Name of organization: ADRIA Interkulturális Egyesület (ADRIA Intercultural Association)
Address: 8960 Lenti Harangláb út 36., Hungary
Tax number: 19316389-1-20 (EU-VAT: HU 19316389)
Name of person (s) authorized to represent:
- Kronauer Éva Lilla (independent),
- Framarin Giacomo (independent) and
- Bedin Maurizió (independent)
- Dr. Mikulás Gábor (independent)
Matters not regulated in these regulations shall be dealt with in accordance with the relevant provisions of the Accounting Act and related legislation. It is inspected and maintained depending on changes in legislation, but at least annually.
In force as of 25 August 2021
____ Kronauer Éva Lilla sk.___________
Data of the person authorized to represent the organization:
company signature
The accounting policy has been prepared using the following guidelines:
- Valid Accounting Act
- CIVIL HANDBOOK 2.0 – A guide to the day-to-day operation of NGOs is our publication
- and based on a review of the accounting records of a number of non-governmental organizations and public bodies.
Table of Contents
1. The objective of the accounting policy. 4
2. The business year, the balance sheet date. 4
3. Date of preparation of the report 4
4. Audit, Deposit and Disclosure. 4
4.2. Deposit and publication. 5
4.3. Other disclosure obligations. 5
5.1. The chosen method of cost accounting: 5
6.2. The currency of the report 6
6.3. The shape of the balance sheet 6
6.4. Method of determining the result and form of presentation of the result 6
The layout of the balance-sheet 7
The layout of the profit and loss statement 7
8.1. Principle of going concern. 7
8.2. The principle of completeness. 8
8.3. The principle of authenticity. 8
8.5. Principle of consistency. 8
8.6. The principle of continuity. 8
8.7. The principle of comparison. 8
8.8. The precautionary principle. 8
8.9. Principle of gross settlement 9
8.10. The principle of individual assessment 9
8.11. The principle of accruals. 9
The principle of content prevailing over form.. 9
8.13. The principle of materiality. 9
The principle of cost and profit comparison. 9
9. Regulations to be prepared in the framework of accounting policy. 9
11. Value adjustment, valuation reserve. 10
12. Valuation at fair value. 10
13. Accounting for the costs of reorganization. 10
14. Qualification criteria from the viewpoint of accounting treatment 10
14.1. Materiality criteria. 10
14.2 Significant amount of error 10
14.3. Specific low value stocks. 11
14.4. The value of small receivables per customer and debtor 11
14.5. Revenues, expenses and expenses of exceptional size or occurrence. 11
Disproportionate cost in the case of bad debts. 11
15.1.Size of residual value. 12
Applied writing off method(s) 12
15.3.Addition of impairment 12
15.3.1. Planned depreciation. 12
15.3.2. Unscheduled depreciation and impairment and resp. cases of reversal accounting. 12
16. Evaluation of foreign exchange and foreign currency items. 13
18. Due date of recording business events. 14
Frequency of making entries concerning depreciation. 14
Due date of recording other business events. 14
20. Structure and content of the supplementary annex according to the Accounting Act 14
21. Structure and content of the public benefit annex. 15
The organization’s accounting policy:
- Act C of 2000 on Accounting (hereinafter ‘Sztv.’), Act CLXXV of 2011 on the Right of Association, the Status of Public Benefit, and the Operation and Support of Non-Governmental Organizations. (hereinafter ‘Ectv.’), and we consulted on the CIVIL HANDBOOK 2.0 – Guide to the day-to-day operation of non-governmental organizations. and reviewed the accounting policies of several NGOs.
- 479/2016 on the specifics of the reporting and bookkeeping obligations of certain other organizations under the Accounting Act. (XII. 28.) Government Decree (hereinafter: Reg.),
- 350/2011 on certain issues of NGO management, fundraising and public benefit. (XII. 30.) It was prepared based on a government decree.
1. The objective of the accounting policy
The purpose of the accounting policy is to: ADRIA Intercultural Association (in the case of a non-governmental organization) an accounting system on the basis of which a report containing reliable and true information can be compiled. This accounting system is also suitable for supporting decision-making and informing stakeholders with reliable and accurate information.
The accounting policy – based on the principles and valuation standards set out in the Accounting Act – is a set of methods and procedures necessary for the implementation of the provisions of the Accounting Act, which forms the basis for the development of the system best suited to the company’s capabilities.
