How to account for the current accounts of the parent company and the subsidiary

The head office conducts account clearing.

Borrow: 900,000 fixed assets disposal.

Accumulated depreciation of 100,000.

Credit: fixed assets 1 million.

At this time, the book value of the assets owned by the branch (30+90+20) was 1.4 million yuan; Bear a debt of 400,000 yuan. Net assets, i.e., owners' equity, totaling (140-40) 1 million yuan.

If the head office wants to invest its assets in a newly established subsidiary, and the subsidiary is financially liable for the liabilities of the original branch (legally, the parent company and the subsidiary are jointly and severally liable).

On the date of consolidation, the parent company is recorded in the following entries:

Borrow: Long-term equity investment of 1 million (this is the share of the parent company on the book value of the subsidiary's owner's equity on the merger date).

Accounts payable 400,000 (after this liability is transferred to the subsidiary, the liability of the parent company will be reduced) Capital reserve - capital premium 10,000.

Credit: Disposal of fixed assets 900,000.

200,000 items in stock.

Bank deposit of 300,000.

Tax payable - VAT (output) (20 17%) million.

Subsidiaries are recorded in the following entries:

Borrow: Bank deposit of 300,000.

200,000 items in stock.

Tax payable - VAT payable (input) million.

Fixed assets 900,000.

Credit: Paid-in capital of 1,000,000.

Accounts payable 400,000.

Capital reserve - capital premium of 10,000.

The accounting entries are as follows: 1. When Company B receives the ** payment, it will issue a receipt and enter the account to debit: bank deposits, etc

Accounts receivable in advance - entrustment ** 2, when purchasing goods, according to the purchase invoice when entering the account Debit: inventory goods Debit: tax payable - VAT (output tax) Credit:

Bank deposits, etc. 3. When invoicing Company C, borrow: accounts receivable in advance - entrusted ** loan Credit: main business income Credit:

Tax payable - value-added tax (output tax) 4. Carry forward the cost of sales Borrow: cost of main business Credit: inventory goods.

1. The subsidiary and the parent company are independent legal entities, and they all have different economic interests, so the economic transactions of both parties must be accounted for clearly, 2. If the parent company transfers money to the subsidiary, it does not need to be repaid, as the working capital of the subsidiary

Borrow: Bank Deposits, Credit: Capital Reserve.

Parent company grants.

3. If it is a normal business that needs to be repaid:

Debit: Bank Deposits, Credit: Other Payables.

Parent company. The parent and subsidiary companies are independent legal entities, so the capital transactions can be handled through borrowing, and special attention should be paid to the legality of the idea business.

There is little impact on income tax, only financial expenses.

When it comes to income tax, if the amount is very small, it is not a big problem, if it is very large, and it is not paid for a long time, which will affect the profit margin of Ranzeqi.

You can ask for payment early.

The parent company entrusts the subsidiary to process the product, and then the parent company and the subsidiary buy the product at the same time for accounting

Subsidiaries: Debit: Accounts Receivable.

Credit: Income Credit: Taxes Payable.

Parent company: borrow: employee salary and remuneration - welfare expenses.

Credit: Accounts payable.

Definition. Accounts receivable refers to the amount that should be collected from the purchasing unit due to the sale of goods, products, provision of labor services and other businesses in the normal course of business, including the taxes that should be borne by the purchasing unit or the receiving labor unit, and various transportation and miscellaneous expenses paid by the buyer. Accounts receivable is a creditor's right formed with the occurrence of sales behavior of an enterprise.

Accounts receivable include claims that have been incurred and will arise in the future. The former is a claim that has already occurred and is clearly established, while the latter is a claim that has not actually occurred but will definitely occur in the future.

1. The parent company remits money to the subsidiary.

Parent company entries:

Debit: Other receivables.

Credit: Bank deposits.

Subsidiary Entries:

Borrow: Bank deposit.

Credit: Other payables (short-term borrowings).

2. If the wages of the employees of the subsidiary are paid by the parent company, the subsidiary should not make a new salary table, as long as it is accounted for through the current account, but the individual income tax should be withheld according to the facts. Such as:

Parent company entries:

Debit: Other receivables - payment of salaries.

Credit: Bank deposits.

Subsidiary Entries:

Borrow: Wages payable.

Credit: Other payables - Wages paid by the parent company.

Other payables - withholding and payment of individual income tax.

A subsidiary is a subsidiary with an independent legal personality.

So the ** between it and the parent company is actually the same as the normal **, just pay the tax according to the regulations.

1.The subsidiary produces product A, the cost is 10 yuan, and the tax rate is 3% - VAT is paid at 3%, and the VAT for a single piece is paid at 3%.

2.At a cost price of 10 yuan, it will be handed over to the parent company - to issue a special ticket.

3% input tax credit.

3.The parent company sold it at 20 yuan, and the tax rate was 17% - the difference was subject to VAT. VAT for a single piece 20*17%-10*3%=RMB.

