We work correctly: all instructions on budget accounting. We work correctly: all instructions for budget accounting Budget reporting

On October 20, 2014, the Ministry of Justice of Russia registered the order of the Ministry of Finance of Russia dated August 29, 2014 No. 89n “On amendments to the order of the Ministry of Finance of Russia dated December 1, 2010 No. 157n.” The Unified Plan
accounting accounts for public authorities (state bodies), local governments, management bodies of state extra-budgetary funds, state
academies of sciences, state (municipal) institutions and the Instructions for its application (Instruction No. 157n) significant amendments are made.

Paragraph 2 of the order establishes that new standards are applied when forming indicators of accounting objects on the last day of the reporting period of 2014, unless otherwise provided by the accounting
institution policy. The transition to the application of accounting policies taking into account the provisions of this order in terms of the working chart of accounts of a budgetary institution is carried out as
organizational and technical readiness of accounting subjects. That is, innovations need to be taken into account when developing the accounting policy for 2015. The most important changes in the Instructions for the use of the Unified Plan
Accounting accounts are analyzed by an expert from the journal “Accounting in Budgetary Institutions”.

Changes in other accounting guidance

The use of the newly introduced accounting accounts will be associated with the regrouping of accounting information reflected in the accounting since the beginning of the year. This regrouping, in our opinion, will be
be accompanied by changes in accounting instructions - Instructions for the application of the Chart of Accounts for budgetary accounting No. 162n, Instructions for the application of the Chart of Accounts for budgetary accounting
institutions No. 174n and Instructions for the application of the Chart of Accounts for accounting of autonomous institutions No. 183n. The regulations governing the rules for drawing up accounting records will also change.
(financial) reporting, – Instructions on the procedure for drawing up and submitting annual and quarterly financial statements of state (municipal) budgetary and autonomous institutions No. 33n and
Instructions on the procedure for drawing up and submitting annual, quarterly and monthly reports on the execution of budgets of the budget system of the Russian Federation No. 191n. In addition, you will probably need
additional linking of reporting data at the beginning and end of the reporting period (for annual reporting).

New principles for organizing accounting of institutions

In many ways, innovations are of a technical nature and are due to the need to clarify some terms and definitions, as well as changes in the legislative framework (in particular, in connection with
reorganization of the Russian Academy of Sciences).
The effect of Instruction No. 157n (and, as a consequence, other instructions on accounting and reporting in institutions) will be partially extended to the state corporation Rosatom. Besides the changes
technical and editorial in nature, innovations are also proposed in terms of organizing accounting. Let's take a closer look at them.

Responsibility for primary documents

The new paragraph of paragraph 3 of Instruction No. 157n introduces the assumption that persons preparing primary accounting documents ensure that these documents comply with the committed facts of the business
life. In practice, this norm will mean the release of accountants from the obligation to check primary documents drawn up in other structural divisions and services.

The same is indicated by the additions made to paragraphs 8 and 9 of Instruction No. 157n. Persons maintaining accounting records will no longer be responsible for ensuring that those compiled by other employees and
counterparties of primary accounting documents to accomplished facts of economic life.
However, in our opinion, accountants will still have to check the execution of all the details necessary for accepting a document for accounting, as well as monitor the compliance of the primary documents
facts of economic life.

The significance of the facts of economic life

According to the new edition of paragraph 3 of Instruction No. 157n, accounting and reporting of institutions will be formed taking into account the materiality of the facts of economic life that have had or may
influence the financial condition, cash flows or results of operations of the institution. This addition may somewhat simplify some accounting procedures. However, for this
the principle of materiality will need to be clarified and developed in the documents of the accounting regulatory system (primarily in instructions No. 174n, 162n, 183n, 33n and 191n).
If a similar principle used in the accounting of commercial organizations is taken as a basis, then the criterion of materiality will be an indicator of five percent of the final result for
a group of similar assets or liabilities. In order to avoid disagreements with regulatory authorities, it will be necessary to formalize the procedure for applying this principle in practice. In particular, you need
will clarify which data on assets and liabilities and under what conditions can be combined.

Amendments to paragraphs 3 and 6 of Instruction No. 157n oblige institutions to reflect in their accounting records the facts of economic life that occurred in the period between the reporting date and
the date of signing of the annual accounting (financial) statements (events after the reporting date). The procedure for reflecting such facts in accounting must be fixed in the accounting policy of the institution. However, this order
not yet detailed. Before the approval of the relevant clarifications, it appears that it will be necessary to adapt the requirements of PBU 7/98 to the needs of accounting, which, as a general rule, applies
only for commercial organizations.

Accounting registers and electronic documents

Institutions will have the right to use non-unified forms of accounting registers. The amended paragraph 11 of Instruction No. 157n provides a list of mandatory details for such registers. Similar
the right to use non-unified forms of primary documents is enshrined in paragraph 7 of Instruction No. 157n.

In addition, the changes made to paragraph 11 of Instruction No. 157n clarify the procedure for making entries on off-balance sheet accounts, as well as the composition of the information that is indicated on the covers of cases
accounting service.

Clause 17 of Instruction No. 157n has been supplemented with a description of the rules for withdrawing accounting registers (including in the form of an electronic document). The accounting documents will include
certified copies of seized registers. Paragraph 18 of Instruction No. 157n introduces rules governing the procedure for making corrections in electronic documents.

Accounting for non-financial assets

In the new version of paragraph 22 of Instruction No. 157n, which regulates the general rules for accounting for non-financial assets, mention of budgetary and autonomous institutions is excluded. Rules of this section of Instructions No.
157n continue to apply to these organizational and legal forms, it’s just that paragraph 22 of Instruction No. 157n is brought into line with the Civil Code of the Russian Federation. Before the amendments enter into force, Instructions
No. 157n speaks of non-financial assets owned by institutions, and civil legislation does not assign this form of property ownership to institutions (only operational
control).

Accounting policy of the institution 2015

Let's consider the most significant changes for the organization and maintenance of accounting in institutions that need to be taken into account when forming the institution's accounting policy for 2015
year.

Asset valuation

Amendments are being made to paragraph 23 of Instruction No. 157n regarding the valuation of precious metals and precious stones. These assets will now be reflected at the estimated value determined by Gokhran in
the procedure established by the Ministry of Finance of Russia. Since precious metals and precious stones are not taken into account separately in budgetary and autonomous institutions, this amendment is significant only for government
institutions and public legal entities. The new edition of paragraph 28 of Instruction No. 157n excludes the obligation to revaluate precious metals and precious stones on the date of the transaction
(revaluation will be carried out only on the date of preparation of financial statements). In addition, paragraph 23 of Instruction No. 157n in the new version changes the procedure for assessing land plots, for the first time
involved in economic turnover. They will be taken into account at market (cadastral) value. The changes introduced to paragraph 192 of Instruction No. 157n actually introduce an obligation
revaluation of financial investments by institutions - on the date of the transaction, as well as on the date of preparation of accounting (financial) statements.

Cost of fixed assets

The updated paragraph 27 of Instruction No. 157n clarifies cases of changes in the initial (book) value of non-financial assets. In addition to the previously described situations of object recovery
fixed assets, such a change in property value is possible as a result of the restoration of elements of non-financial assets and their technical re-equipment. The order of reflection in
inventory cards (but not in system accounting) of the results of repairs of fixed assets that do not change the original cost of the object.
In accordance with the new edition of paragraph 47 of Instruction No. 157n, the initial cost of fixed assets will include interest on loans for the purchase of such objects, as well as costs
under a leasing agreement. It should be noted that the procedure for accepting for accounting fixed assets acquired under a leasing agreement remains not clearly defined.

In addition, paragraph 37 of Instruction No. 157n establishes the rules for documenting the transfer of fixed assets for conservation. It is also indicated that such objects continue
be included in fixed assets throughout the entire conservation period. Let us remind you that depreciation is not accrued for objects transferred to conservation.

Accounting for capital investments and land plots

In accordance with the new norm of paragraph 42 of Instruction No. 157n for accounting, completed capital investments in separable or inseparable assets will be accepted as part of fixed assets.
improvement of property not only under a rental or leasing agreement, but also under a free use agreement.
Land plots used by institutions will now be taken into account in systemic accounting on the balance sheet of institutions. In accordance with land legislation, plots cannot be transferred to
operational management, therefore, according to Instruction No. 157n, they could previously only be taken into account on the balance sheet. In systemic accounting, land plots were reflected only by the owner. After approval
corresponding changes, institutions will need to clarify the value of land plots in use, and then include it in non-produced assets (account 010300) with simultaneous
written off from off-balance sheet accounting. In general, plots will be recorded at cadastral value.

Accounting for Unidentified Receipts

It is assumed that it is possible to open an additional analytical account 020582 to account 020500 to account for settlements on uncleared receipts. Features of its application in the characteristics of the account
020500 have not yet been disclosed (there are no corresponding changes or additions in the order). Most likely, the procedure for accounting for inflows and outflows of such amounts will be regulated at the level of other instructions on
accounting (No. 162n, 174n and 183n).
In our opinion, it is legitimate to take such income into account as part of the funds at the temporary disposal of the institution (CFO 3). If there are no grounds for returning the amounts received after
After clarifying the purpose of the proceeds, they will be transferred to other financial security codes. The procedure for accounting for such amounts in budgetary institutions is established by the norms of paragraph 72 of Instruction No.
174n.
In addition, according to the new edition of paragraph 197 of Instruction No. 157n, account 020500 will take into account not only income and receipts accrued by the institution at the time requirements for their
payers, but also income under contracts, agreements, as well as receipts as a result of the performance by the accounting entity of the functions assigned to it. It can be assumed with a high degree of probability
that the list of additional income to be reflected on account 020500 will be deciphered by changes in instructions No. 174n and 162n.

