The cost of external construction of construction enterprises is included in the subject of "project construction" and reflected in the inventory column of the balance sheet.
For unfinished projects, when the main business cost is carried forward, it will be carried forward month by month according to the budget amount. If the estimation is wrong or it is believed that there will be excessive carry-over when adjusting the taxable income of enterprise income tax, then the inventory will be negative.
The inventory of construction enterprises is negative, which can be adjusted by estimation. But in the end, it is necessary to accurately calculate and pay taxes according to law in order to cure the problem.
(1) Accounting Standards for Business EnterprisesNo. 15-Construction Contract is a standard for regulating the accounting treatment and related information disclosure of construction contracts of construction contractors.
Construction contractors refer to enterprises that build projects (or large assets) for customers according to contracts, such as construction and installation enterprises that contract to build houses and buildings, and manufacturing enterprises that contract to build ships, airplanes and large-scale mechanical equipment. A construction contract involves a long construction period, usually spanning one or more fiscal years. In order to reflect the operating cost and financial situation of each year in time, accountants should not wait until the contract project is completed to confirm the income and expenses of each accounting year, but should follow the requirements of accrual basis and the principle of matching, and reasonably confirm the income and expenses of each accounting year according to certain methods in the process of contract execution. If a construction contract is completed within a fiscal year, the contract income and contract expenses shall be confirmed upon completion.
(2) Some definitions of inventory in the construction contract.
The inventory in a construction contract is different from that in a general enterprise. Inventory costs collected through construction contracts shall be governed by the Accounting Standards for EnterprisesNo. 15-Construction Contracts. On the basis of traditional enterprise accounting subjects, subjects such as "project settlement", "project construction" and "mechanical operation" have been added. At the same time, their respective accounting contents are clarified, and it is stipulated that the construction contract income and construction contract cost confirmed by the construction enterprise shall be accounted by the subjects of "main business income" and "main business cost" respectively.