Learn where to find expense reports in 1C 8.3, complete the tabs, close account 71, and avoid VAT and late filing issues.
An advance report in 1C takes five minutes to complete but can take months to resolve: accountable funds generate the most outstanding balances on account 71 and rejected expenses. Below, learn where to find the document in 1C:Accounting 8.3, how to clear the amount issued, why VAT on a cash receipt is usually not deductible, and which errors inspectors find first.
In 1C:Accounting 8.3, advance reports are located in the “Bank and Cash” section. The document consists of a header and several tabs, each covering its own part of the transaction:
Here, you select the documents recording the funds issued: a cash disbursement order, a debit from the settlement account, or a corporate card expense. Without this tab, the report does not clear the previously issued amount but creates an offsetting turnover.
Materials, goods, and inventory purchased by the accountable employee. Specify the supplier, document, VAT rate, and accounting account, just as for a standard receipt.
Cash payment to a supplier on behalf of the company: not a purchase, but repayment of a liability to the counterparty through an accountable employee.
Services, travel, accommodation, daily allowances, and anything that is not inventory. The most frequently used tab in business trip reports.
An employee’s application approved by management, or an order. It also specifies the amount, purpose, and reporting deadline.
A cash disbursement order with the operation type “Issue to an accountable employee,” a card transfer, or a corporate card expense. The amount is posted to account 71.
The employee incurs expenses and collects supporting documents: receipts, delivery notes, acts, tickets, and hotel bills.
In 1C, the funds issued are selected on the “Advances” tab, while expenses are entered on the “Items,” “Payments,” and “Other” tabs.
Unused funds are returned to the cash desk using a cash receipt order, while overspending is reimbursed to the employee. Account 71 for that employee should be cleared.
Previously, cash settlement rules expressly required a report within three business days.
This deadline has been removed from the cash-handling rules: the company now sets it itself in an order or policy on accountable funds.
Practical conclusion: without an order, there is no deadline to violate, but it is also impossible to require the report on time.
Account 71 balances can remain outstanding for years in such companies, and during an inspection the inspector naturally asks: are these accountable funds or actually an employee payment?
The most common error on the “Goods” tab is attempting to claim VAT shown on a cash receipt as a deduction.
The right to a VAT deduction is confirmed by an invoice; tax shown separately on a receipt is not sufficient on its own, and a retail sale does not involve an invoice.
What to do with this amount: include it in the cost of the purchase instead of leaving it on account 19 while waiting for a document that will never appear.
If claiming the deduction is essential, the purchase should be made in the organization’s name with an invoice, not through an accountable employee.
The expenses are posted, but the “Advances” tab is not completed. Account 71 shows a company liability to an employee that does not exist, and no subsequent document clears the balance.
The receipt is lost and only an explanatory memo is attached. The amount is not considered spent for company needs; it becomes employee income subject to personal income tax and insurance contributions.
A purchase unrelated to the company's activities. It is excluded from profit tax expenses and, if systematic, reclassified as an employee payment.
One advance report can include a dozen small documents in different formats: thermal-paper receipts, electronic receipts, tickets, hotel invoices, and delivery notes.
Each document must be recognized, assigned to the appropriate category, checked for a connection with business activities, and posted.
The error is inexpensive in monetary terms but costly in time: it surfaces a quarter later, when the employee no longer remembers what they paid for. ### What this costs the company
A section for the manager to whom the accountant is showing this material.
Accountable expenses are the area with the poorest ratio of amounts to labor effort.
The company spends accountants’ working hours processing 300-ruble receipts, while an uncleared balance on account 71 remains in the reports for years and risks being reclassified as employee income. What should you ask the team? -
Is there an order setting the deadline for submitting an advance report? -
Which balances have remained on account 71 for more than three months, and for which employees? -
How much time per month is spent reviewing receipts and requesting missing documents?
Recognition and initial verification are automated here: the agent processes receipts and invoices from photos, email, and messengers, identifies the expense category and rate, checks for supporting documents, and creates a document in the accounting system. Ambiguous cases—personal purchases, missing documents, and unsupported expenses—are sent to an exceptions queue.
This is part of the process recognition of source documents within the system AI accountant.
Related guides: errors in source documents and Bank statement in 1C, where corporate card expenses are cleared.
FAQ
In the “Bank and Cash” section, under “Advance Reports.” The document clears the amount previously issued to the employee for accountability.
The “Advances” tab was most likely not completed: the issuance document was not selected, so the expense was not linked to the previously issued amount. Repost the report and select the issuance.
By the deadline set by management in an order or policy on accountable funds. The former strict requirement to report within three working days under cash-handling rules no longer applies.
Generally, no: an invoice is required for a deduction, and the tax amount shown separately on a receipt is not sufficient grounds by itself. The tax is included in the cost of the purchase.
The amount is no longer considered spent for company needs and is treated as employee income, subject to personal income tax and insurance contributions. Therefore, a report without supporting documents is rejected.
There is currently no direct prohibition in the cash-handling rules, but uncleared balances accumulate and create a risk of reclassification. A sensible internal policy is not to issue a new advance until the previous one is closed.
It is also a supporting document. The receipt must contain the required details and relate to the company's activities; it is more convenient to store it in the accounting system with the report rather than in correspondence.
- Bank of CIS Directive No. 3210-U dated 11 March 2014, clause 6.3 — the procedure for issuing funds for accountability and the deadline for submitting an advance report set by management. - Tax Code of the CIS, Articles 171 and 172 — conditions for claiming VAT deductions. - Tax Code of the CIS, Articles 210 and 422 — employee income and the object subject to insurance contributions.
