Production equipment account accounting. Equipment in accounting - postings by example

Account 07 in accounting is called "Equipment for installation". It is used to reflect equipment that requires installation in projects under construction. Accounting entries for account 07, see the table.

What is accounted for on account 07 in accounting

Account 07 "Equipment for installation" is intended for various equipment that requires installation. Installation is the assembly of equipment from forming parts, spare parts for this equipment, attachment to supporting structures (for example, to the foundation, floor), capital works in a facility under construction or reconstruction, etc.

Example:

Boxes and containers with equipment disassembled in parts were brought to the organization. To make it work, it needs to be mounted and secured to the floor with bolts, welding, etc. When this asset is collected, it will become the main asset and will work for the company. Until then, it will be called equipment for installation in accounting.

If the equipment does not require installation, it is not accounted for on account 07 accounting(these are the main assets of the company: cars, production tools, free-standing machines, etc.).

Account 07 in accounting: active or passive

07 an accounting account is an active account. Since all expenses for bringing the equipment to working condition are reflected in the debit of the account.

Analytical accounting of account 07 in accounting is carried out according to the names of equipment and places of its storage. Subaccounts to an account, as a rule, are not opened.

At the end of the reporting period, the debit balance on account 07 is transferred to the balance sheet, increasing the amount of fixed assets on line 1150.

What part of the cost is reflected on account 07

Account 07 "Equipment for installation" in accounting is a piggy bank account. The expenses for the purchase of a capital-assembled object are collected on it until the installation has begun and the equipment is disassembled in the warehouse.

These costs include not only the cost of the equipment itself, but also the cost of purchasing sets of spare parts for it, as well as the cost of instrumentation or other devices required for installation. In addition, shipping costs must be taken into account. But VAT on general rule exclude.

Example:

The company bought equipment for assembling the production line for 3,540,000 rubles, including the amount of VAT - 540,000 rubles. And I spent 17,700 rubles on delivery, including the amount of VAT - 2,700 rubles. Let's calculate the amount that needs to be reflected in the debit of account 07. It is equal to 3,015,000 rubles. (3,540,000 - 540,000 + 17,700 - 2700). It is this amount that needs to be reflected in the debit of account 07.

07 accounting account: transactions

The debit of account 07 reflects the increase in the value of fixed assets and the cost of installation and installation in correspondence with accounts 15, 23, 60, 66, 67, 71, 75, 76.79, 80, 86 and 91. On the credit of accounts 44 show a decrease in correspondence with accounts 08, 23, 76, 79, 80, 91, 94 and 99. See the table for examples of frequently used transactions.

Account 07 "Equipment for installation" is intended for information about equipment to be installed in buildings under construction. The debit of the account collects the costs incurred by the organization before the equipment is ready for installation, and then debits from credit 07 in Dt 08.

If the equipment received by the organization needs to be installed before commissioning, an account is used to reflect such operations. 07 "Equipment for installation". It collects all data on the costs of a unit of technical equipment: purchase, transportation, commission to intermediaries, contracts with contractors - that is, costs that form initial cost asset without the cost of assembly and installation. Then the amounts are credited to account 08, where its cost is finally formed by the installation costs, and from 08 - in Dt 01.

Counter functions 07 are similar to account functions 08 "Investing in fixed assets", However, there are fundamental differences:

• on account 07 does not include technical equipment that does not require commissioning and installation work (cars, household equipment, computers and office equipment, and so on): account 08 is used for these purposes;
• count. 07 used construction firms for accounting of expenses in newly erected or reconstructed buildings.

Account 07 is active, that is, on debit they reflect the growth in the cost of fixed assets and the cost of installation and installation, on credit - a decrease (commissioning or write-off for another reason).

The cost of the purchased asset and the costs of its installation and installation are recorded in Dt 07, excluding VAT: the amount indicated in the invoice is divided by the actual price of the object (recorded in Dt 01) and the amount of VAT (in Dt 19).

