The requirements of the Civil Code of the Russian Federation, provided for the rental of buildings and structures, apply to the rental of non-residential premises (information letter of the Presidium of the Supreme Arbitration Court of the Russian Federation dated 01.06.2000 No. 53).
That is, the lease agreement for non-residential premises must stipulate the amount of rent. In the absence of a condition agreed upon in writing by the parties regarding the amount of rent, the lease agreement for non-residential premises is considered not concluded (clause 1 of Article 654 of the Civil Code of the Russian Federation).
At the same time, unless otherwise provided by the agreement, the amount of the rent may be changed by agreement of the parties within the time limits provided for by the agreement, but not more than once a year (clause 3 of Article 614 of the Civil Code of the Russian Federation).
That is, having concluded a lease agreement for non-residential premises, the parties to the agreement determine the amount of the monthly rent.
According to paragraphs. 10 p. 1 art. 264 of the Tax Code of the Russian Federation, rental payments for leased property are classified as other expenses associated with production and sales. At the same time, expenses in the form of rental payments are taken into account for profit tax purposes, provided they comply with the requirements of paragraph 1 of Art. 252 of the Tax Code of the Russian Federation. That is, these expenses must be economically justified, supported by documents and carried out for activities aimed at generating income.
In accordance with paragraphs. 3 paragraph 7 art. 272 of the Tax Code of the Russian Federation, when applying the accrual method, the date of expenses in the form of lease payments is recognized as one of the dates:
Settlement date in accordance with the terms of concluded agreements;
The date of presentation to the taxpayer of documents serving as the basis for making calculations;
Last date of the reporting period.
The organization can choose one of the three proposed in paragraphs. 3 paragraph 7 art. 272 of the Tax Code of the Russian Federation of ways to recognize expenses in the form of payment to third-party organizations for the services they provide and consolidate it in the accounting policy (letter of the Ministry of Finance of Russia dated 08/29/2005 No. 03-03-04/1/183, Federal Tax Service of Russia for Moscow dated 08/06/2009 No. 16-15/080966).
At the same time, for tax purposes, leasing property is the provision of services, because the results of such activities do not have material expression, they are sold and consumed in the process of carrying out this activity (clause 5 of article 38 of the Tax Code of the Russian Federation).
Accordingly, if the contracting parties have concluded a lease agreement and signed an act of acceptance and transfer of the property that is the subject of the lease, then it follows that the service is sold (consumed) by the parties to the agreement and, therefore, organizations have a basis for inclusion in the tax base for the tax on profit of the amounts of income from the sale of such a service (lessor) and expenses in connection with the consumption of the service (tenant) (letters of the Federal Tax Service of Russia for Moscow dated June 30, 2008 No. 20-12/061162, dated March 26, 2007 No. 20-12/027737, Federal Tax Service of Russia dated 09/05/2005 No. 02-1-07/81).
In addition, Chapter 34 of the Civil Code of the Russian Federation, which regulates legal relations under a lease agreement, does not require the tenant and the lessor to monthly confirm the parties’ fulfillment of their obligations under the lease agreement by drawing up reports. Thus, monthly preparation of acts of services rendered under a lease (sublease) agreement for the purpose of documenting expenses in the form of lease payments, unless otherwise follows from the terms of the agreement, is not required (letter of the Ministry of Finance of Russia dated November 16, 2011 No. 03-03-06/1 /763, dated 10/13/2011 No. 03-03-06/4/118, dated 10/06/2008 No. 03-03-06/1/559, dated 11/09/2006 No. 03-03-04/1/742).
In the situation under consideration, the terms of the lease agreement also do not provide for issuing invoices for payment (prepayment).
At the same time, issuing an invoice for payment is not a circumstance with which the law or an agreement on the provision of paid services binds the emergence of the customer’s obligation to pay for services (Resolution of the Federal Antimonopoly Service of the Moscow District dated December 20, 2012 No. F05-14578/12 in case No. A40-10258/2012) .