Brochure Brochure Exhibit Materials:

Subsidiaries are under the de facto control of the parent company. The so-called de facto control means that the parent company has the actual decision-making power over all major matters of the subsidiary, and the most important thing is to be able to decide the composition of the board of directors of the subsidiary. The parent company itself can appoint multiple directors of the board of directors by exercising its power without the consent of others.

Some trusts, although they own a large number of shares in the company, do not participate in the actual control of the company's affairs and therefore do not belong to the parent company.

The control relationship between the parent company and the subsidiary is a possession or control agreement based on equity. According to the principle of majority voting at the shareholders' meeting, the more shares you own, the more you can decide on the company's affairs. Thus, if a company owns more than 50 per cent of the shares of another company, it will inevitably be able to exercise control over that company.

However, in fact, due to the dispersion of shares, as long as you own a certain percentage of shares, you can obtain a majority of the voting rights of the shareholders' meeting, and you can obtain a controlling position. In addition to the form of share control, the relationship between a parent company and a subsidiary can also be formed by putting a company under the control of another company through the conclusion of certain special contracts or agreements.

The parent company and the subsidiary are independent legal persons. Although the subsidiary is under the actual control of the parent company, and in many respects it is subject to the management of the parent company, and some are even similar to the branch of the parent company, legally, the subsidiary is still an independent company with the status of a legal person, and it has its own company name and articles of association.

and carry out business activities in its own name, and its property is independent of the property of the parent company, each with its own balance sheet.

In terms of property liability, the subsidiary and the parent company also bear their respective property liabilities to the extent of their own property, and are not jointly and severally with each other.

Borrow: Profit distribution - undistributed profits; Credit: Profits payable and profits handed over.

Borrow: profit payable; Credit: Bank deposits.

Parent Company: Borrow: Dividends Receivable, Credit:

Investment income, borrow: bank deposits, credit: dividends receivable.

The profits of the subsidiary (which is a legal entity) are distributed to the parent company after the profit is paid, and the distribution can only be made after the tax is paid.

Summary. Hello, glad to answer your questions. There are several situations in which this is scored: 1. There are business dealings with each other, such as the parent company selling goods to subsidiaries, or the subsidiaries selling goods to each other, such current accounts should be accounted for through accounts receivable and accounts payable;

2. If there is no business dealings with each other, and the pure transfer (capital lending) is accounted for through other receivables and other payables;

Third, there are business dealings with each other, and some are pure transfers, then they have to be accounted for through accounts receivable, accounts payable and other receivables and other payables.

What should I do if the money between the parent company and the subsidiary is wrong?

Hello, glad to answer your questions. There are several situations in which this is scored: 1. There are business dealings with each other, such as the parent company selling goods to subsidiaries, or the subsidiaries selling goods to each other, such current accounts should be accounted for through accounts receivable and accounts payable; 2. If there is no business dealings with each other, and the pure transfer (capital lending) is accounted for through other receivables and other payables; Third, there are business dealings with each other, and some are pure transfers, then they have to be accounted for through accounts receivable, accounts payable and other receivables and other payables.

Hope it helps you <>

Does it affect the misalignment of other receivables and other payable accounts?

It doesn't matter.

The parent and subsidiary are two independent legal entities, which can carry out their own business activities, when there are accounting transactions between the parent company and the subsidiary, it is generally accounted for through other receivables accounts, how to do the relevant accounting entries?

Accounting entries for the current accounts of parent and subsidiary.

1. The parent company remits money to the subsidiary, and the parent company makes entries:

Debit: Other receivables.

Credit: Bank deposits.

Subsidiary Entries:

Borrow: Bank deposit.

Credit: Other payables Short-term loans (recorded according to the nature of the purpose) 2. If the parent company pays the wages of the employees of the subsidiary, the subsidiary does not need to make a salary schedule, as long as it is accounted for through the current account, but the individual income tax must be withheld and paid.

Parent company entries:

Debit: Other receivables - payment of salaries.

Credit: Bank deposits.

Subsidiary Entries:

Borrow: Employee remuneration payable.

Credit: Other payables - Wages paid by the parent company.

Other payables - withholding and payment of personal income tax.

If the parent company has withheld and paid personal income tax:

Borrow: Employee remuneration payable.

Credit: Other payables.

What are other receivables?

Other receivables are an important part of the accounts receivable of the enterprise, and are all kinds of provisional payments receivable other than the notes receivable, accounts receivable and accounts receivable of the enterprise. Other receivables mainly include the following: various compensation and fines receivable; Rental of rental packaging receivable; various advances to be collected from employees; Reserve fund (reserve fund allocated to various functional departments and workshops of the enterprise); Deposit a security deposit, such as a deposit for renting packaging; Advance payments are transferred in; Dividends receivable after the purchase of ** that are included in the declared dividends of ****; Other receivables and provisional payments.

The debit side of other receivables represents an increase in assets and the credit side represents a decrease in assets.

For reference: 1. If there is no business between each other, and the pure transfer (capital borrowing) is accounted for through other receivables and other payables;

2. There are business dealings with each other, such as the parent company sells goods to subsidiaries, or the subsidiaries sell goods to each other, so that the current accounts of Jichang should be accounted for through accounts receivable and accounts payable.