Work in progress costs. Work in progress (WIP): accounting and valuation. Accounting for the release of finished goods: accounting entries

To begin with, let us recall from which, in fact, an accountant can choose, which forms the accounting policy of the organization.
In case of a single production, the WIP assessment is prescribed to be carried out at actual costs, but in mass or batch production, you can choose from four methods:

• according to the normative (planned) production cost;
• by direct cost items;
• at the cost of raw materials, materials and semi-finished products.

Finished products are to be reflected in the balance sheet in one of the following ways:

• at the actual production cost;
• at the standard (planned) production cost.

Moreover, the standard cost, in turn, can be determined in one of two ways:

• by the amount of standard costs associated with the use in the production process of fixed assets, raw materials, materials, fuel, energy, labor resources, and other production costs;
• on direct cost items.

If the products are in accordance with accounting policy will be assessed at the actual production cost, in current accounting it becomes necessary to apply accounting prices, which can be used as the standard cost, and the contractual (selling) price of products, and other types of prices.
And already at the end of the month, arising deviations (calculation differences) will be identified and written off.

Practical examples of WIP assessment

In order to make an informed choice of methods for assessing WIP and WIP, it is necessary to analyze how exactly they are applied and to what consequences they lead. And to make the difference obvious, within the framework of this article we will consider different variants on the same original numeric example.

Example 1. The enterprise produces canned vegetables... At the beginning of the month, there was no work in progress (in the shop) or the remains of unsold products (in the warehouse).

Within a month, 10,000 units were put into production. products, in fact, within a month, 9800 units were released and posted to the warehouse, of which 9500 units were sold during the month. at the price of 90 rubles. per unit (assume that the company does not pay VAT).

Thus, the work in progress at the end of the month is 200 units. (in the shop), and the remainder is unsold finished products- 300 units (in stock).

The costs of the workshop for the current month were:

• raw materials, materials, semi-finished products - 400,000 rubles;
  
• workers' wages and insurance premiums- 65,000 rubles;
  
• depreciation of equipment - 6,000 rubles;
  
• shop expenses (salary of maintenance and management personnel of the shop with insurance premiums, depreciation of the shop building, utility bills, etc.), distributed at the end of the month by given view products - 90,000 rubles.
  

total amount actual production costs for the month amounted to 561,000 rubles.

Administrative (general) and commercial expenses are not considered in this example (in this case, we will assume that, according to the accounting policy, they are considered conditionally constant and are attributed to a decrease financial result, that is, they do not participate in the formation of production costs).

In accounting, the collection of costs is reflected in the following entries:

It is more convenient to advance according to the principle "from simple to complex", in our case - from the minimum set of costs included in the calculation to the maximum. After all, of course, the smaller the range of costs is taken into account when assessing the WIP, the easier it is to do necessary calculations, but, on the other hand, the more expenses will be included in the cost of finished goods and ultimately the cost of sales will be higher and the financial result lower (profit is less and loss is greater).

Evaluation of WIP at the cost of raw materials, materials and semi-finished products

This option is very convenient. Indeed, as a rule, the bulk of raw materials, materials and semi-finished products are released from warehouses to production units at the very beginning production cycle and the amount of raw materials "launched" in the workshop corresponds to the amount of the expected output of products, and if the output is less, it means that the corresponding part of raw materials and materials "settled" in the WIP.

Example 2. Let's go back to example 1 and suppose that the accounting policy enshrines the method for assessing WIP at the cost of raw materials, materials and semi-finished products.

Consumption of raw materials, materials and semi-finished products per unit of production (including both finished products and WIP, that is, based on the "neglected" volume) is: 400,000 rubles. / 10,000 units = RUB 40

Since the work in progress is 200 units, its cost will be estimated at: 40 rubles. x 200 units = 8000 rubles.

• the proportion of unfinished products in the total number of "neglected" products: (200 units / 10,000 units) x 100 = 2%;
  
• share of the cost of raw materials, materials and semi-finished products related to WIP: 400,000 rubles. x 2% = 8000 rubles.
  

Accordingly, the actual production cost of the manufactured products will be: 561,000 - 8,000 = 553,000 rubles.

If the cost of raw materials and materials makes up a significant part of the cost of finished products - say, 80% or even 90% (or at least 70 - 75%) - this assessment method can be considered quite accurate and adequate and there is little sense in spending time and effort on then, to add to the cost of raw materials, materials and semi-finished products also relatively insignificant and insignificant amounts of salaries, insurance premiums, depreciation deductions and others production costs, which in such circumstances is simpler, more convenient and, in general, more logical to attribute entirely to finished (manufactured) products.

This situation - the predominance of material costs in the structure of production costs - is especially typical for the food industry, and therefore this option may be the most preferable "in all respects": from the standpoint of simplicity, convenience, clarity, and adequacy.

WIP estimate for direct cost items

If the share of material costs is not so large and the role of the labor factor is quite significant - that is, a considerable part of the cost is the remuneration of workers who manufactured products (and, of course, insurance premiums from this salary), as well as, possibly, depreciation deductions - the first method assessments can give an insufficiently adequate picture.

In this case, another method may come in handy - estimating WIP at direct cost items. Usually, direct articles are understood as:

1) "direct materials", that is, the cost of basic materials, raw materials, semi-finished products that form the basis of the product;

2) "direct labor", that is, the wages of those basic workers who are directly involved in the manufacture of products (performance of certain technological procedures, operations, etc.), and insurance premiums from it.

In addition, depreciation or lease costs can be direct in nature. production equipment, but this is relevant only if only one type of product is produced on this equipment, that is, depreciation costs are not indirect and are not subject to distribution among several types of products (in such a situation, they are included in general production costs).

Roughly speaking, "direct cost items" are those costs that the accountant immediately attaches to account 20 "Main production" (for example, in correspondence with accounts 10 "Materials", 70 "Payments with personnel for wages", 02 " funds ", etc.). If costs are previously collected within a month on account 25 "General production costs", they are not direct and, accordingly, should not be taken into account when applying the considered WIP valuation method.

