Topic 12. AUDIT OF FIXED ASSETS AND INTANGIBLE ASSETS

12.1. Goals and objectives of the audit of fixed assets and intangible assets

The purpose of the audit of fixed assets is to form a reasonable opinion on the reliability and completeness of information about fixed assets, reflected in the financial statements of the audited organization and explanations to it.

The purpose of the audit of intangible assets is to form a reasonable opinion on the reliability and completeness of information about them, reflected in the financial statements of the audited organization.

The audit is carried out in accordance with the Law on Auditing and Federal Auditing Standard No. 1 "The Purpose and Basic Principles of Auditing Financial (Accounting) Statements".

During the audit of fixed assets and intangible assets, unless otherwise provided by the audit plan, auditors may also consider related areas of accounting and reporting items.

An audit of fixed assets, like an audit of intangible assets, can be performed in several stages, including:

▪ determination of the purpose and objectives of the audit;

▪ planning and development of an audit work program;

▪ drawing up an audit report (written information to the management of the audited entity);

▪ development of recommendations and proposals for optimization of accounting.

To achieve the goal, the auditor must:

1) evaluate the internal control system of the client organization;

2) determine the verification methods;

3) develop a program of audit procedures on the merits.

12.2. Assessment of the accounting and internal control system

To develop an effective approach to the audit of fixed assets and intangible assets, a preliminary assessment of the internal control system is carried out at the planning stage, which is confirmed or adjusted during the audit. Testing procedures consist in assessing the internal control system, which consists of the control environment (management's attitude to the control system, to the creation of control conditions), controls and the accounting system.

In evaluating the internal control system, the auditor should:

▪ check the availability and validity of administrative documents establishing the methods of accounting for transactions related to the movement of fixed assets and intangible assets;

▪ carry out an examination of the procedure for documenting the facts of economic activity, study the approved schedules and document flow diagrams;

▪ analyze the compliance of the used accounting form;

▪ check the availability of tax accounting registers;

▪ establish whether the established procedure for the preparation and presentation of internal financial statements is being followed, summarize information on the composition, scale and nature of transactions in the period under review.

To assess the reliability of the accounting and internal control system, the auditor may apply testing. It is advisable to separate some tests into separate blocks (for example, the correctness of the calculation of depreciation charges, etc.).

12.3. Plan and program for the audit of fixed assets and intangible assets

When planning an audit, first of all, a work program is drawn up, which contains the legal and economic characteristics of the organization, a list of sources of audit evidence, tests of the internal control system and audit procedures. The characteristics of the organization should include information on the legal status, degree of technical equipment, scope of activities, location, presence of trade relations, etc.

It is advisable to include the following control procedures in the audit program:

▪ checking compliance with the conditions for classifying property as fixed assets and intangible assets;

▪ assessment of safety and checking of availability (inventory or its results);

▪ verification of documentation;

▪ checking the correctness of the formation of the initial (replacement) cost;

▪ checking the validity and amount of depreciation in accounting and tax accounting;

▪ verification of operations with fixed assets within the framework of concluded leasing agreements;

▪ analysis and summarization of audit results.

12.4. Methods for Obtaining Audit Evidence

The auditor obtains evidence using the following methods.

The information base used by the auditor when checking fixed assets and intangible assets includes:

▪ basic regulatory documents governing the organization of accounting and taxation;

▪ order on the accounting policy of the organization;

▪ primary documents for recording transactions;

▪ registers of synthetic and analytical movement accounting used in the organization;

▪ financial statements.

Operations with fixed assets and intangible assets can be broadly grouped into three groups:

1) acquisition (receipt);

2) operation process (depreciation charge);

3) disposal (write-off).

Statement on the basis of which the financial statements are prepared: 1. Existence / rights / completeness

1. Make sure that all fixed assets (PP) and intangible assets (IA) reflected in the reporting really exist.

2. Make sure that the rights of the organization are confirmed and not limited by the rights of third parties.

Proposition 2: Existence/evaluation/representation and disclosure

1. Make sure that fixed assets and intangible assets meet the criteria for assets, that is, they have not lost their ability to bring economic benefits to the organization.