Calculations for damage and other income

Currently, the characteristics of account 020900 do not allow us to provide the necessary detail and grouping of accounting data in various situations. This is probably why the indicated
The synthetic account is supposed to open additional accounts: 020930 “Calculations for compensation of costs”, 020940 “Calculations for forced withdrawal amounts” and 020983 “Calculations for other income”. IN
The composition of settlements for damage and other income (new account name 020900) in addition to the previously determined amounts will, in particular, reflect:
advance payment not returned by the counterparty in the event of termination of contracts and other agreements, including by court decision;
debts of accountable persons not returned in a timely manner (not withheld from wages);
debt for unworked vacation days when an employee is dismissed before the end of the working year for which he has already received annual paid leave; overproduced
payments; the amount of forced seizure, including compensation for damage, in particular, due to insured events or as a result of the actions (inaction) of officials of the institution. Thus,
a significant part of the issues will be resolved when recording the amounts to be recovered from the guilty persons or organizations. The concept of using the account will most likely not change - the amounts transferred
for recovery from guilty persons and organizations will continue to be reflected independently and separately from the reflection in the accounting of the amounts of damage caused.
However, it should be noted that some of the listed amounts (for example, balances of accountable funds or amounts for unworked vacation days) under labor law may
deducted directly from accrued wages, without additional measures. Consequently, these amounts will be credited to account 020900 only if they cannot be withheld in
the nearest settlement date with the employee.
Another problem may arise with the recording of amounts of forced seizure. Current accounting instructions require correspondence between account 020900 and accounts 040110172 and
040110173, and income from forced seizure amounts is reflected according to KOSGU code 140. Thus, most likely, it will be necessary to change the accounting instructions or use complex
additional schemes.

VAT accounting

The procedure for accounting for VAT deductions has been clarified (and, in our opinion, simplified). It is proposed to introduce two analytical accounts, which will separately reflect the amounts of VAT on acquired assets,
works, services and advances received. The introduction of an account for accounting for VAT on advances received requires a certain clarification of the accounting entry scheme - when shipping products, actual
performing work or providing services, internal posting will be recorded between two analytical accounts, and not in the analytical accounting registers.
The right to a tax deduction arises both when paying in advance for the services of an institution, and when the institution acquires non-financial assets, works and services. In the first case, the tax deduction is counted towards
account for reducing tax obligations upon shipment of goods, accrual of debt for work or services performed. In the second case, the right to a tax deduction does not depend on the specific transaction -
the deduction is applied to reduce previously accrued tax liabilities or can be claimed later when such liabilities arise. Thus, to take into account two groups of tax deductions
different schemes are used.

Please note that the Plan for Financial and Economic Activities of Commercial Operations does not provide for the opening of a separate sub-account for accounting for tax deductions on advances received. Subaccounts
differentiated only by type of assets - fixed assets, intangible assets, inventories, etc. True, the list of sub-accounts opened by commercial organizations for
account 19 is not closed, and organizations can independently enter the necessary subaccounts.

Settlements with counterparties and individuals

The entry into force of Federal Law No. 44-FZ of April 5, 2013 raised questions about how to take into account the amounts of security for applications for participation in a competition or closed auction, performance security
contract (agreement). In accordance with the new edition of paragraph 235 of Instruction No. 157n, such settlements will now be reflected in account 021005 as part of settlements with other debtors. It is also specified
that this account will account for the amounts of other collateral payments and deposits. Income administrators will reflect on account 021005 the amount of income from expected taxes, fees, and other
payments, the obligation to pay which, according to the current legislation, is considered fulfilled, according to the submitted declarations (calculations, other documents). In paragraph 270 of Instruction No. 157n
(account 030402) changes are being made according to which not only amounts of wages and scholarships not received on time, but also amounts of benefits, pensions and
compensation. Minimal but very significant amendments to paragraph 273 of Instruction No. 157n (invoice 030403) are proposed. At the level of a regulatory act, it is confirmed that it is possible to make deductions without
only from wages, allowances or scholarships, but also from other periodic payments to individuals.
The amended paragraph 281 of Instruction No. 157n actually expands the scope of use of the account for accounting settlements with other creditors. Now on account 030406 transactions on acceptance for accounting will be taken into account
non-financial and financial assets, as well as calculations when reorganizing institutions and changing their type. In our opinion, these additions also need additional detail and regulation
at the level of accounting instructions.

Future expenses

The new version of paragraph 302 of Instruction No. 157n expands the composition of deferred expenses. These include costs associated with property and civil liability insurance. So
Thus, in particular, the issue of accounting for compulsory motor liability insurance costs can be considered settled.
It is proposed to introduce a new synthetic account, account 040160, to account for reserves for future expenses. In particular, it will be used to account for the cost of vacation pay or compensation for
unused vacation for warranty repairs and warranty service, as well as expense obligations arising during the restructuring of the institution’s activities, and expense obligations,
contested in court.
The rules for applying this account at the level of Instruction No. 157n are also not detailed. These will presumably be included in other institutional accounting guidance. In our opinion,
It is advisable to use such schemes as part of income-generating activities - for example, to minimize seasonal fluctuations in the cost of services provided by the institution, as well as for the purpose of bringing together
accounting and tax standards.

Liabilities outside the plan period

The changes made to paragraph 309 of the Instructions regulate the introduction of a new group of synthetic accounts of accounting objects formed by financial periods - 90 “Sanction for other regular
year (outside the planning period)". In this regard, paragraph 318 of Instruction No. 157n is supplemented with a new rule that allows accepting obligations outside the planning period.
It is also clarified that accepted obligations include those planned in accordance with the procurement schedule. To reflect them in accounting, it is proposed to include them in the fifth section of the Chart of Accounts
additional account 050107. Accounting entries will be made on the basis of documents confirming the planning of the institution’s obligations or planning changes to previously accepted
obligations.

Off-balance sheet accounting

The procedure for accounting for certain types of assets and liabilities in off-balance sheet accounts is detailed. In particular, the list of strict reporting forms has been clarified. The procedure for writing off debt is also stipulated
insolvent debtors and spare parts for vehicles. In addition, a new off-balance sheet account 30 “Settlements for the fulfillment of monetary obligations through third parties” is being introduced, in which
Calculations will be taken into account when paying pensions and benefits through Russian Post offices and paying agents.

Important to remember

Changes to Instruction No. 157n will affect the organization of accounting of institutions already in 2014. After the innovations come into force, it is necessary to take the innovations into account when drawing up accounting policies
institutions for 2015.

Read more: Instruction 174n on budget accounting as amended ()

When working with the chart of accounts of a budgetary institution, take into account the changes made to Instruction No. 174n. The latest changes are described in Order of the Ministry of Finance dated December 28, 2018 No. 299n. You can download instructions 174n on budget accounting in 2019 with changes in the article.

In 2019, 5 more new federal standards were introduced and the procedure for applying KOSGU according to Instruction 209n was updated. In connection with changes in accounting, Instruction 174n was also updated by order of the Ministry of Finance dated December 28, 2018 No. 299n. The changes are described in the appendix to the order. Let's look at them in more detail later in the article.

For all changes in accounting and reporting for a government accountant, see the State Finance System reference book. The reference book is updated as new changes come into force.

Latest changes to Instruction 174n in 2019

For all changes, see the appendix to the Order of the Ministry of Finance dated December 28, 2018 No. 297n or the review of the State Finance System:

Changes in the chart of accounts

The chart of accounts in the new edition of Instruction 174n contains the changes given above for 157n, but taking into account the specifics of institutions. Budgetary organizations cannot receive income in the form of taxes, state duties, social security contributions, customs payments, therefore the accounts of group 0 205 10 are not included in Instruction 174n at all and the new detail is not relevant. Accounts 0 205 51, 0 205 61, 0 205 53 and 0 205 63 are not used to reflect gratuitous receipts from groups 0 205 50 and 0 205 60.

Accounting accounts for advances on gratuitous transfers (206 40 and 206 80) and for settlements on gratuitous transfers (302 40 and 302 80) correspond to the tables for 157n and are described in Instruction 174n with full detail. For example, for other non-financial organizations, in accordance with 209n, KOSGU 564, 664, 734, 834 are indicated, and for financial organizations of the public sector - 563, 663, 733, 833. For tax payments (accounts 303), KOSGU 831 and 731 are indicated, because the recipient is the federal budget. For depositors (304 02) and salary deductions (304 03), codes 837 and 737 are used, because settlements are made with individuals.

