Borrow: management fee-patent fee
Taxes payable-VAT payable (input tax)
Loans: bank deposits
The patent fees paid by enterprises every year need to be amortized. When paying, the accounting treatment is as follows:
Borrow: intangible assets-patent fees
Taxes payable-VAT payable (input tax)
Loans: bank deposits
Amortize the annual patent fee every month:
Debit: management expenses-amortization of intangible assets
Loan: accumulated amortization
When an enterprise pays the annual patent fee, it should be accounted for by the subject of "management fee" or "intangible assets", and when the deductible input tax is involved, it should also be accounted for by the subject of "tax payable-value-added tax payable (input tax)"; When amortizing intangible assets, it is accounted for by the "cumulative amortization" account. Amortization of intangible assets is a method to amortize the original value of intangible assets within the effective period.