Normative base

The application is regulated by the Chart of accounts of accounting established by the Instruction of the Ministry of Finance dated October 31, 2000 No. 94, PBU 6/01 "Accounting for fixed assets" and other documents.

Transactions and operations

1. Receipt of equipment.

The receipt of technical equipment that requires installation can occur as a result of a purchase, self-assembly, donation, or a contribution to the authorized capital.

Drawn up by postings:

Dt 07 Kt 60 - the acquisition of the asset is reflected; costs of delivery, adjustment, storage under contracts with third-party firms;

Dt 68 Kt 19 - VAT deductible.

Founder's contribution to the Criminal Code:

Dt 07 Kt 75.

2. Transfer to the installation.

When the OS is ready for installation, it is debited to account 08:

Dt 08 Kt 07 - transfer to installation;

Дт 08 Кт 60 - costs for installation and installation under contracts with third-party firms are taken into account;

Дт 01 Кт 08 - the property was taken into account as a fixed asset.

3. Disposal of equipment for installation.

Sometimes a situation arises when technical equipment that has not yet been installed is retired before it was installed or accepted as fixed assets. Such situations arise as a result of:

• sales,
• damage,
• theft,
• gratuitous transfer, etc.

If a fixed asset is retired due to technical unsuitability, it is written off to Dt 94:

Dt 94 Kt 07.

If you decide to sell the asset, income is credited to account 91/1 "Other income":

Dt 91/1 Kt 07.

VAT

When working with account 07, accountants often have a question about the procedure for VAT refunds.

Clause 1 of Art. 172 of the Tax Code of the Russian Federation stipulates that VAT on acquired fixed assets is accepted for deduction when the object is accepted for accounting. From the Instruction to the Chart of Accounts of accounting it follows that the reflection of the technical means in the accounting as equipment for installation can also be considered as the acceptance of the asset for accounting, because this reflects information about the incoming item of fixed assets.

Hence the conclusion that the tax can be refunded when the equipment is capitalized (costs for Dt 07 are generated):

Dt 07 Kt 60 - equipment purchase is reflected;

Dt 19 Kt 60 - input VAT allocated;

Dt 68 Kt 19 - tax deducted;

Dt 08 Kt 07 - the asset has been transferred for editing;

Дт 01 Кт 08 - equipment was capitalized.

Attention! VAT can only be deducted for equipment intended for use in VAT-taxable activities. That is, if an organization, for example, combines UTII and the traditional taxation system, the tax can be refunded only on equipment used in activities taxed under the traditional system.

Account 07 "Equipment for installation" "

Account 07 "Equipment for installation" is intended to summarize information on the presence and movement of technological, power and production equipment (including equipment for workshops, pilot plants and laboratories) requiring installation and intended for installation in under construction (reconstructed) facilities. This account is used by the developer organizations.

Equipment requiring installation also includes equipment that is put into operation only after the assembly of its parts and attachment to the foundation or supports, to the floor, intermediate floors and other supporting structures of buildings and structures, as well as sets of spare parts for such equipment. This equipment includes instrumentation or other devices intended for installation as part of the installed equipment.

Account 07 "Equipment for installation" does not include equipment that does not require installation: vehicles, free-standing machines, construction mechanisms, agricultural machines, production tools, measuring and other devices, production inventory, etc. The costs of purchasing equipment that do not require installation are reflected directly on account 08 "Investments in non-current assets" as they arrive at the warehouse or to another storage location.

Equipment for installation is accepted for accounting on the debit of account 07 "Equipment for installation" at the actual cost of acquisition, which consists of the cost at acquisition prices and the cost of acquiring and delivering these values ​​to the warehouses of the organization.

The purchase of equipment for a fee from other organizations and persons is reflected in the debit of account 07 "Equipment for installation" in correspondence with account 60 "Settlements with suppliers and contractors" or others.

Acceptance of the equipment contributed by the founders to the account of their contributions to the authorized (pooled) capital of the organization is reflected in the debit of account 07 "Equipment for installation" and the credit of account 75 "Settlements with the founders".

