The fixed assets of an enterprise often comprise the cars, whose accounting and tax position is substantially different compared to other parts of the assets. Each change of the tax regulations results in a more inconvenient tax position of the above stated items. The article presents the ways of recording the purchase, the use and the sales of cars in the case when the salary is not determined in kind based on the use of a personal car and in the case when the salary is determined in such a way, all according to the amendments which became effective on 1 March 2012.
The Act on the Amendments to the Value Added Tax Act, which became effective on 1 March 2012, was published in the Official Gazette of the Republic of Croatia no. 22 from 23 February, 2012. The new Act cancelled the prepaid tax exemption for the purchase of automobiles and the costs referring to the use of such automobiles. Equally, since 1 March 2012 a tax payer cannot use the right to the prepaid tax exemption for entertainment costs. The article analyzes the recording of the business events referring to the entertainment costs.
The author of the article analyzes the accounting of sale and operating and financial leaseback by the seller (lessee) in accordance with the requirements of the CFRS no. 15 and the IAS no. 17. The article also defines the taxation viewpoint of the above stated transaction by the seller (lessee) and the buyer (lesser).
After preparation of the financial and tax reports, all the reports, documents and records from the previous year are collected in order to be stored and kept. A number of regulations determine the keeping of business documents. The article presents the types of business documents, the basic regulations which determine the business documents and the deadlines and ways of keeping the business documents for entrepreneurs, profit tax payers and income tax payers.
Until 20 April 2012 companies and other enterprises are obliged to submit their three-month statistical reports in the TSI-POD Form for the period January-March. The article provides the instructions for filling in the positions of the AOP of this Form. Each position of the report includes the defined account of the RRiF accounting plan for the enterprises which are included in the specific position.
The internal financial reports are expected to provide to the external users an overview of the business processes based on the managerial approach and the responsible accounting, in order to determine the individual contribution of each reporting business segment in the total result of the business system as a whole. The external financial reports should present a complete financial insight into the business activities of the particular business entity, including a well-structured vertical and horizontal link between the specific positions of the financial reports in order to provide the estimates of the value, dynamics and the uncertainty level of the future cash flow, the liquidity and the financial flexibility of the observed entity as a whole, as well as its segments of operations. The article proposes the generally accepted evaluation model of the harmonization between the external and internal financial reporting according to the segments, which was tested on the selected samples of business systems.
Long Term Non-financial Assets and Recognition of Prepaid Tax In the book-keeping recognition of the guarantees it is necessary to record such guarantees off-balance until their realization. They should also be correctly positioned in the book-keeping system of the realized guarantee, taking into consideration whether such a guarantee has been received or granted. The realized received or granted guarantee need not always result in the creation of liabilities or receivables for the received or granted credits/loans, but it is possible to settle some other relationships in such a way. All the above stated issues are determined by the book-keeping system of recording of the realized received or granted guarantee. This workshop records and analyzes the granted and realized guarantee and the received and realized guarantee.
Autor: Mr. sc. Nada DREMEL, dipl. oec., ovl. rač. i ovl. rev.
The non-profit organizations engaged in double-entry book-keeping should prepare the determined forms of financial reports for the period January-March 2012 and deliver them to the FINA until 20 April 2012. The basis for filling in the forms is the data presented in the book-keeping accounts. Only some data which are recorded in the form of the financial reporting are not taken directly from the Ledger. These are the statistical data.
Autor: Mr. sc. Nada DREMEL, dipl. oec., ovl. rač. i ovl. rev.
The procedure of employment in non-profit organizations is regulated in the same way as in other organizations (employers), i.e. according to the Labour Act. The employee in a non-profit organization has the right to the salary for the work done and the employer is obliged to pay the salary to the employee according to the work done. The salary is regarded a salary in a gross amount, from which the employer is obliged to pay to the employee the net amount and to calculate, deduct and pay the determined public contributions. Accordingly, the employer is obliged to calculate, deduct and pay the contributions for obligatory insurances, the income tax and the sur-tax.
Autor: Mirela GLAVOTA, dipl. oec., ovl. rač. i ovl. rev.
The possibility of employees and other persons to use the cars which belong to the company’s business assets for their private purposes is regarded as a receipt in kind according to the Income Tax Act. According to the Value Added Tax Act a receipt in kind is regarded as a taxable delivery if a prepaid tax was used in the moment of the purchase of such means. Due to the fact that a prepaid tax has no more been recognized upon purchase of personal cars since 1 March 2012, the position of the receipts in kind has also been changed in view of the VAT. Accordingly, the receipts in kind for the cars purchased before 1 March 2012 compared to those purchased after 1 March 2012 will be differently recorded. Since 1 March 2012 the prepaid tax for the expenses of use of such cars has not been recognized either. The recognition of the expenses regarding the determination of the basis of the profit tax has also been changed.
Autor: Lucija TURKOVIĆ-JARŽA, dipl. oec. i ovl. rač.