In addition, expenses accepted for tax purposes taking into account the provisions of Chapter 25 of the Tax Code of the Russian Federation are recognized as such in the reporting (tax) period to which they relate, regardless of the time of actual payment of funds (clause 1 of Article 272 of the Tax Code of the Russian Federation).
Accordingly, issuing or non-issuing invoices for payment does not in itself lead to the emergence of any tax obligations.
Let's summarize. So, to confirm the costs of renting premises, the following documents are required: a concluded lease agreement, documents confirming payment of rental payments, an acceptance certificate for the leased property. At the same time, to confirm the legality of recognizing expenses, the preparation of monthly acts on services rendered and invoices for payment (prepayment) is not required, unless their preparation is expressly provided for in the lease agreement.
The texts of the documents mentioned in the experts’ response can be found in the legal reference system GUARANTEE .
To carry out business activities, a company needs premises. It can be either owned or leased. The second option is the most common, since not all entrepreneurs can afford to purchase premises. Renting involves constant expenses. They need to be taken into account correctly.
Rent accounting
To record the cost of renting non-residential premises, off-balance sheet account 001 “Rented fixed assets” is used. The cost of housing specified in the contract is taken into account. Costs are reflected at the time of actual receipt of the premises. These rules are established by the Instructions for the use of the Chart of Accounts, established by Order of the Ministry of Finance No. 94n dated October 31, 2000.
Rent expenses, in accordance with paragraphs 5 and 7 of the Accounting Regulations established by Order of the Ministry of Finance No. 33n dated May 6, 1999, are considered expenses for the main areas of activity. Monthly rental accruals are reflected in the DT account 20 “Main production” and the CT account “Settlements with creditors. When the payment is transferred to the lessor, you need to make an entry on DT account 76 and CT account 51.
Within the framework of tax accounting, the transfer of real estate for rent is considered a service on the basis of paragraph 5 of Article 38 of the Tax Code of the Russian Federation. presented to the company is accepted for deduction at the time the rental service is accepted for accounting. The deduction is carried out on the basis of primary documentation on the basis of paragraph 2 of Article 171, paragraph 1 of Article 172 of the Tax Code of the Russian Federation.
ATTENTION! Expenses for utility bills (including VAT) will be taken into account in the structure of expenses for the main areas of the company's work. They are recognized at the time of receipt of receipts from the person providing the rental service.
Tax accounting
Rent payments are considered other expenses aimed at production and sales. The corresponding instructions are given in paragraph 1 of Article 264 of the Tax Code of the Russian Federation. An entrepreneur needs to remember that expenses that meet these characteristics can be recognized as expenses:
- Financial justification of payments.
- Availability of supporting documents.
The Tax Code does not contain a list of papers that confirm the fact of lease. However, the necessary information is in letters of the Ministry of Finance No. 03-07-09/42594 dated 08.26.2014 and No. 03-03-06/1/12764 dated 03.24.2014. To confirm the rental of premises, you need these documents:
- A lease agreement executed in accordance with the law.
- Certificate of acceptance and transfer of premises.
- Payment papers that the tenant receives when paying for services.
- Service acceptance certificate drawn up monthly.
The last document is needed only if the need to draw up a monthly service acceptance certificate is stipulated in the main contract.
Example
In March 2017, the company rented non-residential premises on the basis of an acceptance certificate. It is necessary for production needs. The company pays rent payments on the last date of the month. The postings in this case will be as follows:
- DT001. The cost of renting the premises is fixed. This posting must be completed in March 2017. The amount is reflected on the basis of the acceptance certificate.
- DT20 KT76. Calculation of monthly rent. Produced on the basis of a rental agreement.
- DT19 KT76. VAT submitted. Reflected on the basis of the invoice.
- DT68 KT19. Acceptance of VAT for deduction based on an invoice.
- DT76 KT51. Transfer of payment to the lessor. Performed on the basis of a current account statement from a banking institution.
All of the above transactions, except the first one, are performed monthly.