Fully detailed KOSGU are not indicated for all accounts, so when drawing up a work plan you will have to be guided by 209n. Positions for which a subarticle should be selected are marked in Instruction 174n with the sign<1>. For code 304 04 000 “Internal departmental settlements”, one line was left in the plan; the decodings that were in the old edition were removed. According to the financial results, the same as in 162n, the previous transcripts were removed and the groups were left:

• 401 10 100 – income received;
• 401 18 100 – income received from the previous reporting period;
• 401 19 100 – income received from previous reporting periods;
• 401 20 200 – expenses incurred;
• 401 28 200 – incurred expenses of the previous reporting period;
• 401 29 200 – expenses incurred in previous reporting periods.

Regarding the costs of manufacturing products, three lines are left in the new edition:

• 109 60 200 – direct costs;
• 109 70 200 – overhead costs;
• 109 80 200 – general business expenses.

All changes to off-balance sheet accounts in 157n are also taken into account in Instruction 174n.

Instructions for use

For budgetary institutions there are requirements for the content of positions in 26-digit accounts. The first 17 must be full or partial BC. In cases provided for by law, in positions 15-17 you need to enter the type of expense from the comparative table of the Ministry of Finance dated 09/04/2017, and in 24-26 - KOSGU.

The instructions for use contain new entries that should be used in accounting:

• receipt of fixed-term use under an NFA operating lease agreement on preferential terms is reflected in the debit 0 111 40 (right to use NFA) and credit 0 401 40 180 (income from gratuitous use of the asset) in the amount of the fair value of the lease on the date of signing;
• in case of early termination of the contract, the same operation is performed using the “Red reversal” method for the amount of lost income;
• upon receipt from the founder of an asset for which there is an impairment loss, an entry is made to debit 0 304 04 and credit 0 114 40. If such an asset is received free of charge, the debit will have an account 0 401 10 with KOSGU 190 (gratuitous non-cash receipts to the public administration sector) .

Changes in accounting entries occurred for almost every account due to the detailing of KOSGU, the introduction of new accounts, and adjustments in the purpose of old ones. To avoid making mistakes in using KOSGU, use the service:

Download Instruction 174n current edition

For the always current version of Instruction 174n, see the legal framework of the State Finance System. You can also compare the current and previous versions of Order of the Ministry of Finance dated December 16, 2010 174n.

Changes to Instruction 174n dated May 8, 2018

Let's look at the previous changes. On May 8, 2018, Order of the Ministry of Finance dated March 31, 2018 No. 66n on amending Instruction 174n came into force.

Accounts and analytical groups

In connection with the introduction of new federal standards, a new analytical group 90 “Property in Concession” was introduced. Use it to account for property transferred into concession:

• 101 90 "Fixed assets - property in concession",
• 103 90 "Non-produced assets - as part of the grantor's property",
• 104 90 “Depreciation of property in concession”,
• 106 90 "Investments in the grantor's property."

To account for rights of use under operating leases and investments under finance leases, use group 40 accounts:

• 104 40 "Depreciation of rights to use assets",
• 106 40 "Investments in financial lease objects."

Previously, analytical group 40 was used to account for leased items. Now leased property must be accounted for according to the general rules established by the “Rent” standard.

Table 1. New accounts in Instruction 174n since 2018

Account number and name	Account number and name
101 01 "Residential premises"
	109 90 "Distribution costs"

Expired accounts

Account 101 40 "Fixed assets - leased items" and all its details (102 40 "Intangible assets - leased items", 104 40 "Depreciation of leased items", 105 40 "Inventory - leased items", 106 40 "Investments in leased items ", 107 40 "Leased items in transit") were excluded. Now account for fixed assets in leasing (financial lease) in such accounts as:

• 101 10 "Fixed assets - real estate of the institution",
• 101 20 "Fixed assets - especially valuable movable property of an institution",
• 101 30 "Fixed assets - other movable property of the institution",
• 101 90 "Fixed assets - property in concession."

Now there is no account 205 82 on which calculations for uncleared receipts were reflected. They now need to be indicated on account 205 81. The remaining accounts that are not valid from January 1 are listed in table 2.

Table 2. Accounts declared invalid

Account number and name	Account number and name
101 18 "Other fixed assets - real estate of the institution"	104 01 "Depreciation of residential premises"
101 01 "Residential premises"	104 23 "Depreciation of structures - especially valuable movable property of an institution"
101 03 "Structures - especially valuable movable property of an institution"	109 90 "Distribution costs"
104 18 "Depreciation of other fixed assets - real estate of the institution"	205 40 "Calculations for forced seizure amounts"

Renamed and supplemented accounts

The name of account 101 06 has been adjusted; in the new edition it is called 101 06 “Industrial and household inventory”. Accordingly, account 104 06 - “Depreciation of industrial and household inventory.” And on accounts 106 XX the word “institution” was removed:

• 106 10 "Investments in real estate",
• 106 20 "Investments in fixed assets - real estate",
• 106 30 “Investments in other movable property”,
• 106 34 "Investments in inventories - other movable property."

Accounts 101 02 “Non-residential premises” and 101 03 “Structures” were combined into one account 101 02 “Non-residential premises (buildings and structures)”. Structures that were accounted for on account 101 03 before January 1, 2018 should be transferred to the new account 101 02.

I note that since 2018, account 103 03 is referred to as “Investment real estate”. It is necessary to take into account only those objects that are intended exclusively for renting out or increasing the value of real estate. If the real estate is intended to complete the task, but is temporarily transferred to an operating lease, there is no need to transfer it to account 101 03.

Account 101 07 was renamed from “Library Fund” to “Biological Resources”. Starting from the new year, it will reflect animals and plants, the natural growth and reproduction of which are under the direct control of the institution, in particular, perennial plantings. During the inter-reporting period, transfer them from account 101 08 to account 101 07. Transfer all objects of the library collection that were accounted for on account 101 07 before January 1, 2018 to account 101 08 “Other fixed assets”.

Table 3. Accounts in the new edition

Was (2017)	Became (2018)
205 21 "Settlements with payers of property income"	205 21 "Calculations for income from operating leases"
205 30 "Calculations for income from the provision of paid work and services"	205 30 "Calculations for income from the provision of paid services (work), compensation of costs"
205 31 "Settlements with payers of income from the provision of paid work and services"	205 31 "Calculations for income from the provision of paid services (work)"
205 50 "Calculations based on budget revenues"	205 50 "Calculations for gratuitous receipts from budgets"
205 82 "Settlements with payers of other income"	205 81 "Calculations for uncleared receipts"
206 40 "Calculations for advance gratuitous transfers to organizations"	206 40 "Calculations for gratuitous transfers to organizations"
206 50 "Calculations for advance gratuitous transfers to budgets"	206 50 "Calculations for gratuitous transfers to budgets"
206 91 “Calculations for advances for payment of other expenses”	206 96 “Calculations for advances for payment of other expenses”
208 91 "Settlements with accountable persons for payment of other expenses"	208 96 "Settlements with accountable persons for payment of other expenses"
209 83 "Calculations for other income"	209 89 "Calculations for other income"
209 40 "Calculations for forced seizure amounts"	209 40 "Calculations for fines, penalties, penalties, damages"

Composition of Instruction No. 174n on budget accounting

The instructions consist of two appendices. The first shows the Chart of Accounts broken down into on-balance sheet and off-balance sheet. Balance sheets, in turn, are divided into the following sections:

• non-financial assets,
• financial obligations,
• obligations,
• financial results,
• authorization of expenses.

Appendix No. 2 provides instructions for using the chart of accounts for accounting of budgetary institutions. It also consists of five sections.

Document

Order of the Ministry of Finance of Russia dated November 29, 2017 No. 212n

Situation

The order introduced changes to the chart of accounts for accounting of budgetary institutions and instructions for its use, approved. by order of the Ministry of Finance of Russia dated December 16, 2010 No. 174n (hereinafter referred to as Instruction No. 174n). The adjustments are not related to the entry into force of federal accounting standards for public sector organizations on January 1, 2018. The amendments were adopted to bring the chart of accounts of budgetary institutions and Instruction No. 174n into line with the Unified Chart of Accounts and instructions for its application, approved. by order of the Ministry of Finance of Russia dated December 1, 2010 No. 157n (hereinafter referred to as Instruction No. 157n).

A number of amendments were adopted with the aim of improving legal regulation in the field of budgetary activities, complementing and clarifying existing norms.

Order of the Ministry of Finance of Russia dated November 29, 2017 No. 212n (hereinafter referred to as Order No. 212n) came into force on January 6, 2018.

Chart of accounts

The following accounts are excluded from the chart of accounts of accounting of budgetary institutions (as well as from the Unified Chart of Accounts):

• 204 51 “Assets in management companies”;
• 215 51 "Investments in management companies."

The transfer of financial investments to trust management is reflected by internal movement in the corresponding analytical accounting accounts of account 0 204 00 000. At the same time, information about assets in trust management is formed on off-balance sheet account 40.

The name of account 206 63 has been adjusted. In the new edition, the account is called “Calculations for advances on benefits paid by organizations in the public administration sector.” Mention of pension payments is excluded from the text (obviously due to the absence of such advances).

Order No. 212n corrected the rules for generating analytical accounting account numbers (clause 2.1 of Instruction No. 174n). They are summarized in the table.

