THTHE ACCOUNTING MANUAL IS THE DEEFINITIVE HANNDBD OOO K TO ACCOUUNTINNG BASEED ONO THEE BASA ACCOUNNTING PLANN SVENSK REDOVISNING 2017 THE ACCOUNTING MANUAL I. Introduction 9 II. BAS Chart of Accounts 33 III. Instructions for the account classes 59 1 Assets 63 2 Equity and liabilities 147 3 Operating income/revenue 217 4 Cost of goods, materials and certain sub-contract work 245 5–6 Other external operating expenses/costs 259 7 Personnel costs, depreciation etc. 321 8 Financial and other income and expenses 365 IV. Areas for further study 399 Key word index 441 Svensk Redovisning THE ACCOUNTING MANUAL 2017 WOLTERS KLUWER THE ACCOUNTING MANUAL 2017 is published on behalf of BAS-kontogruppen i Stockholm AB Wolters Kluwer AB Wolters Kluwer Sverige AB, SE-106 47 Stockholm, Sweden Tel. +46 (0)8 598 191 00 Orders: www.wolterskluwer.se E-mail [email protected] Address Wolters Kluwer Sverige AB, Kundservice, SE-106 47 Stockholm, Sweden Tel. +46 (0)8 598 191 90 Från och med 2015 heter Norstedts Juridik Wolters Kluwer. THE ACCOUNTING MANUAL 2017 Edition 1:1 © BAS-kontogruppen i Stockholm AB and Wolters Kluwer Sverige AB, 2017 ISBN 978-91-39-11544-1 Typeset by: Elanders Sverige AB, 2017 Printed and bound by: Williams Lea, 2017 This publication is protected by international copyright law. All rights reserved. No part of this publication may be reproduced, stored in a retrieval system or transmitted in any form or by any means, electronic, mechanical, photocopying, recording or otherwise, without prior permission of the publishers. Foreword Since its introduction in 1976, the BAS Accounting Plan has become the lead- ing chart of accounts in Sweden and is now used by the vast majority of Swed- ish companies, large and small. A number of industrial sector organisations have developed tailored versions, which is also the case for central and local government bodies. The BAS Accounting Plan is continuously updated and improved. The latest edition was issued in spring 2017. Experience from earlier editions has shown that there is great interest in the English version of BAS among, for example, Swedish enterprises with non- Swedish subsidiaries that use the BAS Accounting Plan and consequently need to have it available in English. The English version is also of value for non-Swedish parent companies with subsidiaries in Sweden. The Swedish version of the Accounting Plan with associated instructions and in-depth material has been divided into two books; one with a focus on current recording of transactions and the other on annual accounts. This English ver- sion has also been revised accordingly and is based on the Swedish book for current recording of transactions. In addition the English version includes references to laws and regulations that must be applied when preparing annual accounts. Reference is made to both Swedish and international standards. Stockholm in May, 2017 The BAS organisation Peter Nilsson Contents I. Introduction 9 New in BAS 2017 11 Organisation of the BAS activities 17 From BAS Accounting Plan to BAS Concept 19 Basic principles of the BAS Accounting Plan 20 Basic Schedule of the BAS Chart of Accounts 21 Chart of accounts structure 21 Accounting standards 26 Link between the accounts in BAS and the items in the balance sheet and income statement 30 II. BAS Chart of Accounts 37 1Assets39 2 Equity and liabilities 43 3 Operating income/revenue 47 4 Cost of goods, materials and certain sub-contract work 49 5–6 Other external operating expenses/costs 50 7 Personnel costs, depreciation etc. 53 8 Financial and other income and expenses 57 III. Instructions for the account classes 63 Composition of the coding instructions 65 1Assets67 2 Equity and liabilities 151 3 Operating income/revenue 221 4 Cost of goods, materials and certain sub-contract work 249 5–6 Other external operating expenses/costs 263 7 Personnel costs, depreciation etc. 325 8 Financial and other income and expenses 369 IV. Areas for further study 403 Adaptation of BAS to companies and industries 405 The Swedish Accounting Standards Board K project 416 Bookkeeping – current recording of transactions, vouchers and retention of records 424 Accounting for exchange differences 440 Key word index 445 Introduction 15 Basic principles of the BAS Accounting Plan Since its creation in 1976 the structure of the BAS Accounting Plan has been based on a logical link to the statutory formats for the income statement and balance sheet. This link has great pedagogical advantages, since it makes it easy to understand how the structure of the accounts is linked to the com- pany’s annual report (or annual closing). It also makes it easier to follow a busi- ness transaction from registration to its final place in the balance sheet and income statement. The BAS Accounting Plan represents a general method for systematising and coding the business transactions of an enterprise and also possible adjust- ments in the accounting records. The following points must be stressed: • The BAS Accounting Plan may be used by most enterprises