Write-off receivables are deemed to be uncollectible after the expiry of the statutory limitation period, in accordance with Article 196 of the Civil Code of the Russian Federation.
The legislation regulates the general limitation period of three years, which can be interrupted in the event of partial payment or netting of the debts that have arisen.
Please see p. 77-78 of the Regulation on Accounting and Reporting Approved by Order No. 34n of the Ministry of Finance of the Russian Federation of July 29, 1998. This provision establishes the procedure and grounds for writing off debts with expired limitation period.
Conduct an inventory of accounts receivableDebt of the enterprise. In the ideal case, inventorying is necessary quarterly. Read p.2.1 of the Guidelines for the inventory of financial liabilities and property of the organization.
Make an order with the number and dateCarrying out of the given check. Make an "Act of inventory calculations with suppliers, buyers and other creditors and debtors", for which use the form of INV-17, approved by Resolution No. 88 of the State Statistics Committee of August 18, 1998.
Write a written justification and an order on behalf ofThe head of the enterprise on the need to write off the debts identified during the inventory with the expired limitation period. Assign responsibility for the implementation of this order to the chief accountant of the organization.
Include the amount of receivables fromThe expired limitation period to other expenses of the company in the amount that is reflected in the accounting of the enterprise, based on paragraph 11 of PBU 10/99 "Expenses of the organization". Debt is written off through the opening of a debit on account 91 "Other expenses and revenues," the formation of the sub-account 91-2 "Other expenses" and the creation of a loan under account 62 "Settlements with customers and buyers."
Remember that writing off a debt at a loss does notIs the basis for cancellation of debt. For the balance sheet this debt should be registered within five years from the date of writing off. This will allow to determine the possibility of debt repayment in case of changes in the debtor's property position. & Nbsp-