Example 3. Let's go back to example 1 and suppose that the accounting policy specifies a method for assessing WIP by direct cost items and are considered as such:

• raw materials, materials, semi-finished products;
  
• wages of basic production workers with insurance premiums;
  
• depreciation of production equipment, if this equipment produces one type of product (that is, it is not subject to distribution among several types of products).
  

Let us assume that in our case three cost items are direct, and, per unit of "launched" product, they amount to:

• raw materials, materials, semi-finished products - 40 rubles. (see example 2);
  
• workers' wages and insurance premiums: 65,000 rubles. / 10,000 units = 6.50 rubles;
  
• depreciation of equipment: 6000 rubles. / 10,000 units = 0.60 rubles.
  

Thus, each unit of "unfinished" products should be evaluated by direct cost items in the amount of: 40 + 6.50 + 0.60 = 47.10 rubles.

And, therefore, the total amount of WIP should be estimated in the amount: 47.10 rubles. x 200 units = 9420 RUB

Accordingly, the actual production cost of the manufactured products will be: 561,000 - 9420 = 551,580 rubles.

If the specificity of the production process is such that in the process of processing future products go through several stages at which labor costs are "added", for a correct assessment by the direct cost method, an inventory should be carried out at the end of the month WIP residues with fixing the number of unfinished products remaining at each stage in order to calculate the amount of direct labor costs to be included in their cost. Also, the accountant needs to know the rates of direct labor for each of the operations (stages) or the time spent at each stage and hourly rates of remuneration.

Evaluation of WIP at standard cost

In order to estimate the WIP at the standard cost, the accountant at the end of the month only needs to know the total number of unfinished (unfinished) items.

Well, and, of course, you need to know the value of the standard cost, but it is determined in advance based on plans and established standards, that is, this value does not depend on the actual results of the current month. In principle, it is not even the accounting department that can determine the standard cost, but the planning and economic department of the enterprise, if there is one, and then it is even easier for the accountant.

Usually, the standard cost of WIP is determined in the same way as the standard cost of finished products - either at direct costs or at all production costs (based on established standards).

Example 4. Referring again to the data in Example 1, but suppose that accounting policies it is envisaged to evaluate the finished product and WIP at the standard cost, which, according to the estimates of the planning and economic department, is 56 rubles. per unit of production.

Since the quantitative WIP is 200 units, the accountant estimates the "unfinished" in the amount of: 56 rubles. x 200 units = RUB 11,200

And the actual cost of finished products in this case will be determined as follows: 561,000 - 11,200 = 549,800 rubles.

At the same time, in accounting, this finished product is already reflected at the standard cost in the amount of: 56 rubles. x 9800 units = 548 800 rubles.

WIP estimate based on actual production cost

And, finally, the most complicated, but also the most complete and accurate method for estimating WIP is based on the actual production cost, which takes into account not only direct, but also indirect (general production) costs.

Example 5. Using the data in Example 1, suppose the entity chooses to estimate the WIP at actual production costs.

At the end of the month, the accountant summed up all the costs incurred for the month, reflected on account 20 (including those written off from other accounts, including account 25), and received the total amount of actual production costs for the month - 561,000 rubles.

This means that the actual production cost of each unit of production - both completed and unfinished - amounted to: 561,000 rubles. / 10,000 units = 56.10 rubles.

And the "unfinished" will be estimated at: 56.10 rubles. x 200 units = 11 220 rubles.

And the cost of manufactured products will be determined in the amount of: 561,000 - 11,220 = 549,780 rubles.

Ideally, here, too, the degree of readiness of products should be taken into account, if such can be determined (then general production costs when assessing WIP are "tied" to direct labor costs).

Let us turn Special attention that speech in regulations is about estimating WIP solely at production cost. However, the understanding of this term can be different.

In foreign practice, general business (administrative) and commercial expenses are definitely not included in the production cost - they are attributed directly to the decrease in the financial result (which is equivalent to entries from the credit of accounts 26 and 44 directly to the debit of account 90 "Sales").

In Russia, another option is admissible and often applied - when general running costs are not considered as conditionally permanent, but also include in the cost of production, in other words, account 26 is closed in the debit of account 20 (as well as accounts 23, 29 when selling products, works, services, auxiliary and service industries and farms to the outside). With this option, the "production cost" is considered the total amount of costs collected on account 20, including general business expenses. And what is considered "production cost" according to Western ideology, in this case is called "shop floor".

Thus, depending on the approach chosen and the option for writing off general business (management) costs in the accounting policy, it is necessary to further clarify the concept of production cost and the composition of costs included in it (calculation items), on the basis of which the finished product and WIP are assessed.

Practical examples of evaluating finished products

Now, for the sake of completeness, we will show how the finished product is assessed and how operations for the production and sale of products, as well as the write-off of the cost of finished products (taking into account the estimated WIP) are reflected in the accounting records.

Evaluation of SOEs at standard cost

As a rule, if the company decides to evaluate the finished product at the standard cost and uses this assessment not as a book price, but as a variant of the formation of indicators balance sheet, it becomes necessary to use account 40 "Release of products (works, services)".

Example 6. Let us continue to consider examples 1 and 4 and supplement the condition: suppose that the accounting policy also provides for the use of account 40 to reflect transactions on accounting for the output of finished goods and the assessment of products both on account 43 and in accounting statements produced at standard cost.

In addition to accounting records presented in example 1, the accountant will reflect the posting of the product (at the standard cost) and its sale during the month, and at the end of the month will write off the actual cost and the resulting deviation with the following entries:

As a result of all the above records, the following account balances are formed, which must be taken into account when forming the balance sheet asset:

• on account 20 - 11,200 rubles. (WIP estimate at standard cost, WIP balance - 200 units);
  
• on account 43 - 16 800 rubles. (estimate of the balance of unsold products at the end of the month in the amount of 300 pcs. at the standard cost).
  

And the income statement will reflect:

• proceeds in the amount of 855,000 rubles;
  
• cost of sales in the amount of 533,000 rubles;
  
• gross profit 322,000 rubles.

