Answer: According to Article 1 of the Announcement of State Taxation Administration of The People's Republic of China City, People's Republic of China (PRC) on Handling Enterprise Income Tax on Income from Property Transfer (State Taxation Administration of The People's Republic of China Announcement No.20 20 10/0/9): "Income from property transfer (including various assets, equity, creditor's rights, etc.). ), debt restructuring income, income from accepting donations, income from unpaid payables, etc. , reflected in both monetary and non-monetary forms.
As can be seen from the above provisions, the income from donations received by the Company exists in the form of currency, and the income must be confirmed at one time, not by stages.
Accounting entries of enterprises accepting donations
1, accepting monetary funds
Debit: bank deposit/cash on hand.
Loan: non-operating income-donation profit
2. Accept non-monetary funds and record them at fair value.
Borrow: raw materials/goods in stock/fixed assets/intangible assets
Loan: non-operating income-donation profit