2. Make sure that all fixed assets and intangible assets are evaluated and reflected in the financial statements in accordance with the accounting policy adopted by the organization and the current legislation.

3. Make sure that depreciation of fixed assets and intangible assets is accrued in accordance with the accounting policy adopted by the organization.

Statement 3. Occurrence/Measurement/Evaluation

1. Make sure that all acquired fixed assets and intangible assets are reflected in accounting and reporting in the correct assessment and in the appropriate reporting period.

2. Make sure that all expenses and incomes associated with the disposal of fixed assets and intangible assets relate to the reporting period and are accounted for correctly.

Proposition 4: Representation and disclosure

1. Make sure that all material information about fixed assets and intangible assets is disclosed in the financial statements.

12.5. Acquisition of fixed assets

In accordance with paragraphs 7, 8 PBU 6/01 "Accounting for fixed assets", approved by order of the Ministry of Finance of the Russian Federation dated March 30.03.2001, 26 No. XNUMXn, fixed assets are accepted for accounting at their original cost, which, when acquiring objects for a fee, is recognized as the amount of actual costs organizations for the acquisition, construction and manufacture, with the exception of VAT and other refundable taxes (except for cases provided for by the legislation of the Russian Federation).

Before the object is accepted for accounting under account 01 "Fixed assets" in accordance with the Chart of Accounts for accounting of financial and economic activities of organizations and the Instructions for its application, approved by order of the Ministry of Finance of the Russian Federation dated October 31.10.2000, 94 No. 08n, account 08 "Investments in non-current assets" is used, which is designed to summarize information about the organization's costs into objects that will subsequently be accepted for accounting as OS. Acquisition costs are reflected in the debit of account 08, subaccount 4-60 "Acquisition of fixed assets", in correspondence with account XNUMX "Settlements with suppliers and contractors".

The amount of VAT payable to the seller is reflected in the debit of account 19 "Value added tax on acquired valuables", subaccount 19-1 "Value added tax on the acquisition of fixed assets", in correspondence with account 60. When paying off debt to the seller in the accounting an entry is made on the debit of account 60 and the credit of account 51 "Settlement accounts".

The auditor must obtain confirmation of ownership of fixed assets, while he must take into account that in some cases (for example, the acquisition of buildings, warehouses and other immovable objects), state registration of the right is required. In accordance with paragraph 41 of the Regulation on accounting and financial reporting in the Russian Federation, approved by order of the Ministry of Finance of the Russian Federation dated July 29.07.1998, 34 No. 2n, the costs of acquiring premises that are not executed with documents confirming the state registration of real estate in cases established by law, include to unfinished capital investments. For registration of rights to real estate, a fee is charged in the amounts established by the constituent entities of the Russian Federation (clause 11, article 21.07.1997 of the Federal Law of July 122, XNUMX No. XNUMX-FZ "On State Registration of Rights to Real Estate and Transactions with It").

After the completion of all preparatory work to prepare the fixed assets for operation, the assignment of an inventory number, on the basis of the relevant commissioning act, the asset is accepted for accounting as part of fixed assets, which is reflected in the entry in the debit of account 01 "Fixed assets" and the credit of account 08.

12.6. Leasing of fixed assets

Operations for the acquisition of fixed assets on lease are now widespread, which is often associated with insufficient own funds. The auditor should take into account this aspect, as it directly concerns the legitimacy of reflecting the fixed assets object as part of its own funds.

Thus, the legal relations of the parties under a financial lease (leasing) agreement are regulated by paragraph 6 "Financial lease (leasing)" Ch. 34 "Rent" of the Civil Code and the Federal Law of October 29.10.1998, 164 No. 2-FZ "On Financial Lease (Leasing)". In accordance with Art. Under a leasing agreement, the lessor (lessor) undertakes to acquire ownership of the property (leased item) specified by the lessee (lessee) from the seller specified by him and provide the lessee with this property for a fee for temporary possession and use.

The subject of leasing transferred for temporary possession and use to the lessee is considered the property of the lessor and is recorded on the balance sheet of the lessor or lessee by mutual agreement (clause 1, article 11, clause 1, article 31 of Federal Law No. 164-FZ).