Accounting object synthetic account code	Account number digits				Note
	1 – 4	5 – 14	15 – 17	24 – 26
201 00	zeros	zeros	zeros	KOSGU	Before making changes in categories 1 – 4 of cash accounting account numbers, it was necessary to indicate the code of the type of function, service (work) corresponding to the section or subsection of the classification of budget expenses. Obviously, such a division had no practical meaning, since money received within one type of activity (for example, from rent) could be spent within another type of activity.
207 00	section, subsection	zeros	640	KOSGU	According to analytical accounting accounts, account 207 00 in the amount of the principal debt on credits, borrowings (loans). Previously, the text of Instruction No. 174n stated that the analytical receipt code is reflected in digits 15–17 of the account number, but the code number was not specified. However, in the instructions for government institutions, approved. By order of the Ministry of Finance of Russia dated December 6, 2010 No. 162n, code 640 was indicated immediately. For the purpose of comparability of indicators, budgetary institutions should also be guided by this approach.
209 81	zeros	zeros	zeros	KOSGU	Before making changes in categories 1 - 4 of account number 209 81, it was necessary to indicate the code of the type of function, service (work) corresponding to the section or subsection of the classification of budget expenditures.
210 05	section, subsection	zeros*	510	KOSGU	Account 210 05 is also used to account for settlements with debtors for transactions where an institution provides security for an application for participation in a competition or auction. In this case, in categories 1 – 4 of account number 210 05, the code of the type of function, service (work) of the institution is reflected, according to which the income from the type of service (work) provided will be reflected.
301 00	section, subsection	zeros	810	KOSGU	According to analytical accounting accounts, account 301 00 in the amount of the principal debt on credits, borrowings (loans). Previously, the text of Instruction No. 174n stated that the analytical disposal code is reflected in digits 15–17 of the account number, but the code number was not specified. However, in the instructions for government institutions, approved. By order of the Ministry of Finance of Russia dated December 6, 2010 No. 162n, code 810 was indicated immediately. For the purpose of comparability of indicators, budgetary institutions should also be guided by this approach.

* Obviously, there was a typo in the text of clause 2.1 of Instruction No. 174n in the new edition. It says that in digits 5 - 17 of account number 210 05 the analytical receipt code corresponding to the code of the analytical group of the type of sources of financing budget deficits 510 is indicated. This code is placed in digits 15 - 17 of the account number. Therefore, as a general rule, zeros are reflected in digits 5–14 of the account number.

Accounting for non-financial assets

Correspondence accounts for the internal movement of fixed assets between materially responsible persons also apply to the transfer of property for rent, gratuitous use, trust management, and storage. At the same time, information about the transferred fixed assets is reflected in the corresponding off-balance sheet accounts 25, 26. The clarification was included in paragraph 9 of Instruction No. 174n. A similar provision has been introduced for intangible and non-produced assets (clauses 16, 21 of Instruction No. 174n).

Clause 53 of Instruction No. 174n has been supplemented with a new provision, which is applied when reflecting in accounting the transfer of actual investments in an object of non-financial assets (in the amount of costs for its modernization, additional equipment, reconstruction, technical re-equipment) to the balance sheet holder of the object to attribute the amount of investments to the formation (increase) of the original ( book value of the object. In other words, we mean a situation where an object is listed on the balance sheet of one institution, and the functions of maintaining this object in working order are assigned to another institution (a separate division).

The operation is recorded as a credit entry to accounts 0 106 11 310, 0 106 21 310, 0 106 22 320, 0 106 24 340, 0 106 31 310, 0 106 32 320, 0 106 34 340, 0 106 41 310 , 0 106 42 320 , 0 106 44 340 and debit accounts:

• 0 304 04 310, 0 304 04 320, 0 304 04 340 – when transferring investments to the head office, separate division (branch);
• 0 401 20 241 – when transferred to state and municipal organizations.

Please note that in account correspondence, KOSGU codes from group 300 “Receipt of non-financial assets” are used, and not 400 “Disposal of non-financial assets”.

In addition, paragraphs that determined the correspondence of accounts when writing off investments, incl. to unfinished construction projects, in the following cases:

• destruction as a result of natural and other disasters, dangerous natural phenomena, catastrophes;
• destruction as a result of terrorist acts or other actions not at the will of the institution as the copyright holder.

We can conclude that in the listed cases it is necessary to be guided by the general rule on recognizing capital investments in fixed assets and intangible assets that were not created (not recognized as assets) as expenses of the current financial year. Investments recorded in the corresponding analytical accounting account of account 0 106 00 000 should be written off as a debit to account 0 401 20 273.

Financial results

The procedure for accounting for subsidies for the implementation of state (municipal) tasks has been clarified:

No.	Contents of operation	accounting entry		Instruction point No. 174n	Note
		account debit	account credit
1	Deferred income was accrued in the amount of the subsidy for completing the task based on an agreement with the founder	4 205 31 560	4 401 40 130	158	Previously, there were two entries for accrual of task grant income. The use of one or another correspondence depended on the period in which the subsidy agreement was concluded. If the agreement was concluded in the current year for the next financial year, deferred income should have been reflected in account 4,401,40,130. If the agreement was concluded in the current year for the same year, income should have been accrued in the usual manner on account 4,401 10,130. Now the entry in account 4 401 10 130 is provided only for the case when the volume of the subsidy increases in the current financial year (if the terms of the agreement for the provision of the subsidy change). Thus, the changes imply that the grant agreement must be concluded before the start of the financial year for which the assignment is approved.
2	Previously accrued income for future periods in the amount of the subsidy for completing the task is recognized as income of the current (reporting) period	4 401 40 130	4 401 10 130	158	The entry is made upon the date of provision of the subsidy in accordance with the terms of the agreement concluded with the founder (regardless of the fact of transfer of the subsidy).
3	In the current financial year, the amount of subsidies for financial support for completing the task has been increased	4 205 31 560	4 401 10 130	93, 150	An entry is made when the terms of the subsidy agreement change in the current year.
4	A debt has been accrued for the return to budget revenue of the balance of the subsidy for completing the task	4 401 10 130	4 303 05 730	150, 152	The remainder of the subsidy is returned if the indicators established by the task characterizing the volume of state (municipal) services (work) are not achieved. The basis is the report on the completion of the task presented to the founder.

Clause 94 of Instruction No. 174n has been clarified regarding the receipt of income from the performance of work (provision of services, supply of products, goods) under government contracts, the execution of which is carried out with treasury security for obligations in the form of a treasury letter of credit. Simultaneously with the receipt of money to the personal account of a budgetary institution, the previously accepted treasury security for obligations under off-balance sheet account 10 is reduced by the amount of the fulfilled obligation of the recipient of budget funds to pay for work performed (services provided, products supplied, goods).

The procedure for accounting for transactions under a contract with treasury support (treasury letter of credit) is explained in the letter of the Ministry of Finance of Russia dated October 20, 2017 No. 02-06-10/68702.

Calculations for tax deductions for VAT

The procedure for recording VAT calculations on advances paid has been brought into compliance with the norms of the Tax Code of the Russian Federation. According to paragraph 12 of Art. 171 of the Tax Code of the Russian Federation, for the taxpayer who transferred the advance payment, the VAT amounts presented by the seller are subject to deductions. Subsequently, at the time of shipment of goods (performance of work, provision of services, transfer of property rights), the buyer is obliged to restore to the budget the VAT accepted for deduction from the prepayment (clause 3, clause 3, article 170 of the Tax Code of the Russian Federation).

In the previous edition, Instruction No. 174n provided for the following correspondence:

• Debit 2 303 04 830 Credit 2 210 13 660 – accepted for deduction of VAT on advance payments transferred to the supplier, performer, contractor (clause 113 of Instruction No. 174n);
• Debit 2,210 13,560 Credit 2,210 12,660 – the amount of VAT accepted for deduction on advances transferred against upcoming supplies of goods, performance of work, provision of services is offset (clause 112 of Instruction No. 174n).

The correspondence from clause 112 of Instruction No. 174n contradicted the VAT accounting procedure established by the Tax Code of the Russian Federation. The Code provides for the restoration to the budget of VAT accepted for deduction from prepayments, and not a credit. This deficiency has been corrected in the new edition of clause 112 of Instruction No. 174n: to restore the VAT amount in accounting, an entry must be made to the debit of account 0 210 13 560 and the credit of account 0 303 04 730. The procedure for reflecting in the VAT calculation program for advances issued to account 210 13, shown in practical articles in the directory of business operations on "1C: BGU 8" for budgetary and autonomous institutions.

Authorization of expenses

The new edition of clause 167 of Instruction No. 174n allows the use of correspondence with account 502 07 “Obligations accepted” when purchasing from a single supplier (contractor, performer).

As a general rule, account 502 07 does not apply when accepting obligations within the framework of purchases from a single supplier, as well as for expenses not related to the purchase of goods (works, services) to meet state (municipal) needs (clause 308 of Instruction No. 157n).

In some cases, a contract with a single supplier (contractor, performer) is concluded as a result of declaring an open tender, a tender with limited participation, a two-stage tender, a repeated tender, an electronic auction, a request for quotations, or a request for proposals invalid. These cases are listed in clause 25, part 1, art. 93 of Federal Law No. 44-FZ dated 04/05/2013 (hereinafter referred to as Law No. 44-FZ). In such situations, the contract is concluded on the terms specified in the procurement documentation, at the price proposed by the procurement participant.