Public utilities
Utilities can be paid in different ways. Payments can be made by the lessor himself. In this case, the tenant must reimburse the expenses of the owner of the premises. Expenses for utility bills, including VAT, are included in the structure of expenses for the main areas of activity, as stipulated by paragraphs 5 and 7 of the Accounting Rules, approved by Order of the Ministry of Finance No. 33 of May 6, 1999. These expenses are recognized only if the company has received settlement documents (based on clause 16 of PBU 10/99).
In accounting, utility costs are recorded in the cost accounting account. The corresponding account is the credit of account 76. When transferring money to the tenant, this posting is used: DT76 KT51. The corresponding instructions are given in the Instructions for using the Chart of Accounts established by Order of the Ministry of Finance No. 94n dated October 31, 2000.
Wiring used
When accounting for utility bills, these transactions are relevant:
- DT44 KT76. Fixing the cost of utilities. The landlord is expected to make the payment and the tenant will cover all expenses. The latter are reflected on the basis of the rental agreement, the invoice issued by the lessor, and the utility bill.
- DT19 KT76. Fixing VAT on utility costs. Registration is carried out on the basis of an invoice.
- DT68 KT19. Acceptance of VAT deduction on utility services.
- DT76 KT51. Reimbursement of the landlord's expenses for utility bills. The entry is made based on the current account statement.
The amount for each transaction must be confirmed by primary documents.
Tax accounting
The deduction is made in respect of the tax claimed by the lessor. It is assumed that the rental of premises and related expenses are a taxable item on the basis of paragraph 2 of Article 171 of the Tax Code of the Russian Federation. Deductions are made on the basis of invoices (based on clause 1 of Article 172 of the Tax Code of the Russian Federation). To calculate income tax, you need to take into account the cost of utilities in the structure of material costs. This is indicated in paragraph 2 of Article 253 and paragraph 1 of Article 254 of the Tax Code of the Russian Federation.
There are also letters from the Federal Tax Service No. 16-15/058069 dated June 30, 2008.
According to them, expenses for utility bills must be confirmed by payment calculation reports generated by the landlord.
This is needed for tax purposes. The cost of the resources used is taken into account at the time the company receives invoices and acts. The basis for this is paragraph 2 of Article 272 of the Tax Code of the Russian Federation, paragraph 1 of Article 252 of the Tax Code of the Russian Federation.
Repair costs
Paragraph 2 of Article 616 of the Civil Code of the Russian Federation states that the tenant must monitor the good condition of the leased property. Repairs are carried out by the tenant at his own expense, unless otherwise specified in the agreement between the parties. Related expenses are recognized as expenses for the main areas of activity. They are included in the cost of products sold based on paragraphs 5, 7, 9 of the Accounting Regulations PBU 10/99, established by Order of the Ministry of Finance No. 33n dated May 6, 1999.
Paragraphs 16 and 18 of PBU 10/99 indicate that expenses for current repairs are reflected in accounting at the time of signing the acceptance certificate for the work performed. The amount of expenses is determined based on the information specified in the contract. Expenses for repair work are reflected in DT account 44. The corresponding account is CT account 60.
Wiring used
When reflecting repair costs, these entries are used:
- DT44 KT60. Fixing the cost of repair work. The entry is made on the basis of the acceptance certificate for the work performed.
- DT19 KT60. The amount of VAT billed by the repair company. The posting is made based on the invoice.
- DT60 KT51. Transfer of payment to the repair company.
- DT68 KT19. Acceptance of VAT amount for deduction.
It is necessary to conclude an agreement with the company that performs the repairs. Otherwise, the accounting will be illegal, since it is not documented.
The lessor issued invoices to Arsenal for the last date: - January - in the amount of 70,800 rubles, including VAT - 10,800 rubles; – February – in the amount of 88,500 rubles. (70,800 + 17,700), including VAT – 13,500 rubles; – March – in the amount of 88,900 rubles. (70,800 + 18,100), including VAT – 13,561 rubles. Arsenal's accountant, when calculating taxable profit for the first quarter of 2008, included in other expenses the amount of costs for rented premises and utilities in the amount of 210,339 rubles. ((70,800 – 10,800) + (88,500 – 13,500) + (88,900 – 13,561)). And the amount declared for deduction in the quarterly VAT return included a tax in the amount of 37,861 rubles. (10,800 + 13,500 + 13,561).