According to paragraph 8 of the Instructions on the reflection in accounting of operations under a leasing agreement, approved by order of the Ministry of Finance of the Russian Federation dated February 17.02.1997, 15 No. 08 (hereinafter referred to as the Instructions), and the Instructions for the application of the Chart of Accounts for accounting of financial and economic activities of organizations, if under the terms of the agreement leasing property is recorded on the lessee's balance sheet, then the cost of the leased property (minus VAT) received by the lessee is reflected in the debit of account 08 "Investments in non-current assets", for example, subaccount 9-76 "Acquisition of fixed assets under a leasing agreement", in correspondence with the credit of account 76 "Settlements with various debtors and creditors", for example, subaccount 5-08 "Lease obligations". When the leased equipment is accepted for accounting as fixed assets, its value is debited from the credit of account 08, subaccount 9-01, to the debit of account 01 "Fixed assets", for example, subaccount 1-76 "Property received under a leasing agreement". The accrual of lease payments due to the lessor in this case is reflected in the debit of account 76 "Settlements with various debtors and creditors", subaccount 5-76, in correspondence with account 76, for example, subaccount 6-9 "Debt on lease payments" (clause 76 of the Instructions ). The repayment of debt on lease payments is reflected in the debit of account 76, subaccount 6-51, in correspondence with the credit of account XNUMX "Settlement accounts".

The amount of VAT payable to the lessor is reflected in the debit of account 19 "Value added tax on acquired valuables" in correspondence with account 76, subaccount 76-5. The amount of VAT paid to the lessor as part of the lease payment, the organization has the right to accept for deduction on the basis of subpara. 1 p. 2 art. 171 and paragraph 1 of Art. 172 of the Tax Code as the debt to the lessor for lease payments is paid off.

According to clause 11 of the Instructions when buying out leased property and transferring it to the lessee's ownership on account 01 "Fixed assets" between sub-accounts 01-1 and 01-2 "Own fixed assets" and on account 02 "Depreciation of fixed assets" between sub-accounts 02-1 and 02-2 "Depreciation of own fixed assets" internal entries are made related to the transfer of data from the sub-account for accounting for property received on lease to the sub-account for accounting for own fixed assets.

At the same time, the initial cost of the property that is the subject of leasing, on the basis of paragraph 1 of Art. 257 of the Tax Code, the amount of the lessor's expenses for its acquisition, construction, delivery, manufacture and bringing it to the state in which it is suitable for use is recognized, with the exception of the amounts of taxes that are deductible or accounted for as expenses in accordance with the Tax Code.

In addition, on a monthly basis during the term of the leasing agreement, as part of other expenses associated with production and sales, for the purpose of taxing profits in accordance with subpara. 10 p. 1 art. 264 and sub. 3 p. 7 art. 272 of the Tax Code, rental (leasing) payments for leased (accepted for leasing) property are taken into account. If the property received under a leasing agreement is accounted for by the lessee, rental (leasing) payments are recognized as an expense minus the amounts accrued in accordance with Art. 259 TC for this property depreciation.

In tax accounting, as well as in accounting, the initial cost of the object - the subject of leasing does not change, since it is determined on the basis of the costs of the lessor for the acquisition of the subject of leasing and does not depend on the amount of payments under the leasing agreement (clause 1, article 257 of the Tax Code).

12.7. Purchase of equipment requiring installation

Accounting for the cost of purchasing equipment handed over for installation is carried out in the manner prescribed by clause 3.1.3 of the Regulation on accounting for long-term investments. Purchased equipment that requires installation is accepted for accounting under the debit of account 07 "Equipment for installation" in correspondence with the credit of account 60 "Settlements with suppliers and contractors", at the actual cost, which in this case is the amount paid to the supplier (excluding VAT ).

The amount of VAT presented by the supplier of equipment requiring installation is reflected in the debit of account 19 "Value added tax on acquired valuables" in correspondence with the credit of account 60.