2. The business year, the balance sheet date
The business year is the period for which the report is to be prepared. / Sztv 11. §/
The business year is the same as the calendar year, except for the formation or dissolution of the non-governmental organization. The balance sheet date, except for termination, is 31 December. Reg. 7. 2
3. Date of preparation of the report
Between the balance sheet date of the financial year and the date of deposit, the date of preparation of the financial statements must be determined in such a way that the valuation tasks necessary to present a reliable and real financial position can be performed. / Sztv 3§ (6) 1. /
The date of preparation of the report is the last calendar day of the third month following the balance sheet date of the business year, in our case March 31 of the year following the business year.
Shutdown schedule
We do not make a closure schedule.
4. Audit, Deposit and Disclosure
4.1. Audit
THE Our organization has no audit obligation, he does not choose it of his own volition. / Reg. 16. 1
4.2. Deposit and publication
The non-governmental organization shall deposit and publish its report approved by the approval body and its public benefit annex by the last day of the fifth month following the balance sheet date of the given business year. This obligation to deposit and publish must be fulfilled by sending it to the National Court Registry. / Ectv 30. Par. (1) to (3)
The published report is not audited by the auditor, and we are required to include the following text on each copy of the balance sheet, income statement and notes to the annual report: “The published data is not supported by an audit.” / Art. 17 (3) of the Reg. /
4.3. Other disclosure obligations
The NGO has its own website: http://adriaticaintercultura.org/ The obligation to publish also extends to the publication of the report and the public benefit annex on its own website. Continuous viewing of the data published on its own website shall be ensured at least until the publication of the data for the second business year following the publication. / Ectv 30. 4
Method of book-keeping
Accounting for the NGO – subject to reporting obligations the single accounting system , in Hungarian, in HUF. / Art. 9 (1) of the Reg. /
He is obliged to prepare a report on the operation, property, financial and income situation of the organization, after the closing of the books of the calendar year, supported by the accounting specified in the law – in Hungarian. / Sztv 4. 1
You must apply the effective Hungarian accounting standards promulgated by a separate decree during the bookkeeping and preparation of the reports. . / Art. 6 (4) of Sztv.
The revenues and costs and expenses (expenditures) of the non-governmental organization arising from its activities according to the basic purpose (including public benefit) and from its economic and business activities must be recorded separately. / Ectv 27. 1
The non-governmental organization shall keep its books of account in such a way that the revenues and expenses (costs) and expenses of the business activity determined in accordance with the relevant legislation are separated from the revenues and expenses (expenses), expenses and economic events of the main activity. result for the current year. / Reg. § 9 (9) /
The other organization must show separately in the books the donation received, the public donation and their use, if required by law, and if the donation is subject to the provisions of the Corporate Tax and Dividend Tax Act and the personal donation tax issue a certificate authorizing the use of / Reg. § 9 (10) /
5.1. The chosen method of cost accounting:
The costs are primarily covered by Article 5. Cost items account class and, in the alternative, 6. Cost centers, overheads and 7. The costs of activities are posted to the accounts of the account class.
5.2. Bookkeepers
The bookkeeping is performed by a member / official of our organization.
5.3. Software used for general ledger accounting, analytical record keeping and other related data processing
The annual report
6.1. Form of the report
The form of the report is determined by the activity carried out by the non-governmental organization, the amount of the total annual income (the main activity and the total income of the business activity) and the method of bookkeeping. /Reg. 7. 3
Our organization prepares a simplified annual report in accordance with the provisions of the government decree, as well as a public benefit annex at the same time as the report.
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The simplified annual report is the Regulation Annex 4 from the balance sheet and Annex 5 from the income statement in accordance with consists of an additional annex. Regulation 8. § (6)
6.2. The currency of the report
The annual report is prepared in HUF.
6.3. The shape of the balance sheet
The balance sheet is based on Act No. 4 of the Accounting Act “Required breakdown of the simplified balance sheet” prepared in accordance with the breakdown of the balance sheet in Annex. (Accounting Act. 99. § (1)
6.4. Method of determining the result and form of presentation of the result
Operating profit as the difference between the net sales revenue settled in the financial year, the value of own performances included in assets, other income and the total amount of material expenses, personnel expenses, depreciation, and other expenses recognized in the financial year (total cost procedure).
Profit derivation is calculated in accordance with Article 5 of the Accounting Act. prepared in accordance with Annex (Sztv. 99. § (1)
7. Structure of the report
The association prepares simplified annual reports in accordance with the Accounting Act and in the manner specified in the relevant decree.
The layout of the balance-sheet
The balance-sheet gives no more detail than required in the Accounting Law; items marked with Arabic numerals within one group are not combined; and lines marked with Arabic numerals including data neither for the year concerned, nor for the previous year, are not omitted.
The content and rationale for further details and mergers are set out in the notes.
