What is included in the freight for the purchase of fixed assets

For example, the freight of fixed assets of movable property for production is 100 yuan, and 97 yuan is added to the cost of fixed assets

Debit: Fixed Assets – Asset Name

Debit: Tax Payable - VAT Payable - 7% Input Tax

Credit: Other payables – name of the supplier (advance payment).

If it is a movable asset for welfare, the input tax cannot be deducted and is added to the cost of fixed assets

Debit: Fixed Assets – Asset Name

The purchase of fixed assets includes its purchase price, freight, insurance, etc., so the freight can be included in the fixed assets, which is 1 part of its original value

The freight incurred in the purchase of fixed assets, and the fixed assets to be installed also include the cost of installation materials and installation fees. should be charged to the recorded cost of the fixed asset. That is to say, the freight for the purchase of fixed assets belongs to the - fixed assets account.

The cost of fixed assets refers to all reasonable and necessary expenditures incurred by an enterprise before the acquisition and construction of a fixed asset reaches the predetermined usable state. These expenses include directly incurred prices, related taxes, freight and miscellaneous charges, packaging costs and installation costs, as well as indirect incurred, such as interest on borrowings, differences in translation of foreign currency borrowings and other indirect costs to be apportioned.

Remember the cost of fixed assets.

Yes, the original value of fixed assets includes shipping costs, installation fees, etc., incurred at the time of purchase.

1. The freight of purchasing raw materials is generally included in the cost of raw materials according to the total freight, borrowing: raw materials, credit: bank deposits.

2. When the 7% freight deduction is applied, borrow: raw materials.

Tax Payable – VAT payable (input tax).

Credit: Bank deposits.

93% of the freight is included in the raw materials, and 7% is included in the taxes payable, and the payment is made by bank deposit.

3. When selling goods, sometimes the freight will be disbursed.

Debit: Accounts receivable.

Credit: Bank deposits.

The transportation costs for the purchase of fixed assets are recorded as follows:

1. There is no need to install fixed assets and incur freight

Debit: Fixed Asset – Fixed Asset Name.

Credit: Bank deposits.

or cash on hand.

2. The purchase needs to install fixed assets and incur freight:

Borrow: Construction in progress - fixed asset name.

Credit: Bank deposits or cash in hand.

3. The installation is completed and put into use, and the installation material cost and installation fee.

The original purchase price is settled together**

Debit: Fixed Asset – Fixed Asset Name.

Credit: Construction in progress – fixed asset name.

The original value of the fixed asset.

Article 7 of the Accounting Standards for Business Enterprises - Fixed Assets Standards: Fixed assets should be measured at cost. Article 8 The cost of the purchased fixed assets includes the purchase price, import duties and other taxes and fees, and the site finishing costs, transportation costs, loading and unloading costs, installation fees and professional service fees attributable to the assets incurred before the fixed assets reach the intended state of use.

If the purchase of fixed assets pays for transportation costs, the input tax shall be calculated according to the deduction rate of 7% of the amount of transportation costs indicated on the transportation cost settlement documents, and the purchase cost of fixed assets shall be included in the amount of (1-7%).

What accounts should be used to account for the transportation expenses incurred by an enterprise in the purchase of fixed assets that need to be installed due to its business needs?

The transportation cost of the purchased fixed assets that need to be installed is included in the cost of fixed assets.

The recorded value of the purchased fixed assets to be installed includes the purchase price, relevant taxes and fees (including: customs duties, deed taxes, cultivated land occupation tax, vehicle acquisition tax, etc.), transportation costs, loading and unloading costs, installation costs and professional service fees attributable to the assets incurred before the fixed assets reach the intended state of use.

Purchase fixed asset accounting entries that need to be installed.

At the time of purchase: borrowed: construction in progress.

Tax Payable – VAT payable (input tax).

Credit: bank deposits, accounts payable, etc.

When the intended usable state is reached:

Borrow: Fixed assets.

Credit: Construction in progress.

Accounting entries for transportation costs or.

1.Shipping costs are the shipping costs incurred for the purchase of the goods sold.

Borrow: Selling expenses.

Credit: Bank deposits.

2.Freight is used to purchase fixed assets, which should be included in the cost of fixed assets.

Borrow: Poor friends fixed assets.

Credit: Bank deposits.

3.If it is a freight expense that qualifies as a capitalized item, it should be capitalized.

Borrow: Construction in progress.

Credit: Bank deposits.

The enterprise receives the income from transportation expenses, and the accounting entries are:

Borrow: Bank deposit.

Credit: main business income (or other business income).

Tax Payable – VAT payable (output tax).

Fixed assets should be accounted for at the actual cost at which they were destroyed at the time of acquisition. Specifically: (1) The purchased fixed assets shall be recorded according to the actual purchase price paid or the original book value of the unit sold (deducting the original installation cost), packaging costs, transportation and miscellaneous expenses and installation costs.

2) Self-built fixed assets shall be accounted for according to all expenditures actually incurred during the construction process. The interest on borrowings and related expenses of fixed assets incurred before the fixed assets have been delivered for use or put into use but the final accounts have not yet been completed, as well as the exchange differences of foreign currency borrowings, shall be included in the value of fixed assets; After that, the interest and related expenses of the surplus borrowings and the exchange differences of foreign currency borrowings shall be included in the profit or loss for the current period. Fixed assets that have been put into use but have not yet gone through the handover procedures can be recorded at the estimated value first, and then adjusted after the actual value is determined.

3) The solid filial piety pure fixed assets invested by other units shall be recorded according to the appraisal confirmation or the ** agreed in the contract or agreement. (4) The fixed assets leased by financial lease shall be recorded according to the lease agreement to determine the purchase price of equipment, transportation costs, insurance premiums on the way, installation and commissioning fees and other expenses. (5) For fixed assets that are reconstructed or expanded on the basis of the original fixed assets, the original book price of the original fixed assets shall be subtracted from the valuation income incurred in the process of reconstruction and expansion, plus the increased expenditure due to the reconstruction and expansion.

6) The value of the donated fixed assets shall be determined according to the market ** of the same type of assets or relevant vouchers. All expenses incurred when accepting the donation of fixed assets shall be included in the value of fixed assets. (7) Fixed assets with surplus shall be recorded at the full replacement value.

Accounting Entries Credit: Fixed Assets Credit: Bank Deposits.