{"id":1208,"date":"2023-05-30T14:11:48","date_gmt":"2023-05-30T07:11:48","guid":{"rendered":"https:\/\/slflaw.vn\/?p=1208"},"modified":"2023-05-30T14:18:11","modified_gmt":"2023-05-30T07:18:11","slug":"1208","status":"publish","type":"post","link":"https:\/\/slflaw.vn\/en\/1208\/","title":{"rendered":"HOW TO CHECK THE ACCOUNTS BEFORE MAKING FINANCIAL STATEMENTS"},"content":{"rendered":"

Transferring distribution profits (Account 421)<\/b><\/span><\/h3>\n

At the beginning of the financial year,<\/span> make<\/span> a journal entry<\/span><\/a> transfer of distribution profit this year (account 4212) to profit distribution last year (account 4211)<\/span><\/p>\n

Checking cash account (Account 111)<\/b><\/span><\/h3>\n

\u2013 Enter the cash book to check and make sure the cash is not negative at any time.<\/span><\/p>\n

\u2013 <\/span>Check ending balance<\/span><\/a> must match the cash inventory record as of 31 December.<\/span><\/p>\n

Checking Bank Account (Account 112)<\/b><\/span><\/h3>\n

\u2013 Get the supplementary books of all the banks that the company has opened.<\/span><\/p>\n

\u2013 Compare arising numbers and balances from time to time between the Bank sub-book and account detail book 112 and make sure they match.<\/span><\/p>\n

\u2013 For foreign currency accounts: Re-evaluate monetary items of foreign currency origin<\/span><\/p>\n

Check KD securities account (Account 121)<\/b><\/span><\/h3>\n

\u2013 At the end of the year, check whether the bonds and stocks match with the balance confirmation of the depository company.<\/span><\/p>\n

– Making provision for securities investments. Revalue these investments at market prices as at 31 December.<\/span><\/p>\n

Check loan accounts (account 128)<\/b><\/span><\/h3>\n

– Compare the company’s loan with other objects.<\/span><\/p>\n

– Make a periodic table of loan interest and issue a VAT invoice (No tax rate).<\/span><\/p>\n

– Financial revenue recognition.<\/span><\/p>\n

Checking receivables from customers (Account 131)<\/b><\/span><\/h3>\n

– Proceed<\/span>debt comparison<\/span><\/a> customers and ensure that the debts between the two parties match.<\/span><\/p>\n

\u2013 Make provision for doubtful receivables according to regulations (if any).<\/span><\/p>\n

Check deductible VAT (Account 133)<\/b><\/span><\/h3>\n

\u2013 This account only has the debit balance, reflecting the deductible input tax amount that is refunded but has not been refunded by the state budget.<\/span><\/p>\n

– At the end of the period, to determine the amount of input VAT to be deducted from the output VAT amount when determining the payable VAT amount in the period, the following accounts shall be recorded:<\/span><\/p>\n

Dr 3331 \u2013 VAT payable (33311)<\/span><\/p>\n

Account 133 \u2013 Deductible VAT.<\/span><\/p>\n

\u2013 Account balance 133 (If any) as of December 31 must match item 41 \u201cVAT has not been deducted at the end of this period\u201d on declaration 01\/GTGT \u200b\u200bDecember or quarter 4.<\/span><\/p>\n

Checking advances (Account 141)<\/b><\/span><\/h3>\n

\u2013 Reconcile advance debt with employees and ensure that the debts between the two parties match.<\/span><\/p>\n

\u2013 Set up advance provisions for those who have quit their jobs and cannot claim them.<\/span><\/p>\n

Checking tools (TK 153)<\/b><\/span><\/h3>\n

\u2013 <\/span>Actual quantity inventory<\/span><\/a> tools against the list on the books and make sure they match.<\/span><\/p>\n

\u2013 Check the table of allocation of tools and equipment with the number recorded in the K.Math books.<\/span><\/p>\n

Check inventory accounts (accounts 151, 152, 154, 155, 156, 157)<\/b><\/span><\/h3>\n

\u2013 This account only has an outstanding balance, reflecting the actual value of ending inventory.<\/span><\/p>\n