Actual cost and book prices

As already emphasized earlier, it is possible to determine the actual cost price only at the end of the month, and customers have to come and write off products as they are released from production and arrive at the warehouse, as well as leave the warehouse within a month, even before summing up, when the exact cost of products and the value of the WIP is still unknown. Therefore, if the organization chose not to use account 40 and not to evaluate products at the standard cost (for the purposes of forming a balance sheet), in the current accounting it is necessary to use discount prices. These can be, for example, contract prices (sales price) or even standard (planned) costs. But at the end of the month, the difference between the actual cost and the book price - the so-called calculation difference - will be written off to the same account 43 "Finished goods", where the products are already reflected in discount prices, and ultimately the balance of account 43 will reflect the actual cost of the balance of finished goods.

Example 7. Now let's take examples 1 and 2 and suppose that in accordance with the accounting policy:

• WIP is estimated at the cost of raw materials, materials and semi-finished products;
  
• the assessment of the finished product is carried out at the actual production cost (not including general business expenses written off "month by month" directly to account 90, but in this example they will not be considered);
  
• the accounting of finished products is kept on account 43 (without using account 40), while the contract prices are used as the discount price (90 rubles per unit), and the calculation difference is reflected in a separate subaccount, that is, subaccounts are used:
  

43-1 "Finished products at the accounting (contractual) price";

43-2 Cost Difference.

In addition to the accounting entries presented in example 1, the accountant will reflect the posting and sale of products (at book prices) during the month, and at the end of the month, write off the actual cost and the resulting deviation with such entries:

As a result of all the above records, the following account balances are formed, which must be taken into account when forming the balance sheet asset:

• on account 20 - 8000 rubles. (assessment of WIP at the cost of raw materials, materials and semi-finished products, the remainder of WIP - 200 units);
• on account 43 - 16 929 rubles. (estimate of the balance of unsold products at the end of the month in the amount of 300 pieces at the actual cost), including:

on subaccount 43-1 (value at discount prices) - 27,000 rubles;

on subaccount 43-2 (calculation difference, reversal) - 10 071 rubles.

And the income statement will reflect:

• revenue in the amount of 855,000 rubles;
• cost of sales in the amount of 536,071 rubles;
• gross profit RUB 318,929

Taking into account the specifics of the food industry, in cases where the cost of raw materials and materials makes up a significant (about 80 - 90%) part of the cost, the simplest method for assessing WIP is quite adequate - at the cost of raw materials, materials and semi-finished products.

However, in any case, when choosing a method for evaluating WIP and finished products, it is necessary to take into account not only the ease of its application, but also its impact on the generated accounting indicators in order to ensure an acceptable accuracy of assessing assets (remnants of WIP and unsold finished products) and the financial result. Also important are the technological features of the production process, and the specifics of the activities of a particular organization as a whole.
In addition, many accountants strive to bring accounting and tax accounting as close as possible. Therefore, another factor that influences their choice is the requirements of tax legislation on this issue. We will discuss this problem in the next issues.

From an economic point of view, the costs of any enterprise are divided into direct and indirect. Direct costs are variable, that is, they increase or decrease along with changes in the volume of production (for example, the cost of raw materials and materials). Indirect costs are constant, that is, they do not directly depend on the volume of output (for example, remuneration of management personnel).

The production costs of the enterprise are divided into two groups. Accordingly, the cost of products (works, services) in accounting can be determined in two ways:

as a full cost, including all production costs;

as a partial (reduced) cost, including only direct costs.

In determining full cost the amount of production costs includes all costs, including indirect ones. When selling products, profit is calculated as revenue minus the total cost, including direct and indirect costs allocated to a given type or batch of products. The total cost can be calculated based on actual and planned (standard) costs. The total costing method is sometimes referred to as absorption costing.

The partial cost method means that only a narrow range of direct costs are included in the cost of production, all the rest are written off to reporting period... This method is sometimes referred to as direct costing.

Since 2002, tax legislation has prescribed all organizations to use the direct costing method in tax accounting. However, it has its own specifics, defined by Articles 318-320 of the Tax Code of the Russian Federation. It is by this method that it is necessary to assess the work in progress (WIP) at the end of each month.

At the same time, for each industry in accounting, its own methods of cost accounting and WIP estimation have been developed. They are very diverse: from full cost to order accounting(for example, experimental and small-scale mechanical engineering) before estimating WIP in the amount of direct costs of raw materials alone (for example, the jewelry industry, where raw materials account for the lion's share of the cost price).

Prior to the enactment of Chapter 25 of the Tax Code of the Russian Federation, traditional methods for assessing WIP were reflected, as a rule, in the sectoral features of cost accounting, which were approved by the relevant ministries or departments. Currently, departmental acts on cost accounting continue to be widely used when maintaining accounting.

What is the variety of industry-specific features of WIP assessment and how far they are sometimes from the norms of Articles 318-320 of the Tax Code of the Russian Federation, we will consider with examples.

So, in the production of scientific and technical products (works, services), the Ministry of Science and Technology of the Russian Federation recommended keeping records of costs by ordering method and valuate WIP at full actual cost, including all costing items. It was recommended to include in direct costs the costs of materials, special equipment and salaries of the main personnel, as well as the costs of work performed by third-party organizations. This is defined in the Model Methodological Recommendations for Planning, Accounting and Calculation of the Cost of Scientific and Technical Products, approved by the Ministry of Science and Technical Policy of the Russian Federation.

In the tourism industry, the State Committee of the Russian Federation for Physical Culture and Tourism recommended evaluating the WIP at the full actual cost or at direct costs at the choice of the organization (order of the State Committee for Physical Culture and Tourism dated 04.12.98 No. 402). It was recommended to include in direct costs material costs(including services of third parties), labor costs, social contributions, depreciation and other costs.

