How to write the accounting entry of overdue fine
The overdue fine is a measure to impose economic sanctions on overdue parties by tax authorities or creditors. How to prepare accounting entries?
Accounting entry of overdue fine
Debit: Non operating expenses
Credit: bank deposit
How should the accounting entry of VAT late fees be done?
1. At the time of submission, the specific accounting entries are as follows:
Debit: tax payable - VAT payable (tax)
Non operating expenses (fines/late fees)
Credit: bank deposit
2. When transferring, the specific accounting entries are as follows:
Debit: Profit and loss adjustment of previous years (tax)
Credit: taxes payable - VAT payable (tax)
Debit: profit distribution - undistributed profit
Credit: Profit and loss adjustment of previous years (tax)
? ? ? Non operating expenses (fines/late fees)
Relevant knowledge of non operating expenditure subjects
An enterprise should account for the occurrence and carry forward of non operating expenditure through the "non operating expenditure" account. This account can be accounted for in detail according to non operating expenditure items.
When confirming that inventory losses and extraordinary losses are included in non operating expenses, debit the "non operating expenses" title and credit the "property loss and surplus to be disposed", "cash on hand" and other titles. When confirming the loss of disposal of non current assets, debit the "non operating expenses" title and credit the "fixed assets disposal", "intangible assets", "raw materials" and other titles.
At the end of the period, the balance of the "non operating expenses" account should be transferred to the "profit of the year" account, debited to the "profit of the year" account, and credited to the "non operating expenses" account. This account has no balance after carry forward. Non operating expenditure reflects various expenditures incurred by an enterprise that are not directly related to its business activities, including loss on disposal of non current assets, loss on exchange of non monetary assets, inventory loss, expenditure on public welfare donations, loss on debt restructuring, and extraordinary loss. It is a very important indicator in enterprise finance.