How to account for seedlings in the accounting account

Seedling seeds should be included in the accounting of productive biological assets. Productive biological assets refer to biological assets held for the purpose of producing agricultural products, providing labor services or renting, including economic forests, fuel charcoal forests, livestock production and draft animals.

Accounting Standards for Biological Assets:

Productive biological assets, similarities and differences between the treatment of small business accounting standards and business accounting standards.

Similarities: The treatment of initial recognition, subsequent expenditure, harvest, disposal and inventory loss is the same.

Differences: (1) The treatment of depreciation is different. Under the Accounting Standards for Small Enterprises, the depreciation period is managed by the same minimum amount as stipulated in the tax law, and the depreciation method is the straight-line method.

Under the Accounting Standards for Business Enterprises, the depreciation period is the expected useful life of productive biological assets, and the depreciation method is reasonably selected according to the specific situation.

2) Impairment is treated differently. Under the Accounting Standards for Small Enterprises, no impairment is made for productive biological assets. Under the Accounting Standards for Business Enterprises, the determination of the recoverable amount of impairment of productive biological assets follows the Accounting Standards for Business Enterprises No. 8 - Asset Impairment.

Seedling seeds are credited to: seeds, material fees;

The upfront cost goes directly to the management fee.

If the purchase price of seeds and seedlings is paid in bank and cash, including the purchase price of seeds and seedlings, relevant special taxes, transportation fees, handling fees, insurance premiums and other expenses attributable to the purchase cost of seeds and seedlings. The accounting entries are as follows:

Borrow: raw materials seeds, seedlings.

Credit: Bank deposits.

Credit: cash on hand.

If the payment for fertilizer is made in bank and cash, it includes the purchase price of fertilizer and other expenses attributable to the cost of fertilizer purchase. The accounting entries are as follows:

Borrow: raw material fertilizer.

Credit: Bank deposits.

Credit: cash on hand.

If the purchase price of mulch film is paid in bank and part of cash, it includes the purchase price of mulch film and other expenses attributable to the cost of mulch film purchase. The accounting entries are as follows:

Borrow: raw material mulch.

Credit: Bank deposits.

Credit: cash on hand.

If the purchase price of pesticides is paid in a bank and part of cash, including the purchase price of pesticides and other expenses attributable to the cost of pesticide purchases. The accounting entries are as follows:

Borrow: raw materials pesticides.

Credit: Bank deposits.

Credit: cash on hand.

The planting of seedlings is tax-exempt, and the specific accounting treatment of the cave is as follows:

Credit: Accounts Receivable, Credit: Main Business Income, Credit:

Tax payable - VAT payable (output tax), transfer the reduced VAT to subsidy income, borrow: tax payable - VAT payable (tax reduction), credit: non-operating income - subsidy income, offset output tax, debit:

Tax payable - VAT payable (output tax), credit: tax payable - VAT payable (tax reduction), subsidy income carried forward, borrow: non-operating income - subsidy income, credit:

Profit for the year. Rotten wide.

1. When the seedlings in the nursery are recorded as assets, accounting entries:

Borrow: stock product - seedlings.

Credit: Paid-in capital (or capital reserve).

2. If it is recorded in the "paid-in capital" account, it must be registered for industrial and commercial change; If it is credited to the "capital reserve" account, it will not be registered for industrial and commercial change.

3. Seedlings are included in the paid-in capital or capital reserve as an investment, and only involve the payment of stamp duty. That is, stamp duty is calculated and paid at 5/10,000 of the paid-in capital or capital reserve.

1. When purchasing saplings, pesticides, fertilizers, etc., they are included in the "consumption."

Biological assets - seedlings, seeds, fertilizers, pesticides", after receiving (after planting) transferred to "consumable biological assets - in planting", and after maturity transferred to inventory commodities.

2. Lease fee of leased land: included in long-term amortized expenses, amortized within a reasonable period, and included in "consumable biological assets - under cultivation" when amortized.

1. When purchasing saplings: borrowing: consumable biological assets Loan: bank deposits.

2. Labor costs, fertilizers and other expenses before tending to mature forests: The expenses attributable to consumable biological assets incurred in the production process shall be debited according to the amount that should be distributed: consumable biological assets, credited to the "agricultural production cost" account, and at the same time, debited:

Agricultural Production Costs, Credit: Raw Materials (Fertilizers, etc.) Labor Costs Land Rent.

3. When consumable biological assets are harvested as agricultural products, the "inventory commodities" account shall be debited and credited to this account according to their book balance. If the provision for price decline has been made, the provision for price decline should also be carried forward at the same time.

4. **For consumable biological assets, "bank deposits" and other accounts should be debited and "main business income" and other accounts should be credited according to the actual amount received; Accounts such as "cost of principal business" shall be debited according to their book balance, and credited to consumable biological assets.

It is worth noting that the sale of agricultural and forestry products is exempt from value-added tax and enterprise income tax, so in the accounting, the sales entry is not credited: tax payable (VAT) However, in practice, after this item is written, the amount of tax exemption is included in the non-operating income when accounting for enterprise income tax, resulting in an increase in enterprise income tax, so there is no need to credit the tax payable.

