Results for “Penalty interest”
Results found: 8.
Glossary
Late payment interest (penalty interest)
An additional amount charged for each day of delay when a tax is not paid on time. Its amount is set by the Tax Code.
Amount receivable under a claim
An amount the company demands from its counterparty (supplier, transport organization, bank and others). NAS No. 21 (paragraph 213) lists the following claims in account 4860: prices and tariffs in invoices that do not match the contract or price list, and arithmetic errors; shortages of cargo; defective products and downtime caused through the fault of a supplier or contractor; amounts wrongly debited by a bank; fines, penalty interest and forfeits recognized by the payer or awarded by an economic court. The amount of a claim not recognized by the payer is not reflected in the accounts (paragraphs 213–214).
Fine
Money paid by a party that has breached contract terms to the other party. NAS No. 21 reflects this as follows: under paragraph 398, fines, penalty interest, surcharges and other types of penalties collected from debtors for breaching the terms of business contracts are recorded on the credit of account 9330 "Fines, penalties and surcharges collected" in correspondence with cash or receivable accounts; under paragraph 303, the company's debt for fines, penalty interest and liquidated damages it has acknowledged (or that have been recognized) is kept in account 6960 "Payments on claims"; under paragraph 410, fines and penalty interest are included in 9430 "Other operating expenses".
Other operating expenses
Operating expenses that do not have the features of production, financial or extraordinary expenses. Under NAS No. 21 (paragraph 410), they include costs of staff training and retraining, payments for information, audit and consulting services, compensation and incentive payments not taken into account when calculating wages, payments for bank and depository services, losses, fines, penalty interest, and other similar expenses arising in operating activities. They are accumulated in account 9430.