The layout of the profit and loss statement
The profit and loss statement gives no more detail than required in the Accounting Law; items marked with Arabic numerals within one group are not combined; and lines marked with Arabic numerals including data neither for the year concerned, nor for the previous year, are not omitted.
The content and rationale for further details and mergers are set out in the notes.
Accounting principles
The following principles shall be enforced when making the report and in the course of book-keeping:
(No deviation from the principles is allowed unless in a manner regulated by the Accounting Law.) )
8.1. Principle of going concern
When making the report and in the course of book-keeping, it is supposed that the business organisation will be able to maintain its operation also in the foreseeable future, will be able to continue its activity, and the termination, or a material decrease of the operation for any reason is not expected.
8.2. The principle of completeness
The business organisation shall record all the business events the effect of which on the assets and liabilities, as well as on the profit in the year concerned, are to be shown in the report, including the business events which relate to the business year concerned and became known following the balance-sheet date but prior to the due date of the completion of the balance-sheet, as well as the ones that arise from the business events of the business year closed on the balance-sheet date and had not yet taken place prior to the balance-sheet date but became known prior to the due date of the completion of the balance-sheet.
8.3. The principle of authenticity
Items entered in the books and contained in the report shall be such that they can be found and proved in reality, and can also be verified by outside parties. The evaluation thereof shall be in accordance with the evaluation principles laid down in the Accounting Law, as well as with the applicable evaluation procedures.
8.4. The principle of light
The book-keeping and the report shall be prepared in a concise, comprehensible form, and arranged in accordance with the requirements of the Accounting Law.
8.5. Principle of consistency
In respect of the contents and form of the report and the supporting book records, constancy and comparability shall be provided for.
8.6. The principle of continuity
The opening data of a given business year shall be identical with the corresponding closing data of the previous business year. In consecutive years the evaluation of assets and liabilities, and the assessment of profit or loss shall not change unless in accordance with the rules laid down in the Accounting Law.
8.7. The principle of comparison
When determining the profit or loss for a given period of time, the confirmed revenues of the performance in the period concerned of the activities and the costs (expenditures) corresponding to such revenues shall be taken into account, regardless of their financial settlement. The revenues and costs shall relate to the period in which they were incurred in terms of business activity.
8.8. The precautionary principle
(9) No profits may be indicated if the financial realization of the revenues and incomes is uncertain. In determining the profit for the year, the foreseeable risk and presumed loss must be taken into account by recognizing the impairment and creating a provision, even if it has become known between the balance sheet date of the business year and the balance sheet date. Depreciation, impairment losses and provisions are recognized regardless of whether the result for the financial year is a gain or loss.
8.9. Principle of gross settlement
Revenues and costs (expenditures), as well as receivables and payables, shall not be offset against one another unless provided for in the Accounting Law.
8.10. The principle of individual assessment
The assets and liabilities have to be recorded and evaluated individually in the course of book-keeping and preparing the report.
8.11. The principle of accruals
The consequences of business events concerning two or more business years shall be accounted for among the revenues and costs of the period in question in the proportion in which they are incurred between the underlying period and the accounting period.
The principle of content prevailing over form
In the report and in the course of book-keeping activity, business events and transactions shall be recorded and accounted for in accordance with their actual business content according to the principles and applicable provisions laid down in the Accounting Law.
8.13. The principle of materiality
All such information are to be considered as essential from the viewpoint of the report in which regard any loss or false representation may reasonably influence the decisions of the users of the data of the report. The classification of an item as material should be considered in conjunction with other similar items.
The principle of cost and profit comparison
The usability (usefulness) of information disclosed in the report (the balance-sheet, the notes on the accounts) must be proportionate to the cost of providing such information.
9. Regulations to be prepared in the framework of accounting policy
It is prepared as a separate regulation within the framework of the accounting policy
- Policy on the evaluation of assets and liabilities
- Inventory and stocktaking policy of assets and liabilities
- Rules for the disposal of assets and liabilities,
- Cash Management Rules
Classification of assets
According to the Accounting Act, capital goods must be classified as fixed assets and current assets on the basis of their intended use. / Sztv 23. 4.)
Current assets include all assets that do not serve the activity on a permanent basis, ie they are depreciated or withdrawn from management for a period of one year or less. / Sztv 28. §/
If the use or purpose of a given device changes, because the device no longer serves the activity or operation permanently or vice versa, its classification must be changed; the asset shall be reclassified from non-current assets to current assets or, conversely, from non-current assets to non-current assets at the latest at the balance sheet date for the balance sheet date. / Sztv 23. 5
Modification (transfer) is also made only on the basis of the decision of the management concerning the current year, at the latest when preparing the balance sheet of the business year.