The organization has the right to accept this amount of VAT for deduction after the completion of the installation of equipment and its acceptance for accounting as part of fixed assets from the moment specified in par. 2 p. 2 art. 259 of the Tax Code (clause 6 of article 171, clause 5 of article 172 of the Tax Code), subject to the availability of an invoice and documents confirming the actual payment to the supplier (clause 1 of article 172 of the Tax Code).

The installed equipment is included in capital investments in fixed assets, since commissioning may require additional work and testing. The auditor must check the correctness of the analytical accounting on account 07, which is maintained by the places of storage of equipment and its individual names (types, brands, etc.), and find out if it includes equipment used in production activities, but not transferred included in fixed assets.

For the purposes of profit taxation, purchased and installed equipment is recognized as a depreciable fixed asset (clause 1 of article 256 of the Tax Code), the initial cost of which is determined as the sum of the costs of its acquisition, construction, manufacture, delivery and bringing it to a state in which it is suitable for use, except for the amounts of taxes that are deductible or accounted for as expenses in accordance with the Tax Code (clause 1, article 257 of the Tax Code).

12.8. Modernization of fixed assets

The auditor may encounter a situation where the initial cost of fixed assets is higher than the contractual cost of their acquisition, this may be due to the modernization of the facility. Cost change transactions must be properly documented and recorded on the inventory card. A change in the initial cost of the fixed assets in which they are accepted for accounting, in accordance with clauses 14, 27 of PBU 6/01 "Accounting for fixed assets", is allowed in cases of completion, additional equipment, reconstruction, modernization, partial liquidation and revaluation of fixed assets. Thus, the expenses of the organization for the modernization of the OS object increase its initial cost. In accounting, the costs of upgrading the fixed assets are reflected in the debit of account 08 "Investments in non-current assets" in correspondence with the accounts of settlements with the relevant services or suppliers. The cost of the modernization performed on account 08 is written off to the debit of account 01.

For the purposes of taxation of profits, work on completion, additional equipment, modernization includes work caused by a change in the technological or service purpose of equipment, a building, structure or other object of depreciable fixed assets, increased loads and (or) other new qualities (clause 2 of article 257 of the Tax Code) .

Consideration should be given to the possible increase in useful life. The useful life of the upgraded fixed assets is reviewed only in cases of improvement (increase) in the initially adopted normative indicators of the operation of the facility as a result of modernization (clause 20 PBU 6/01), this extension of the period is the right of the taxpayer. During the remaining years of useful life in accounting, modernization costs attributed to an increase in the initial cost of fixed assets are subject to depreciation, which is reflected in the accounting for the credit of account 02 "Depreciation of fixed assets" in correspondence with the debit of cost accounting accounts (clause 17 , 25 PBU 6/01, Instructions for the use of the Chart of Accounts).

The organization has the right to accept the amount of VAT presented by the contractor for the modernization performed, if there is an invoice and documents confirming the actual payment to the contractor after the modernization costs are included in the cost of fixed assets from the moment specified in par. 2 p. 2 art. 259 of the Tax Code (clause 6 of article 171, clause 1, 5 of article 172 of the Tax Code).

According to paragraph 2 of Art. 257 of the Tax Code, the costs of upgrading an asset in tax accounting are attributed to an increase in its initial cost, as well as in accounting.

12.9. Provision for repair of fixed assets

According to paragraph 72 of the Regulation on accounting and financial reporting in the Russian Federation, approved by order of the Ministry of Finance of the Russian Federation dated July 29.07.1998, 34 No. XNUMXn, in order to evenly include future expenses in production or circulation costs of the reporting period, an organization can create reserves for the upcoming repair of fixed assets .

When creating a reserve, it is necessary to take into account the requirements of Art. 260 of the Tax Code, according to which, in order to ensure uniform inclusion of expenses for the repair of fixed assets over two or more tax periods, taxpayers have the right to create reserves for future repairs of fixed assets in accordance with the procedure established by Art. 324 NK. A taxpayer forming a reserve for future repair expenses shall calculate deductions to such a reserve based on the total cost of fixed assets and deduction rates approved by the taxpayer independently in the accounting policy for tax purposes.

