Sterngoff Audit LLC uses cookies (files with data about past visits to the site) to personalize services and user convenience. We take the protection of personal data seriously - read the terms and principles of their processing.

Application of FSBU 6/2020 "Fixed Assets" from January 1, 2022

From January 1, 2022, RAS 6/01 is deemed invalid, and FAS 6/2020 (approved by the Order of the Ministry of Finance No. 204н dated 17/09/2020) will be mandatory for application instead. In this article we will consider how the audit of fixed assets is conducted according to the new legislation and what procedures it includes.
Ms. Svetlana Pshenova
Assistant Auditor

On the eve of the new year, we would like to remind you that from January 1, 2022, Accounting Standard 6/01 is recognized as invalid, and it will be replaced without fail by FAS 6/2020 (approved by order of the Ministry of Finance dated September 17, 2020, No. 204n ).

This standard introduces many new concepts and provides organizations with leeway in certain situations.

Let’s consider the main innovations:

  • Objects that are below the established limit are not recognized as fixed assets;
  • The concept of liquidation value is introduced. It will be calculated in two ways: the amount that the entity would receive if the item was disposed of and the estimated disposal costs;
  • The elements of depreciation are useful life, residual value and method of depreciation;
  • A new criterion for the recognition of a fixed asset has appeared – the material form of the object;
  • And much more.

We also note that in connection with the application of the new FAS 6/2020 “Fixed Assets”, it will be necessary to make appropriate changes to the accounting policy for 2022.

The Sterngoff Audit team is ready to assist you in the development of accounting policies in connection with the application of new standards. We are glad to answer all your questions by e-mail