11. Value adjustment, valuation reserve
The non-governmental organization does not want to use the value adjustment option, so neither the value adjustment nor the value adjustment valuation reserve is included in the balance sheet.
12. Valuation at fair value
The non-governmental organization does not intend to use the possibility of valuation at fair value, so the balance sheet does not include any valuation difference or fair value valuation reserve, the income statement does not include any valuation difference.
We do not apply fair value measurement rules to a specific class of financial instruments.
13. Accounting for the costs of reorganization
The costs incurred are charged to the income statement in the year in which they are incurred.
14. Qualification criteria from the viewpoint of accounting treatment
14.1. Materiality criteria
According to the principle of essentiality all such information are to be considered as essential from the viewpoint of the report in which regard any loss or false representation may influence the decisions of the users of the data of the report. The classification of an item as material should be considered in conjunction with other similar items. / Sztv 16. 4
14.2 Significant amount of error
If the audit has identified a significant error (s) in the simplified balance sheet and profit and loss account of the previous business year (s), in accordance with the conditions set out in the contractor’s accounting policy, the changes for the previous business year (s) shall be and for each item of profit or loss, it shall be presented in addition to the data of the previous business year. In such a case, the simplified balance sheet and the profit and loss account also contain the data of the previous year, the changes for the closed business year (s) and the data of the current year in separate columns. (Sztv. 99.6/
The error is not insignificant if the sum (value independent of the sign, absolute) of the value of the errors and error effects – in the result, increasing or decreasing equity – discovered in the year of the error detection, during various audits, for a given business year (separately per year) does not exceed the significant error limit. (Sztv. 3§ (3) 4 /
14.3. Specific low value stocks
For the purpose of accounting for impairment, inventories for which the impairment does not exceed 5% of the recorded value per inventory group (general ledger account) are considered to be of low specific value.
14.4. The value of small receivables per customer and debtor
Receivables are to be considered as receivables of small value if their value is not higher than HUF 50 thousand.
14.5. Revenues, expenses and expenses of exceptional size or occurrence
The threshold for items of exceptional size or occurrence is set at HUF 100. / Sztv 14. § (4) /
Accordingly, revenues, expenses and expenses of an exceptional amount or occurrence in the case of an amount exceeding this are presented item by item in the Notes. / Sztv 88. (4.a)/
Disproportionate cost in the case of bad debts
In the case of bad debts, the costs relating to execution are to be considered as disproportionate with the supposedly recoverable amounts if they do not exceed the double amount of the cost of execution.
15. Depreciation policy
In the course of accounting for planned depreciation, the basis of the calculation shall be the historical cost reduced by the expected residual value at the end of the useful life of the assets.
Useful life: the period over which a depreciable asset is charged to profit or loss on a time or pro rata basis.
(Accounting Act. 3. Paxene should be given before cisplatin when used in combination (see 4.5)./
Residual value: at the time of commissioning, at the time of commissioning – based on the available information, depending on the useful life – the value of the asset determined at the end of its useful life.
The residue value may be zero if its value is likely to be insignificant. (Sztv. . (4/ 6)/
15.1.Size of residual value
We do not determine a residual value for intangible assets and property, plant and equipment because the intended activity is the determining factor and therefore depreciates the assets of the organization to zero.
Applied writing off method(s)
Based on gross value
The ratio of depreciation to be accounted for annually to cost (gross value) – to residual value less residual value (gross value) if residual value is determined, expected use of the individual asset, resulting life, physical wear and tear and moral obsolescence, and shall be applied from the time they are put into service and put into service after being recorded in the registers. . / Sztv 52. 2
The date of commissioning is the date on which the asset is used for its intended purpose in the ordinary course of business.
The description is done linearly with a constant description key. Depreciation rates used: In accordance with the conditions set out in the Valuation Rules for Assets and Liabilities.
15.3.Addition of impairment
15.3.1. Planned depreciation
Depreciation shall be accounted for as from the date of putting into operation until the date of removing the items from the books, in the case of removal.
The purchase or manufacturing costs of tangible assets with an individual purchase or manufacturing value of less than HUF 50 thousand may be written off as a lump sum amount upon taking into usage. / Sztv 80. 2
15.3.2. Unscheduled depreciation and impairment and resp. cases of reversal accounting
Unplanned depreciation must be recorded in the balance sheet at the actual market value / Sztv 56. 1).