In the forestry industry, it is recommended to use the full planned cost to estimate WIP. At the same time, different sub-sectors use their own characteristics of this method. This procedure is given in the Industry specifics of the composition of costs included in the cost of production at the enterprises of the timber industry complex, approved by the state timber company "Roslesprom" in agreement with the Ministry of Economy of Russia and

So, in the sawmill production, WIP is usually assessed in full planned cost, excluding the costs of preparation and development of production and sales costs. When logging, WIP is recommended to be assessed according to the standards as a percentage of the planned cost of the so-called impersonal cubic meter.For example, if a forest has been felled but not yet removed from the cutting area, it is estimated at 50% of the planned cost of a cubic meter. If timber is in an intermediate warehouse - 80%, etc.

the amount of accrued depreciation on fixed assets used in the production of goods, works, services.

This list is open and can be supplemented with expenses that are specific to a particular type of activity or enterprise.

So, in the Resolution of the Federal Antimonopoly Service of the West Siberian District of March 18, 2013 No. F09-506 / 13, the arbitrators expressed that if an organization that uses wood as a raw material for the production of products pays rent for timber harvesting, then these costs should be accounted for in the composition direct costs in terms of the cost of harvesting forest resources.

Indirect costs are all other costs incurred by the taxpayer during the reporting (tax) period, with the exception of non-operating costs.

Indirect costs are written off in full in the reporting period. Straight lines are not. They will not be written off in full if the organization has work in progress, finished goods in the warehouse, as well as shipped but not yet sold products.

Work in progress in accounting

According to clause 63 of the Regulation on accounting and bookkeeping in the Russian Federation, approved by order of the Ministry of Finance of Russia dated July 29, 1998 No. 34n, work in progress includes “products that have not passed all stages (phases, redistributions) of processing provided for technological process, as well as products incomplete and not passed technical acceptance ”.

In accordance with the Instructions for the application of the Chart of Accounts, the balance on account 20 "Main production" at the end of the month reflects the cost of work in progress.

Clause 64 of the Regulation on accounting and bookkeeping in the Russian Federation establishes that an organization can evaluate WIP in four ways:

At actual production cost.

At the standard (planned) production cost.

Direct cost items.

At the cost of raw materials, materials and semi-finished products.

Batch manufacturing organizations can choose any of these methods. Organizations engaged in single (piece) production must, in mandatory estimate WIP at actual cost.

Thus, in the regulations of the Ministry of Finance of Russia on accounting, the total cost is called the production cost and is divided into actual and planned.

Under the direct cost method, the organization estimates the WIP balances only for those cost items that, according to its accounting policy, it reflects directly on account 20 "Main production". In this case, the cost will include, for example, the cost of raw materials written off into production, the remuneration of workers in the shops, but general business expenses will not fall.

When using the WIP valuation method based on the cost of raw materials, materials and semi-finished products, the prime cost includes only one type of direct costs - the cost of raw materials, materials and semi-finished products written off into production, respectively.

Work in progress in tax accounting

In the current tax legislation WIP valuation methods differ significantly from accounting. Work in progress is considered (Article 319 of the Tax Code of the Russian Federation):

products (works, services) of partial readiness;

completed, but not accepted works and services;

balances of unfulfilled production orders;

remnants of semi-finished products own production.

As indicated in paragraph 2 of clause 1 of Article 319 of the Tax Code of the Russian Federation, the taxpayer estimates the remnants of WIP at the end of the current month by comparing data on the movement and balances of raw materials and finished products and data tax accounting about the amount of direct costs incurred in the current month.

The taxpayer must evaluate all WIP objects (products of partial completion, semi-finished products of their own production, etc.) according to the amounts of direct costs (specified in Art. 318 of the Tax Code of the Russian Federation) that fall on them.

Thus, in tax accounting, an organization can evaluate WIP only using the direct cost method (as they are understood in Article 318 of the Code), while in accounting this is only one of the possible valuation methods.

At first glance, the method for assessing WIP in tax accounting at direct costs is extremely taxpayer (especially industrial organizations). If there is work in progress, he can write off for tax purposes a number of costs that, using the full cost method, would most likely be included in the WIP (for example, production services third-party organizations, payment for electricity, fuel, water, heat, costs of auxiliary production, etc.).

However, in practice this turned out to be not entirely true, and there are two reasons for this.

Firstly, according to Article 319 of the Tax Code of the Russian Federation, production organizations must estimate direct costs for tax purposes not according to accounting data, but by means of a special one based on the balance of raw material flows in natural units.

This means that for enterprises of small-scale production and firms with a wide range of raw materials and finished products (for example, in mechanical engineering), the accounting technique will become significantly more complicated. It so happens that the savings arising from the WIP assessment method at partial (incomplete) cost, for this category of taxpayers are covered by additional costs of hiring specialists and installing

In accounting, such organizations could abandon the too costly accounting method, referring to the principle of rationality in accounting, which is established by paragraph 6 of PBU 21/2008 (Regulation approved by order of the Ministry of Finance of Russia dated 06.10.2008 No. 106n). However, in tax accounting, the taxpayer cannot refuse to estimate the WIP using the direct cost method and use the full cost price.

Secondly, at enterprises with a very long production cycle, it is not always profitable to write off a lot of costs at the initial stage of production. If the main part of the costs was written off last year, as a result of which a loss was received, and the proceeds were received in the current year, the profit of the current year can be reduced by losses of previous years by no more than 30%. The rest of the loss can be written off only in subsequent years (Article 283 of the Tax Code of the Russian Federation).

In article 319 of the Tax Code of the Russian Federation, taxpayers are divided into three groups, and each of them has its own method of writing off direct costs:

• Taxpayers whose production is associated with the processing and processing of raw materials.
• Taxpayers whose production is associated with the performance of work (provision of services).

Other taxpayers.

For production Code 319, the following WIP assessment method is defined. Taxpayers, whose production is associated with the processing and processing of raw materials, allocate the amount of direct costs to the remnants of WIP in a share corresponding to the share of such residues in the initial raw materials (in quantitative terms), minus technological losses. Raw materials are understood as the material used in production as a material basis, which, as a result of successive technological processing (processing), turns into finished products.