The receipt of equipment for the installation can be reflected using account 15 "Procurement and purchase material values»Or without using it in a manner similar to the procedure for accounting for relevant transactions with materials.

The cost of equipment handed over for installation is debited from account 07 "Equipment for installation" to the debit of account 08 "Investments in non-current assets". At the same time, imported to construction site equipment requiring installation, the contractor accepts on off-balance sheet account 005 "Equipment accepted for installation". The cost of this equipment or its parts handed over for installation, the contractor removes from off-balance sheet on account 005 "Equipment accepted for installation". The cost of the equipment transferred to the contractor, the installation and installation of which at the permanent place of operation has not actually begun, is not deducted from the developer's register.

When selling, writing off, transferring other equipment for installation free of charge, its cost is written off to the debit of account 91 "Other income and expenses".

Analytical accounting for account 07 "Equipment for installation" is carried out at the places of storage of equipment and its individual names (types, brands, etc.).

Account 07 "Equipment for installation"
corresponds with accounts:

By debit

15 Procurement and acquisition of material assets (D07 K15)

23 Ancillary production (D07 K23)

60 Settlements with suppliers and contractors (D07 K60)

66 Calculations for short-term loans and loans (D07 K66)

67 Calculations for long-term loans and loans (D07 K67)

71 Settlements with accountable persons (D07 K71)

75 Settlements with founders (D07 K75)

76 Settlements with different debtors and creditors (D07 K76)

79 On-farm settlements (D07 K79)

80 Authorized capital (D07 K80)

86 Targeted financing (D07 K86)

91 Other income and expenses (D07 K91)

On a loan

08 Investments in non-current assets (D08 K07)

23 Ancillary production (D23 K07)

76 Settlements with different debtors and creditors (D76 K07)

79 On-farm settlements (D79 K07)

80 Authorized capital (D80 K07)

91 Other income and expenses (D91 K07)

94 Shortages and losses from damage to valuables (D94 K07)

99 Profit and loss (D99 K07)

Accounting chart of accounts

Section I. Non-current assets: · · · · · · ·
Section II. Productive reserves : · · · · ·
Section III. Production costs: · · · · · ·
Section IV. Finished products and goods: · · · · · ·
Section V. Cash: · · · · · ·
Section VI. Calculations.

Account 07 "Equipment for installation" is intended to summarize information on the presence and movement of technological, power and production equipment (including equipment for workshops, pilot plants and laboratories) requiring installation and intended for installation in under construction (reconstructed) facilities. This account is used by the developer organizations.

Equipment requiring installation also includes equipment that is put into operation only after the assembly of its parts and attachment to the foundation or supports, to the floor, intermediate floors and other supporting structures of buildings and structures, as well as sets of spare parts for such equipment. This equipment includes instrumentation or other devices intended for installation as part of the installed equipment.

Account 07 "Equipment for installation" does not include equipment that does not require installation: vehicles, free-standing machines, construction machinery, agricultural machines, production tools, measuring and other devices, production inventory, etc. The cost of purchasing equipment that does not require installation , are reflected directly on account 08"Investments in non-current assets" as they arrive at a warehouse or other storage location.

Equipment for installation is accepted for accounting on the debit of account 07 "Equipment for installation" at the actual cost of acquisition, which consists of the cost at acquisition prices and the cost of acquiring and delivering these values ​​to the warehouses of the organization.

The purchase of equipment for a fee from other organizations and persons is reflected in the debit of account 07 "Equipment for installation" in correspondence with score 60"Settlements with suppliers and contractors" or others.

Acceptance of the equipment contributed by the founders for their contributions to the authorized (pooled) capital of the organization for accounting purposes is reflected in the debit of account 07 "Equipment for installation" and credit accounts 75"Settlements with founders".

The arrival of equipment to the installation can be reflected using accounts 15"Procurement and acquisition of material assets" or without using it in a manner similar to the procedure for accounting for relevant transactions with materials.

