The accounting entries of the income from the transfer of the right to use assets are as follows:
Debit: bank deposits, accounts receivable
Loans: other business income
Taxes payable-VAT payable (output tax)
Debit: other business costs
Credit: accumulated depreciation and accumulated amortization.
If the contract or agreement stipulates that a one-time use fee is charged and no follow-up service is provided, it is regarded as the sale of assets-the second recognition income; Where follow-up services are provided, the income shall be recognized by stages within the validity period agreed in the contract or agreement.
If the contract or agreement stipulates that the use fee shall be collected by stages, the income shall be recognized by stages according to the collection time and amount agreed in the contract or agreement or the amount calculated and determined according to the agreed charging method.
The transfer of the right to use assets refers to the transfer of the right to use assets, and the royalty income from the transfer of the right to use intangible assets mainly refers to the royalty income formed by enterprises.
The transfer of the right to use assets mainly includes: leasing intangible assets, leasing fixed assets, interest income from debt investment and dividend income from equity investment. Transfer of the right to use assets does not include: net income from disposal of creditor's rights investment, net income from disposal of equity investment, net income from disposal of fixed assets and net income from disposal of intangible assets.
The income from the transfer of the right to use assets mainly includes: (1) interest income, which mainly refers to the interest income generated by foreign loans of financial enterprises and the interest income generated by inter-bank transactions. (2) Royalty income mainly refers to the royalty income from the transfer of intangible assets (such as trademark rights, patents, franchise rights, software and copyrights) and other assets.
Royalty income shall be recognized in accordance with the charging time and method agreed in the relevant contract or agreement: if the contract or agreement stipulates that royalties shall be collected in one lump sum without providing follow-up services, it shall be recognized as one-time income from the sale of assets; If follow-up services are provided, the income shall be confirmed by stages within the validity period agreed in the contract and agreement.
If the contract stipulates that the use fee shall be collected by stages, the income shall be recognized by stages according to the collection time and amount agreed in the contract or the amount calculated according to the billing method agreed in the contract.