5. When classifying and apportioning costs, items can be used for accounting, such as saplings can be classified according to tree species, and vegetables can be apportioned according to planting area. In the same way, manpower and material resources should also be apportioned according to the above method.

Purchased saplings are included in the consumable biological assets and productive biological assets respectively depending on the use of the seedlings. Seeds, pesticides, and fertilizers are included in raw materials, and if the leased land is paid for several years in a lump sum, it is included in the long-term amortized expenses, and the input cost is amortized on a regular basis every year.

1) The guidelines stipulate that self-cultivation, construction, and inclusion in the consumable biological assets are: self-cultivated field crops and vegetables, which should be spent according to the necessary expenses incurred before harvest; Self-created forest consumable biomaterials.

production, which shall be in accordance with the necessary expenses incurred before the canopy closure; Self-propagated fattening animals, animal plants for aquaculture.

goods, should be in accordance with the necessary expenses incurred before the **.

Follow-up expenditures such as management and maintenance expenses incurred after the canopy closure of forest consumable biological assets shall be debited to "management."

Expense account.

The entries are as follows: Purchase of saplings:

Borrow: Consumable Biological Assets.

Tax payable – VAT (input tax).

Credit: Bank deposits.

Incubation period: Borrow: consumable biological assets.

Credit: Raw Materials (Fertilizers).

Employee compensation payable (employee wages).

Accumulated depreciation (equipment depreciation).

After reaching a state of canopy:

Borrow: Administrative expenses.

Credit: Employee Compensation Payable.

Accumulated depreciation. 2) Productive biological assets purchased by small enterprises shall be debited according to the purchase price and relevant taxes and fees.

Productive biological assets involving deductible VAT input tax in accordance with the provisions of the tax law shall also be debited to the account of "tax payable - VAT payable (input tax)".

The entries for the purchased seedlings are as follows:

Borrow: Productive biological assets.

Tax Payable - VAT Payable (Input Tax).

Credit: Bank deposits.

Before the intended production and operation purpose is achieved, the expenses are included in the productive biological assets - immature productive organisms.

The asset accounts include: self-created forest productive biological assets, necessary expenses such as afforestation fees, tending fees, forestry facility fees, improved seed test fees, survey and design costs, and apportionable indirect costs; Necessary expenses such as feed costs, labor costs, and apportionable indirect costs incurred for self-bred production and draft animals.

Go out; Selective felling, thinning or tending and regeneration and other productive harvesting and replanting of forest trees.

Subsequent expenditures incurred on biological assets; To achieve the intended purpose of production and operation, the productive biological assets - immature productive biological assets will be transferred to the productive biological assets - mature productive biological assets. To achieve the intended purpose of production and operation, the follow-up expenses such as management and feeding expenses incurred in the production and operation of productive biological assets shall be debited to the "management expenses" account.

The specific entries are as follows:

Expenses incurred per year.

Borrow: Productive Biological Assets - Immature Productive Biological Assets.

Credit: Raw materials.

Employee compensation payable.

After achieving the business purpose:

Borrow: Productive Biological Assets – Mature Productive Biological Assets.

Credit: Productive Biological Assets – Immature Productive Biological Assets.

Custody expenses incurred.

Borrow: Administrative expenses.

Credit: Employee Compensation Payable.

For the business of purchasing seeds in the planting industry, raw material accounts, bank deposit accounts, etc. should be set up for relevant accounting, and how to do the specific accounting treatment?

Accounting entries for the purchase of seeds by the plantation industry.

If you use bank deposit or cash on hand to pay for the purchased seeds. Seed payment, including seeds, seedlings purchase price, related taxes, transportation costs, loading and unloading costs, insurance premiums and other expenses attributable to the cost of seeds, seedlings and seedlings procurement. The accounting entries associated with it are:

Borrow: raw materials seeds, seedlings.

Credit: Bank deposits.

Cash on hand. If bank deposits or cash in hand are used to pay for fertilizer raw materials, including the purchase price of fertilizer and other expenses attributable to the cost of fertilizer procurement, the accounting entries are as follows:

Borrow: raw material fertilizer.

Credit: Bank deposits.

Cash on hand. If the bank deposit or cash in hand is used to pay for the purchase of plastic film, including the purchase price of plastic film and other expenses attributable to the purchase cost of plastic film, the accounting entries are as follows:

Borrow: raw material mulch.

Credit: Bank deposits.

Cash on hand. If the purchase price of pesticides is paid in the bank and part of the cash, including the purchase price of pesticides and other expenses attributable to the cost of pesticide purchases, the accounting entries are as follows:

Borrow: raw materials pesticides.

Credit: Bank deposits.

Cash on hand. What are the raw materials?

Raw materials refer to all kinds of raw materials, main materials and purchased semi-finished products that are processed by an enterprise in the production process to change their form or nature and constitute the main entity of the product, as well as auxiliary materials that do not constitute the entity of the product but contribute to the formation of the product. Raw materials include raw materials and main materials, auxiliary materials, purchased semi-finished products (purchased parts), repair spare parts (spare parts), packaging materials, fuel, etc. Tachibana shouted.

The daily receipt and delivery of raw materials and the balance can be based on actual round field costing or planned costing.