and organisa- tions, irrespective of branch of industry, line of business, type of ownership, type of enterprise etc. • The BAS Accounting Plan includes all transactions between the enterprise and its business environment, i.e. the financial accounting. • The BAS Accounting Plan is based on ÅRL (1995:1554) and its compulsory formats for income statement and balance sheet. The accounting plan has also, as far as possible, been adapted to the content of the supplementary disclosures. Special adaptation has been made to The K-frameworks, see Accounting standards below. • The BAS Accounting Plan and its coding instructions are linked to account- ing recommendations and statements from Swedish and international standard-setters. • The BAS Accounting Plan has as far as possible been adapted to the sys- tem used by Statistics Sweden, thus facilitating production of information for submission to Statistics Sweden directly from the accounts. This contrib- utes to efficient generation of uniform key ratios for comparisons between industries and enterprises. • The BAS Accounting Plan forms the basis of the Swedish Tax Agency’s standardised accounting information included in the income tax return for business activities (so called SRU). The BAS organisation has been made responsible for linking the information in the form of SRU codes to the chart of accounts in BAS. • The BAS Accounting Plan is adapted to modern methods of registering data of different kinds but is also suitable for manual accounting. • The BAS Accounting Plan entails double entry accounting (reconciliation of debit and credit). • The BAS Accounting Plan’s basic data are classified and registered on the basis of origin or access in a way that is neutral in relation to different meth- ods of designing reports, financial assessments, product estimates, capital investment appraisal, budgets etc. Only simple kinds of revenue and costs are used. No classification according to function such as production, admin- istration, selling or research and development is included. Multidimensional 16 Introduction recording is required for accounting classified by function adjusted after each company’s structure. • The BAS Accounting Plan facilitates integration with management account- ing through the use of account class 9 or through the use of multi- dimensional registration. Supplementary information for statistical pur- poses, for example, is facilitated through the use of class 0. Basic Schedule of the BAS Chart of Accounts BAS is divided into eight account classes for financial accounting. The chart of accounts also includes an account class 0 for supplementary information, sta- tistics etc. and an account class 9 for management accounting. Class 0 con- tains information that is not classified as accounting information and is there- fore excluded from the formal chart of accounts. Please note that these account classes are not included in this version. The accounts in account classes 1 to 8 are arranged according to the formats for balance sheet and income statement prescribed in ÅRL. BAS follows the income statement classified by nature of expense. To the extent deviations occur, they refer to BFNAR 2008:1 Annual accounts in small limited liability companies, BFNAR 2009:1 Annual accounts in small economic associations or accounting recommendation FAR RedR 1 Annual Accounts in limited liabil- ity companies. There are separate comments on the deviations in the coding instructions. Under ÅRL, BFNAR 2008:1, BFNAR 2009:1 and the FAR RedR 1 recommen- dation the different types of interest income included in the total are not dis- closed separately. Instead they are presented on different lines under the heading Profit/loss from financial items. Companies that also need differenti- ated data on total interest income for calculating certain financial key ratios should, therefore, make a separate specification in the management account- ing. Chart of accounts structure The BAS Chart of Accounts is based on so-called decimal classification, according to which an account’s position in the chart of accounts is shown through the positioning of digits (levels). Here is an example. 6 Other external operating expenses/costs Account class 62 Telecommunications and postal services Account group 6200 Telecommunications and postal services Control account 6210 Telecommunications Main account 6211 Fixed telephony Sub-account The first digit in the account number is the account class and the first two the account group. A control account is designated by four digits ending in 00, which means that only one account is used for all transactions belonging to the Introduction 17 account group in question. Four digits ending in 0 designate a main account. A four-digit number ending in 1–9 designates a sub-account. Division into account classes When dividing the BAS Chart of Accounts into account classes the aim has been, as far as possible, to coincide with the main headings in the formats for balance sheet and income statement presented in ÅRL.