Accounting Law of the People's Republic of China (Amended in 2024)
Accounting Law of the People's Republic of China (Amended in 2024)
Accounting Law of the People's Republic of China (Amended in 2024)
Order of the President of the People's Republic of China No.28
June 28, 2024
(Adopted at the 9th Meeting of the Standing Committee of the Sixth National People's Congress on January 21, 1985; amended for the first time in accordance with the Decision on Amending the Accounting Law of the People's Republic of China passed at the 5th Meeting of the Standing Committee of the Eighth National People's Congress on December 29, 1993; revised at the 12th Meeting of the Standing Committee of the Ninth National People's Congress on October 31, 1999; amended for the second time in accordance with the Decision on Amending the 11 Laws Including the Accounting Law of the People's Republic of China passed at the 13th Meeting of the Standing Committee of the Twelfth National People's Congress on November 4, 2017; and amended for the third time in accordance with the Decision on Amending the Accounting Law of the People's Republic of China' passed at the 10th Meeting of the Standing Committee of the Fourteenth National People's Congress on June 28, 2024.)
Chapter I General Provisions
Article 1 This law is enacted to regulate accounting activities, ensure the authenticity and completeness of accounting materials, enhance economic management and financial management, improve economic efficiency, and safeguard the order of the socialist market economy.
Article 2 Accounting practice shall adhere to the guidelines, principles, policies, decisions and plans of the Party and the State, safeguard public interests, and serve the development of the national economy and society.
State agencies, social organizations, companies, enterprises, public institutional, and other organizations (hereinafter collectively referred to as “entities”) must handle accounting affairs in accordance with this Law.
Article 3 All entities must establish accounting books and ensure their truthfulness and completeness in accordance with the law.
Article 4 The principal of an entity is accountable for the authenticity and completeness of the entity’s accounting practice and accounting materials.
Article 5 Accounting bodies and personnel shall conduct accounting operations and implement accounting supervision in accordance with this Law.
No entity or individual shall, by any means, instruct, direct, or coerce accounting bodies or accounting personnel to falsify or alter accounting documents, accounting books or other accounting materials, or provide false financial accounting reports.
No entity or individual shall prosecute or retaliate against accounting personnel who perform their duties in accordance with the law or oppose conduct that violates this Law.
Article 6 Accounting personnel who make notable achievements in diligently implementing this Law, devoting themselves to their duties, and upholding principles, shall be given spiritual or material awards.
Article 7 The financial agency under the State Council is responsible for accounting administration nationwide.
The financial agency under a local people's governments at or above the county level responsible for accounting administration within its administrative jurisdiction.
Article 8 The State implements uniform accounting rules. National uniform accounting rules shall be formulated and issued by the financial agency under the State Council in accordance with this Law.
Relevant agencies under the State Council may, based on this Law and national uniform accounting rules, develop specific measures or supplementary provisions for the implementation of national uniform accounting rules in industries with special accounting and accounting supervision requirements, subject to review and approval by the financial agency under the State Council.
The State shall enhance the information technology development in accounting, and encourage the lawful application of modern information technology in accounting. The specific measures shall be formulated by the financial agency under the State Council, in conjunction with other relevant agencies.
Chapter II Accounting Operations
Article 9 Entities must conduct accounting operations based on actual economic and operational matters, and prepare accounting documents, accounting books, and financial accounting reports accordingly.
No entity shall conduct accounting operations based on fictitious economic and operational matters or information.
Article 10 Entities shall conduct accounting procedures and operations for the following economic and operational matters:
(1) Increases, decreases, and use of assets;
(2) Increases and decreases of liabilities;
(3) Increases and decreases of net assets (owner's equity);
(4) Increases and decreases of revenue, expenditures, expenses, and costs;
(5) Computation and treatment of financial results; and
(6) Other matters subject to accounting procedures and accounting operations.
Article 11 A fiscal year commences on January 1 and ends on December 31 of the Gregorian calendar.
Article 12 The Renminbi is the functional currency for bookkeeping in accounting operations.
Entities whose receipts and expenditures are primarily denominated in currencies other than Renminbi may choose one of those currencies as the functional currency for bookkeeping purposes, but financial accounting reports shall be prepared in Renminbi, with amounts converted from the foreign currency.
Article 13 Accounting documents, accounting books, financial accounting reports and other accounting materials must conform to national uniform accounting rules.
For entities using computers for accounting operations, the software employed and the resulting accounting documents, accounting books, financial accounting reports and other accounting materials must also conform to national uniform accounting rules.
No entity or individual shall falsify or alter accounting documents, accounting books or other accounting materials, or provide false financial accounting reports.
