FEATURES OF FINANCIAL AND TAX ACCOUNTING IN THE CASE OF INDIVIDUAL COMPANIES

Abstract

The article analyzes the influence of the legal form of a legal entity with unlimited civil liability on the processes of financial and tax accounting and reporting. The essential document that determines whether financial reporting will be prepared or not is the articles of association of an individual company, which provides for the decision to prepare and submit a set of financial statements to the public and determines the amount of financial data presented to users. In principle, all the principles applied to the organization and management of accounting, based on the VAS or only the 38th VAS, are applied the same, except for the need to regulate the procedure for the use of the assets of the individual company participant or his family members in the activities of the individual company and the correct recognition of costs. The second part briefly discusses the main legal acts regulating the financial and tax accounting and reporting processes of an individual company, the principles or applied methods necessary to achieve the main goal of accounting - accurate and correct presentation of financial status and performance. The third part describes the examples of the application of the provisions of financial or tax legislation, illustrating them with practical situations related to the accounting of an individual company's own property or assets transferred to the company, accounting of the owner's income. All the examples are actually applied in the accounting of an individual company, so it can be concluded that by correctly recognizing the costs falling on the parts of the assets of the individual company and its participants, it is possible to achieve objective, correct and accurate financial information about the financial condition of the individual company and the desired performance, which help to evaluate and forecast the future periods of individual company activity.