- if the cost (purchase) or book value of the purchased inventory (material, goods) is significantly and permanently higher (by 20% and beyond 6 months) than the actual market value known at the time of preparing the balance sheet
- if the value of the intangible asset, tangible asset (including investment) decreases permanently, because the intangible asset, tangible asset (including investment) has become redundant due to a change in the activities of the association, or damage,
- if the intangible asset, the tangible asset cannot be used or is unusable in accordance with its purpose due to destruction or shortage;
- / Sztv 53. 1.)
If the cost (production) or book value of own-produced inventory (work in progress, semi-finished and finished product, animal) is significantly and permanently higher than the known and expected selling price at the balance sheet date, it is shall be shown at the selling price plus subsidies, the value of the inventory shall be reduced by recognizing the difference as an impairment loss. (Sztv. 56. 1
Receivables from receivables outstanding at the balance sheet date of the business year and not financially settled at the balance sheet date (including receivables from credit institutions, financial enterprises, amounts given as loans, advances and receivables from the accrual of income) an impairment loss is recognized for the difference between the carrying amount of the receivable and the expected recoverable amount of the receivable, based on information available at the balance sheet date, if the difference is significant and / Sztv. § 55 (1) /, that is, more than one year and exceeding HUF 200 thousand.
In the case of small receivables per customer and per debtor, the amount of impairment is determined as 50 per cent of the registration value of these receivables, based on the joint rating of the customers and debtors. Sztv. 55. (2)
16. Evaluation of foreign exchange and foreign currency items
When determining the HUF equivalent of the stocks of foreign exchange, the balance of foreign exchange accounts, receivables in foreign currency, invested financial assets, securities (hereinafter collectively: assets in foreign currency) and the HUF equivalent of liabilities, the following provisions shall be complied with:
The currency must be converted into forints at the official exchange rate published by the Magyar Nemzeti Bank.
17. Provision creation
Provisions for pre-tax profit shall be made, to the extent necessary, for payment obligations to third parties arising from past or ongoing transactions and contracts [including, in particular, statutory guarantee obligations, contingent liabilities, certain (future) liabilities, early retirement, severance pay obligation, environmental liability] that are probable or certain to exist at the balance sheet date but their amount or due date is still uncertain and the contractor has not otherwise provided the necessary coverage. .( Sztv. 41. § (1 ) /
Provisions for future costs
No provisions shall be allocated to the debit of the pre-tax profit and future costs.
18. Due date of recording business events
Data on documents of economic transactions and events concerning funds must be recorded in the books without delay, simultaneously with the cash flow in the case of cash transactions, or upon receipt of the credit institution notification in case of bank account turnover, no later than the 15th of the month following the month. Sztv. Art.165 (3) a) /
Frequency of making entries concerning depreciation
Capitalisation of tangible assets shall be recorded in the analytical accounts by the end of the month following the month of capitalisation; depreciation shall be recorded in the framework of the monthly closing both in the analytical accounts and in the general ledger – and reconciliation of data shall be conducted also in this case.
Due date of recording other business events
The data of the documents of other business transactions and events shall be recorded in the books after such events occur on a monthly basis by the 20th day of the month following the month concerned and the records of the general ledger shall be reconciled with the analytical accounts.
(With the exception of value losses, provisions, accruals and the determination of exchange rate differences relating to foreign exchange and foreign currency items, the recording of which in the general ledger is carried out only in the framework of the annual closing.)
19. Closing of Books
An accounting closure is made only at the end of the year. During the short-circuit work, we reconcile the general ledger with the analytics and perform supplementary, corrective, and reconciling bookings to complete the continuous accounting.
The annual closure must be completed by the reporting deadline. After the annual closing, in addition to the general ledger statement, all general ledger cards and analytics must also be printed.
20. Structure and content of the supplementary annex according to the Accounting Act
The association keeps a single account and is therefore not required to provide additional notes.
Indicative data:
- Amounts definitively used under the scheme per grant. (Support program means a support or donation received from the central, local government and / or international sources, or from another farmer, aimed at maintaining and developing the activity.) / Ectv. 29. 4
- Details of the aid (recoverable) received under the aid scheme. / Ectv. 29. 4
- Main activities and programs carried out during the business year. / Ectv. 29. 5
The information listed above is presented by the organization in an additional appendix, which is part of the report form published by OBH.
21. Structure and content of the public benefit annex
The non-governmental organization is obliged to prepare a public benefit annex at the same time as its report. / Ectv. 29. 3.)
The non-governmental organization’s public benefit annex is amended by Decree No. 50/2011. (XII. 30.) Government Decree “Annex to Decree 350/2011. (XII. 30.) According to the content of the annex entitled “Government Decree”, on the form published by OBH.