Thus, the taxpayer in the accounting policy is obliged to determine the type of raw material, which is the material basis of the product. The term "material basis" is used in the singular. Accordingly, for each type of finished product, it is necessary to select one predominant type of raw material, determine the rates of its consumption per unit of production and calculate what proportion of the spent raw materials falls on the WIP.

The direct costs of the taxpayer for the month amounted to 1,000,000 rubles. 1000 units of raw materials were transferred to production, 300 (30%) of which remained in work in progress.

For tax purposes, 70% of direct costs (RUB 700,000) must be written off, and 30% (RUB 300,000) will remain as part of the WIP.

A more complex situation is developing at a diversified enterprise that produces two types of products from different types of raw materials. It is not always possible to draw up a unified balance of the movement of raw materials in natural units. The fact is that the amount of one raw material can be measured in meters, the other in kilograms. The taxpayer will have to split the direct costs between the two types of products and for each draw up a balance between the movement of raw materials and the output of products.

If different types production facilities are isolated from each other, it is quite simple to share costs. Certain difficulties arise when different types of products from different raw materials are produced in the same workshop, on the same equipment, by the same workers. Then it is possible to divide expenses, such as, for example, depreciation, only by conditional methods - in proportion to the costs of raw materials and materials, labor remuneration (if it is piecework) or proceeds from this product, etc. Chapter 25 of the Tax Code of the Russian Federation does not regulate this and the right to choose methods of calculating direct costs by type of product remain with the taxpayer.

For example, in one workshop, the same workers using the same turning equipment can make parts from completely different materials within a month - different grades of steel, non-ferrous metals and even wood. Each type of product will have its own balance of raw material consumption and product output. It is not always possible to divide the depreciation of the equipment of such a workshop between the types of products directly. Then you will have to use conditional methods - for example, determine the wages for each type of product (based on orders) and divide the depreciation in the same proportion. There is another way: to determine the share of expenses for raw materials and supplies for each type of product in the total amount of expenses and to divide depreciation in the same proportion.

For organizations that sell work and services, Article 319 of the Tax Code of the Russian Federation establishes its own procedure for assessing WIP. Taxpayers whose production is associated with the performance of work (provision of services), the amount of direct costs is allocated to the remnants of WIP in proportion to the share of unfinished (or completed, but not accepted at the end of the current month) orders for the performance of work (provision of services) in the total volume of work performed during the month orders for the performance of work (provision of services).

Thus, if the volume of completed orders for the month amounted to 1,000,000 rubles, of which the customer accepted (included in the proceeds) 700,000 rubles, only 70% of direct costs can be written off to expenses in the current month.

Other organizations that are not related to either production or to the sphere of performing work and rendering services, the amount of direct costs is allocated to the remnants of WIP in proportion to the share of direct costs in the planned (normative, estimated) cost of products.

Differences in WIP Valuation in Accounting and Tax Accounting

If an organization uses the full cost method in accounting, it is impossible to estimate the amount of WIP for tax purposes using direct accounting data.

The costs of the production organization, keeping records by the order method, for the month amounted to 1,000,000 rubles. Of these, 500,000 rubles. - payment for the services of third-party organizations, 200,000 rubles. - the cost of purchasing raw materials, 200,000 rubles. - labor costs of production workers and 100,000 rubles. - depreciation deductions.

The organization, having spent 1,000,000 rubles, produced two products within a month: product 1 and product 2. Product 1 has been sold, the production of product 2 has not been completed. The fixed assets for both products were used the same. Both products are the same and the raw materials used for their production are the same. In accounting, WIP is valued at full cost.

In accounting, you need to make the following entries.

Debit 43 Credit 20 - 500,000 rubles. - item 1 is capitalized as finished goods.

Since item 1 was sold, its value was written off by posting:

Debit 90-2 Credit 43 - 500,000 rubles. - the cost of products sold has been written off.

The cost of manufacturing product 2 in the amount of 500,000 rubles. will remain on account 20 "Main production" as work in progress and go to the next reporting period.

In tax accounting, the cost of the services of third-party organizations in the amount of RUB 500,000. should be written off already in the current period, since Article 318 of the Tax Code of the Russian Federation classifies them as indirect costs. Depreciation deductions and the cost of raw materials and labor costs of production workers, on the contrary, cannot be fully written off, since they are included in direct costs. The total amount of these expenses is 500,000 rubles. Since 50% of all raw materials transferred to production for the manufacture of product 2 remained in work in progress, only 50% of direct costs, that is, 250,000 rubles, should be written off in the current month.

Discrepancies between accounting and tax accounting in the given example are reflected in the table.

Thus, in accounting, the work in progress will amount to 500,000 rubles, and in tax accounting - only 250,000 rubles.

Table. Work in progress in accounting and tax accounting

Differences in WIP valuation in accounting and tax accounting may be even greater if the prices for raw materials transferred to production are different. This will happen if, in accordance with the accounting policy, the entity applies the FIFO method to estimate the cost of raw materials when they are written off for production.

Let's use the conditions of example 2. Suppose that the raw materials for product 1 were purchased several years earlier than for product 2, and its purchase price was 50,000 rubles. The purchase cost of raw materials for product 2 is 150,000 rubles. In accordance with its accounting policy, an entity uses the FIFO method to estimate the cost of raw materials.

In accounting, the amount of the WIP will accordingly increase by 50,000 rubles, since at the end of the month it turned out that the item on which the more expensive raw materials were written off turned out to be unfinished.

Nothing will change in tax accounting, since natural indicators are used to estimate WIP. The cost of work in progress will remain equal to 250,000 rubles.

Even greater differences in tax and accounting will appear if the taxpayer calculates the balance of the movement of raw materials for a group of several homogeneous products, for which the material basis is the same type of raw material, but the rates of its consumption are different.

The amount of direct costs that is written off for tax purposes in this situation will depend on which items were included in the WIP. The amount of WIP in tax accounting will be the greater, the more material-intensive products are included in the work-in-progress (and vice versa).