Categories
That is why the opinion of the financial authority expressed in the Letter is of considerable interest to all taxpayers, primarily, of course, to tenants. Indeed, for the lessor, issuing invoices in violation of the deadlines established by law has no tax consequences, while a tenant who has accepted VAT for deduction in accordance with an “early” issued invoice may be subject to additional taxes, as well as appropriate penalties and tax sanctions.
Of course, if the tenant has the opportunity to agree with the landlord on the timing of issuing invoices, then these deadlines can be brought into line with the position of the Ministry of Finance of the Russian Federation.
Rent Invoices: The Big Day
The description of the work performed or services provided (column 1 of the invoice) must allow the identification of these works or services. At the same time, a detailed description of works or services is not required.
For example, the following wording will be sufficient: - “services for legal support of the transaction under agreement No. 114 dated September 21, 2015”; — “repair work adopted under Act No. 2 of October 12, 2015.” Example. Filling out an invoice for rent LLC "Veter" provided non-residential premises (warehouse) for rent to LLC "Polet" for the period from 10/01/2015 to 05/31/2016.
Monthly rent excluding VAT - 118,000 rubles, including VAT - 18,000 rubles. The rent for October is transferred by Polet LLC on 10/08/2015 by payment order No. 131.
Do I need to issue an invoice when renting out premises?
Rent: constant or variable Depending on the terms of the contract, the amount of remuneration paid to the lessor can be either constant or variable. If you are renting out a small space (for example, 1 sq.
m. of the total area for placing an ATM), then it makes sense to establish a fixed rental amount in the agreement. The rent in this case is considered constant. If you are renting out a premises with a large area, and the tenant uses it as a store (bank, representative office, etc.), then it is advisable to calculate the rental amount based on 2 indicators:
- direct rent;
- the cost of utility services used by the tenant during the reporting period.
The latter indicator can be fixed in the contract at the average value and added to the amount of the rent.
Legal educational program: issuing invoices for rent
Attention
Question and answer on the topic of VAT on rent Question: In September 2016, JSC Molot received a lease of a land plot that was state-owned. The agreement was concluded between Molot and the Regional Property Management Committee.
In November 2016, Molot subleased the land to Serp LLC. Should Hammer charge VAT? Answer: In this case, 2 operations take place: to obtain a plot for rent, as well as its sublease.
Important
Since land lease from the state is not subject to VAT, Molot does not act as a tax agent for this operation. As for sublease services, Hammer must charge VAT on them in accordance with the general procedure.
Question: In April 2016, Znamya JSC accepted a lease for premises owned by Vympel LLC. During the period May–August 2016, Znamya, at its own expense, made capital investments in the premises, which were recognized as separable improvements.
Invoice for real estate rental - we continue to get confused
Another thing is that the landlord does not always have a clear idea of the amount of utilities that he would like to see reimbursed. After all, it is impossible to determine in advance the exact volume of services that the tenant will need.
Therefore, some owners prefer to make calculations based on actual consumption of services. For such cases, the following option for accounting for utility costs as part of the rent is more suitable.
...or variable When using another method, the rent in the contract is initially established in two parts - main and additional. The first is a constant value; it is a monthly payment directly for the use of the premises. The second changes every month and reflects the cost of utilities actually consumed by the tenant.
VAT deductions for utilities when renting
- invoice for utilities consumed by the tenant (without allocation of VAT) p. 2 Letters of the Federal Tax Service of Russia dated 02/04/2010 No. ШС-22-3/; Letter of the Ministry of Finance of Russia dated May 14, 2008 No. 03-03-06/2/51; Letter of the Federal Tax Service of Russia for Moscow dated 06/08/2009 No. 16-15/58069
- copies of utility bills
The lessor deducts only input VAT on utilities that he/she consumes. 1 tbsp. 172
Tax Code of the Russian Federation; Letter of the Ministry of Finance of Russia dated 03.03.2006 No. 03-04-15/52; Letter from the Federal Tax Service of Russia for Moscow dated July 16, 2007 No. 19-11/067415. The lessor issues an invoice for the cost of utilities consumed by the tenant (without allocating VAT). The tenant cannot deduct VAT on utility services, since there is no invoice. invoices
2 Letters of the Federal Tax Service of Russia dated 02/04/2010 No. ШС-22-3/; Letter of the Ministry of Finance of Russia dated May 14, 2008 No. 03-03-06/2/51; Letter from the Federal Tax Service of Russia for the city.