Article 14 Accounting documents include original certificates and vouchers.
......
Order of the President of the People's Republic of China No.28
June 28, 2024
(Adopted at the 9th Meeting of the Standing Committee of the Sixth National People's Congress on January 21, 1985; amended for the first time in accordance with the Decision on Amending the Accounting Law of the People's Republic of China passed at the 5th Meeting of the Standing Committee of the Eighth National People's Congress on December 29, 1993; revised at the 12th Meeting of the Standing Committee of the Ninth National People's Congress on October 31, 1999; amended for the second time in accordance with the Decision on Amending the 11 Laws Including the Accounting Law of the People's Republic of China passed at the 13th Meeting of the Standing Committee of the Twelfth National People's Congress on November 4, 2017; and amended for the third time in accordance with the Decision on Amending the Accounting Law of the People's Republic of China' passed at the 10th Meeting of the Standing Committee of the Fourteenth National People's Congress on June 28, 2024.)
Chapter I General Provisions
Article 1 This law is enacted to regulate accounting activities, ensure the authenticity and completeness of accounting materials, enhance economic management and financial management, improve economic efficiency, and safeguard the order of the socialist market economy.
Article 2 Accounting practice shall adhere to the guidelines, principles, policies, decisions and plans of the Party and the State, safeguard public interests, and serve the development of the national economy and society.
State agencies, social organizations, companies, enterprises, public institutional, and other organizations (hereinafter collectively referred to as “entities”) must handle accounting affairs in accordance with this Law.
Article 3 All entities must establish accounting books and ensure their truthfulness and completeness in accordance with the law.
Article 4 The principal of an entity is accountable for the authenticity and completeness of the entity’s accounting practice and accounting materials.
Article 5 Accounting bodies and personnel shall conduct accounting operations and implement accounting supervision in accordance with this Law.
No entity or individual shall, by any means, instruct, direct, or coerce accounting bodies or accounting personnel to falsify or alter accounting documents, accounting books or other accounting materials, or provide false financial accounting reports.
No entity or individual shall prosecute or retaliate against accounting personnel who perform their duties in accordance with the law or oppose conduct that violates this Law.
Article 6 Accounting personnel who make notable achievements in diligently implementing this Law, devoting themselves to their duties, and upholding principles, shall be given spiritual or material awards.
Article 7 The financial agency under the State Council is responsible for accounting administration nationwide.
The financial agency under a local people's governments at or above the county level responsible for accounting administration within its administrative jurisdiction.
Article 8 The State implements uniform accounting rules. National uniform accounting rules shall be formulated and issued by the financial agency under the State Council in accordance with this Law.
Relevant agencies under the State Council may, based on this Law and national uniform accounting rules, develop specific measures or supplementary provisions for the implementation of national uniform accounting rules in industries with special accounting and accounting supervision requirements, subject to review and approval by the financial agency under the State Council.
The State shall enhance the information technology development in accounting, and encourage the lawful application of modern information technology in accounting. The specific measures shall be formulated by the financial agency under the State Council, in conjunction with other relevant agencies.
Chapter II Accounting Operations
Article 9 Entities must conduct accounting operations based on actual economic and operational matters, and prepare accounting documents, accounting books, and financial accounting reports accordingly.
No entity shall conduct accounting operations based on fictitious economic and operational matters or information.
Article 10 Entities shall conduct accounting procedures and operations for the following economic and operational matters:
(1) Increases, decreases, and use of assets;
(2) Increases and decreases of liabilities;
(3) Increases and decreases of net assets (owner's equity);
(4) Increases and decreases of revenue, expenditures, expenses, and costs;
(5) Computation and treatment of financial results; and
(6) Other matters subject to accounting procedures and accounting operations.
Article 11 A fiscal year commences on January 1 and ends on December 31 of the Gregorian calendar.
Article 12 The Renminbi is the functional currency for bookkeeping in accounting operations.
Entities whose receipts and expenditures are primarily denominated in currencies other than Renminbi may choose one of those currencies as the functional currency for bookkeeping purposes, but financial accounting reports shall be prepared in Renminbi, with amounts converted from the foreign currency.
Article 13 Accounting documents, accounting books, financial accounting reports and other accounting materials must conform to national uniform accounting rules.
For entities using computers for accounting operations, the software employed and the resulting accounting documents, accounting books, financial accounting reports and other accounting materials must also conform to national uniform accounting rules.
No entity or individual shall falsify or alter accounting documents, accounting books or other accounting materials, or provide false financial accounting reports.
Article 14 Accounting documents include original certificates and vouchers.
......