Intangible assets are values thathave a certain value, but do not have a physical embodiment. In fact, they are not physical, physical objects. There are quite a few varieties of such assets.
In the modern understanding of intangible assets -these are assets that have a certain legal status, are identified by the time of their appearance and availability, belong to private property, they need legal protection, they have a certain manifestation or proof of their existence.
The intangible assets of the definition are alsosuch: assets that do not have a physical form, but are included in the assets of the balance of the enterprise and require gradual depreciation during the period of their use.
Valuation of intangible assetsis a rather complex process, which has its own specifics. This type of assessment is very different from the evaluation of material forms of ownership. It is quite difficult to determine how much the impact and profitability of intangible assets. These assets allow enterprises to receive additional profits, increase sales and reduce costs.
When selling intangible assets is not realizedthe object itself, and the right to use it. The basis for recording on the balance is the invoice issued to the buyer or a bill of lading (certificate of acceptance and transfer). If there is a sale of the intangible asset itself, its residual value relates to other expenses and revenues. Intangible assets are objects whose turnover from sale is subject to VAT.
Intangible assets in financial statementscease to be reflected in case of their retirement for reasons of gratuitous transfer, sale, etc. Losses or incomes that arise upon the termination of the recognition of assets are reflected in the relevant report.