How to issue an invoice for work, services or rent
N.G. Bugaeva, economist When renting premises, the question inevitably arises: how will the tenant pay for utilities? 2 tbsp. 616 of the Civil Code of the Russian Federation? According to the lease agreement, their cost may:
- <иливключаться в стоимость арендной платып. 2 ст. 614 ГК РФ;
- <иливозмещаться арендатором арендодателю;
- <илиоплачиваться арендатором по отдельному посредническому договору.
And whether the tenant can deduct VAT on utilities largely depends on the terms of the agreement. For clarity, different situations are summarized in a table. True, one of the options (risky) may raise questions among the inspectors, so after the table we will comment on it. Options for paying for utilities Sample wording of contract terms Documents Deduction from the landlord and tenant 1.
In the absence of a direct and clear indication of the law as to when a rental service should be considered provided for tax purposes, the taxpayer does not have any reason to consider the end of the tax period in which such services were provided to be such a moment. I would like to draw attention to one more point in the explanations of the Ministry of Finance of the Russian Federation, which strictly reminded taxpayers that the right to issue early invoices (before the shipment of goods, performance of work, provision of services) is not granted to taxpayers. This statement also seems not entirely correct. So, generally speaking, issuing invoices is not a right, but an obligation of taxpayers.
Clause 3 of Article 168 of the Tax Code of the Russian Federation establishes the deadline for fulfilling this obligation: `no later than five days counting from the date of shipment:`.
Is it necessary to issue an invoice for renting premises without VAT?
So, to what extent is it necessary to adhere to the guidelines set by the Ministry of Finance of the Russian Federation in the Letter? To answer this question, it is necessary to understand whether the logic of the Ministry of Finance of the Russian Federation, expressed in the Letter, is impeccable, and how invoices should be correctly issued when leasing real estate in accordance with the requirements of the Tax Code of the Russian Federation. In our opinion, the conclusion reached by the Ministry of Finance of the Russian Federation, based on paragraph 3 of Article 168 of the Tax Code of the Russian Federation, is by no means flawless. According to this paragraph, when selling goods (work, services), the corresponding invoices are issued no later than five days, counting from the day of shipment of the goods (performance of work, provision of services). The tax department traditionally classifies the provision of property for rent for tax purposes as services.
In this case, rental payments from the user of the premises will come to you in the form of a constant amount (similar to the example above). If the average rate of utility bills cannot be calculated (for example, construction work is periodically carried out on the premises), then a variable indicator should be added to the amount of rent.
It will be calculated based on the resources actually used by the tenant (electricity, heat, water supply and sanitation services, etc.). Let's look at the conditions for VAT taxation in each case:
- Let's say you leased out real estate under an agreement that established a fixed fee and specified VAT.
In this case, invoices must be issued monthly (quarterly) in the amount specified in the contract, VAT must be charged in accounting and transferred to the budget.
During a period of rapidly changing economic conditions on the market, many business entities are striving to reduce the risks of doing business. One of the ways to easily change the location or type of activity, to diversify the business, is to rent property. We will consider the features of this service, methods of recording and posting rentals in the article.
Relations related to the paid use of the property of third parties, called rent, are regulated by Chapter. 34 Civil Code of the Russian Federation. Along with general provisions, the code establishes the specifics of the use of certain types of property: vehicles, buildings, structures, financial leases. The most common rental objects are office premises, non-residential premises for production needs, cars, equipment and other fixed assets:
Records of the leased property and rental amounts must be kept by the landlord and the tenant. The amount of rent is a calculation unit, which depends on the terms of the contract. In particular, the essential conditions when determining the rent may be:
- Who pays the current costs of maintaining the property;
- What is the lease term and whether the agreement is subject to state registration;
- Is it possible to buy out the leased property?
