How to deduct advertising costs

Read the Order of the Ministry of Finance of the Russian Federation No. 33h "Costs organization" PBU 10/99 dated may 6, 1999. Item 5 of PBU 10/99 indicates that advertising expenses relate to expenses on ordinary types of activities that are associated with the sale, purchase or manufacture of products, performance of works or provision of services. Item 16 of PBU 10/99 regulated, that the costs will be recognized in the accounting records if they are made on the basis of a specific contract, comply with legislation and regulations; their sum has a certain value; they are made as a result of specific operations that reduce the economic benefit of the organization. If at least one condition is not met, the company accrued a receivable. According to item 18 of RAS 10/99 expenses for advertising are recorded in the period when it was produced, regardless of the actual date of payment. Advertising costs based on item 7 of PBU 10/99, are considered commercial, as they contribute to sales.

Collect a package of documents confirming the execution of advertising services or works. This will allow us to recognize the cost of advertising as a commercial on ordinary activities. The documents consist of: contract for the provision of advertising services, the Protocol of price agreement, the certificate of advertising, passport advertising spaces approved by the design project, the act of delivery-acceptance of rendered services, invoices, payment documents, invoices, acts of write-off of goods and acts of markdown goods.

Save printed media, audio or video tapes, which contains information about advertising. These data will help you during audits by the tax authorities.

Clip in accounting policy one of the options for writing off expenses on advertisingstipulated by the legislation of the Russian Federation. The amount of the advertising expenses of the reporting period, which was recognized as the organization completely, will be reflected in accounting opening a debit account 90-2 and the credit of account 44.

If it was decided to include in the index only a portion of expenses, write off in the same transaction only part of the costs taken into account. The second option of writing off the advertising expenditure is the act of the performed works or the invoice from the advertising organization. First repel the debt to an advertising firm for the completion of all tasks opening a debit account 44 and the credit of account 60. Next, note the amount of VAT charged on the invoice, opening a debit account 19 and the credit of account 60.