When a public institution disposes of fully depreciated assets, it shall, in accordance with the provisions of the Accounting System for Public Institutions, transfer the book value to the subject of "loss and surplus of assets to be disposed of" for accounting.

Accounting treatment of fixed assets disposal income of public institutions

According to the Accounting System of Public Institutions (Cai Shui [2012] No.22), the disposal of fixed assets by public institutions should be generally completed before the end of the year, and the net income formed after disposal should be transferred to the subject of "payable to the state treasury" and turned over to the state treasury in time.

First, the inventory that is deficient, damaged or scrapped shall be transferred to the subject of "loss and surplus of assets to be disposed of", namely

Debit: Loss and surplus of assets to be disposed of-value of assets to be disposed of.

Debit: accumulated depreciation

Loans: fixed assets

2. When the report is approved for disposal,

Borrow: non-current assets fund-fixed assets (disposal of fixed assets)

Loan: loss and surplus of assets to be disposed of-value of assets to be disposed of.

3 received in the process of disposal of residual value changes, insurance claims, negligence compensation and other income.

Borrow: Cash on hand (or bank deposit)

Loans: losses and surpluses of assets to be disposed of-net income from disposal

4. Related expenses incurred in the process of disposal,

Debit: Loss and surplus of assets to be disposed of-net gain from disposal

Loan: Cash on hand (or bank deposit)

After the verb (verb's abbreviation) is disposed of, the net income after deducting the relevant disposal expenses according to the disposal income,

Debit: Loss and surplus of assets to be disposed of-net gain from disposal

Loan: payable to the state treasury

6. Disposal of net income turned over to the state treasury,

Borrow: payable to the state treasury

Loan: Cash on hand (or bank deposit)