The total cost of fixed assets is determined as the sum of the initial cost of all depreciable fixed assets put into operation as of the beginning of the tax period in which a reserve for future expenses for the repair of fixed assets is formed. When determining the standards for deductions to the reserve for future expenses for the repair of fixed assets, the taxpayer is obliged to determine the maximum amount of deductions for the reserve for future expenses for the repair of fixed assets, based on the frequency of repair of an item of fixed assets, the frequency of replacement of elements of fixed assets (in particular, components, parts, structures ) and the estimated cost of said repairs. At the same time, the maximum amount of the reserve for future expenses for the specified repair cannot exceed the average value of the actual expenses for repairs that have developed over the past three years. If a taxpayer accumulates funds for carrying out especially complex and expensive types of capital repairs of fixed assets over more than one tax period, then the maximum amount of deductions to the reserve for future expenses for the repair of fixed assets may be increased by the amount of deductions for financing the specified repair attributable to the corresponding tax period. period in accordance with the schedule for the said types of repairs, provided that no such or similar repairs were carried out in previous tax periods.

Allocations to the reserve for future expenses for the repair of fixed assets during the tax period are written off as expenses in equal installments on the last day of the corresponding reporting (tax) period.

When inventorying the reserve for the repair of fixed assets, overreserved amounts are reversed at the end of the year.

When checking, the auditor should be guided by the Federal Auditing Standard No. 21 "Peculiarities of auditing estimated values", since the calculation of estimated values, depending on the specifics of a particular indicator, can be simple or complex. Complex calculations may require specialized knowledge and professional judgment.

An accounting estimate may be part of an ongoing accounting system or part of a system that only operates at the end of an accounting period. In many cases, estimates are calculated using formulas and ratios based on the experience of the entity being audited (for example, standard depreciation rates for a group of property, plant and equipment, a standard percentage of sales revenue to calculate a reserve for future warranty repairs and warranty service for products that are life time). In such cases, the entity's management should periodically review the formulas and ratios, for example by re-estimating the remaining useful life of the assets or comparing actual results with the estimate and adjusting the formula if necessary.

If, as a result of uncertainty or lack of objective data, it is impossible to calculate adequate estimates, the auditor decides whether, on this basis, the audit report should be modified in accordance with Federal Auditing Standard No. 6.

12.10. Depreciation of fixed assets

During the audit, the auditor must obtain evidence of the correctness and validity of depreciation charges on fixed assets. To do this, in addition to a reliably determined initial cost, he must make sure that the asset is correctly assigned to the group of depreciable property in accordance with Ch. 25 NC and the accuracy of the arithmetic calculations of the audited entity. According to paragraph 20 of PBU 6/01 "Accounting for fixed assets", the useful life is determined by the organization for each item of fixed assets when accepting this item for accounting.

According to paragraph 17 of PBU 6/01, the cost of fixed assets is repaid by depreciation using one of the methods provided for in paragraph 18 of PBU 6/01.

Accrual of depreciation charges on an object of fixed assets begins on the first day of the month following the month of acceptance of this object for accounting, and is carried out until the cost of this object is fully paid off or this object is written off from accounting. The accrual is made regardless of the results of the organization's activities in the reporting period and is reflected in the accounting of the reporting period to which it relates.

During the useful life of an object of fixed assets, the accrual of depreciation deductions is not suspended, except when it is transferred by decision of the head of the organization to conservation for a period of more than three months, as well as during the restoration of an object, the duration of which exceeds 12 months (PBU 6/01).

So, in accounting, the following methods of depreciation are used: linear, method of writing off the cost by the sum of the numbers of years of the useful life, the method of diminishing balance, the method of writing off the cost in proportion to the volume of products (works, services). Tax accounting provides for depreciation by linear and non-linear methods. Accordingly, the auditor must check the correctness of the calculation and allocation to the expense accounts of the amounts of depreciation in accounting and tax accounting.

In accordance with the Chart of Accounts for accounting of the financial and economic activities of organizations and the Instructions for its application, depreciation is reflected in the accounting of the organization on the credit of account 02 "Depreciation of fixed assets" in correspondence with the debit of the corresponding cost accounts (20-29) or 44 "Expenses for sale".

