INSTRUCTION OF CENTRAL BANK OF THE RUSSIAN FEDERATION

of October 2, 2024 No. 6890-U

About procedure for reflection on accounts of financial accounting of events after accounting year not credit financial credit institutions, bureau of credit histories, credit rating agencies

This Instruction based on part 6 of article 21 of the Federal Law of December 6, 2011 No. 402-FZ "About financial accounting" establishes procedure for reflection on accounts of financial accounting of events after accounting year by not credit financial credit institutions, bureau of credit histories, credit rating agencies.

1. The concept "materiality" is applied in this Instruction in the value established by the International accounting standard (IAS) 1 "Accounts presentation" <1>.

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<1> No. 217n "About introduction of International accounting standards and Explanations of International accounting standards in action in the territory of the Russian Federation and about recognition voided some orders (separate provisions of orders) of the Ministry of Finance of the Russian Federation" is enacted in the territory of the Russian Federation by the order of the Ministry of Finance of the Russian Federation of December 28, 2015 (it is registered by the Ministry of Justice of the Russian Federation on February 2, 2016, registration No. 40940) with the changes made by the order of the Ministry of Finance of the Russian Federation of July 11, 2016 No. 111n "About enforcement and cancellation of documents of International accounting standards in the territory of the Russian Federation" (registration No. 43044) (further - the order of the Ministry of Finance of the Russian Federation No. 111n is registered by the Ministry of Justice of the Russian Federation on August 1, 2016), with amendments, enacted in the territory of the Russian Federation by the order of the Ministry of Finance of the Russian Federation of June 27, 2016 No. 98n "About introduction of documents of International accounting standards in action in the territory of the Russian Federation and about recognition voided some orders of the Ministry of Finance of the Russian Federation" (registration No. 42869) is registered by the Ministry of Justice of the Russian Federation on July 15, 2016, the order of the Ministry of Finance of the Russian Federation No. 111n, the order of the Ministry of Finance of the Russian Federation of June 4, 2018 No. 125n "About introduction of the document of International accounting standards in action in the territory of the Russian Federation" (registration No. 51396) is registered by the Ministry of Justice of the Russian Federation on June 21, 2018, the order of the Ministry of Finance of the Russian Federation of October 30, 2018 No. 220n "About introduction of the document of International accounting standards in action in the territory of the Russian Federation" (registration No. 52703) is registered by the Ministry of Justice of the Russian Federation on November 16, 2018, the order of the Ministry of Finance of the Russian Federation of August 5, 2019 No. 119n "About introduction of the document of International accounting standards "Materiality determination (Amendments to IFRS (IAS) 1 and IFRS (IAS) 8" in action in the territory of the Russian Federation" (registration No. 56149) is registered by the Ministry of Justice of the Russian Federation on October 4, 2019, the order of the Ministry of Finance of the Russian Federation of July 14, 2020 No. 142n "About introduction of the document of International accounting standards "Classification of obligations as short-term or long-term (Amendments to IFRS (IAS) 1)" in action in the territory of the Russian Federation" (registration No. 59616) is registered by the Ministry of Justice of the Russian Federation on September 2, 2020, the order of the Ministry of Finance of the Russian Federation of November 26, 2020 No. 283n "About introduction of documents of International accounting standards "Prolongation of effective period of temporary release from application of IFRS (IFRS) 9 (The amendment to IFRS (IFRS) 4)" and "The amendment to IFRS (IAS) 1 "Accounts presentation" in action in the territory of the Russian Federation" (registration No. 61873) is registered by the Ministry of Justice of the Russian Federation on December 28, 2020, the order of the Ministry of Finance of the Russian Federation of December 14, 2020 No. 304n "About introduction of the document of International accounting standards "Amendments to IFRS (IFRS) 17 "Insurance contracts" in action in the territory of the Russian Federation" (registration No. 62135) is registered by the Ministry of Justice of the Russian Federation on January 19, 2021, the order of the Ministry of Finance of the Russian Federation of December 30, 2021 No. 229n "About introduction of documents of International accounting standards "Disclosure of information on accounting policy (Amendments to IFRS (IAS) 1 "Accounts presentation" and to Practical recommendations No. 2 about application of IFRS "Forming of judgments of materiality") "and" the deferred tax connected with assets and liabilities which result from one transaction (The amendment to IFRS (IAS) 12)" in action in the territory of the Russian Federation" (registration No. 67141) is registered by the Ministry of Justice of the Russian Federation on February 3, 2022, the order of the Ministry of Finance of the Russian Federation of December 13, 2023 No. 198n "About introduction of the document of International accounting standards "Long-term obligations with covenants (Amendments to IFRS (IAS) 1)" in action in the territory of the Russian Federation" (registration No. 76917) is registered by the Ministry of Justice of the Russian Federation on January 19, 2024.

