OKVED for consulting, legal and accounting services

Selecting a code for a type of economic activity from a special classifier is an important part of the state registration procedure. The business owner must determine in advance what kind of activity he will be engaged in, and then select the appropriate OKVED code. Next, we will look at what the OKVED code “Provision of accounting services” will be in 2021. It should be understood that choosing the correct code is of great importance, since submitting not a single reporting form to the tax service and the Social Insurance Fund is possible without it.

Where to indicate and where to get

In tax returns, on the first sheet you can always find the following details:

The value of this code is taken from the All-Russian Classifier of Types of Economic Activities. Abbreviated as OK 029-2014 (NACE Rev. 2). It was approved by order of Rosstandart dated January 31, 2014 No. 14-st.

Please note that from mid-2021, for the purposes of state registration (Unified State Register of Legal Entities, Unified State Register of Individual Entrepreneurs) and tax registration, this reference book is used in the 2nd edition, which is given above.

Also see “OKVED codes from 07/11/2016: what will be affected by their update.”

What happens if the entrepreneur indicated the wrong OKVED code?

This question is very relevant for beginning entrepreneurs. If the OKVED code “Accounting services” was incorrectly indicated in the application for state registration, the culprit faces a fine under Article 14.25 of the Code of Administrative Offenses of the Russian Federation. The fine is up to 5,000 rubles.

For businessmen who did not inform the tax office on time about the change in type of activity and did not indicate the new OKVED code, the consequences may be more severe:

• payment of administrative fines;
• refusal to refund VAT;
• blocking of current account;
• submission of additional tax returns;
• refusal to receive professional tax deductions for personal income tax;
• payment of contributions for “injuries” to the Social Insurance Fund at increased rates;
• problems with banks and clients.

Values

According to the Rosstandart directory, activities in the field of accounting, as well as law, have a general code of “69”. Among other things, it includes the following OKVED accounting services in 2021:

• maintaining accounting records, as well as preparing accounting (financial) statements;
• conducting an audit of the financial condition of the enterprise;
• consulting on tax issues.

The table below shows all OKVED codes for accounting services and related activities.

Also see “OKVED codes in the calculation of insurance premiums in 2021.”

Read also

07.12.2019

Additional codes

In addition to the main OKVED “Accounting Services” encoding, in 2019 a business entity will be able to indicate related ones. At the same time, there are no differences for legal entities and individual entrepreneurs; they have the right to take from the classifier those codes that suit them best. The main activity will be the one that accounts for the largest portion of gross value added. All other activities will be secondary.

Read also: Changing OKVED codes: step-by-step instructions

An organization or individual entrepreneur providing accounting services may use the following OKVED encodings as additional ones:

• 70.22 – provision of advice on commercial activities;
• 74.90 - other activities not included in any grouping of section M. This may include the provision of commercial services, auditing of accounts and other activities requiring high professional knowledge and practical experience.

The number of codes that a business owner can choose as additional is not limited by current legislation. However, you should also not specify a lot of extra encodings “in reserve”.

Read also: List of licensed activities 2021 according to OKVED

Conditions for recognizing revenue from ordinary activities in accounting

Paragraph 12 of PBU 9/99 defines five conditions, upon the simultaneous fulfillment of which revenue is recognized in accounting:

• the organization has the right to receive revenue, which arises from a specific agreement or is confirmed in another appropriate manner;
• the amount of revenue can be determined;
• there is confidence that as a result of a particular transaction there will be an increase in the economic benefits of the organization. Such certainty exists when the organization received an asset as payment or there is no uncertainty regarding the receipt of the asset;
• the right of ownership (possession, use and disposal) of the product (goods) has passed from the organization to the buyer or the work has been accepted by the customer (service provided);
• the expenses that have been or will be incurred in connection with this operation can be determined.

If at least one of the conditions listed above is not met in relation to the funds and other assets received by the organization, the organization’s accounting records recognize not revenue, but accounts payable.

Revenue from the provision for a fee for temporary use (temporary possession and use) of the organization's assets, rights arising from patents for inventions, industrial designs and other types of intellectual property and from participation in the authorized capital of other organizations is recognized if only three conditions are simultaneously met:

• the organization has the right to receive revenue arising from a specific contract or otherwise confirmed in an appropriate manner;
• the amount of revenue can be determined;
• there is confidence that a particular transaction will result in an increase in the economic benefits of the organization.

