Accounting for VAT calculations when receiving subsidies in agriculture

Abstract

Subject. This article discusses the issues related to the organization of State support for agriculture, in particular, the reflection of VAT calculations in the accounting when applying for subsidies. Objectives. The article aims to study the impact of subsidies in agriculture on the reflection of VAT in accounting in order to better understand the mechanisms of financial reporting and assess the impact of this process on the financial condition of enterprises. Methods. For the study, we used the methods of a systems approach, comparison, systematization, and generalization of data. Results. The article clarifies the methodology for accounting for VAT calculations when receiving State subsidies in agriculture separately for each area of State support. Conclusions. Timely and accurate reflection of VAT in accounting when receiving subsidies helps control these amounts specifically for each area of State support. This ensures the reliability of data and excludes possible errors, helps optimize VAT payment and minimize possible risks of tax audits. The importance of correct VAT accounting also lies in ensuring the transparency of the financial activities of an agricultural enterprise.