The procedure for tax accounting of depreciable fixed assets put into operation before the entry into force of Ch. 25 "Corporate Income Tax" of the Tax Code, set by paragraph 1 of Art. 322 of the Tax Code, according to which, for the specified fixed assets, the organization is obliged to independently establish their useful life as of January 1, 2002, taking into account the Classification of fixed assets determined by the Government of the Russian Federation and the useful life by depreciation groups established by Art. 258 NK. In addition, this paragraph determines that regardless of the method chosen by the taxpayer for calculating depreciation on property put into operation before the entry into force of Ch. 25 of the Tax Code, depreciation is calculated based on the residual value of the specified property.

The auditor should note that in some cases depreciation should be suspended:

1) on objects of fixed assets on conservation for a period of more than three months;

2) for modernized and reconstructed facilities for a period of more than 12 months.

Depreciation is not charged for housing facilities, external improvement facilities, land plots and nature management facilities.

Overestimation of depreciation rates leads to an increase in the costs of the enterprise and, as a result, to an underestimation of taxable profits. The auditor is obliged to assess the materiality of the identified violations, taking into account the particular level of materiality for this item of expenses of the enterprise and reflect all the facts revealed in his working documentation.

12.11. Disposal of property, plant and equipment

When auditing the disposal of fixed assets, attention should be paid to the causes and ways of disposal of these assets. This is especially true in cases where the auditor has certain grounds to suspect the management of the audited entity of dishonest actions. This may be evidenced by the sale of property at a price below the residual or increased very slightly to the employees of the organization and management.

In accordance with the Instructions for the Application of the Chart of Accounts for the Financial and Economic Activities of Organizations, upon recognition in accounting, the amount of proceeds from the sale of an asset is reflected as operating income on the credit of account 91 "Other income and expenses" subaccount 91-1 "Other income" .

When fixed assets are retired to account 01 "Fixed assets", a subaccount "Retirement of fixed assets" can be opened. The cost of the retiring object is transferred to the debit of this sub-account, and the amount of accumulated depreciation is transferred to the credit.

The auditor must check the termination of accrual of depreciation charges on the fixed assets object from the first day of the month following the month of writing off this object from accounting (clause 22 of the Accounting Regulation "Accounting for Fixed Assets" PBU 6/01.

The sale of a fixed assets object on the territory of the Russian Federation is subject to VAT (clause 1, article 146 of the Tax Code). At the same time, the tax base for VAT is determined in accordance with paragraph 1 of Art. 154 NK.

For the purposes of taxation of profits, income from sales is recognized as proceeds from sales, including fixed assets, which is determined on the basis of all receipts related to settlements for sold fixed assets, expressed in cash and (or) in kind, less taxes charged to the buyer (clause 1 article 248, paragraph 1, 2 article 249 of the Tax Code).

When selling fixed asset objects, the taxpayer has the right to reduce the income from such operations by the residual value of these objects, determined in accordance with paragraph 1 of Art. 257 of the Tax Code (signature 1 of paragraph 1 of Article 268 of the Tax Code).

In addition to the facts of the implementation of fixed assets, the auditor should pay attention to the transfer of fixed assets as a contribution to the authorized capital of other organizations. In this case, the auditor pays attention not only to the legal aspects of such operations, but also to the types of equipment transferred and their practical value for the organization's production process, as this may be a factor indicating the intention of the entity to reduce or modify production activities, and it is necessary to evaluate the possibility of applying the going concern assumption of the audited entity.

12.12. Acquisition of intangible assets

An audit of intangible assets (hereinafter referred to as intangible assets) differs from an audit of fixed assets in that in this case, obtaining evidence in the form of an inventory becomes more legal in nature, i.e. the auditor is obliged to obtain confirmation that this object may be included in the intangible assets and the organization has legal rights to it.

Clause 3 PBU 14/2000 "Accounting for Intangible Assets", approved by Order of the Ministry of Finance of the Russian Federation No. 16.10.2000n dated October 91, XNUMX, defines the conditions for accepting assets for accounting as intangible assets.