The article presents the most important changes in VAT taxation explained in the published VAT Rulebook. Besides the changed VAT rate from 23% to 25% since 1 March 2012, the contents of the tax records, the I-RA and U-RA books and the PDV and PDV-K Forms have been changed too. The detailed changes were known and available when the Changes of the VAT Rulebook were published. The above stated Rulebook became unfortunately effective a week after the VAT Tax came into effect.
Autor: Mr. sc. Ljerka MARKOTA, dipl. oec. i ovl. rač.
Upon the announcement of the amended Value Added Tax Act in Croatia, various information appeared regarding the tax rates in the EU member countries. The European Commission published the document Value Added Tax Rates in the European Union Member Countries, which presents the current overview of the VAT rates in the specific member countries on 1 January 2012. The article analyzes the system of VAT rates in the EU member countries, using the above stated and other data.
The amended Profit Tax Act became effective on 1 March 2012. After seven years it introduced again the payment of tax upon exemption of dividend and the share in profit of legal persons according to the reduced tax rate of 12%. The tax upon exemption is paid on the services provided by foreign legal persons, determined by law, such as business counselling, auditing, tax advising, market research, etc. The tax upon exemption is paid on the interests, except on the exceptions determined by the provisions of the Par. 31. of the Profit Tax Act. The tax upon exemption is paid on the payment of author’s rights and other rights of intellectual property. The tax rate upon exemption on the above stated services of foreign enterprises, interests and intellectual property rights amounts to 15%.
Upon provision of goods and services in the free zone and within the free zone it should be taken into account that the free zones are not regarded as the territory of the Republic of Croatia in view of the value added tax. Therefore, the tax position of provision of goods and services in the free zone and within the free zone is different.
Autor: Mr. sc. Katarina HORVAT JURJEC, dipl. oec. i ovl. rač.
The Act on Measures of Collection of Payment of Debts Caused by the Economic Crisis, which became effective on 28 February 2012, includes the new provisions regarding the outstanding tax debt of companies as at 31 January 2012. They include the repayment of tax debts on the one-term basis with written-off interests or the reprogrammed repayment of tax debt in 36 instalments. The claim for writing-off the debts for interests under the certain conditions may be submitted until 28 April 2012. The company which makes the claim for writing-off the debts for interests cannot make the claim for the reprogrammed repayment of the tax debt.
Since 28 February 2012 the compensation rate for the use of forests for general purposes has been reduced. The reduction of the rate will have the effect on the amount of the advance payment for the year of 2012, which is to be determined at the rate of 0.0306% in the OKFŠ Form for the year of 2011. The article presents the final calculation of the compensation for 2011 and the advance payment for 2012.
At the end of the year, i.e. after the company has completed the final recordings, the audit team performs the final auditing. During the final audit the auditor performs the tests of evidence, which may include detailed tests of the specific transactions and positions as well as the analytical procedures. In general, the tests of evidence are based on the repeated realization, conversion, collection of the external confirmation of the transactions with the independent party and the data analysis. The article explains in details the process of the external confirmation, the goal of such a process and presents the examples of the requirements for confirmation made by a law firm, buyers, banks and the tax administration.
At their regular conference held on 25 January 2012 the IASB discussed with the FASB the financial instruments: classification and measuring as well as the reduction of the value of financial instruments.
The European Commission proposed to the member countries the acceptance of their proposal on complying their legislation systems regarding pensions, taxes and the budget deficit. The article presents the comments of the Commission on the White Paper regarding the reform of pensions, the analysis of the Hungarian deficit, the German proposal of the tax on wealth, the new tax risks in the United Kingdom, etc.
There are two types of investments into real estate – direct and indirect. The direct investments into real estate represent a direct purchase (acquisition) of the real estate either through the direct ownership of the real estate or through the financial lease of the real estate. The indirect investments into real estate comprise the investments into the owner’s or debtor’s marketable securities based on a certain real estate. Due to the permanent fall of the market value of real estate in the past few years, they have become a more interesting type of the investment property, especially the property into which it is invested with the goal of realizing returns, either through the lease of real estate or/and the sales of real estate when their market value increases. The investments into real estate generate the cash flows, which are mostly independent on other assets owned by the investor due to the diversifying effect of real estate in the investment portfolio.
The general guidelines point to some new measures and acts which should be conducted in order to prevent money laundering and financing of terrorism (risk estimate in the system of internal control, strategy and measures of reducing the risk, permanent monitoring of business relations and transactions, etc.). The article presents through the questions and answers the basic explanations for the specific measures and acts stated in the General Guidelines for Application of the Act as well as the answers to the most frequent questions regarding the application of the Act.
Although the latest basic changes of foreign currency operations have been applied for more than a year, some business entities are not acquainted with them i.e. they are faced with uncertainties as what to apply currently due to the fact that they still remember some limitations in foreign currency operations they had to stick to for a number of years. The article presents a review of the provisions in the field of foreign currency operations which are currently used in the Republic of Croatia.