– Take inventory of actual quantities and ensure they match the book numbers.<\/span><\/p>\n

\u2013 Check the details of the goods shipped from the warehouse that has been correctly priced (PP Usually applied is the weighted average).<\/span><\/p>\n

– Provision for devaluation of inventories, if any: is the provision for devaluation of inventories if there is a decrease in net realizable value compared to the original cost of inventories.<\/span><\/p>\n

Checking fixed assets and depreciation of fixed assets (accounts 211, 213, 214)<\/b><\/span><\/h3>\n

– Prepare a depreciation schedule for fixed assets.<\/span><\/p>\n

\u2013 Compare the fixed asset depreciation spreadsheet with the arising number and balance of accounts 211, 213, 214.<\/span><\/p>\n

Check prepaid expenses (Account 242)<\/b><\/span><\/h3>\n

– Prepare a table of prepaid expenses.<\/span><\/p>\n

\u2013 Compare the prepaid expense allocation table with the arising amount and balance of Account 242.<\/span><\/p>\n

Checking payables to sellers (Account 331)<\/b><\/span><\/h3>\n

\u2013 Reconcile the debt with the supplier and ensure the debt between the two parties match.<\/span><\/p>\n

Check payables to the state (Account 333)<\/b><\/span><\/h3>\n

\u2013 Account 3331: VAT payable<\/span><\/p>\n

+ The credit balance of this account reflects the payable VAT amount, if any, this value must be equal to the value of item 40 (VAT payable in the period) on declaration 01\/GTGT \u200b\u200bin December or quarter 4.<\/span><\/p>\n

\u2013 Account 33312 \u2013 VAT on imported goods:<\/span><\/p>\n

+ Used to reflect the amount of VAT on imported goods to be paid, paid, and still to be remitted into the State budget.<\/span><\/p>\n

+ Check whether the paid import VAT amount (if any) has been recorded in the deductible input VAT (account 133) or not.<\/span><\/p>\n

\u2013 Account 3332 \u2013 Special consumption tax:<\/span><\/p>\n

+ Reflect the payable, paid, and still payable excise tax amount to the State budget.<\/span><\/p>\n

+ Check whether the paid excise tax (if any) has been recognized in the historical cost of goods or assets.<\/span><\/p>\n

\u2013 Account 3333 \u2013 Import tax:<\/span><\/p>\n

+ Reflect the amount of import tax payable, paid and still payable to the state budget<\/span><\/p>\n

+ Check whether the paid import tax amount (if any) has been recognized in the historical cost of goods or assets.<\/span><\/p>\n

\u2013 Account 3334 \u2013 Corporate income tax:<\/span><\/p>\n

+ Reflect the payable, paid and still payable enterprise income tax amount to the State budget.<\/span><\/p>\n

+ Calculate and pay provisional CIT on a quarterly or monthly basis.<\/span><\/p>\n

Based on the amount of corporate income tax payable to the State budget quarterly according to the following regulations:<\/span><\/p>\n

Dr. 8211<\/span><\/p>\n

Account 3334<\/span><\/p>\n

When paying corporate income tax into the state budget, the following accounts shall be recorded:<\/span><\/p>\n

Dr. 3334<\/span><\/p>\n

There are Cr 111, 112,. . .<\/span><\/p>\n

At the end of the year, when determining the payable corporate income tax amount of the fiscal year:<\/span><\/p>\n

If the actual payable corporate income tax amount is smaller than the quarterly temporarily paid corporate income tax amount in the year, the difference shall be recorded as follows:<\/span><\/p>\n

Dr. 3334<\/span><\/p>\n

Cr 8211<\/span><\/p>\n

If the actual payable corporate income tax amount is larger than the quarterly temporarily paid corporate income tax amount in the year, the underpaid difference, the following accounts shall be recorded:<\/span><\/p>\n

Dr. 8211<\/span><\/p>\n

Account 3334<\/span><\/p>\n

When actually paying the difference in corporate income tax to the State budget, the following accounts shall be recorded:<\/span><\/p>\n

Dr. 3334<\/span><\/p>\n

There are accounts 111, 112<\/span><\/p>\n

\u2013 Account 3335 \u2013 Personal income tax:<\/span><\/p>\n

+ Reflect the payable, paid and still payable personal income tax amount to the State budget.<\/span><\/p>\n