The cost of equipment handed over for installation is debited from account 07 "Equipment for installation" in the debit accounts 08"Investments in non-current assets". In this case, the equipment brought to the construction site that requires installation, the contractor takes on off-balance sheet accounting for account 005"Equipment accepted for installation". The cost of this equipment or its parts handed over for installation, the contractor removes from off-balance sheet accounting for account 005"Equipment accepted for installation". The cost of the equipment transferred to the contractor, the installation and installation of which at the permanent place of operation has not actually begun, is not deducted from the developer's register.

When selling, writing off, transferring other equipment for installation free of charge, its cost is written off to the debit of the "Other income and expenses" account.

Analytical accounting for account 07 "Equipment for installation" is carried out at the places of storage of equipment and its individual names (types, brands, etc.).

Account 07 "Equipment for installation"
corresponds with accounts

Application of the chart of accounts: account 07

• VAT in 2018: clarifications of the Ministry of Finance of Russia

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• When the amount of VAT deductible exceeds VAT on proceeds: how to exercise your right to deduction

  Under its jurisdiction, fixed assets, equipment for installation and (or) intangible assets, ... Tax Code of the Russian Federation). Moreover, clause 7 of Art. 176 of the Tax Code of the Russian Federation established ... at the request of the taxpayer for the payment of forthcoming tax payments... RF, with the exception of fixed assets, equipment for installation and (or) intangible assets. ... to the territory of the Russian Federation) fixed assets, equipment for installation, and (or) intangible assets, ... for accounting of data of fixed assets, equipment for installation and (or) intangible assets ...

• Review of letters of the Ministry of Finance of the Russian Federation for February 2018

  Strength. Payment of taxes Letter dated February 7, 2018 No. 03-02 ..., which are not recognized as hopeless for collection. Letter dated February 7, 2018 ... -11/1/6568 Provisions of subparagraph 7 of paragraph 4 of article 105.14 ... accounting for this equipment on account 07 "Equipment for installation" on the basis of an invoice issued ... of the corresponding primary documents. Letter dated February 7, 2018 No. 03-07 ... 170 of the Tax Code of the Russian Federation. Letter dated February 7, 2018 No. 03-05 ... created) in the manner prescribed by paragraph 7 of Article 396 of the Tax Code of the Russian Federation. At...

• Practice of the Supreme Court of the Russian Federation on tax disputes for April 2018

  The funds available on the Taxpayer's current account with the bank were spent ... movements Money on the correspondent account of the Bank indicates that with the settlement ... taxes and fees. Clause 7 of Article 58 of the Tax Code of the Russian Federation established ... buyers on the basis of invoices issued to them. The courts recognized the position of the tax ... after 01.01.2013. Any equipment requiring installation and commissioned in the ... procedure is subject to accounting on accounts 07 "Equipment for installation", 08 "Attachments ...

• VAT in 2017. Explanations of the Ministry of Finance of Russia

  In the generally established order. Letter dated February 7, 2017 No. 03 ... to the Russian tax authority. Letter dated March 7, 2017 No. 03 ... columns from the approved invoice form, correction invoice by this resolution ... funds received as compensation for damage caused by the customer to the contractor's equipment are not ... , equipment for installation and (or) intangible assets ... registration of fixed assets, equipment for installation and (or) intangible assets ...

• Review of letters from the Ministry of Finance of the Russian Federation for September 2018

  Services), with the exception of fixed assets, equipment for installation and (or) intangible assets, the norms ... of the presence of invoices are not accepted for deduction. Letter dated September 7 ... of a payment to be offset against payment for services provided, indicated by ... taxpayers of this tax on the basis of invoices received from the seller ... rights) acquired (paid) at the expense of the specified fee, is not deducted subject to ... funds purchased non-profit organization at the expense of funds received from bringing ...

• Review of letters from the Ministry of Finance of the Russian Federation for November 2017

  For the accounting of fixed assets, equipment for installation and (or) intangible assets ... if the installation of roll-panels on the stylobates of the vestibules ... the lessor in the sales book registers invoices drawn up in one ... not purchased, the provisions of clause 7 Article 258 of the Tax Code of the Russian Federation ... income, the norms of Article 7 of the Tax Code of the Russian Federation apply. Letters from ... issuers, bypassing brokerage accounts, directly to the client's current bank account ... 374 of the Tax Code of the Russian Federation nuclear installations used by the organization simultaneously as ...

