Characteristics of intangible assets as object of accounting and specificities determination of it’s valuation

Abstract

The arƟcle discusses the accounƟng treatment for intangible assets. The authors note that intangible assets are the result of economic and technological development. On this basis, the classificaƟon of economic eras according to the relaƟonship between the use of tangible and intangible assets has been considered. The arƟcle also highlights the main criteria for intangible assets, namely legal and economic. The authors note that intangible assets are a group of balance sheets, in which the intellectual resources of the new economy could be reflected. It is noted that UNAS 8 “Intangible Assets” does not contain a certain part of the secƟons that are reflected in IAS 38 “Intangible Assets”, in parƟcular, separate acquisiƟons of an asset and acquisiƟons as part of the business associaƟon, acquisiƟons through government grants, etc. AccounƟng systems and items relaƟng to intangible assets are considered. Intangible assets, and especially intellectual capital, are considered to be an important source of capital deepening in European countries, albeit with significant differences among countries. It is noted that one of the biggest challenges in accounƟng for intangible assets is their valuaƟon and, according to certain requirements of the legislaƟon, the enƟty may revalue at fair value at the balance sheet date but if there is no acƟve market, the revaluaƟon may be carried out on the basis of an expert assessment of the subject of the evaluaƟon acƟvity. The authors maintain that the presƟge or importance of intangible objects can be assessed by expert judgment, as many factors constrain the implementaƟon of the excepƟonal features or properƟes specific to these objects. The authors discussed various methods for intangible asset valuaƟon and the prioriƟes for applying expert valuaƟon approaches to intangible assets and intellectual property objects in foreign pracƟce. The arƟcle also deals with staƟsƟcal data on the value of intangible assets in the balance sheets of Ukrainian enterprises.