How to write off license costs

Accounting for licenses and related costs often raises a lot of questions. In fact, there are only a few features in writing off the cost of a license and associated costs.

Instruction manual

1

A license is a special permit for a particular type of activity issued by a licensing authority, as well as a document providing exclusive and non-exclusive rights to use the results of intellectual activity under a license agreement. Therefore, you need to consider accounting from two perspectives.

2

Upon receipt of a license to engage in certain types of activities, license fees are charged: 300 rubles - for considering an application for a license and 1000 rubles - directly for issuing it. In addition, there are costs for consulting, legal or notarial services.

3

Previously, the costs of acquiring a license related to deferred expenses and were debited during its entire period of validity. Federal Law "On Licensing Certain Types of Activities" No. 99-ФЗ dated May 04, 2011 established that licenses are issued indefinitely. Therefore, write off the residual value of the already existing on the balance sheet, as well as newly obtained licenses for expenses at a time.

4

When taking into account associated costs (consulting, legal and other services), refer to Article 272 of the Tax Code of the Russian Federation, which provides for the possibility of recognizing expenses on the settlement date, the date of presentation of documents for settlement, or the last day of the reporting period.

5

To reflect the costs of acquiring a license in accounting, make entries from the credit of account 51 “Settlement account” to the debit of account 60 “Settlements with suppliers and contractors” or 76 “Settlements with different debtors and creditors”. Then write off the amount paid from the credit of account 60 or 76 to the debit of accounts: 20 "Main production", 25 "General production costs", 26 "General business expenses" or 44 "Sales costs" - depending on the type of activity of your enterprise.

6

If we are talking about a license to use non-exclusive rights, that is, software, antiviruses, regulatory frameworks, etc., account 97 "Deferred expenses" is applied. Use the following entries: Dt 60 Kt 51 - reflected the purchase of the program; Dt 97 Kt 60 - the cost of the license is included in deferred expenses; Dt 20 (25, 26, 44) Kt 97 - the cost of the license is written off as expenses.

7

The moment of recognition of expenses depends on the method established by accounting policies. With the accrual method, write off expenses during the term of the license agreement in equal shares on a monthly basis, and for cash - at a time.