To summarize information on income and expenses associated with ordinary activities, as well as to determine the financial result for them by the Chart of Accounts for accounting financial and economic activities of organizations and the Instructions for its application, approved by Order of the Ministry of Finance of Russia dated October 31, 2000 No. 94n, Account 90 “Sales” is intended.

The amount of revenue from ordinary activities, namely from the sale of goods, products, performance of work, provision of services, when recognized in accounting, is reflected in the credit of account 90 “Sales” and the debit of account 62 “Settlements with buyers and customers.” To account for the receipt of assets recognized as revenue, subaccount 90–1 “Revenue” is provided, entries in which are made cumulatively during the reporting year.

Example. In 2021, the Organization received revenue from the sale of goods in the amount of RUB 1,770,000. (including VAT - 270,000 rubles). The cost of goods sold was 900,000 rubles, expenses for selling goods were 255,000 rubles.

The following entries must be made in accounting:

• Debit 62 Credit 90–1 - RUB 1,770,000. — revenue from the sale of goods is reflected;
• Debit 90–3 Credit 68, subaccount “VAT calculations” - 270,000 rubles. — VAT charged;
• Debit 90–2 Credit 41–900,000 rub. — the cost of goods sold is written off;
• Debit 90–2 Credit 44–255,000 rub. m sales expenses are written off;
• Debit 90–9 Credit 99–345,000 rub. (1,770,000–270,000–900,000–255,000)—profit from sales is reflected.

Important nuances in the selection and application of OKVED

The main type of activity of the enterprise is indicated in a single copy. From the point of view of the Tax Code, it is he who should generate the majority of income. If the annual report indicates an additional type of activity as the most profitable, you must immediately submit an application and change the main code.

You need to be careful when submitting your application. Incorrectly specified characters, extra or missing codes, and other errors in filling out documentation will lead to various fines from the tax authority.

It is important to use preferential OKVEDs carefully. The conditions for providing benefits, as well as tax rules depending on the taxation system, must be studied.

Insurance funds also use OKVED to determine interest rates on payroll. If the classification corresponds to dangerous working conditions, then the FSS interest rate will be higher than usual.

Thus, an incorrectly chosen classification will cause a significant blow to the finances of the enterprise.

Who is the consumer?

Individual entrepreneurs and small firms prefer to cooperate with incoming accountants or work with outsourcing companies. This is due to the fact that maintaining a staff can be more expensive than contacting a specialist from time to time .

In addition to small businesses, the following are consumers of accounting services:

• Representative offices of foreign companies.
• Fast growing companies.
• Large companies.

Reference! According to statistics, the trade segment most often uses accounting outsourcing services.

Financial plan

We will make an approximate calculation of the profits and losses of the enterprise, on the basis of which we will determine the approximate payback period. To do this, we will set the following conditions: the average check will be 10 thousand rubles.

The average number of clients per month is 50 people. It will not be possible to achieve such attendance in the first month, but after 9 months. work (subject to marketing promotion) is real.

Let's set the average attendance in the first quarter at 20 people per month, in the second - at 35 people per month.

Table 3. Economic justification for the business idea.

Even with a monthly attendance of 20 people, a smart accountant will be able to break even and make a net profit in the first month of work.

Requirements for legal business

The logic of using OKVED codes is visible if you carefully study the requirements for such a business. To provide services in this direction without any problems, you need to act consistently:

Choose what exactly you will register - individual entrepreneur or LLC

Prepare all documents, including an application, where the relevant data is entered

Apply with the collected official papers to the territorial branch of the Federal Tax Service of the Russian Federation to which you belong

Order a stamp and open a current account. Although these actions are not mandatory, without them you will not be able to conduct business without a number of restrictions

Issue an enhanced qualified digital signature. This is not mandatory, but given the increasing prevalence of electronic document management, it is advisable

Determine the list of services you provide

Hire lawyers who specialize in solving specific narrow issues. A deep understanding of individual points helps you earn better than general knowledge on a large number of issues