Preparation of accountancy policies

Policies – framework for bookkeeping

Beyond the law regulations the bookkeeping frameworks of the companies are defined by the created accounting rules. These can be created with default content, however if we want the bookkeeping data to contain useful information which also enables decision-making, it is worth to dedicate time for developing their content. Within the rules the Accounting Policy and the Transfer Price Documentation are highly important.

Accountancy Policies

We create the accounting policy of the particular enterprises based on the specialties of these companies. After obtaining the details of the enterprise profile, the information needs and decision mechanism, we make a recommendation on the content of the accounting policy, which we only start to apply with the approval of the authorized manager and after taking into consideration the change requirements. We pay high attention on defining the evaluation principles and cash handling rules, and the interpretation of the particular points.

Cash-handling rules

One of the most significant parts of the Accounting Policy are the Cash-handling Rules. Very important to highlight that the cash handling of the enterprise does not take place at the bookkeeper office post factum, but at the enterprise in real time via the cash register of the enterprise. We are happy to make recommendations on creating the cash-handling rules, however the involvement of the client’s authorized manager in handling the cash register and controlling the balances is inevitable. The solutions different from above always result in false data, taxation risks and conflicts.

Transfer price documentation

In case of holdings classified into the medium-size enterprise category the particular members cannot be exempted from the registration of the internal transfer prices. In recent years both the European Union and the Hungarian tax authorities pay high attention to the regulation of transfer prices, and the supervision of the documentation and tax base corrections. We can take part in developing the relevant registries, furthermore in possession of the relevant information we undertake the development of the full documentationn.