Let's use the conditions of example 2. Suppose that product 1 and product 2 are two different machines, which are produced in the same workshop from the same metal grade. This metal serves as the material basis for products. Suppose that the manufacturing technology is such that for product 1, the consumption rates of raw materials are four times higher, but the raw materials spent on this product are four times cheaper. The price of raw materials used in the manufacture of product 1 is 1250 rubles. per unit, and in the manufacture of product 2 - 5000 rubles. for a unit.

From the condition it follows that out of every 100 units of raw materials, 80 went to product 1, and 20 to product 2. In other words, 4/5 of the total amount of raw materials released for production in natural units was used in the manufacture of product 1, and 1/5 of the raw materials remained in work in progress. Due to the difference in purchase prices, the cost of raw materials in value terms was distributed equally:

for the manufacture of a product 1 - 100,000 rubles. (1250 rubles x 80 units);

for the manufacture of a product 2 - 100,000 rubles. (5000 rubles x 20 units).

In accounting, where cost indicators are used to estimate work in progress, the WIP will still remain at the level of 500,000 rubles.

In tax accounting, which, according to article 319 of the Tax Code of the Russian Federation, is tied to the movement of raw materials in natural units, the result, compared to the indicators of example 2, will be different. Since only 1/5 of the raw materials remained in unfinished product 2, 4/5 of direct costs are subject to write-off in the current month. This means that out of 500,000 rubles. direct expenses in tax accounting 400,000 rubles. to be written off and only 100,000 rubles. remain in work in progress.

So, the taxpayer can combine accounting and tax accounting of WIP. To do this, it is necessary to apply the same methods for assessing WIP in accounting as in tax accounting, that is, those provided for in Article 319 of the Tax Code of the Russian Federation. Recall that the possibility of choosing a method for assessing work-in-progress in accounting is provided for in paragraph 64 of the Regulations on accounting and financial reporting. However, as already mentioned, the method of estimating work in progress at direct costs (direct costing) is not convenient in all industries. Some organizations will certainly prefer to separate the accounting and tax accounting of WIP rather than change the way they do their accounting.

incomplete tax accounting

Work in progress in accordance with clause 63 of the "Regulations for accounting and reporting" includes: products (works) that have not passed all stages of the technological process and incomplete products that have not passed tests and technical acceptance.

In accounting, work in progress can be reflected:

* in case of one-off production - according to the actual costs incurred

* for mass and serial production

1.According to the actual production cost,

2.According to the planned production cost,

3. by direct cost items,

4. at the cost of raw materials, materials, semi-finished products.

The method of assessing work in progress at actual cost is the most common and reliable. The essence of this method is that according to the inventory data, the amount of work in progress is determined at the end of the reporting period. By multiplying the quantity by the calculated average cost work in progress is determined by the actual production cost of all work in progress at the end of the month.

Estimation by standard (planned cost) is used in conditions of mass and serial production. With this method of valuation, the accounting (planned) price of a work-in-process unit, calculated by economists, is used. The use of discount prices greatly simplifies the accounting of work in progress, but in this case, the process of determining the cost of finished goods is more laborious. When using this method, it is necessary to keep records of deviations from the value of work in progress at book prices and the actual cost recorded on account 20 "Main production".

Assessment of work in progress at the cost of raw materials, materials and semi-finished products is mainly used in material-intensive industries. This method differs from the previous ones in that the composition of work in progress includes only direct costs or only raw materials, materials and semi-finished products, and all other costs are written off to the cost of finished products.

A manufacturing organization must choose a method for assessing work in progress and consolidate it in the accounting policy.

The volume of work in progress is determined by inventory or documentary method.

Organizations that manufacture products with a long manufacturing cycle or provide complex services (construction, scientific, design, etc.) may recognize the sale of:

* as a whole, as a completed and delivered work to the customer;

* for individual stages of the work performed.

The first option is traditional; in the second option, accounting is carried out using account 46 "Completed stages of work in progress". The debit of the account reflects the cost of the stages of work paid by the customer, completed by the organization, in correspondence with account 90 "Sales". At the end of all stages, the cost paid by the customer is debited from account 46 to the debit of account 62 "Settlements with buyers and customers."

Assessment of the balances of work in progress is made on the basis of the data of the primary accounting documents on the movement and on the balances of raw materials and materials, finished products by shops. The presence and size of work-in-progress remains depend on the nature and duration of the technological process, as well as the characteristics of the products. The size of the remainder of the work in progress is established by taking an inventory.

Account balances 20 "Main production", 23 "Auxiliary production", 29 " Service production and farms ”at the end of the month show the value of work in progress.

Work in progress valuation methods:

At actual cost (suitable for both mass and piece production)

All production costs are included. Optimally accurate method.

Example. From a sheet of metal worth 1000 rubles. it turns out 100 door hinges. Manufacturing costs 1 pc. - 50 rubles. The remainder of the work in progress at the end of the period is 200 pieces. Cost of 1 item: 10 rubles. + 50 rubles = 60 rubles. Work in progress at the end of the period: 200 pcs. x 60 rubles. = 12,000 rubles.

At the standard production cost (used in batch and mass production)

The write-off rate for each component of the cost is determined by the economic department of the enterprise based on industry norms, guidelines and the characteristics of the production process. When recalculating, there may be deviations between the actual costs and the valuation prices. If the norms change in the current period, it may become necessary to revalue the balance of work in progress at the beginning of the period.

Example. The actual costs for the production of 100 door hinges were 3,760 rubles: the cost of 1 sheet of metal was 1,000 rubles. + staff salary 2000 rubles. + contributions to social insurance RUB 560 + depreciation of the machine 200 rubles. According to the standard established at the enterprise, the cost of producing 100 door hinges is 3000 rubles. The deviation was 3760 rubles. and can subsequently be written off to the increase in the price of the product or the decrease in its value.

By direct cost items (used in material-intensive industries)

The prime cost includes only direct costs associated only with the production process, the composition of which is determined by the accounting policy. With this technique, all other costs are included directly in the cost of the finished product.