The Ministry of Finance of Russia in letter dated 04/15/2016 No. 02-07-10/21917 explained that the institution has the right, as part of its accounting policy, to extend the provisions of Instruction No. 157n in terms of assumed obligations to the use of account 502 07 when concluding a contract with a single supplier (contractor, performer) , incl. according to clause 25, part 1, art. 93 of Law No. 44-FZ. Now the provisions of this letter have been included in Instruction No. 174n.

Thus, in the cases listed in clause 25, part 1, art. 93 of Law No. 44-FZ, as well as in other situations established by accounting policies, an institution has the right to use account 502 07 when concluding a contract with a single supplier. However, as a general rule, this account, as before, is used when concluding contracts using competitive methods of determining suppliers (contractors, performers), it is not necessary to use it to conclude contracts with a single supplier.

Most recently they were changed. Therefore, when organizing accounting for financial and non-financial assets, accounting employees should pay special attention to the adjusted provisions of the new edition of the Instructions. Our article will provide Instruction 174n with changes for 2018.

Instruction 174n as amended for 2018 - changes in the chart of accounts (account 101)

Let's look at the main changes in account 101 00 000 “Fixed Assets”:

1. New wiring has appeared. When fixed assets are transferred for financial lease (gratuitous perpetual use) by the lessor (lender), the disposal of fixed assets classified as non-operating (financial) environment objects is reflected in the following entries:

2. A new group 0 101 90 00 000 “Fixed assets - property in concession” and analytical accounting accounts were introduced:

Analytical accounting account	Account names
0 101 91 000	“Residential premises = property in concession”
0 101 92 000	“Non-residential premises (buildings and structures) – property in concession”
0 101 94 000	“Machinery and equipment – ​​concession property”
0 101 95 000	“Vehicles – concession property”
0 101 97 000	“Biological resources – property in concession”
0 101 98 000	“Other fixed assets – property in concession”

3. The group of accounting accounts 0 101 40 000 “Fixed assets – leased items” and analytical accounts for it (0 101 (41 – 48) 000) are excluded.

4. The following accounts have been excluded:

Analytical accounting account	Account name
0 101 18 000	“Other fixed assets – real estate of the institution”
0 101 21 000	“Residential premises are particularly valuable movable property of an institution”
0 101 23 000	“Structures are especially valuable movable property of an institution”
0 101 31 000	“Residential premises – other movable property of the institution”
0 101 43 000	“Structures – leased items”

5. Certain account names have been changed:

Account name in the old version	Name of the account in the new edition
0 101 26 000 “Industrial and business equipment - especially valuable movable property of the institution”	0 101 26 000 “Industrial and economic equipment - especially valuable movable property of the institution”
0 101 27 000 “The library collection is a particularly valuable movable property of the institution”	0 101 27 000 “Biological resources are particularly valuable movable property of the institution”
0 101 33 000 “Structures – other movable property of the institution”	0 101 33 000 “Investment real estate” – other movable property of the institution
0 101 36 000 “Industrial and business equipment - other movable property of the institution”	0 101 36 000 “Industrial and economic inventory - other movable property of the institution”
0 101 37 000 “Library collection – other movable property of the institution”	0 101 37 000 “Biological resources – other movable property of the institution”

Instruction 174n as amended for 2018 - changes in the chart of accounts (account 102)

On account 102 00 000, as in the old version of the Instructions, intangible assets are taken into account. But the changes affected this account too - analytical accounting accounts 0 102 40 000 “Intangible assets - leased items” were excluded. That is, currently only 2 accounts are used to generate information about the presence of business transactions and intangible assets:

Instruction 174n as amended for 2018 - changes in the chart of accounts (account 103)

Non-productive assets are subject to accounting in account 103 00 000. After making adjustments to the Instructions, the following groups of accounts are now used to account for non-productive assets:

Account group	Name
0 103 10 000	Non-productive assets – real estate of the institution
0 103 30 000	Non-productive assets – other movable property
0 103 90 000	Non-productive assets – as part of the grantor’s property

Previously used analytical accounting accounts belong to the 1st group. New accounts have been introduced for groups 30 and 90:

Check	Name
0 103 32 000	Subsoil resources – other movable property of the institution
0 103 33 000	Other non-produced assets – other movable property of the institution
0 103 91 000	Land is part of the grantor's property

Instruction 174n as amended for 2018 - changes in the chart of accounts (account 104)

Account 104 00 000 “Depreciation” for accounting for depreciation charges has been adjusted to a significant extent:

1. Accounts excluded:

Analytical accounting account	Name
0 104 18 000	Depreciation of other fixed assets – real estate of the institution
0 104 21 000	Depreciation of residential premises – especially valuable movable property of an institution
0 104 23 000	Depreciation of structures - especially valuable movable property of the institution
0 104 31 000	Depreciation of residential premises - other movable property of the institution
0 104 43 000	Depreciation of structures – leased items

2. The name of the accounting group for account 0 104 40 000 has changed. Now the name is “Depreciation of rights to use assets”, previously it was “Depreciation of leased items”.

3. A new accounting group for account 0 104 40 000 “Depreciation of property in concession” was introduced.

4. New budget accounting entries have appeared:

Operation	DEBIT	CREDIT
Termination of the right to use assets upon early termination of the agreement under which operating lease items were taken into account (disposal of an accounting item) must be reflected in the amount of accumulated depreciation of the right to use assets.
Termination of the right to use an asset (subject to full execution of the contract) (disposal of an accounting object) must be reflected in the amount of the book value of the right to use the assets.	... corresponding analytical accounting accounts account 0 104 40 000 “Depreciation of rights to use assets”	... corresponding analytical accounting accounts account 0 111 40 000 “Rights to use non-financial assets”

Instruction 174n as amended for 2018 - changes in the chart of accounts (account 105)

Let us list the changes relating to account 105 00 000 “Inventories”:

1. Account group 40 “Material inventories – leased items” and its analytical accounting accounts 0 105 44 000 “Building materials – leased items” and 0 105 46 000 “Other inventories – leased items” are excluded.
2. Accounting entries related to the accounting of inventories received under a leasing agreement were deleted.

Instruction 174n as amended for 2018 - changes in the chart of accounts (account 106)

Account 106 00 000 “Investments in non-financial assets” has also undergone some changes:

1. Added account 0 106 33 000 “Investments in non-produced assets - other movable property of the institution.”
2. The account group 0 106 90 000 “Investments in the property of the grantor” and analytical accounts for it were introduced: 0 106 91 000 “Investments in fixed assets in the concession” and 0 106 93 000 “Investments in non-produced assets in the concession”.
3. Count group 40 has been renamed. Instead of the old name “Investments in leased objects” the name “Investments in financial lease objects” is now used. For this reason, the following analytical accounting accounts were excluded:

Instruction 174n as amended for 2018 - changes in the chart of accounts (account 107)

Due to the fact that account group 40 was excluded from account 107,00,000 “Non-financial assets in transit”, the following accounts were excluded from the analytical accounting accounts of non-financial assets in transit:

• 0 107 41 000 “Fixed assets – leased items in transit”;
• 0 107 43 000 “Inventories – leased items in transit.”

Instruction 174n as amended for 2018 - changes in the chart of accounts (account 109)

Account 109 90 (211 – 290) “Distribution costs” is excluded from the Instructions, and therefore it is no longer necessary to allocate costs attributable to distribution costs when taking into account the costs of manufacturing finished products, providing services and performing work.

Instruction 174n as amended for 2018 - changes in the chart of accounts (account 0 111 00 000)

On the analytical accounting accounts of account 0 111 00 000 “Rights to use assets”, the following operating lease objects are recorded:

Analytical accounting account	Name
0 111 41 000	Rights to use residential premises
0 111 42 000	Rights to use non-residential premises (buildings and structures)
0 111 44 000	Rights to use machinery and equipment
0 111 45 000	Rights to use vehicles
0 111 46 000	Rights to use industrial and household equipment
0 111 47 000	Rights to use biological resources
0 111 48 000	Rights to use other fixed assets
0 111 49 000	Rights to use non-produced assets

Registration of transactions to reflect the rights to use assets:

Operation	DEBIT	CREDIT
Recognition of an operating lease accounting object as a lessee (property user)	... corresponding analytical accounting accounts account 0 111 40 000 “Rights to use non-financial assets”	Accounts 0 302 24 730 “Increase in accounts payable for settlements of rent for the use of property”; 0 302 29 730 “Increase in accounts payable for payments of rent for the use of land plots and other isolated natural objects”
Receipt of non-financial assets related to the objects of accounting for operating leases on preferential terms for free-term use in accordance with the agreement, reflected by the institution (user) of non-financial assets in the amount of the fair value of lease payments.	... corresponding analytical accounting accounts account 0 111 40 000 “Rights to use non-financial assets”	… account 0 401 40 182 “Deferred income from gratuitous right of use”
Termination of the right to use an asset (if the contract is fully executed) (disposal of an accounting object) in the amount of the book value of the right to use the asset	... corresponding analytical accounting accounts account 0 104 40 000 “Depreciation of rights to use assets”	... corresponding analytical accounting accounts account 0 111 40 000 “Right to use non-financial assets”
Termination of the right to use an asset upon early termination of the agreement under which operating lease accounting items were taken into account (disposal of an accounting item)	The “red reversal” method in the amount of the residual value of the right to use the asset: DEBIT of the corresponding analytical accounting accounts account 0 111 40 000 “Rights to use non-financial assets”	CREDIT accounts 0 302 24 730 “Increase in accounts payable for settlements of rent for the use of property”, 0 302 29 730 “Increase in accounts payable for payments of rent for the use of land plots and other isolated natural objects”, 0 401 40 182 “Future income from gratuitous right of use.”
	In the amount of accumulated depreciation of the right to use the asset: DEBIT of the corresponding analytical accounting accounts account 0 104 40 000 “Depreciation of rights to use assets”	CREDIT to the corresponding analytical accounting accounts account 0 111 40 000 “Rights to use non-financial assets”