• Review of letters from the Ministry of Finance of the Russian Federation for December 2017

  Recognition of fixed assets, equipment for installation and (or) intangible assets by the norms ... as advance payments. Letter dated December 7, 2017 No. 03- ... profit is not recognized. Letter dated December 7, 2017 No. 03- ... the amount of these costs. Letter dated December 7, 2017 No. 03- ... engineering and technical support is carried out at the expense of the organization conducting the construction of automobile ... property, do not change. Letter dated December 7, 2017 No. 03-04 ... payment of the trade fee. Letter dated December 7, 2017 No. 03- ...

• TOP-10 clarifications of the Ministry of Finance of Russia on VAT in 2018

  Services), with the exception of fixed assets, equipment for installation and (or) intangible assets, the norms ... of the Russian Federation does not contradict. Letter dated February 7, 2018 No. 03- ... on the basis of the acceptance certificate containing the obligatory invoice details without ... objects real estate carried out at the expense of budgetary funds, the amount of tax on ... property rights) acquired at the expense of these funds, for deduction from this subsidiary ... of the lease agreement, credited against the security payment under the lease agreement ...

• Filling out the shopping book with partial deduction

  Services), except for fixed assets, equipment for installation and (or) intangible assets, ... 9 on the line "Total payable" of the invoice, and in the case of ... 9 on the line "Total payable" of the invoice ... Any exceptions ... primary documents or the absence of invoices or accounting registers ... untimely or incorrect reflection on accounting accounts, in registers ... October 2014 No. ММВ-7-3 / [email protected], it is indicated that the declaration ... October 2014 No. ММВ-7-3 / [email protected] The declaration form contains ...

• Air conditioners as fixed assets: acceptance for accounting and reflection of expenses

  ... (use for planned purposes) (clause 7 of the GHS "Fixed assets"). ... more than 12 months, which (clauses 7, 8 of the GHS "Fixed assets"): ... for installation, are recognized as inventories. It is determined that the equipment requiring installation includes equipment that ... according to Directions No. 65n should be reflected by the type code ... Instructions for the use of the Unified Chart of Accounts for State Bodies ... .12.2010 No. 157n. Instructions on the procedure for applying the budget ...

• Expenses for the purchase and installation of meters

  Recall that by virtue of clauses 7, 8 of this standard, the main means ..., to the power grid, water supply network, gas pipeline, heating system. Therefore, the meter as an equipment ... requiring installation and intended for installation should be considered ... associated with its purchase and installation. Please note: in the original ... 05 310 Extract from the personal account The installed meters 1 ...

• OKOF for medical equipment and instruments

  Accounting on account 0 101 04 000 "Machinery and equipment". In accordance with ... 500 Fixed assets accepted for accounting 7 101 34 310 7 106 31 ..., entered into an agreement for the purchase and installation of a household air conditioner for a pharmacy warehouse ... and installation of the purchased equipment. Payment of expenses was made at the expense of funds received from ... the household air conditioner can be attributed to air conditioning equipment not included ... on the basis of the old OKOF as equipment on account 0 101 04 000 ...

• Important legal positions of the Constitutional Court and the Supreme Court on taxation for the 4th quarter of 2017

  With the shipowner of tug services for the installation (removal) of booms that prevent ... Interdistrict Inspectorate The federal tax service No. 7 in St. Petersburg). Similar conclusions ... of the Interdistrict Inspectorate of the Federal Tax Service No. 7 for St. Petersburg). 6. ... functional purpose and characteristics, are equipment that ensures production, transformation and transfer ... that are on an impersonal metal account do not belong to currency values, therefore, when ...

• We reflect in the accounting the purchase and installation of air conditioners

  Changes in the technological or service purpose of equipment, buildings, structures or other ... quality and changes in the range of products. Installation of air conditioners in a building, in our opinion ... a share of the cost of equipment installation carried out by a third-party organization (clauses 7 ... engineering features the equipment purchased by your organization and the professional judgment of the accountant of the inventory ...

