ACCOUNTING AND TAXATION OF TRADE AND FINANCIAL DISCOUNTS

In this paper we sought of synthesizing the accounting and fiscal aspects related to trade and financial discounts. Trade discounts are accounted for when they are granted. Thus we can distinguish: trade discounts granted in the delivery invoice, and trade discounts invoiced subsequently. Trade discounts granted in the delivery invoice or subsequently, but treated together with the delivery of the products, adjust the incomes from the sale (in the seller’s accounting records), and the purchase cost (in the buyer’s accounting records. In the case of trade discounts granted subsequently, they are recorded in the trade discount accounts, both in the seller’s and in the buyer’s accounting records, if the goods are no longer in stock. Financial discounts constitute the object of records in the financial income and expenditure accounts.