Instruction 174n as amended for 2018 - changes in the chart of accounts (account 0 114 00 000)

Let's consider which groups of accounts and analytical accounting accounts are used to generate, in monetary terms, information about accrued losses from impairment of fixed assets, intangible assets, non-produced assets and business transactions that reflect changes in impairment losses, in accordance with the objects of accounting and the content of the business transaction:

Account group	Analytical accounts
0 114 10 000 “Depreciation of the institution’s real estate”	0 114 11 000 “Depreciation of residential premises - real estate of the institution” 0 114 12 000 “Depreciation of non-residential premises (buildings and structures) - real estate of institutions” 0 114 13 000 “Impairment of investment real estate - real estate of institutions” 0 114 15 000 “Depreciation of vehicles - real estate of institutions”
0 114 20 000 “Depreciation of particularly valuable movable property of the institution”	0 114 22 000 “Depreciation of non-residential premises (buildings and structures) - especially valuable movable property of institutions” 0 114 24 000 “Depreciation of machinery and equipment - especially valuable movable property of institutions” 0 114 25 000 “Depreciation of vehicles - especially valuable movable property of institutions” 0 114 26 000 “Depreciation of production and economic inventory - especially valuable movable property of institutions” 0 114 27 000 “Depreciation of biological resources - especially valuable movable property of institutions” 0 114 28 000 “Depreciation of other fixed assets – especially valuable movable property of institutions” 0 114 29 000 “Depreciation of intangible assets - especially valuable property of institutions”
0 114 30 000 “Depreciation of other movable property of the institution”	0 114 32 000 “Depreciation of non-residential premises (buildings and structures) - other movable property of institutions” 0 114 33 000 “Impairment of investment real estate – other movable property of institutions” 0 114 34 000 “Depreciation of machinery and equipment – ​​other movable property of institutions” 0 114 35 000 “Depreciation of vehicles – other movable property of institutions” 0 114 36 000 “Depreciation of production and economic inventory - other movable property of institutions” 0 114 37 000 “Depreciation of biological resources - other movable property of institutions” 0 114 38 000 “Depreciation of other fixed assets – other movable property of institutions” 0 114 39 000 “Depreciation of intangible assets – other movable property of institutions”
0 114 60 000 “Impairment of non-productive assets”	0 114 61 000 “Depreciation of land - non-productive assets” 0 114 62 000 “Impairment of subsoil resources – non-productive assets” 0 114 63 000 “Impairment of other non-productive assets - non-productive assets”

For the listed accounts, transactions will be reflected in the following entries:

Operation	DEBIT	CREDIT
Accrual of losses from impairment of fixed assets, intangible assets and non-productive assets	0 401 20 274 ​​“Losses from impairment of assets”	Analytical accounting accounts account 0 114 00 000 “Impairment of non-financial assets”
Taking into account amounts of losses from impairment of non-financial assets upon receipt of fixed assets, intangible assets, and non-productive assets	When transferring between the head office and separate divisions (branches): DEBIT of analytical accounting accounts account 0 304 04 000 “Internal departmental settlements”	CREDIT of analytical accounting accounts account 0 114 00 000 “Impairment of non-financial assets”
	When receiving free of charge: DEBIT account 0 401 10 189 “Other income”	CREDIT to analytical accounting accounts 0 114 00 000 “Impairment of non-financial assets”
	When internally moving accounting objects when they are classified (excluded) to (from) the category of especially valuable movable property: DEBIT account 0 401 10 172 “Income from transactions with assets”	CREDIT of analytical accounting accounts of account 0 114 00 000 “Impairment of non-financial assets” (with simultaneous reflection in DEBIT of the corresponding analytical accounting accounts of account 0 114 00 000 “Impairment of non-financial assets” and CREDIT of account 0 401 10 172 “Income from transactions with assets”).
Write-off of accumulated losses from impairment of non-financial assets for caused fixed assets, intangible assets, non-productive assets	When transferring fixed assets, intangible assets, non-productive assets within the framework of settlements between the head office, separate divisions (branches), reflected on the basis of primary documents drawn up by the transferring and receiving parties, and notification in form 0504805: DEBIT of analytical accounting accounts 0 114 00 000 “Impairment of non-financial assets”	CREDIT of analytical accounting accounts 0 304 04 000 “Internal departmental settlements”
	When transferring accounting objects to a government body, state (municipal) institution, reflected on the basis of primary documents drawn up by the transferring and receiving parties, and notification in form 0504805:	CREDIT account 0 401 20 241 “Expenses for gratuitous transfers to state and municipal organizations”
	When transferring fixed assets upon their sale on the basis of a decision of the permanent commission on receipt and disposal of assets, on the gratuitous transfer of fixed assets, intangible assets, adopted in accordance with the laws of the Russian Federation (in relation to organizations other than international financial organizations, supranational organizations and foreign governments , individuals), incl. when a budgetary institution creates other organizations, as well as the disposal of fixed assets, intangible assets in accordance with the decision made to write them off, when transferring fixed assets to non-operating (financial lease): DEBIT of analytical accounting accounts account 0 114 00 000 “Impairment of non-financial assets”	CREDIT of analytical accounting accounts account 0 101 00 000 “Fixed assets”, accounts 0 102 00 000 “Intangible assets”

Instruction 174n with changes for 2018 - changes in the chart of accounts (account 205 00)

Account 205 00 000 “Calculations on income” reflects calculations on the income of a budgetary institution and transactions with them. Let's look at the changes:

1. New budget accounting entries have appeared:

Operation	DEBIT	CREDIT
Accrual of income from rental property of a budget institution transferred under operating lease to tenants on the basis of agreements with them	2,205 21,560 “Increase in accounts receivable for operating lease income”	2 401 40 121 “Deferred income from operating leases”
Accrual of income from the rental of property of a budgetary institution transferred under a non-operating (financial) lease to tenants under an agreement	2,205 22,560 “Increase in accounts receivable for income from finance leases”	2 401 40 122 “Deferred income from finance leases”
Income from reimbursement to the lessor of expenses for the maintenance of the property transferred by him for use (upon the fact of corresponding requirements to the lessee)	0 205 35 560 “Increase in accounts receivable for income from contingent rental payments”	0 401 10 135 “Income from conditional rental payments”
Debt for unused balances of subsidies for other purposes in terms of balances, the need for which is not confirmed by the founder	5,205 83,560 “Increase in accounts receivable for settlements of subsidies for other purposes”	5 303 05 730 “Increase in accounts payable for other payments to the budget”
Debt for unused balances of subsidies for the purpose of budget investments in terms of balances, the need for which is not confirmed by the founder	6,205 84,560 “Increase in accounts receivable for settlements of subsidies for capital investments”	6 303 05 730 “Increase in accounts payable for other payments to the budget”

2. New accounts have been introduced:

Check	Name
0 205 22 000	Calculations of income from finance leases
0 205 23 000	Calculations of income from payments for the use of natural resources
0 205 24 000	Calculations of income from interest on deposits, cash balances
0 205 25 000	Calculations of interest income on loans provided
0 205 26 000	Calculations of interest income on other financial instruments
0 205 27 000	Calculations of income from dividends from investment objects
0 205 28 000	Calculations of income from the granting of non-exclusive rights to the results of intellectual activity and means of individualization
0 205 29 000	Calculations for other income from property
0 205 32 000	Calculations of income from the provision of services (work) under the compulsory health insurance program
0 205 33 000	Calculations of income from fees for providing information from government sources (register)
0 205 35 000	Calculations for contingent lease payments
0 205 83 000	Calculations for subsidies for other purposes
0 205 84 000	Calculations for subsidies for capital investments
0 205 89 000	Calculations for other income

3. Account names have been changed:

Check	Name in the old edition	Name in the new edition
205 21	Calculations of income from operating leases	Settlements with payers of property income
205 31	Calculations of income from the provision of paid services (works)	Settlements with payers of income from the provision of paid work and services
205 81		Settlements with payers of other income

4. Account group 40 “Calculations for forced seizure amounts” has been excluded.

Instruction 174n with changes for 2018 - changes in the chart of accounts (account 206 00)

In KOSGU, new sub-items were added to account 206 00 000 “Settlements for issued advances”, and therefore new accounts are being introduced:

Check	Sub-article KOSGU
0 206 96 000 “Calculations for advances for payment of other expenses”	296 (from January 1, 2018)
0 206 27 000 “Calculations for insurance advances”	227 (from January 1, 2019)
0 206 28 000 “Calculations for advances for services, work for the purpose of capital investments”	228 (from January 1, 2019)
0 206 29 000 “Calculations for advance payments for rent for the use of land plots and other isolated natural objects”	229 (from January 1, 2019)

Instruction 174n as amended for 2018 - changes in the chart of accounts (account 208)

Important! From January 1, 2018, subarticle 291 “Taxes, duties and fees” of the KOSGU must reflect the costs of paying taxes (which can be included in expenses), government duties and fees, and various payments to budgets of all levels. Account 208 91 000 is now called “Settlements with accountable persons for payment of duties and fees.”