Autor: Mr. sc. Nada DREMEL, dipl. oec., ovl. rač. i ovl. rev.
The Act on the Amendments to the Value Added Tax Act and the Rulebook on the Amendments to the Value Added Tax Rulebook changed the provisions regarding the recognition of the prepaid tax for the expenses for purchase and use of cars and other means of personal transportation, which refers to the physical persons who work as sole traders as well. The above stated provisions became effective on 1 March 2012. The tax position of recording the purchase and the corresponding expenses depends on the purpose of the use of vehicles.
The author of the article points to the currently valid acts regarding the working time in commerce and some sole trading businesses, especially the conditions under which sellers and sole traders may work on Sundays and holidays and the obligations they have to take into account in such cases. The article also stresses the administrative measures of the competent inspectors and the measures they are authorized to take in case of violation of the regulations regarding the working time and selling facilities, including the rights which the employees have on such a basis.
The working time of catering facilities has been determined equally for the entire state according to the Act on Catering Activities. The representative bodies may pass the regulations based on the specific authorization determined by the Act. The article presents the determination of the working time in catering industry according to the above stated Act and stresses the importance of following such regulations, including the consequences of violation of such regulations. The article also stresses the compliance of working time with the Act in order to prevent the violation of the acts and regulations in this field of work.
Izmijenjenim odredbama Zakona o porezu na dohodak koji se primjenjuje od 1. ožujka 2012. oporezuju se i mirovine ostvarene u inozemstvu koje izravno isplaćuju inozemni nositelji mirovinskog osiguranja. No kad je riječ o primitcima ostvarenim u inozemstvu, prednost pred tuzemnim propisima imaju ugovori o izbjegavanju dvostrukog oporezivanja koje je Hrvatska sklopila s nekim zemljama. To znači da ipak neće sve inozemne mirovine biti oporezivane u Hrvatskoj. Prema Zakonu o zdravstvenom osiguranju osobe koje primaju mirovinu iz inozemstva obvezni su osiguranici zdravstvenog osiguranja ako ugovorom o socijalnom osiguranju koji je Hrvatska sklopila s pojedinim zemljama nije drukčije uređeno. O tome pročitajte u ovom članku.
1. Uvodne napomene 2. S kojim je zemljama rh sklopila ugovore o izbjegavanju dvostrukog oporezivanja 3. Kako plaćaju porez umirovljenici čije mirovine podliježu oporezivanju u hrvatskoj 4. Jesu li umirovljenici koji primaju inozemnu mirovinu obvezni podnositi poreznu prijavu 5. Obvezni doprinosi
Autor: Lucija TURKOVIĆ-JARŽA, dipl. oec. i ovl. rač.
The employee is obliged to personally perform the duty according to the employer’s instructions depending on the kind and type of work. If the employee does not follow the employer’s instructions, i.e. if he/she violates the obligations from the employment status, the employer may terminate the contract on employment due to the misbehaviour of the employee under the conditions and in the way determined by the Labour Act.
Certain provisions of the new Act on Foreign Residents were complied with those in the European Union and became effective on 1 January 2012. They comprise the new conditions of entrance, movement, residence and work of foreigners in the Republic of Croatia. The article presents the compliance to the certain enactments of the European Union. The regulations comprise the conditions of entrance, movement, residence and work of foreigners, as well as the working conditions and rights of the foreign workers in the Republic of Croatia.
U nastavku se daje detaljniji prikaz sudske prakse koja se odnosi na invalidsku mirovinu i radni odnos, na pitanja vezana za prestanak radnog odnosa uslijed toga što je radnik navršio šezdeset pet godina života te na otkaz i sporazum o prestanku ugovora o radu. Također se napominje da je aktualan i u primjeni sada važeći Zakon o radu.
1. Uvod 2. Priznanje prava na invalidsku mirovinu radniku zbog profesionalne nesposobnosti za rad nije razlog za prestanak ugovora o radu po sili zakona. 3. Kad je radnik nakon navršenih 65 godina života i 25 godina staža osiguranja na temelju dogovora s poslodavcem nastavio raditi, poslodavac se ne može osnovano pozvati na prestanak ugovora o radu po sili zakona. 4. Okolnost da je donesena odluka o otkazu ugovora o radu nije zapreka da poslodavac i radnik za vrijeme trajanja otkaznog roka sklope sporazum o prestanku ugovora o radu.
1. Gospodarsko stanje u EU 2. Makroekonomski pokazatelji hrvatske od 2008. do 2012. 3. Cijene u RH i EU 4. Proizvođačke cijene industrije 5. Industrijska proizvodnja 6. Vanjskotrgovinska razmjena 7. Trgovina na malo 8. Turizam 9. Plaće 10. Likvidnost i solventnost 11. Zaposlenost i nezaposlenost