2. For the purpose of this Instruction the event after accounting year admits the fact of economic life of not credit financial credit institution, bureau of credit histories, credit rating agency (further in case of joint mentioning - the organization) which occurs after accounting year and before date of creation of annual accounting (financial) accounts of the organization.

3. For the purpose of reflection on accounts of financial accounting of events after accounting year the organization shall divide events after accounting year into adjusting events after accounting year and non-adjusting events after accounting year and to estimate their effects by implementation of calculations in terms of money.

4. For the purpose of this Instruction after accounting year the organization shall carry the events existing on reporting date to adjusting events including:

the introduction in legal force of the judgment about violation of obligations by the organization;

asset impairment and (or) adjustment of the reserve which is earlier recognized in accounting (financial) records of the organization under impairment of this asset;

recognition of debtors of the organization by insolvent (bankrupts);

sale of inventories by the organization for the price other than the price calculated by the organization as of reporting date;

obligation of the organization to perform the stimulating payments to employees of the organization;

charge (adjustment, change) of taxes and fees for accounting year, determination of the amounts of deferred tax liabilities and deferred tax assets on the income tax of the organization for the end of accounting year;

identification of mistake (mistakes) by the organization in financial accounting and (or) violations of the law of the Russian Federation, regulating organization activity which will affect its financial result;

revaluation of fixed assets, intangible assets, investment property and capital investments in fixed asset objects, intangible assets, investment property of the organization;

obtaining by the organization which is the insurer from insurance company of information on change of the size of insurance indemnity;

determination of the size of expenses in connection with adoption by the organization of the decision on closing of separate division of the organization;

obtaining by the organization of source accounting documents confirming making of transactions by it and (or) specifying asset cost, works and services in such transactions, and also specifying the amounts of the income and expenses.

5. Adoption by the organization of the decision on dividend payout (distribution of net profit between members of the organization), forming (replenishment) of reserve fund of the organization (in the presence) are not adjusting events after accounting year.

6. The organization shall reflect in accounts of financial accounting in the first working day of the current accounting year transfer of the remaining balance reflected in accounts of financial accounting No. No. 710 - 719, provided by the Chart of accounts of financial accounting for not credit financial credit institutions, bureau of credit histories, credit rating agencies, the installed application 1 to the Provision of the Bank of Russia of August 1, 2022 No. 803-P "About the Chart of accounts of financial accounting for not credit financial credit institutions, bureau of credit histories, credit rating agencies and procedure for its application" <1> (further - the Chart of accounts), into accounts of financial accounting No. No. 720 - 729, provided by the Chart of accounts.

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<1> It is registered by the Ministry of Justice of the Russian Federation on September 20, 2022, registration No. 70158, with the changes made by Instructions of the Bank of Russia of January 10, 2024 No. 6665-U (it is registered by the Ministry of Justice of the Russian Federation on February 12, 2024, registration No. 77223), of May 21, 2024 No. 6729-U (it is registered by the Ministry of Justice of the Russian Federation on June 20, 2024, registration No. 78625).