New analytical accounting accounts have also been introduced into account 208 00 000:

Check	Sub-article KOSGU
From January 1, 2018
0 208 93 000 “Settlements with accountable persons for payment of fines for violation of the terms of contracts (agreements)”	293
0 208 95 000 “Settlements with accountable persons for payment of other economic sanctions”	295
0 208 96 000 “Settlements with accountable persons for payment of other expenses”	296
From January 1, 2019
0 208 27 000 “Settlements with accountable persons for payment of insurance”	227
0 208 28 000 “Settlements with accountable persons for payment for services and work for capital investment purposes”	228
0 208 29 000 “Settlements with accountable persons for payment of rent for the use of land plots and other isolated natural objects”	229

Instruction 174n as amended for 2018 - changes in the chart of accounts (account 209)

An accountant, when making calculations on the amounts of damage caused to a budgetary institution and other income on account 209 00 000, will have to take into account the innovations:

1. Settlements for other income are reflected in account 209 89 000 (not in account 209 83 000).

2. The name of the group of accounts 209 40 has changed - now it is “Calculations for fines, penalties, penalties, damages” (not “Calculations for forced seizure amounts”).

3. New accounts have been introduced:

Check	Name
0 209 34 000	Cost compensation calculations
0 209 41 000	Calculations of income from penalties for violation of the terms of contracts (agreements)
0 209 43 000	Calculations of income from insurance claims
0 209 44 000	Calculations of income from compensation for property damage (except for insurance premiums)
0 209 45 000	Calculations of income from other amounts of forced seizure

Legislative acts on the topic

Common mistakes

Error: The accountant takes into account changes in Instruction No. 157n, but does not take into account the adjustments in Instruction 174n.

Explanations of the Ministry of Finance on the transition to instructions No. 162n, 174n, 183n

MINISTRY OF FINANCE OF THE RUSSIAN FEDERATION

ORDER

On approval of the chart of accounts for accounting of budgetary institutions and instructions for its application

Based on Article 165 of the Budget Code of the Russian Federation (Collected Legislation of the Russian Federation, 1998, No. 31, Art. 3823; 2005, No. 1, Art. 8; 2006, No. 1, Art. 8; 2007, No. 18, Art. 2117; N 45, Art. 5424), paragraphs 4 and 5 of the Decree of the Government of the Russian Federation of April 7, 2004 N 185 “Issues of the Ministry of Finance of the Russian Federation” (Collected Legislation of the Russian Federation, 2004, N 15, Art. 1478; N 49, Art. 4908; 2007, N 45, Art. 5491; N 5, Art. 411) and for the purposes of legal regulation in the field of accounting by state (municipal) budgetary institutions, in respect of which, in accordance with the provisions of parts 15 and 16 of the article 33 of the Federal Law of May 8, 2010 N 83-FZ “On amendments to certain legislative acts of the Russian Federation in connection with the improvement of the legal status of state (municipal) institutions” (Collected Legislation of the Russian Federation, 2010, N 19, Art. 2291) government bodies (state bodies), local government bodies have decided to provide them with subsidies from the relevant budget in accordance with paragraph 1 of Article 78.1 of the Budget Code of the Russian Federation, state academies of sciences and institutions created by them (hereinafter referred to as budgetary institutions), I order:

Approve the Chart of Accounts for accounting of budgetary institutions in accordance with Appendix No. 1 to this Order.

Approve the Instructions for the application of the Chart of Accounts for accounting of budgetary institutions in accordance with Appendix No. 2 to this Order.

This Order is applied in the formation of the accounting policy of a budgetary institution, starting from 2011.

Deputy Prime Minister
Russian Federation -
Minister of Finance of the Russian Federation
A.L.KUDRIN

Appendix 1. Chart of accounts for budgetary institutions

Appendix 2. Instructions for using the Chart of Accounts for budgetary institutions

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Instruction 174n on budget accounting as amended

Since January 6, 2018, a new version of Instruction No. 174n for budgetary institutions has been in force

Document

Order of the Ministry of Finance of Russia dated November 29, 2017 No. 212n

Situation

The order introduced changes to the chart of accounts for accounting of budgetary institutions and instructions for its use, approved. by order of the Ministry of Finance of Russia dated December 16, 2010 No. 174n (hereinafter referred to as Instruction No. 174n). The adjustments are not related to the entry into force of federal accounting standards for public sector organizations on January 1, 2018. The amendments were adopted to bring the chart of accounts of budgetary institutions and Instruction No. 174n into line with the Unified Chart of Accounts and instructions for its application, approved. by order of the Ministry of Finance of Russia dated December 1, 2010 No. 157n (hereinafter referred to as Instruction No. 157n). Read more about the changes to Instruction No. 157n here.

A number of amendments were adopted with the aim of improving legal regulation in the field of budgetary activities, complementing and clarifying existing norms.

Order of the Ministry of Finance of Russia dated November 29, 2017 No. 212n (hereinafter referred to as Order No. 212n) came into force on January 6, 2018.

Changes to the chart of accounts

The following accounts are excluded from the chart of accounts of accounting of budgetary institutions (as well as from the Unified Chart of Accounts):

• 204 51 “Assets in management companies”;
• 215 51 "Investments in management companies."

The transfer of financial investments to trust management is reflected by internal movement in the corresponding analytical accounting accounts of account 0 204 00 000. At the same time, information about assets in trust management is formed on off-balance sheet account 40.

The name of account 206 63 has been adjusted. In the new edition, the account is called “Calculations for advances on benefits paid by organizations in the public administration sector.” Mention of pension payments is excluded from the text (obviously due to the absence of such advances).

Order No. 212n corrected the rules for generating analytical accounting account numbers (clause 2.1 of Instruction No. 174n). They are summarized in the table.

Accounting object synthetic account code	Account number digits	Note
1 – 4	5 – 14	15 – 17	24 – 26
201 00	zeros	zeros	zeros	KOSGU	Before making changes in categories 1 – 4 of cash accounting account numbers, it was necessary to indicate the code of the type of function, service (work) corresponding to the section or subsection of the classification of budget expenses. Obviously, such a division had no practical meaning, since money received within one type of activity (for example, from rent) could be spent within another type of activity.
207 00	section, subsection	zeros	640	KOSGU	According to analytical accounting accounts, account 207 00 in the amount of the principal debt on credits, borrowings (loans). Previously, the text of Instruction No. 174n stated that the analytical receipt code is reflected in digits 15–17 of the account number, but the code number was not specified. However, in the instructions for government institutions, approved. By order of the Ministry of Finance of Russia dated December 6, 2010 No. 162n, code 640 was indicated immediately. For the purpose of comparability of indicators, budgetary institutions should also be guided by this approach.
209 81	zeros	zeros	zeros	KOSGU	Before making changes in categories 1 - 4 of account number 209 81, it was necessary to indicate the code of the type of function, service (work) corresponding to the section or subsection of the classification of budget expenditures.
210 05	section, subsection	zeros*	510	KOSGU	Account 210 05 is also used to account for settlements with debtors for transactions where an institution provides security for an application for participation in a competition or auction. In this case, in categories 1 – 4 of account number 210 05, the code of the type of function, service (work) of the institution is reflected, according to which the income from the type of service (work) provided will be reflected.
301 00	section, subsection	zeros	810	KOSGU	According to analytical accounting accounts, account 301 00 in the amount of the principal debt on credits, borrowings (loans). Previously, the text of Instruction No. 174n stated that the analytical disposal code is reflected in digits 15–17 of the account number, but the code number was not specified. However, in the instructions for government institutions, approved. By order of the Ministry of Finance of Russia dated December 6, 2010 No. 162n, code 810 was indicated immediately. For the purpose of comparability of indicators, budgetary institutions should also be guided by this approach.

* Obviously, there was a typo in the text of clause 2.1 of Instruction No. 174n in the new edition. It says that in digits 5 - 17 of account number 210 05 the analytical receipt code corresponding to the code of the analytical group of the type of sources of financing budget deficits 510 is indicated. This code is placed in digits 15 - 17 of the account number. Therefore, as a general rule, zeros are reflected in digits 5–14 of the account number.

Accounting for non-financial assets

Correspondence accounts for the internal movement of fixed assets between materially responsible persons also apply to the transfer of property for rent, gratuitous use, trust management, and storage. At the same time, information about the transferred fixed assets is reflected in the corresponding off-balance sheet accounts 25, 26. The clarification was included in paragraph 9 of Instruction No. 174n. A similar provision has been introduced for intangible and non-produced assets (clauses 16, 21 of Instruction No. 174n).