According to paragraph 3 of Art. 257 of the Tax Code, intangible assets are the results of intellectual activity acquired and (or) created by the taxpayer and other objects of intellectual property (exclusive rights to them) used in the production of products (performance of work, provision of services) or for the management needs of the organization for a long time (lasting more than 12 months) and bringing economic benefits (income). Intangible assets are accepted for accounting at their original cost (clause 6 PBU 14/2000).

The cost of intangible assets created by the organization itself is determined as the sum of the actual costs of their creation, manufacture, with the exception of the amounts of taxes that are included in expenses in accordance with the Tax Code (clause 3 of article 257 of the Tax Code). Thus, the initial cost of an intangible asset in tax accounting in this case will correspond to the initial cost of this asset, reflected in accounting.

To summarize information about the organization's costs into objects that will subsequently be accepted for accounting as intangible assets, the Chart of Accounts for accounting for the financial and economic activities of organizations and the Instructions for its use, approved by order of the Ministry of Finance of the Russian Federation of October 31.10.2000, 94 No. 08n, is intended to account 08 "Investments in non-current assets", sub-account 5-XNUMX "Acquisition of intangible assets".

The amount of VAT payable to the counterparty is reflected in the debit of account 19 "Value added tax on acquired valuables" in correspondence with account 60 "Settlements with suppliers and contractors".

The generated initial cost of intangible assets accepted for operation is debited from account 08, subaccount 08-5, to the debit of account 04 "Intangible assets".

The organization has the right to accept the paid amount of VAT for deduction on the basis of subpara. 1 p. 2 art. 171 of the Tax Code in the manner prescribed by paragraph 1 of Art. 172 of the Tax Code after the relevant asset is taken into account. This operation is reflected in the accounting on the credit of account 19 in correspondence with the debit of account 68 "Calculations on taxes and fees".

12.13. Amortization of intangible assets

The program for auditing the depreciation of intangible assets is similar to the program for auditing the depreciation of fixed assets. According to paragraph 14 of PBU 14/2000 "Accounting for intangible assets", approved by order of the Ministry of Finance of the Russian Federation dated October 16.10.2000, 91 No. 15n, the cost of intangible assets is repaid by depreciation using one of the methods specified in paragraph 14 of PBU 2000/17. The useful life is determined by the organization when accepting an object for accounting based on the expected period of use of this object, during which the organization can receive economic benefits (income) (clause 14 PBU 2000/XNUMX).

Depreciation charges on intangible assets are reflected in the accounting of the reporting period to which they relate, and are charged regardless of the results of the organization's activities in the reporting period. Depreciation charges on intangible assets are reflected in accounting in one of the ways: by accumulating the corresponding amounts in a separate account or by reducing the initial cost of the object (clauses 20, 21 PBU 14/2000). To summarize information on depreciation accumulated during the use of the organization's intangible assets, the Chart of Accounts provides account 05 "Depreciation of intangible assets". The amount of depreciation of intangible assets is reflected in the accounting on the credit of account 05 in correspondence with the accounts for accounting for production costs (expenses for sale).

12.14. Audit procedures

With the help of audit procedures, the reliability of accounting and reporting data is verified. Upon detection of violations, the auditor determines their nature and essence, as well as the level of materiality. At the same time, the auditor describes audit procedures or methods for detecting violations, the procedure for constructing an audit sample when it is applied, i.e., substantiates the sufficiency of audit evidence. Based on the results of the audit procedures performed, the auditor may develop recommendations for eliminating errors in accounting and improving the accounting system.

Checking the correctness of accounting for fixed assets and intangible assets can be continuous (with a small number of objects) or selective.

The size of the sample to check the balance of accounts of fixed assets and intangible assets and transactions with them is determined on the basis of an assessment of audit risks carried out at the planning stage of the audit. During the audit, when refining the assessment of the internal control system and audit risk, the sample size can be changed.

If the organization has a sufficiently large number of objects, then statistical sampling methods can be used when checking the balance of fixed assets and intangible assets. If the number of objects is not so large, non-statistical methods are used. The number of fixed asset transactions (acquisitions and disposals) is generally small, so non-statistical sampling methods are used for transactions.

