One is free.
Free is the basic feature of government subsidies.
The second is to obtain assets directly.
Government subsidies are assets directly obtained by enterprises from the government, including monetary assets and non-monetary assets. For example, enterprises obtain government financial allocations, and return taxes and land use rights allocated by the administration in the form of first levy and then return (that is, levy and then return). Economic support that does not involve the direct transfer of assets does not belong to the government subsidies stipulated by the government subsidy standards, such as debt forgiveness between the government and enterprises, and tax incentives other than tax rebates, such as direct reduction or exemption, increase of tax deduction, and partial tax credit.
In addition, it should be noted that the VAT export tax rebate is not a government subsidy.
Second, the main forms of government subsidies:
(1) financial allocation;
Financial appropriation is the money allocated by the government to support enterprises free of charge, and usually the purpose of the funds will be clarified when approving the appropriation.
(2) financial discount;
Financial discount is a subsidy given by the government to the bank loan interest of the loan-bearing enterprises in order to support the development of a specific field or region according to the national macroeconomic situation and policy objectives.
(3) tax refund;
Tax refund is a kind of government subsidy in the form of tax preference returned by the government to enterprises in accordance with relevant state regulations.
(4) Allocating non-monetary assets free of charge.
Income-related government subsidies:
If it is used to compensate the future expenses or losses of the enterprise, it will be recognized as deferred revenue when it is acquired, and then it will be included in non-operating income during the period when the relevant expenses are recognized; If it is used to compensate the related expenses or losses incurred by the enterprise, it will be directly included in the current non-operating income when it is obtained.
To obtain government subsidies for comprehensive projects, enterprises need to decompose them into asset-related parts and income-related parts for accounting treatment respectively; If it is difficult to distinguish, the government subsidies will be classified as income-related government subsidies as a whole, and will be included in the current profit and loss according to different situations, or recognized as current income by stages during the project period.
Government subsidies related to assets:
When an enterprise obtains government subsidies related to assets, it cannot be directly recognized as current profits and losses, but should be recognized as deferred revenue. When the relevant assets reach the predetermined usable state, they will be evenly distributed within the service life of the assets and included in the profits and losses (non-operating income) in the following periods.