It was in 2014 when the obligation for corporations of filing the bookkeeping to the tax authority was created, better known as electronic bookkeeping, in case of individuals this requirement started from 2015. This obligation consists in a onetime filing of the accounts catalogue as well as amendments if it suffers from modifications, monthly trail balance as well as income, expenses and daily registries any time the tax authority request them.
In addition to the monthly trail balance, a year-end balance should be filed, which is describe on the miscellaneous fiscal ruling number 184.108.40.206, that states the following:
e) For corporations the file corresponding to the adjusted year-end balance should be presented no later than the 20th of April of the next fiscal year; for individuals no later than the 22nd of May of the next fiscal year.
It’s important to mention that said trail balance is not referring to the one corresponding to December but to the final trail balance once the annual tax filing of the corresponding year has been presented. Analyzing the Miscellaneous fiscal rulings for 2015, it states that this trail balance must be adjusted at the end of the year; is worth notating that if the company made adjustments before the annual tax filing, said adjustments must be presented trough a complementary filing for December of the fiscal year. The adjustments of the final trail balance are those made after the annual tax filing has been presented.
What adjustments must be included in the year-end balance?
The final trail balance must include some clarifications requested by the tax authority (SAT). Reviewing annex 24 of the Miscellaneous Fiscal Rulings for 2015 which corresponds to the accounts registry with a grouping code from the SAT, the 800 series appear which corresponds to the memorandum accounts, which include:
a) The fiscal year net fiscal profit
b) The fiscal year and past fiscal years, net fiscal profit account
c) The fiscal year and past fiscal years, reinvested net fiscal profit account
d) The fiscal year and past fiscal years, capital contribution account
e) The Annual inflationary adjustment (either payable or deductible)
f) Investments deduction
g) Fiscal losses
h) Other memorandum accounts
Is of great importance to document the amounts reflected on the year-end trail balance with the annual tax filing work papers. It’s also important to review the amounts previously presented to the SAT corresponding to the fiscal year, as the beginning amounts for January 2016 must correspond to the final amounts for December 2015, as well as with the year-end trail balance.
It’s strongly suggested to review your fiscal and accounting information in advance, to make the corresponding correlations with your annual tax filing in order to be prepared to correctly and on time file the year-end trial balance.
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