Example. Direct costs for the production of 100 door hinges amounted to 3,760 rubles: the cost of 1 sheet of metal was 1,000 rubles, the salary of production personnel involved in the manufacture of products was 2,000 rubles, social insurance contributions were 560 rubles, and the depreciation of the machine was 200 rubles. The remainder of the work in progress at the beginning of the period is 10,000 rubles. During the period, 100 loops were produced, 60 pieces were released. The size of the work in progress at the end of the period is: (3760 rubles: 100 pcs. X 60 pcs.) + 10000 = 12256 rubles.

At the cost of raw materials, semi-finished products, materials (applicable for a short production cycle)

The cost price includes only actual cost material transferred to production. All other costs are included directly in the cost of finished goods.

Example. The cost of 1 sheet of metal is 1000 rubles. During the period, 100 loops were produced, 60 pieces were released. Work in progress: 1000 rubles: 100 pcs. x 60 = 600 rubles.

Different ways of allocating costs when using accounts 25 "General production costs" and 26 "General business expenses" significantly affect the amount of work in progress.

The full cost method allows you to take into account all indirect costs in account 20 "Main production", in this case, part of the indirect costs will always not only be included in the cost of finished, shipped products, but also settle in work in progress.

Example 1. Within a month, the company must produce 1000 new products:

Suppose that only 800 products were transferred to the warehouse, then the remainder of the work in progress in total terms will be 10,780 rubles. (RUB 53,900: 1000 pcs. X 200 pcs.).

This method can also be used in tax accounting, provided that the share of general production costs in the cost of production is small, otherwise the share of fixed costs in the cost of production may be distorted.

The incomplete production cost method allows accumulating only general production costs on account 20 "Main production", the balance of general production costs is written off at the end of the month to account 90 "Cost of goods sold".

The initial data of example 1 are used, the enterprise must also produce 1000 units of products within a month:

Suppose that the enterprise also manages to produce only 800 units of products, then the work in progress at the end of the period will be 8520 rubles. (42 600 rubles: 1000 pcs. X 200 pcs.).

According to the direct costing method, only direct costs are collected on account 20 "Main production", and indirect costs are written off at the close of the month to the cost of goods sold.

Example 3 .. The initial data of example 1 are used, the company also has to produce 1000 units of production within a month:

Suppose that the enterprise also manages to produce only 800 units of products, then the work in progress at the end of the period will be 7,520 rubles. (37 600 rubles: 1000 pcs. X 200 pcs.).

For the possibility of a detailed analysis when using the direct costing system, it is recommended to open subaccounts to account 25 "General production costs".

25/1 "General production variable costs" - here is taken into account that part of the costs that depends on the volume of products (costs of repairing general production equipment, fuels and lubricants, etc.)

25/2 "General production fixed costs" - is created to account for part of the costs that do not depend on the volume of production, for example, depreciation of general production equipment.

If in accounting the methodology for assessing work in progress varies, then tax accounting offers the only way in Art. 318 of the Tax Code of the Russian Federation.

Leaving room for maneuver tax code allows you to independently determine the composition of direct costs in the accounting policy. The method of determining direct costs adopted at the enterprise, including for work in progress, is mandatory for two tax periods.

Thus, the composition of costs accounted for in work-in-progress is much broader for accounting than for tax accounting. The choice of a method for classifying direct and indirect costs should be economically feasible and take into account the specifics of a particular production.

As in accounting, in tax accounting, expenses are divided into direct and indirect (clause 1 of article 318 of the Tax Code of the Russian Federation). However, these are completely different concepts. If in accounting, direct costs mean such costs that are directly (in particular, without distribution) included in the cost of production, then in tax accounting, direct costs mean all costs that are accounted for in tax value products.

The taxpayer independently determines in the accounting policy for tax purposes a list of direct costs associated with the production of goods (performance of work, provision of services) (clause 1 of article 318 of the Tax Code of the Russian Federation). Accordingly, they refer to the expenses of the current reporting (tax) period as the products are sold (clause 2 of article 318 of the Tax Code of the Russian Federation). The procedure for including direct costs in the balances of work in progress, balances of finished products, goods shipped is established by Art. 319 of the Tax Code of the Russian Federation.

For the purposes of Ch. 25 of the Tax Code of the Russian Federation, work in progress (WIP) means products (works, services) of partial completion, i.e. not having gone through all the processing (manufacturing) operations provided for by the technological process. The WIP includes completed, but not accepted by the customer works and services.

The WIP also includes the remainders of unfulfilled production orders and the remnants of semi-finished products of our own production. Materials and semi-finished products in production are classified as WIP, provided that they have already been processed.

The assessment of WIP balances at the end of the current month is made by the taxpayer on the basis of data from the primary accounting documents on the movement and on the balances (in quantitative terms) of raw materials and materials, finished products by workshops (production and other production units of the taxpayer) and tax accounting data on the amount carried out in the current month of direct expenses.

The taxpayer independently determines the procedure for the distribution of direct costs for WIP and for products manufactured in the current month (work performed, services rendered), taking into account the correspondence of the costs incurred to the manufactured products (work performed, services rendered). This procedure is fixed in the order on the accounting policy of the organization for tax purposes (UNP) and is subject to application for at least two tax periods.

The amount of WIP balances at the end of the current month is included in the direct expenses of the next month.

Thus, the rules for the formation of WIP in tax accounting may, in principle, not differ from similar rules in accounting. The determining factor is the composition of expenses included in the cost of production.

In accounting, indirect means such costs that relate to production as a whole (accounts 25 and 26). They are also included in the cost of a specific type of product, but not directly, but after the calculation (distribution) of the corresponding share.

In tax accounting, all remaining costs are classified as indirect costs of production and sales, i.e. those that are not included in the tax value of products (do not apply to direct ones) and are not recognized extraordinary expenses according to Art. 265 of the Tax Code of the Russian Federation, but in principle are recognized as expenses for the purposes of Ch. 25 of the Tax Code of the Russian Federation (clause 1 of Article 318 of the Tax Code of the Russian Federation). In this case, the amount of indirect costs of the reporting (tax) period is fully attributed to the decrease in the profit of this period (clause 2 of article 318 of the Tax Code of the Russian Federation).

