Double entry bookkeeping 2025

This book is for everyone who wants to learn double-entry bookkeeping properly! It focuses on the most common accounting operations that occur in business practice. It is also suitable for today's challenging environment – we analyse changes in tangible and intangible assets, the option of keeping accounts in a functional currency, and the obligations to prepare and publish an income tax report and a sustainability report.
We will also briefly cover the approved amendments in the area of taxation with changes effective from 1 January 2025, especially changes in VAT. Furthermore, we focus on the possibility of carrying back a tax loss or the rules for the distribution of equity according to the Business Corporations Act. The explanation begins with generally accepted accounting principles, and the basic building blocks of double-entry bookkeeping are analysed in detail. This is followed by an analysis of accounting examples according to account classes, from tangible fixed assets, through inventories and receivables, to equity accounts, costs, and revenues. The examples are solved by posting to accounts, using historically used account numbers. The basic tax implications are attached to the costs and revenues, for example, the calculation of tax depreciation or the creation of provisions for receivables.
We pay great attention to the closing of accounts, the preparation of the balance sheet, the profit and loss statement, and the notes to the financial statements. The book contains separate chapters with examples on preparing a statement of changes in equity and a number of examples on preparing a cash flow statement. Finally, the obligations of a legal entity after the preparation of the financial statements are discussed, i.e., the obligation to prepare an annual report and a report on relations between related parties, the approval of the financial statements by the general meeting and their publication. An important chapter is also the accounting for the payment of a share of profits and its tax implications.