Inventory books and annual accounts: What are they and how to fill them out?
Posted: Mon Jan 06, 2025 6:40 am
All those who carry out a business activity are obliged to keep accounting books and present the annual accounts in the Commercial Registry of the province where the business's registered office is located.
These obligations fall mainly on commercial companies, but self-employed workers are not exempt from keeping accounts either. We will see this below.
Manage your company's accounting easily with Holded. Get started for free .
What are inventory books and annual accounts?
The inventory and annual accounts book is a mandatory accounting record with the financial situation of a company during a financial year, usually one year. It is one of those basic accounting concepts that must be known to manage a company.
This document is key to assessing india number data the company's financial statements, including its assets, liabilities, equity and results at the end of the year.
What are the mandatory accounting books?
The Commercial Code, in its article 28 , establishes which are the mandatory accounting books:
Here, each of the operations of the company's economic activity is recorded on a daily basis. It must be prepared for each financial year, which may or may not coincide with the calendar year. The legislation establishes that we must open it with the initial situation of the company (opening entry), record the operations of the entire year and close it with a record of the situation at the end of the year (closing entry).
The journal is written in accounting nomenclature, so it requires certain knowledge.
Mandatory accounting books in a business
Holded helps you keep your mandatory accounting books up to date
What are the functions of accounting books?
The purpose of accounting books is multiple. On the one hand, they record all the financial operations carried out by the company, such as sales, purchases, income and expenses. In addition, they serve the function of offering clear and precise information about the company, like a 'snapshot' of its financial health.
We cannot overlook the fact that its maintenance is required by tax regulations, providing the necessary data for the calculation and payment of taxes. With this, the company not only ensures compliance with the law, but also better prepares itself for any audit, both external and internal.
How and when to fill out and submit the inventory book?
Before submitting the inventory book, it must be legalized at the Commercial Registry, a procedure that can be carried out electronically if you prefer. The next step is to submit it online on the platform of the College of Registrars or in person at the Commercial Registry.
The deadline for submitting the inventory book is four months from the end of the fiscal year, but it is important to keep it up to date throughout the year to avoid unforeseen events or errors when the submission date approaches.
Who is required to keep the inventory and annual accounts book?
The legislation on this subject is a bit convoluted. On the one hand, we have the Commercial Code and the General Accounting Plan (commercial regulations) and, on the other, the tax regulations that govern Corporate Tax, Personal Income Tax and VAT.
These obligations fall mainly on commercial companies, but self-employed workers are not exempt from keeping accounts either. We will see this below.
Manage your company's accounting easily with Holded. Get started for free .
What are inventory books and annual accounts?
The inventory and annual accounts book is a mandatory accounting record with the financial situation of a company during a financial year, usually one year. It is one of those basic accounting concepts that must be known to manage a company.
This document is key to assessing india number data the company's financial statements, including its assets, liabilities, equity and results at the end of the year.
What are the mandatory accounting books?
The Commercial Code, in its article 28 , establishes which are the mandatory accounting books:
Here, each of the operations of the company's economic activity is recorded on a daily basis. It must be prepared for each financial year, which may or may not coincide with the calendar year. The legislation establishes that we must open it with the initial situation of the company (opening entry), record the operations of the entire year and close it with a record of the situation at the end of the year (closing entry).
The journal is written in accounting nomenclature, so it requires certain knowledge.
Mandatory accounting books in a business
Holded helps you keep your mandatory accounting books up to date
What are the functions of accounting books?
The purpose of accounting books is multiple. On the one hand, they record all the financial operations carried out by the company, such as sales, purchases, income and expenses. In addition, they serve the function of offering clear and precise information about the company, like a 'snapshot' of its financial health.
We cannot overlook the fact that its maintenance is required by tax regulations, providing the necessary data for the calculation and payment of taxes. With this, the company not only ensures compliance with the law, but also better prepares itself for any audit, both external and internal.
How and when to fill out and submit the inventory book?
Before submitting the inventory book, it must be legalized at the Commercial Registry, a procedure that can be carried out electronically if you prefer. The next step is to submit it online on the platform of the College of Registrars or in person at the Commercial Registry.
The deadline for submitting the inventory book is four months from the end of the fiscal year, but it is important to keep it up to date throughout the year to avoid unforeseen events or errors when the submission date approaches.
Who is required to keep the inventory and annual accounts book?
The legislation on this subject is a bit convoluted. On the one hand, we have the Commercial Code and the General Accounting Plan (commercial regulations) and, on the other, the tax regulations that govern Corporate Tax, Personal Income Tax and VAT.