Clause 53 of Instruction No. 174n has been supplemented with a new provision, which is applied when reflecting in accounting the transfer of actual investments in an object of non-financial assets (in the amount of costs for its modernization, additional equipment, reconstruction, technical re-equipment) to the balance sheet holder of the object to attribute the amount of investments to the formation (increase) of the original ( book value of the object. In other words, we mean a situation where an object is listed on the balance sheet of one institution, and the functions of maintaining this object in working order are assigned to another institution (a separate division).

The operation is recorded as a credit entry to accounts 0 106 11 310, 0 106 21 310, 0 106 22 320, 0 106 24 340, 0 106 31 310, 0 106 32 320, 0 106 34 340, 0 106 41 310 , 0 106 42 320 , 0 106 44 340 and debit accounts:

• 0 304 04 310, 0 304 04 320, 0 304 04 340 – when transferring investments to the head office, separate division (branch);
• 0 401 20 241 – when transferred to state and municipal organizations.

Please note that in account correspondence, KOSGU codes from group 300 “Receipt of non-financial assets” are used, and not 400 “Disposal of non-financial assets”.

In addition, paragraphs that determined the correspondence of accounts when writing off investments, incl. to unfinished construction projects, in the following cases:

• destruction as a result of natural and other disasters, dangerous natural phenomena, catastrophes;
• destruction as a result of terrorist acts or other actions not at the will of the institution as the copyright holder.

We can conclude that in the listed cases it is necessary to be guided by the general rule on recognizing capital investments in fixed assets and intangible assets that were not created (not recognized as assets) as expenses of the current financial year. Investments recorded in the corresponding analytical accounting account of account 0 106 00 000 should be written off as a debit to account 0 401 20 273.

Financial results

The procedure for accounting for subsidies for the implementation of state (municipal) tasks has been clarified:

No.	Contents of operation	accounting entry	Instruction point No. 174n	Note
account debit	account credit
1	Deferred income was accrued in the amount of the subsidy for completing the task based on an agreement with the founder	4 205 31 560	4 401 40 130	158	Previously, there were two entries for accrual of task grant income. The use of one or another correspondence depended on the period in which the subsidy agreement was concluded. If the agreement was concluded in the current year for the next financial year, deferred income should have been reflected in account 4,401,40,130. If the agreement was concluded in the current year for the same year, income should have been accrued in the usual manner on account 4,401 10,130. Now the entry in account 4 401 10 130 is provided only for the case when the volume of the subsidy increases in the current financial year (if the terms of the agreement for the provision of the subsidy change). Thus, the changes imply that the grant agreement must be concluded before the start of the financial year for which the assignment is approved.
2	Previously accrued income for future periods in the amount of the subsidy for completing the task is recognized as income of the current (reporting) period	4 401 40 130	4 401 10 130	158	The entry is made upon the date of provision of the subsidy in accordance with the terms of the agreement concluded with the founder (regardless of the fact of transfer of the subsidy).
3	In the current financial year, the amount of subsidies for financial support for completing the task has been increased	4 205 31 560	4 401 10 130	93, 150	An entry is made when the terms of the subsidy agreement change in the current year.
4	A debt has been accrued for the return to budget revenue of the balance of the subsidy for completing the task	4 401 10 130	4 303 05 730	150, 152	The remainder of the subsidy is returned if the indicators established by the task characterizing the volume of state (municipal) services (work) are not achieved. The basis is the report on the completion of the task presented to the founder.

Clause 94 of Instruction No. 174n has been clarified regarding the receipt of income from the performance of work (provision of services, supply of products, goods) under government contracts, the execution of which is carried out with treasury security for obligations in the form of a treasury letter of credit. Simultaneously with the receipt of money to the personal account of a budgetary institution, the previously accepted treasury security for obligations under off-balance sheet account 10 is reduced by the amount of the fulfilled obligation of the recipient of budget funds to pay for work performed (services provided, products supplied, goods).

The procedure for accounting for transactions under a contract with treasury support (treasury letter of credit) is explained in the letter of the Ministry of Finance of Russia dated October 20, 2017 No. 02-06-10/68702. Read more here.

Calculations for tax deductions for VAT

The procedure for recording VAT calculations on advances paid has been brought into compliance with the norms of the Tax Code of the Russian Federation. According to paragraph 12 of Art. 171 of the Tax Code of the Russian Federation, for the taxpayer who transferred the advance payment, the VAT amounts presented by the seller are subject to deductions. Subsequently, at the time of shipment of goods (performance of work, provision of services, transfer of property rights), the buyer is obliged to restore to the budget the VAT accepted for deduction from the prepayment (clause 3, clause 3, article 170 of the Tax Code of the Russian Federation).

In the previous edition, Instruction No. 174n provided for the following correspondence:
Debit 2 303 04 830 Credit 2 210 13 660 – accepted for deduction of VAT on advance payments transferred to the supplier, performer, contractor (clause 113 of Instruction No. 174n);
Debit 2,210 13,560 Credit 2,210 12,660 – the amount of VAT accepted for deduction on advances transferred against upcoming supplies of goods, performance of work, provision of services is offset (clause 112 of Instruction No. 174n).

The correspondence from clause 112 of Instruction No. 174n contradicted the VAT accounting procedure established by the Tax Code of the Russian Federation. The Code provides for the restoration to the budget of VAT accepted for deduction from prepayments, and not a credit. This deficiency has been corrected in the new edition of clause 112 of Instruction No. 174n: to restore the VAT amount in accounting, an entry must be made to the debit of account 0 210 13 560 and the credit of account 0 303 04 730. The procedure for reflecting in the VAT calculation program for advances issued to account 210 13, shown in practical articles in the directory of business operations on "1C: BGU 8" for budgetary and autonomous institutions.

Authorization of expenses

The new edition of clause 167 of Instruction No. 174n allows the use of correspondence with account 502 07 “Obligations accepted” when purchasing from a single supplier (contractor, performer).

As a general rule, account 502 07 does not apply when accepting obligations within the framework of purchases from a single supplier, as well as for expenses not related to the purchase of goods (works, services) to meet state (municipal) needs (clause 308 of Instruction No. 157n).

In some cases, a contract with a single supplier (contractor, performer) is concluded as a result of declaring an open tender, a tender with limited participation, a two-stage tender, a repeated tender, an electronic auction, a request for quotations, or a request for proposals invalid.

Instruction No. 174n on budget accounting as amended in 2018

These cases are listed in clause 25, part 1, art. 93 of Federal Law No. 44-FZ dated 04/05/2013 (hereinafter referred to as Law No. 44-FZ). In such situations, the contract is concluded on the terms specified in the procurement documentation, at the price proposed by the procurement participant.

The Ministry of Finance of Russia in letter dated 04/15/2016 No. 02-07-10/21917 explained that the institution has the right, as part of its accounting policy, to extend the provisions of Instruction No. 157n in terms of assumed obligations to the use of account 502 07 when concluding a contract with a single supplier (contractor, performer) , incl. according to clause 25, part 1, art. 93 of Law No. 44-FZ. Now the provisions of this letter have been included in Instruction No. 174n.

Thus, in the cases listed in clause 25, part 1, art. 93 of Law No. 44-FZ, as well as in other situations established by accounting policies, an institution has the right to use account 502 07 when concluding a contract with a single supplier. However, as a general rule, this account, as before, is used when concluding contracts using competitive methods of determining suppliers (contractors, performers), it is not necessary to use it to conclude contracts with a single supplier.

Order of the Ministry of Finance of the Russian Federation
No. 174n dated November 10, 2015

ON APPROVAL OF THE PROCEDURE FOR ISSUING AND RECEIVING INVOICES IN ELECTRONIC FORM VIA TELECOMMUNICATION CHANNELS USING AN ENHANCED QUALIFIED ELECTRONIC SIGNATURE

In accordance with paragraph 9 of Article 169 of Part Two of the Tax Code of the Russian Federation (Collection of Legislation of the Russian Federation, 2000, N 32, Art. 3340; 2001, N 1, Art. 18; 2002, N 22, Art. 2026; 2005, N 30 , Art. 3130; 2008, N 48, Art. 5519; 2009, N 51, Art. 6155; 2010, N 31, Art. 4198; 2011, N 30, Art. 4593; 2012, N 27, Art. 3588; 2013, N 14, Art. 1647; N 52, Art. 6985; 2014, N 16, Art. 1838; N 30, Art. 4239; N 48, Art. 6663) I order:

1. Approve the Procedure for issuing and receiving invoices in electronic form via telecommunication channels using an enhanced qualified electronic signature in accordance with the appendix to this Order.

2. The order of the Ministry of Finance of the Russian Federation dated April 25, 2011 is declared invalid.

Legislative framework of the Russian Federation

N 50n “On approval of the Procedure for issuing and receiving invoices in electronic form via telecommunication channels using an electronic digital signature” (registered by the Ministry of Justice of the Russian Federation on May 25, 2011, registration N 20860, Rossiyskaya Gazeta dated June 3, 2011, N 119).

3. Establish that this Order comes into force after one month from the date of its official publication, but not earlier than the 1st day of the next tax period for value added tax.

PROCEDURE FOR ISSUING AND RECEIVING INVOICES IN ELECTRONIC FORM

Minister A.G.SILUANOV