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CONSTRUCTION ACCOUNTING NOTES - CONSTRUCTION AND INSTALLATION
+ Error 1: The project has been accepted, but due to some reasons we cannot issue an invoice. For example: Party A hasn't paid yet so the boss won't let it go. With this error, we will have our revenue and VAT returned at the time of acceptance.
+ Error 2: The input of raw materials and labor does not match the estimate, because the materials and labor are loaded by the accountant based on emotion. And it leads to:
- The cost of raw materials included is higher than the total level of raw materials in the total budget items of the estimate.
- Salary costs are higher than the total labor level in the total budget items of the old estimate
- General production costs included are higher than the total general production costs in the total budget items of the estimate.
- The cost of construction machines included is higher than the total cost of construction machines in the total cost of each category of the estimate..
+ Error 3: Raw materials are taken after the acceptance date but are still included as expenses when there are not enough procedures to protect them. To protect you need:
- Contract
- Goods handover record "The date on the record is the day before acceptance and the record is numbered
+ Error 4: I see a lot of companies with CTrinh have stopped construction but still calculate time and salary and still include costs, or I see some companies have time and salary calculation but no one signs. Even still depreciate and allocate construction machinery costs.
- The remuneration of the Board of Directors for members of the Board of Directors must be accompanied by a meeting minutes of the Board of Directors agreeing to appoint those members to directly participate in the operations of the enterprise or if it is a concurrent remuneration of a member of the Board of Directors. should be added to the salary to rationalize.
+ Error 5: Not separately tracking the costs of each project, raw materials, labor, and production are aggregated into one at the end of the month without distinguishing which project it belongs to, making it difficult to know when asked by tax. Which project does it belong to?
+ Error 6: With the cost of construction machines, almost small companies do not have oil norms for machine shifts and do not have vehicle mobilization schedules.
+ Error 7: The food bill the bosses brought home did not come with a bill. Or there is a case where the boss has a receipt for buying supplies from a supermarket...the boss buys it but brings it back to the accountant for tax declaration and is disbursed, not accepting the cost and deducting VAT.
- Electricity and water costs for borrowed offices (not rented offices) but not under the company's name. Therefore, it is necessary to rationalize by renting an office at a low price and paying taxes if the electricity and water costs are large.
+ Error 8: Too much negative cash fund, there is no negative cash balance, negative bank deposits. Or collect cash and record debt, buy debt and record cash collection. This man's beard sticks to that woman's chin.
- I have a lot of cash to borrow from the bank, so loan repayment is not accepted.
+ Error 9: Loans from individuals that exceed 150% of the basic interest rate prescribed by the State Bank will be eliminated, so it is necessary to rationalize by increasing the loan principal to reduce interest rates down.
+ Error 10: In case of signing a contract to purchase raw materials without the unit having a warehouse and writing a one-time invoice at the end of the month with a large value, the payment must be accompanied by additional detailed documents. Additional information such as: delivery note from the seller each time the unit picks up goods, a list of each day of receipt of goods signed by the seller and confirmed by the buyer. . . then the cost is reasonable.
+ Error 11: It's about the books
- There is no summary table of debts and detailed debts.
- There is no detailed raw materials book, no summary table of import and export inventory.
- Assets purchased without invoices or documents are still depreciated and allocated.
- Failure to pay license tax on time will result in late payment penalty.
- Failure to pay VAT and CIT on time with late payment penalty.
AND IF YOU WANT TO BE ACCURATE, REMEMBER TO GO TO CPA HCM!!!