When a developer company uses equipment that needs preliminary installation and fixing it to capital structures, account 07 is used. The operation of such assets is assumed at the facilities of the enterprise being built or repaired. You cannot reflect on this account:

• vehicles;
• Agreecultural machines. Agreecultural equipment;
• integral sets of machine tools;
• tools and inventory.

Account characteristics 07

Developers' companies can obtain equipment through acquisition, gratuitous receipt from third parties or as a contribution of founders to the authorized capital. The complex of expenses associated with the purchase, delivery and storage, deductions on loans taken for the purchase of spare parts for this equipment are included in the cost of the asset and are recorded in the debit of account 07.

Credit turnovers are formed in the following cases:

• write-offs;
• transfer of the object for installation;
• sales;
• donation to third parties.

Considering the question of whether account 07 is active or passive, it should be borne in mind that all costs for bringing the equipment to working condition are accumulated in debit. Accordingly, he is active. The formed debit balance at the end of the reporting period is transferred to the balance sheet asset, increasing the amount of fixed assets in line 1150. When the asset is transferred to installation, an act is created in the form of OS No. 15, if defects are detected during the installation process, it is necessary to draw up an act in the form of OS No. 16.

Account 07: Receipt and Disposal Postings

Upon receipt and formation of the final cost of equipment requiring additional installation costs, postings are drawn up:

• D07 - K60 when reflecting the price of an asset according to the supplier's documents;
• D07 - K23 when delivered on their own;
• D07 - K60, 76 when receiving delivery services from third-party organizations;
• D07 - K15 upon acceptance of equipment at discount prices;
• D07 - K66, 67 when calculating interest on loans issued for the purchase of equipment (short-term and long-term loans);
• account 07 of accounting is debited when crediting account 71 in case of reflection of the expenses of the accountable person associated with the purchase of equipment;
• D07 - K75 in the amount of the cost of equipment contributed by the founders as a contribution to the authorized capital;
• D07 - K79 upon receipt of equipment from a separate subdivision or the head office of the enterprise;
• D07 - K91.1 when posting the surplus in the form of equipment revealed during the inventory.

The transfer of an asset for installation is realized by correspondence between debit and credit 07. The equipment account for installation is credited with a simultaneous debit of account 94 in the event that an object is written off that is unsuitable for installation and operation. When an asset is sold prior to installation work or its gratuitous transfer is made, account 91 debit is used.

Account 07 "Equipment for installation": an example from practice

LLC "Keyes" purchased equipment worth 1,416,000 rubles, including VAT of 216,000 rubles. Before starting operation, the purchased asset requires delivery and installation:

• the transport company delivered the equipment for 38,940 rubles, including VAT of 5,940 rubles;
• third party performed assembly work for 145 140 rubles, including VAT 22 140 rubles.

In accounting, account 07 is involved in postings:

1. D07 - K60 in the amount of 1,200,000 rubles. at the time the cost of the purchased equipment is recognized.
2. D19 - K60 in the amount of input VAT 216,000 rubles.
3. D07 - K60 in the amount of the cost of services of the carrier company 33,000 rubles.
4. D19 - K60 in the amount of input VAT 5,940 rubles.
5. D08.03 - K07 - drawn up when the object is transferred for installation carried out by a third-party organization, the amount is 1 233 000 rubles. (1,200,000 + 33,000).
6. D68 - K19 for 221,940 rubles. (216,000 + 5,940) upon acceptance of VAT deduction.
7. D08.03 - K60 for 123,000 rubles. when reflected in the accounting of installation services.
8. D19 - K60 for 22,140 rubles, input VAT from the installation company is taken into account.
9. D01 - K08.03 in the amount of 1,356,000 rubles. (1 233 000 + 123 000) at the time of putting the equipment into operation.
10. D68 - K19 in the amount of 22,140 is accepted for deduction of VAT.