Italian chart of account

We normally add the taxes that are collected by companies which means:Value Added Tax, Import and Export taxes (you should create a tax rule for them) and so one.

Does company have the possibility to substract this taxes from the tax they collected? You should add them if the answer is yes.

As far as this is included on the invoice (this is the case in Spain) you should add them and ad a tax rule to be set on the self employed parties. If you want an example this is called Retencion taxes in Spanish Chart of Account.

I think you should use taxes and account as defined by tax authority always using the full name. This is the way that most accountants will find them.

P.S: If there is a code defined you should also set them on templates as most accountants will refer to accounts by it’s code.

We implemented some time ago an italian chart of account for a customer. It is on 5.0, please feel free to use it.
Some points should be reviewed:

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This is a huge help, thank you very much.

Hi
I’m a chartered accountant in Italy and have some experience with tryton, odoo and so on (there should be my translation there).
I’ve just seen the discussion, I have some simple remark.

  1. Here in Italy we have NO mandatory CoA, simply some accountant want to harmonize account with mandatory FS. So I do not see any point to use a long default CoA that’s not useful for anyone. Then I would avoid slashes or points in the account codes.

  2. Similarly for VAT it’s true it’s complicated but really I do not see the point of using such a mess of rates. We have a normal tax rate (22%), some exemptions, some limited deductions, INTRA and international transactions.

So I would struggle to keep SIMPLE the model, and evaluate the goal of the efforts.
If you need some help feel free to contact me.

Marco

I’ll just implement just art 2424 and 2425 and nothing more, i can create different type of chart for different entity type (micro, medium and big company) as the law suggest.

for now I’ll steer away the CoA for really big entities (I’m talking about the XBRL one)… it just add more sub-account.

I was thinking to implement:

  • varius VAT/IVA rates (22% and 10%)
  • undeductable VAT/IVA (in different percentages)
  • “ritenuta d’acconto” a.k.a. pay the taxes for me wold ya (4%)

If you can compile a small list of most used taxes a PMI would encounter, different from the one above it will help me.

P.S: @marco … i think we met before :slight_smile: (OpenDesignConference)

Another question:
The stock flag (account type), what does it means in the tryton context?
It should be for Account that hold the value of deprecable items?
Accounts that represent the value of goods in inventory?
Accounts that represent shares of another company?

Found something, bust still i have no clue Issue 4990: Merge account type and account kind - Tryton issue tracker

THsi post suggest that is for inventory items: Stock Account in French plan

But still unsure

It is for account that will be defined on product category to manage perpetual stock accounting. They are three accounts to define: Stock, IN and OUT.

@wifasoi My advice was to compile a simpler set than 2424 2425 that are made for FS and NOT for accounting. The law suggests NO CoA. As you said the law prescribes different FS, not accounts.
About VAT I would be pleased to help you, would you prefer to share the list here or to keep contact directly? Would you send me a model I compile?
Feel free to contact me when you want.

@wifasoi tryton like odoo/openerp and other erp systems was designed to work with both perpetual and discontinued inventory. In Italy it’s very rare to use perpetual so my advice is to encode the stock accounts all with a similar code in order to see them close.
In the case in the future you use perpetual you will change/configure such accounts and journals.

There is not overload by setting proper flags on the template chart as it will not prevent non-perpetual stock accounting.
In contrary if you do not set them in the template, users will have to “personalize” the account type which makes them harder to keep it up to date.

We want to start working on the creation of the account_it module.

As we’ve seen that each company creates its own CoA it seems to make no sense to create one in Tryton, as already stated by @marco and @wifasoi.

So it seems the module could include:

  • Account Types to match 2424 (Balance) and 2425 (Profit & Loss) reports. The best reference for those reports seems to be this and this respectively.

  • Account Taxes. This one has one issue, however, because the account field is required in taxes:

    modules/account: d8a4e01d3275 tax.py

    I’m not sure if it’s better to let the account_it module make those fields not required or remove the restriction from the base account module.

  • Create just the Root Account which is needed as it is required in Taxes, Tax Codes and Tax Rules.

    Ie: modules/account: d8a4e01d3275 tax.py

Marco mentioned:

But AFAIU 2424 and 2425 are official so it makes sense to follow them, isn’t it? The chart of accounts will not be created, only the account types will be ready for use when the company creates their own chart.

Hi albert,
If you want I can hand over the work so far accompliced by @marco and me.
I’m a bit overwelmed by work, so if you (or someone else) can give me an hand we can finish this module :smiley:

well, I created a script that converts a google doc sheet or csv file to xml, so the development can be done in parallel in this gogole sheet [read-only]. This is more handy becouse i can memoryze the reletion from fields (so you can change IDs if you don’t like it without redo the job)

The Account types are from the 2424 and 2425, the tax templates are besed on the annual tax report to send to the AgE (the Tax code compiled in the spreadsheet reference the 2020 IVA declaration)

All development are the compiled in this repo: https://git.mittelab.org/infra/tryton/mittelab_account_it

If you want we can coordinate here (or by PM).

P.S: sorry @marco for ghosting you (I thoght i sended an email to you… but gmail didn’t :frowning: )

Yes my advice was (and is :-)) not to follow the classification of codice civile.
Codice civile rules financial statements and NOT chart of accounts.
To reply trivially the FS classification for a CoA would be too long for most of the medium sized business (lots of lines never used by most of them), too short for large corporations, totally unusable in the case of IFRS reporting, a mess for very small companies and at the same time not specific enough.
For example leasing (broadly used in Italy) would be classified “other intangibles”, all VAT accounts in only a line, the “treasury” accounts etc
You would have a long CoA that none uses and at the same time you would have to add all the specific accounts you would need.
So our solution was for a compact CoA with a classification in “legal” categories through types.

What is the problem? For me this is what we have for existing countries.

What would be the problem? For other countries there are also many accounts that are not used by many companies.

I do not see any problem there. It is also common in other countries module that for specific need the user adds sub-account.

I do not see the point to create a new CoA if there is already one standard provided (even if it is not mandatory).

Ciao @wifasoi :slightly_smiling_face:

If you need help please contact me or go on with the discussion here.

What I can see now is:

  • fortunately (or unfortunately because it’s complicated) VAT return did not change a lot since last year
  • there are issues of tax compliance that are crucial for all the companies in Italy (eg “whtax”, “precompiled tax return”…)

@albert if you need help (advices, explanations for accounting and tax in Italy) feel free to contact me.

@ced as I explained there is NO standard provided. There is a FS (not COA) legal classification that would be used for FS for part of the businesses in Italy.
I think -in addition- that replying that classification as a COA would result not professional enough for a business management system.
Anyway if you like it…

But what does FS mean?

FS stands for financial statements, balance sheet, income statement (+nota integrativa, CF statement).
In Italy we have “legal” rules (only) for the lines of the financial statements but the rules change depending on activity/sector/industry and size of the company.

Then I do not understand this:

If there is a group that provides some kind of standard chart of account, I think it should be used instead of defining our own chart.
The size is not really a problem, it could be divided into a minimal and extended like in account_es or some account could be closed by default.

As far as what we have seen, there’s not even a standard de facto chart of account in Italy. All the charts we found look different:

  • The one provided by our customer
  • The one created by datalife
  • The one in Odoo
  • Others found in the Internet

That’s why we concluded that it’s better that the account_it module provides account types and taxes and let each company use their preferred chart of accounts.