- Is it possible to sublease the property?
- Does renting a vehicle include crew services?
The basis for transferring an object for rent is an agreement and an act of acceptance and transfer of the leased object.
Rent: reflected in accounting
Reflecting rental relations in accounting usually does not cause difficulties for the accountant of a company for which the paid use of third party property is of a regular nature. If lease agreements for a company are a rare case, then questions may arise.
Calculation of rent - postings to the lessor
Rental agreements can be the main activity of an enterprise or a single transaction.
In the first case, the collection of costs for ordinary activities is carried out on account 20 (23,25,26,29,44), and the revenue is reflected in account 90 “Sales”:
Get 267 video lessons on 1C for free:
| Dt | CT | Wiring Description | Document |
| 62 | 90.1 | Revenue from rental services is reflected | Agreement, acceptance certificate, certificate of services rendered |
| 20 (23,25,26,29,44) | 02 | The amount of depreciation on the leased object is reflected | Accounting certificate |
| 90.2 | 20 (23,25,26,29,44) | Depreciation and other rental expenses written off | Suppliers' invoices, certificates of services rendered, etc., accounting records |
| 90.3 | 68.2 | VAT reflected on rent | Invoice issued |
If leasing property is a one-time transaction for the lessor, then the amount of rent is included in other income, and the costs of transferring the property are included in other expenses:
With automated accounting, it is more convenient to keep records of property leased from the lessor in the subaccount account 01 “Fixed Assets”; depreciation on them is in a separate subaccount account 02.
Calculation of rent - postings to the tenant
When receiving the property under the transfer and acceptance certificate, the lessee must reflect it on the balance sheet with the following entries:
| Dt | CT | Description | Document |
| 001 | — | Accepted rental property | Transfer and acceptance certificate, contract |
| 20 (23,25,26,29,44) | 76A | Accrued rent posting | Agreement, act of services rendered |
| 19 | 76A | VAT reflected | Invoice received |
| 68.2 | 19 | Accepted for VAT deduction | |
| 76A | 51 | Rental amount paid | Payment order |
| 001 | The property was returned to the lessor | Transfer and Acceptance Certificate |
Accounting for property received under a leasing agreement is carried out similarly.
If the terms of the financial lease provide for the subsequent purchase of the property by the lessee, the accountant will reflect this as follows:
| Dt | CT | Description | Document |
| 76 | 51 | Redemption payment paid | Agreement, payment order |
| 08 | 76 | OS object is capitalized | Agreement, act form OS-1 |
| 19 | 76 | VAT reflected | Invoice received |
| 01 | 08 | Commissioning of the facility | Manager's order |
| 68 | 19 | Accepted for VAT deduction |
We repair rented property
Major repairs of an object can be carried out at the expense of one of the parties, which is necessarily reflected in the contract.
Repairs at the expense of the tenant
The tenant has the right to include repair costs associated with wages to employees, costs for spare parts, and services of service organizations as expenses for ordinary (core) activities if the leased property is used in accordance with its intended purpose. The amount spent on repairs is written off by posting: Dt 20 (44) Kt 10 (70.76).
Repairs at the expense of the lessor
This option is not often used in practice; the amount of expenses is reflected by the tenant against future rental payments with the following entry: Dt 76 Kt 20 (44).
Current repairs are usually carried out by the tenant during the operation of the property and are included as expenses for ordinary (Dt 20.44) or other (Dt 91.2) types of activities, which depends on the purpose and method of use of the leased property.
It is not uncommon for an organization to rent office and production space for its location. These costs can be included in the company's expenses.
General accounting of rental costs
Renting a premises may include a fixed part (fixed price per square meter) and a variable part (utilities, electricity). If there is a variable rent in the terms of the contract, the owner of the premises independently pays the amount of these obligations to management companies, and then issues an invoice to the tenant in proportion to the services consumed by him.