It turns out that part of the indirect costs of accounting in tax accounting can be attributed to direct costs. For example, this happens when the general production and general expenses reflected in accounts 25 and 26, or a certain part of them according to the UNP, are related to direct expenses. The taxpayer chooses the mechanism for distributing ODA and OXR for direct expenses in tax accounting on his own (using economically justified indicators) and also fixes it in his accounting policy for tax purposes (paragraph 5, clause 1 of article 319 of the Tax Code of the Russian Federation).

Note that such a discrepancy in the classification of expenses is not so significant for tax purposes, if, ultimately, expenses that are named differently in tax and accounting are included in the cost price and, accordingly, form the WIP in both accounting.

On the contrary, such discrepancies in the classification of expenses are very significant, which lead to a discrepancy between the actual cost in tax and accounting.

For example, part of the direct costs of accounting in tax accounting may relate to indirect costs. In particular, according to the accounting policy for accounting purposes (hereinafter referred to as UBP), the rent for an item of fixed assets used exclusively for the production of one type of product is recognized as a direct expense and is immediately reflected on account 20, and according to the accounting policy for tax purposes, this expense is not refers to direct costs.

The most common case of cost discrepancy is when OXR in accounting is included in the cost of production (i.e. account 26 is allocated to account 20) and, accordingly, in WIP, and in tax accounting these costs are recognized as indirect, immediately written off and, accordingly , are not included in the WIP.

Of course, in order to simplify the accounting of the payer of income tax, the provisions of the accounting policy for the purposes of accounting and tax accounting should provide for the same composition of expenses included in the cost of production. But this is not always feasible (for example, due to the concept of management accounting of an enterprise).

For organizations applying PBU 18/02, if there are discrepancies between the amount of WIP in accounting and tax accounting, there are discrepancies in the amount of expenses recognized in the reporting period, and it becomes necessary to reflect permanent or temporary differences in accordance with PBU 18/02.

Press service of the IRI Federal Tax Service of Russia No. 3 for the Belgorod Region

In order to correctly reflect the work in progress in accounting, it is necessary to evaluate it. Such an assessment is carried out in a special way, taking into account the characteristic differences and the specifics of the accounting object. In this article, we will tell you how to correctly record and evaluate work in progress.

Work in progress accounting

Unfinished or WIP are objects material values economic entity that have already been introduced into the production cycle, but have not yet gone through all the stages of the production process. Also, WIP can include services rendered or work performed that has not yet been accepted by the customer.

The incomplete is accounted for on a special account 20 "Basic production (OP)". We talked in more detail about the features of reflecting WIP in accounting and reporting in a separate article "Work in progress in accounting".

Work-in-progress costs - an asset or a liability? A work in progress is part of the company's assets, therefore, WIP is an asset and should be reflected on the left side of the balance sheet.

WIP assessment methods

Each economic entity independently determines the method of current evaluation of the work in progress. This choice must be consolidated in the accounting policy. Consider the key assessment methods:

1. At the planned cost.

This method is mainly used in industries characterized by a complex multi-stage technological process. For example, sewing, furniture or metalworking shops. The key rules for the application of this method are enshrined in the TU on the application of standard costs dated 01.24.1983 No. 12.

Accounting for costs in work in progress using this method is determined based on the cost of each unit of WIP at a particular stage, taking into account quantitative indicators. That is, the standard cost of WIP balances is the book price for each group.

For calculations, the formula is applied:

WIP Cost = Unit Cost × Quantity.

1. At actual cost.

With this method of assessment, the cost of goods produced is determined taking into account the actual costs incurred: direct and indirect. Consequently, the cost of unfinished in this case is determined in a similar way - by summing up direct, general economic and general production costs.

Note that this method should be applied to all types of manufactured goods, works and services. Thus, the method is convenient for companies with a small product range.

Actual cost = direct costs + ODA + OXR.

1. At the cost of raw materials.

This method is also called raw material. That is, the method is applicable for a production cycle that is considered material-intensive (requires a large amount of raw materials and inventories). Consequently, the maximum specific weight in the costs is occupied by the cost of purchasing raw materials.

Increase in costs

The cost structure of the production cycle rarely remains the same. To determine the characteristics of the increase in costs per unit of finished product, it is used special coefficient... This indicator is used in calculations when it is necessary to characterize the growth dynamics of a particular type of cost as part of the cost of production. For example, determine the dynamics of labor costs.

Increase in costs in work in progress, formula:

K = Unit cost of WIP / Total costs for production.

This formula is generalized and reflects the key essence of the coefficient. Note that in practice, enterprises use more complex calculations that reflect the specifics of their activities and the structure of costs as much as possible.

Work in progress: transactions

The end of the month is the time for the formation of accounting entries for account 20. Note that the debit of the account. 20 accumulates all types of costs, that is, not only direct, but also indirect. Depending on the selected costing method, the costs in debit 20 of the account can be collected in two ways:

• full, that is, one that includes all types of costs (basic, ODA, OXR);
• abbreviated, which includes only direct spending and general production.

After the debit account. 20 all costs are collected, the cost of finished products is transferred to a special accounting account 43 "Release of finished goods" or to account 90 "Sales", if the company sells work, services.

The debit balance of 20 accounts at the end of the month is the value of the outstanding. Such balances can be used in the next period or the company decides to write them off as other expenses. For example, write-off of work-in-progress for losses is carried out in the event of the complete liquidation of the enterprise. Also, the company has the right to decide on the termination of the release of this type of product, then the balances will be written off by posting:

Dt 91-2 Kt 20.

Construction in progress

If owned construction company there is an unused and unfinished object, which it was decided to sell, then VAT is charged on the sale. Moreover, the moment of determining the base for calculating value added tax is determined as the date state registration completed purchase and sale transaction.

Sale of construction in progress ( accounting entries).