4.10 Accounting and registration obligations
The Law establishes for entrepreneurs, whatever their form, whether individual or corporate, the obligation to keep accounting records in accordance with the provisions of the Commercial Code or the regulations by which they are governed. The Commercial Code requires keeping two accounting books:
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The diary book
In which the amount of all operations carried out in the development of business activity is recorded chronologically, day by day. Joint recording of the totals of the operations for periods not exceeding one month may also be made, and their details are recorded in concordant books or registers.
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The book of inventories and annual accounts
This book must be opened with the company's detailed initial balance sheet (first accounting statement), transcribing at least quarterly, with sums and balances, the trial balances (second accounting statement). The closing inventory of the financial year (third accounting statement) and the annual accounts (last accounting statement) must be entered into it annually.
The latest financial statement, at the end of each financial year, contains the annual accounts: balance sheet, profit and loss account, statements of changes in equity, cash flow statements and notes. The annual accounts are the most important accounting instrument for the IS , since they serve as a starting point for the configuration of its BI .
In addition to the mandatory books, books and records may be kept voluntarily according to the accounting system adopted or the nature of the activity.
On the other hand, the obligation to keep and legalize certain “corporate books” is established: minute book, book of registered shares in public limited companies and limited partnerships, book of register of partners in limited liability companies.
Legalization of accounting books : The mandatory books will be legalized online with an electronic certificate. They are legalized in the Commercial Registry of the entity's registered office within 4 months following the closing date of the accounting year (April 30 of the following year for years that coincide with the calendar year).
Book Conservation : The General Tax Law (LGT) imposes the duty to keep the books relating to the business, duly organized, for 6 years , from its last entry, unless a regulation requires another period. The retention period also applies in the event of the employer's termination. In the event of dissolution of the company, the duty of conservation falls on the liquidators.
Likewise, the LGT and the Commercial Code require the conservation of correspondence, documentation and business receipts for 6 years, from the day the books are closed with the justifying entries.