Legal subjects are liable for keeping financial books, and preparing and submitting accounting statements according to the provisions of the Law on accounting, the International Accounting Code, and International Accounting Standards.
The accounting statements must truly and accurately present the resource balance, liabilities towards other sources, and the outcomes of the legal subject’s businesses.
Legal subject submits its accounting statements semi-annually (semi-annual balance statement) and annually (annual balance statement). Semi-annual balance statement has to be turned in by the end of July of the current year, while the annual balance statement has to be submitted by the end of February of the following year – for the year that had expired.
In the process of book-keeping and accounting statement rendering, a legal subject shall observe the Code and the Standards.
The Standards are adopted in accordance with international accounting standards and relevant EU instructions.
Business books are kept by applying double entry principle.
Annual and semi-annual balance statements shall contain the following accounting statements:
- Status balance
- Accomplishment balance
Legal subjects must properly maintain and store accounting documents, business books, accounting statements and business reports.
Standards define periods and methods of maintenance and storage of accounting documents, business books, accounting statements, and business reports.
Legal subject observes the following general evaluation principles in the process of preparing an accounting statement:
- Principle of continuity;
- Principle of consistency;
- Principle of caution, for balances that contain: principle of completion, principle of impurity (inequality);
- Principle of causality of incomes and expenditures;
- Principle of individual evaluation of assets and liabilities towards other sources;
- Principle of time-related balance.