Cadefi | Nuevo Marco Conceptual de las NIF aplicable a partir del 1 de enero 2023.

Summary

This video explains the key concepts of financial reporting standards, focusing on how to recognize revenue and expenses under the new framework. It covers the importance of proper accounting for transactions and the challenges of aligning accounting practices with tax requirements. A specific case is discussed where a business sells goods first, receives payment, and pays the supplier later, leading to discrepancies in the financial and tax reporting. The speaker advises on how to handle these situations through accurate recognition of accruals and suggests strategies like managing stock or requesting advance payments to maintain consistency.

Takeaways

• 😀 The new conceptual framework for financial reporting introduces a technical report that will form part of the broader framework of financial information standards.
• 😀 Accounting is defined as the technique used to compile records of transactions and events that economically affect an entity, systematically producing financial information for inclusion in financial statements.
• 😀 The main objective of financial information is to provide elements that allow for the evaluation of financial results and cash flows to make informed decisions about the entity.
• 😀 According to the new financial reporting standards, once a transaction is recognized (accrued), it must be recorded in the accounting system.
• 😀 A common issue in businesses that sell goods and pay suppliers later is the recognition of income and expenses, leading to discrepancies in tax filings.
• 😀 In the case where a company sells goods first and pays the supplier later, it is important to account for the sale and its income when the sale occurs, even though the payment is made in a different period.
• 😀 The key challenge arises in terms of tax deductions, as expenses can only be deducted when payment to the supplier is actually made, not when the transaction is simply recorded.
• 😀 A suggested approach is to create an order with the supplier, so the expense is recognized as accrued, which aligns with accounting principles, but this may not align with tax regulations for deductions.
• 😀 It is important to understand the distinction between financial accounting and tax rules, as different treatments can apply based on whether the company is using accrual accounting or cash accounting.
• 😀 To avoid problems with income and expense reporting, businesses are encouraged to manage their inventory and purchasing cycles to align purchases and sales within the same accounting period.

Q & A

What is the main purpose of the new conceptual framework for financial reporting?

The main purpose of the new conceptual framework is to provide a clear structure for financial reporting, ensuring that financial statements offer relevant and reliable information to users for decision-making, especially concerning the evaluation of financial performance and cash flows of an entity.

How is accounting defined according to the new framework?

Accounting is defined as the technique used to compile records of transactions and other economic events that affect an entity. These records are then structured to produce financial statements that provide systematic and structured financial information.

What is the objective of financial information in the new framework?

The objective of financial information is to provide elements that allow for the evaluation of an entity's financial results and cash flows, enabling decision-making regarding the entity's future and current operations.

In the case of Cristian's business, why does the income and tax appear inflated when a sale is made and payment is received before paying the supplier?

The income appears inflated because, under the new accounting standards, revenue is recognized when it is earned, which happens when the sale occurs and payment is received, even if the supplier's payment is delayed. This causes the income to be recorded in one period, while the expense deduction for the purchase occurs later.

How does the new framework suggest handling the situation where a sale is recognized before the payment to the supplier?

The framework suggests that the revenue should be recognized when the sale occurs, but for tax purposes, the expense related to the supplier’s payment can only be deducted when the payment is actually made. This creates a temporary mismatch between revenue and expense recognition.

What does the new framework say about accrual accounting in relation to sales and purchases?

Under the new framework, accrual accounting should be used, meaning that when a transaction is completed, such as a sale, it must be recorded as revenue, even if payment is received later. Similarly, a purchase can be recognized when the order is placed, even if payment to the supplier is delayed.

What is a potential strategy Cristian could use to better manage the timing issues between sales and supplier payments?

Cristian could place orders with suppliers early, even if the payment will be made later, allowing the purchase to be recognized as 'accrued' in the accounting system. However, for tax purposes, he would still only be able to claim the expense deduction once the payment is made.

Why is it important to manage purchases and sales within the same period for accounting purposes?

Managing both purchases and sales within the same period ensures that income and expenses are properly matched, reducing discrepancies between revenue recognition and expense deductions. This helps maintain accurate financial records and avoids mismatches in the financial statements.

How does the new framework handle the recognition of revenue in the case of advanced payments or CFDI (digital invoices)?

The new framework allows for the recognition of revenue when an advance payment is received or when a digital invoice (CFDI) is issued, as long as the transaction has occurred. This can help manage timing differences between revenue recognition and payment processing.

What advice does the speaker give to Cristian regarding tax compliance in relation to supplier payments and deductions?

The speaker advises Cristian to be aware that, for tax purposes, the deduction related to the purchase can only be claimed when the payment to the supplier is made, even though the accounting system may recognize the expense earlier. This distinction is critical to ensure tax compliance and avoid any issues.