is written off at the end of the reporting month to account 99 “Profits and losses”. If a profit is made, the following entry is written:

Debit 91-9 Credit 99

• the amount of profit for the month is reflected.

And if a loss is received, then an entry is made:

Debit 99 Credit 91-9

• reflects the amount of loss received for the month.

Thus, at the end of each month, account 91 has no balance. However, the subaccounts of this account still have a debit or credit balance.

After writing off the financial result for December - December 31 - the subaccounts of account 91 must be closed. To do this, balances from other subaccounts are written off to subaccount 91-9 with the following transactions:

Debit 91-9 Credit 91-2 (91-4)

• the balance of the subaccounts “Other expenses” and “Non-operating expenses” was written off;

Debit 91-1 (91-3) Credit 91-9

• The balance of the subaccounts “Other income” and “Non-operating income” was written off.

Example. In 2002, Vasilek LLC reflected the following data on account 91:

• operating income - 40,000 rubles;
• operating expenses - 35,000 rubles;
• non-operating income - 123,000 rubles;
• non-operating expenses - 103,000 rubles;
• profit from operating and non-operating operations - 25,000 rubles.

At the end of the year, the accountant, reforming the balance sheet, made the following entries:

Debit 91-1 Credit 91-9

• 40,000 rub. — operating income written off;

Debit 91-9 Credit 91-2

• 35,000 rub. — operating expenses written off;

Debit 91-3 Credit 91-9

• 123,000 rub. — non-operating income is written off;

Debit 91-9 Credit 91-4

• 103,000 rub. — non-operating expenses are written off.

Closing account 99 "Profits and losses"

During the year, the financial result from ordinary activities, as well as from operating and non-operating income and expenses, is written off to account 99 during the year. It also collects emergency income and expenses. It also reflects the income tax debt to the budget and fines for tax violations. Thus, the account balance of 99 is equal to the current year's net profit or loss. With the final entries of December, this balance is transferred to account 84 “Retained earnings (uncovered loss).”

If the company made a profit at the end of the year, then the following entry is made in accounting:

Debit 99 Credit 84

• The net profit of the reporting year was written off.

Example. For 2002, Vasilek LLC has the following results:

• profit from ordinary activities - 75,000 rubles;
• profit from operating and non-operating operations - 25,000 rubles;
• income tax - 24,000 rubles.

The following entries were made in the accounting records:

Debit 90-9 Credit 99

• 75,000 rub. — the financial result from product sales was identified;

Debit 91-9 Credit 99

• 25,000 rub. — reflects the balance of other income and expenses;

Debit 99 Credit 68 subaccount "Calculations for income tax"

• 24,000 rub. — income tax is charged;

Debit 99 Credit 84

• 76,000 rub. (75,000 + 25,000 - 24,000) - the final financial result has been revealed.

If the organization received a loss at the end of the year, the entry will be as follows:

Debit 84 Credit 99

• the loss of the reporting year is written off.

Example. Let us use the conditions of the previous examples, adding only that in 2002 the penalties assessed by the tax inspectorate of Vasilek LLC amounted to 80,000 rubles.

The following entry was made in the accounting records:

Debit 99 Credit 68 subaccount "Settlements with the budget for penalties"

• 80,000 rub. — the amount of penalties payable to the budget has been accrued.

Thus, at the end of the year, Vasilek LLC received a loss of 4,000 rubles. (80,000 - 76,000).

When reforming the balance sheet, the accountant will make the following entry:

Debit 84 Credit 99

• 4000 rub. — the loss of the reporting year is written off.

O. Kurbangaleeva

Supervisor

methodology department

accounting and auditing

LLC "Audit Alliance"