7. The organization shall reflect in accounts of financial accounting No. No. 720 - 729, 106 (except for accounts No. 10602) provided by the Chart of accounts, adjusting events after accounting year before date of creation of annual accounting (financial) accounts of the organization for accounting year.

8. The organization having separate divisions shall reflect adjusting events after accounting year according to accounting policy:

on accounts of financial accounting of head office of the organization and on accounts of financial accounting of separate divisions of the organization

or

only on accounts of financial accounting of head office of the organization.

9. In case of reflection of adjusting events after accounting year on accounts of financial accounting of head office of the organization and on accounts of financial accounting of separate divisions of the organization according to accounting policy of the organization:

separate divisions of the organization shall reflect transfer to head office of the organization of the income and expenses reflected in accounts of financial accounting No. No. 720 - 729, provided by the Chart of accounts, accounting entries:

debit of the account No. 303

credit of accounts on the expense accounting of last year;

debit of accounts on accounting of the income of last year

account No. 303 credit;

the head office of the organization shall reflect acceptance of the income and expenses of separate divisions of the organization for accounting year accounting entries:

debit of accounts on the expense accounting of last year

account No. 303 credit;

debit of the account No. 303

credit of accounts on accounting of the income of last year.

10. The accounting entries of separate divisions of the organization specified in paragraphs three - pole of Item 9 of this Instruction, are the completing accounting entries of separate divisions of the organization for reflection of adjusting events after accounting year.

11. In case of reflection of adjusting events after accounting year only on accounts of financial accounting of head office of the organization according to accounting policy of the organization:

separate divisions of the organization in the first working day of the current accounting year shall reflect transfer to head office of the organization of the remaining balance reflected in accounts of financial accounting No. No. 710 - 719, provided by the Chart of accounts, accounting entries:

debit of the account No. 303

credit of accounts on the expense accounting of the current year;

debit of accounts on accounting of the income of the current year

account No. 303 credit;

the head office of the organization shall reflect acceptance of the income and expenses of separate divisions of the organization for accounting year accounting entries:

debit of accounts on the expense accounting of last year

account No. 303 credit;

debit of the account No. 303

credit of accounts on accounting of the income of last year.

12. After reflection by separate divisions of the organization of accounting entries, the specified in paragraphs three - pole of Item 11 of this Instruction, separate divisions of the organization shall not reflect in accounts of financial accounting adjusting events after accounting year.

13. For the purpose of this Instruction after accounting year the organization shall carry the events which arose after accounting year to non-adjusting events including:

decision making by the organization about the termination of its activities;

transactions, connected with acquisition and asset retirement, classification of assets as non-current assets, held for sale;

destruction of essential part of assets of the organization as a result of emergency situation;

decision making by the organization about its reorganization;

essential ordinary share transactions of the organization, decision making about share issue;

essential change in value of assets or exchange rates of currencies;

the changes of the legislation of the Russian Federation on taxes and fees exerting impact on current both deferred tax assets and deferred tax liabilities of the organization;

participation of the organization in legal procedure in connection with the activities performed by it.

14. The organization shall reflect in accounts of financial accounting non-adjusting events after accounting year for date of their origin on accounts of financial accounting of the current accounting year.

15. In case of application of this Instruction the organization shall be guided by International accounting standards and Explanations of International Financial Reporting Standards <1>.

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<1> Are enacted in the territory of the Russian Federation according to the order of the Government of the Russian Federation of February 25, 2011 No. 107 "About approval of the Regulations on recognition of International accounting standards and Explanations of International accounting standards for application in the territory of the Russian Federation".

16. Requirements of this Instruction do not extend to foreign insurance companies.

17. This Instruction is subject to official publication and according to the solution of the Board of directors of the Bank of Russia (the minutes of the Board of directors of the Bank of Russia of September 13, 2024 No. PSD-28) become effective since January 1, 2025.

 

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