During a selective audit, the auditor must first divide into subsets (stratify) the entire set of fixed assets so that elements of all subsets can be selected for verification with equal probability.

For example, the set of fixed assets of an organization can be divided into subsets according to the following criteria:

▪ territorial isolation. The sample should equally likely include fixed assets located in various separate divisions of the audited organization;

▪ production characteristics. For a random check, it is necessary to select fixed assets used at various stages of the production process in the organization or in different industries, if the organization is multidisciplinary. For example, if an organization mines and processes minerals, the sample should include both fixed assets used in mining and fixed assets used in processing minerals;

▪ classification in reporting. If the reporting classifies fixed assets into several groups, for example, land plots, buildings and structures, machinery and equipment, etc., it is necessary that the sample includes fixed assets reflected under each item. The auditor may decide not to check elements for any of the items in the classification of fixed assets if it is significantly less than the level of materiality and possible violations will not affect the reliability of the financial statements of the organization as a whole;

▪ classification by depreciation groups. The organization's fixed assets are divided into several depreciation groups. The sample should include fixed assets from different depreciation groups;

▪ other classifications, depending on the characteristics of the organization being audited.

The traceability procedure checks compliance with:

1) indicators of accounting reporting forms for fixed assets;

2) reporting indicators and the General Ledger;

3) indicators of the General Ledger and registers of synthetic and analytical accounting.

Reconciliation of reporting indicators for fixed assets should be formalized by working documents. Further verification is carried out based on the results of reconciliation of the data of the General Ledger with indicators of registers of synthetic and analytical accounting. The data of inventory cards of synthetic accounting of fixed assets are verified. The auditor can check the compliance of the indicators of the movement of fixed assets by groups of form No. 5 with the data of analytical accounting for inventory cards. At this stage of the audit, the auditor, using the tracking procedure, checks the correctness of the reflection of the data of primary documents in the registers of analytical and synthetic accounting, entries in the General Ledger. This allows him to make sure that the transaction is correctly reflected in accounting.

Since intangible assets do not have a physical form, the auditor can verify their existence only by checking documents confirming the organization's rights to the relevant intangible assets. Such documents include trademark registration certificates, patents, utility model certificates, etc. The auditor can get acquainted with these documents in the legal service of the organization or other services whose duties include registration of the organization's rights to intangible assets.

In addition, the auditor must ensure that the organization's rights to intangible assets acquired in prior periods and reflected in the financial statements at the end of the audited period are not lost. The auditor can be convinced of this by interviewing the client's lawyers and his management for the existence of litigation regarding the organization's rights to intangible assets.

There are intangible assets (patents, utility model certificates, etc.), the rights to which, in accordance with the law, are valid for a certain period. According to the last year's working documents, the auditor must make sure that the validity of the rights to intangible assets reflected in the organization's financial statements have not expired at the end of the reporting period.

Documentation of audit procedures performed during the audit of fixed assets and intangible assets is carried out in accordance with the Federal Auditing Standard No. 2 "Audit Documentation", methodological recommendations "Documentation" (in accordance with ISA) and internal standards of the audit organization.

Authors: Erofeeva V.A., Piskunov V.A., Bityukova T.A.

<< Back: Audit of current and other bank accounts. Audit goals and objectives (Audit of transactions on a current account. Checking the documentation of transactions on bank accounts. Checking the legality of writing off funds from a current account. Checking transactions on foreign currency accounts. Audit of transactions on other bank accounts)

>> Forward: Audit of inventories (Goals and composition of an audit of inventories and accounting procedures. Criteria for obtaining audit evidence during an audit of inventories. Stages of collecting audit evidence. Methods for obtaining audit evidence. Planning an audit of inventories. Audit of the correctness of accounting for materials. Features of an audit in an organization accounting of inventories at accounting prices. Acquisition of inventories, the cost of which is expressed in foreign currency. Material costs. Transfer of raw materials for processing. Accounting for goods. Audit of production and sale of finished products. Inventory of inventories. Audit of reporting forms)

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