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How to include employee remuneration subsidies in financial statements?

After more than a year of pandemics, the process of clearing funds from the Polish Development Fund (PFR) is already ongoing.

After more than a year of pandemics, the process of clearing funds from the Polish Development Fund (PFR) is already ongoing.

It is worth protecting yourself and finding out what to pay attention to

After more than a year of pandemics, the process of clearing funds from the Polish Development Fund (PFR) is already ongoing. It is worth protecting yourself against this fact and finding out what to pay attention to when clearing the subsidy and how to prepare a record of its spending.

The funding for the wage costs of workers and the social security contributions they owe fall within the definition of income from economic activities listed in Article 14(2)(2) Personal Income Tax Act; and Article 12(1)(1) Corporate Income Tax Act. The support received is the revenue from the taxable activity.

Since the amount of the subsidy constitutes revenue, the expenditure financed by it may constitute revenue costs, provided that they meet the conditions laid down in Article 22 Personal Income Tax Act; and Article 15 Corporate Income Tax Act.

On the other hand, the accounting records of the co-financing received for staff salaries and social security contributions due from the employer are as follows:

WB - the impact of co-financing on part of the wage costs of employees and social security contributions due from these salaries:

  • - Wn 13-0 ” Current account’
  • - It does. 76-0 „Other operating revenue’

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