Conceptual principles of accounting for the right to lease a land plot as a type of intangible asset
Authors:   National University of Life and Environmental Sciences of Ukraine, Kyiv, Ukraine, Hutsalenko Liubov , Mulyk Tetiana ,   Vinnytsia National Agrarian University, Vinnytsia, Ukraine, Tsaruk Nataliia ,   Separated Subdivision of the National University of Life and Environmental Sciences of  Ukraine “Nizhyn Agrotechnical Institute”, Nizhyn, Ukraine, Yurlova Alona ,   National University of Life and Environmental Sciences of Ukraine, Kyiv, Ukraine
Published: February 2024

In Ukraine, land is an important resource for agricultural enterprises. Such enterprises cannot function without land, which is the main means of production. The long history of land reform has led to significant violations in the course of legal relations established since the initial acquisition of ownership of the land plot, the land share (share) so far, including violation of the terms of the moratorium, conclusion of agreements, restricting the right of use of the land plot, non-conformity of the actual boundaries of the land plot with the borders fixed in the documentation on land management etc. The process of adapting existing national accounting standards to the requirements of international accounting standards and international financial reporting standards on the formation of an intangible asset as a land lease right is supported by a number of regulatory legal acts approved by the Government of Ukraine in the recent period. Their effectiveness in extremely difficult conditions (under martial law) is particularly relevant because the use of agricultural land for its intended purposes ensures agricultural production and contributes to the country’s economic and food security. The purpose of the study is to substantiate the conceptual basis of accounting for the right to lease a land plot by allocating it as part of intangible assets. The solution of the tasks is achieved by applying general scientific methods (system analysis, generalization) and specific methods of scientific research (economic and statistical, observation, comparison etc.). The subject of the study is the allocation of the object of accounting - the right to lease land as an intangible asset. The article reveals the basic principles of international and national accounting standards of rights to lease land in the intangible assets of business entities. It was noted that Ukrainian legislation (especially those under martial law) has been amended to ensure the targeted use of agricultural land and to avoid food security risks. The process of formation of the object of accounting, in particular the right to lease agricultural land as a type of intangible asset, the criteria for the right to use land parcels, ensuring their inclusion in the composition of intangible assets, have been identified. Emphasis is placed on the need to conduct an audit (legal and technical component) before obtaining rights to land. Thus, the role and functional features of audit in the reliability of providing the legal component of the reflection of intangible assets, in particular the right to lease agricultural land, have been identified.