COMPARISON OF LEGAL ENTREPRENEURSHIP FORMS FROM ACCOUNTING POINT OF VIEW IN CONDITIONS OF THE SLOVAK REPUBLIC

Abstract

Each legal form of entrepreneurship requires the individual approach from the accounting point of view as every entrepreneur subject does not meet the definition of an accounting entity pursuant to the Act on Accounting. The paper´s aim is to compare the legal entrepreneurship forms from accounting point of view and to assess different alternatives of expense verifiability. The theoretical research has been applied for reaching the paper's aim. Basic input materials are legal norms. Generally accepted basic research were used when preparing the article. Based on the results it can be stated that entrepreneurs registered in the Business Register do not have a possibility to select from individual alternatives of keeping the evidence for their management and are obliged to keep the system of double entry bookkeeping. Natural persons are not obliged to register in the Business Register therefore they can select from various possibilities of verification of incurred expenses. One feasibility is presented by the system of double entry bookkeeping or single entry bookkeeping. The systems of keeping tax records or applying fixed expenses are others. The keeping of tax records is less administrative intensive compared to bookkeeping. Keeping of tax records is advantageous for an entrepreneur as he is not the subject of the Act on Accounting while he is not an accounting entity. The easiest alternative for the entrepreneurs is not to verify real incurred expenses but to apply fixed expenses in the amount of 40 % from achieved income.