On the last day of the month, the organization includes the cost of renting premises as expenses. The choice of account for reflecting the accrual of rent depends on the purpose of the area (warehouse, office, production workshop, etc.):
- By debit: 20, 44, by credit - .
- Debit 60 Credit.
The lessor, who is a VAT payer, issues invoices:
- Debit 19 Credit 60 – input VAT;
- Debit 68 VAT Credit 19 – VAT accepted for deduction.
But this is possible if the premises are used for needs subject to this tax.
The organization rented office space with an area of 30 m2. The cost is 1200 rubles/m per month (VAT 183 rubles).
Postings:
| Account Dt | Kt account | Wiring Description | Transaction amount | Base document |
| Rent accrued | 36 000 | Invoice |
||
| 36 000 | Payment order ref. | |||
| 19 | VAT on rent included | 5492 | Invoice | |
| 68 VAT | 19 | VAT refund | 5492 | Invoice |
Accounting for improvements
The tenant can improve the property: make repairs, install an alarm system, change windows, doors, etc. They are divided into:
- Separable – those that can be dismantled without damage to the owner’s premises (for example, an air conditioner).
- Inseparable – improvements that cannot be moved or taken away without damage to the premises after the end of the lease period (for example, cosmetic repairs).
Inseparable improvements must be carried out after agreement with the lessor, otherwise he has the right not to reimburse their cost. The exception is major repairs, which increase the initial cost of the property.
Expenses for inseparable improvements are taken into account:
- by the debit of account 08 and the credit of accounts, thanks to which x they were made 10, 20, etc.
The very fact of an inseparable improvement, or rather its acceptance for accounting, is reflected by the entry:
- Debit 08 Credit 01 (for capital investments).
According to improvements in this case, VAT is deductible. When the improvement is associated with maintaining the premises in working condition, the costs are written off at a time by posting:
- Debit 08 Credit 91.2.
If the work has not been agreed upon with the landlord and he refuses to reimburse the costs, the residual value (after depreciation has been calculated over the rental period of the premises) of the improvements is written off as a gratuitous transfer (Debit 91.2 Credit 01), which is subject to VAT (Debit 91.2 Credit 68 VAT).
In the case where the lessor reimburses the lessee's costs for non-inseparable improvements, the following is made:
- Debit 60 Credit 08.
The organization carried out repairs to the rented premises with the consent of the landlord, who subsequently refused to reimburse the costs. The amount of costs was: materials 273,525 rubles. (VAT 41,724 rubles), services of an organization performing repairs - 120,000 rubles. (VAT 18,305 rub.). The rent under the agreement is 65,000 rubles. per month (VAT 9915 rub.). The period of use of the premises after renovation is 18 months. Depreciation is 5280 rubles. per month.
Postings:
| Account Dt | Kt account | Wiring Description | Transaction amount | Base document |
| Accrued rent for premises | 65 000 | Acceptance/transfer certificate Lease agreement Invoice |
||
| Money transferred to the landlord | 65 000 | Payment order | ||
| 19 | VAT on rent included | 9915 | Invoice | |
| 68 VAT | 19 | VAT refund | 9915 | Invoice |
| 08 | Costs of materials for inseparable improvements are reflected | 273 525 | Packing list | |
| 08 | Reflects the costs of construction company services for inseparable improvements | 120 000 | Certificate of completed work | |
| 19 | 68 VAT | VAT included on the cost of improvements | 60 029 | Invoice |
| 68 VAT | 19 | VAT is accepted for deduction | 60 029 | Invoice |
| 20 | 02 | 5280 | Accounting certificate | |
| 02 | 01 | Depreciation is written off for the entire period of use of the premises | 95 040 | Accounting certificate |
| 01 | 01 | The original cost of improvements has been written off | 393 525 | Accounting certificate |
| 91.2 | 01 | The residual cost of improvements is written off as expenses. | 298 425 | Accounting certificate |
| 91.2 | 68 VAT | VAT is charged on the residual value of improvements | 45 532 | Accounting certificate |