+ Check whether the PIT section on the books matches the quarterly PIT declaration?<\/span><\/p>\n

\u2013 Account 3338 \u2013 Environmental protection tax and other taxes<\/span><\/p>\n

+ Record the license fee at the beginning of the fiscal year, accounting:<\/span><\/p>\n

Dr. 6422\/6425<\/span><\/p>\n

Account 3338<\/span><\/p>\n

+ When paying license tax, accounting:<\/span><\/p>\n

Debt 3338<\/span><\/p>\n

There are 111\/112<\/span><\/p>\n

*** Note: At the end of the period, contact the tax authority to request a confirmation of tax payment obligation and ensure that: The balance of accounts payable to the state on the books must match the confirmation of payment obligation. taxes by the tax authorities.<\/span><\/p>\n

Check salary and salary deductions (Account 334, 338)<\/b><\/span><\/h3>\n

– Check the labor contract, timesheet, and payroll.<\/span><\/p>\n

\u2013 Check the arising number of accounts 334 and 338 against the monthly salary sheet.<\/span><\/p>\n

\u2013 Balance of account 334 at the end of the period not yet spent or advanced: make a reconciliation with employees.<\/span><\/p>\n

\u2013 The balance of each insurance period must match the insurance notice.<\/span><\/p>\n

Checking loans (Account 341)<\/b><\/span><\/h3>\n

\u2013 For personal loans:<\/span><\/p>\n

+ Compare the company’s loans with other objects.<\/span><\/p>\n

+ Prepare a periodical loan interest calculation table and deduct 5% PIT for each interest payment<\/span><\/p>\n

+ Financial expense recognition<\/span><\/p>\n

+ Recognition of 5% personal income tax<\/span><\/p>\n

+ When paying loan interest<\/span><\/p>\n

\u2013 For loans from other companies:<\/span><\/p>\n

+ Compare the company’s loan with other companies.<\/span><\/p>\n

+ Prepare a periodic table of loan interest and request the other party to issue an invoice for each interest payment<\/span><\/p>\n

+ Financial expense recognition<\/span><\/p>\n

+ When paying loan interest<\/span><\/p>\n

– For bank loans:<\/span><\/p>\n

+ Reconcile the company’s loan with the bank.<\/span><\/p>\n

+ Prepare a periodical loan interest calculation table and compare it with the Bank’s loan interest calculation table.<\/span><\/p>\n

+ Record financial expenses.<\/span><\/p>\n

Check the revenue (Account 511, 515, 711)<\/b><\/span><\/h3>\n

\u2013 Check whether the revenue recognition is eligible for recognition or not? There are 5 conditions for revenue recognition.<\/span><\/p>\n

\u2013 Check that the revenue recorded matches the revenue on the monthly VAT declaration or not?<\/span><\/p>\n

\u2013 Has the revenue been accounted, collected, and transferred yet?<\/span><\/p>\n

Check cost of goods sold (account 632)<\/b><\/span><\/h3>\n

\u2013 Check deductible and non-deductible cost of expenses when determining reasonable expenses<\/span><\/p>\n

– What is the basis for cost calculation? Is it over the allowable limit?<\/span><\/p>\n

\u2013 Have you accounted, collected, and transferred the cost of capital yet?<\/span><\/p>\n

Check expenses (account 641, 642, 811)<\/b><\/span><\/h3>\n

\u2013 What costs are reasonable? Which costs are not reasonable?<\/span><\/p>\n

\u2013 Have you accounted, collected, and transferred costs yet?<\/span><\/p>\n

*** Note: The account on the Business Plan has no opening balance and ending balance.<\/span><\/p>\n

\u00a0<\/span><\/p>\n

Above is information about the article “HOW TO CHECK THE ACCOUNTS BEFORE MAKING FINANCIAL STATEMENTS” that SLF informs to readers\/customers. If you need the fastest procedure or have other questions, please contact<\/span>SLF<\/span><\/a> for fastest support.<\/span><\/p>\n

Contact Info:<\/span><\/p>\n