Research On Counter-subsidy Accounting Problems

Since being WTO, the economic developing rapid, has brought the large amount trade surplus for our country, and it has also occupied the stage which the growth swift. In order to protect self-country's trading, deal with the trade deficit, the Europe, the America, the Canada and so on started in the counter-subsidy domain which covert stronger to open the second battlefield besides adopts the investigation on the counter-dumping, safeguard and guarantees. Only in 2004, Canada initiated 3 counter-subsidy investigations to our country. On March 29, 2007 the American international trade court ruled, the American Department of commercial affairs is authorized to consider whether to start the counter-subsidy investigation to the Chinese Enterprise. This decision changed the policy for 23 year which the US counter-subsidy law not be suitable to the"the non-marketing country". It can be said that the counter-subsidy situation our Government and the enterprises face is very stern. In fact the counter-subsidy investigation also is a very strange thing to our country's enterprises. Considering only the Accounting aspects, the enterprises also have many problems. But many scholars'researches of the counter-subsidy questions in our country concentrated in the legal and the economic aspects. It was hardly considering from accounting's angle. In the counter-subsidy investigation, it involves to such as subsidy's recognizing and computation, the sales'recognizes, the subsidy assignment and the subsidy scope and so on many accounting estimation problems.In view of the fact that accounting plays an indispensable influential role on dealing with the counter-subsidy practice in our country's export Enterprise, how to take the important effects on the counter-subsidy becomes the research goal of this paper. Therefore this paper proposes research train of the counter- subsidy accounting, and adopts the analysis methods which including the standard research and the case analysis. At present, there is still not systematic and fundamental research on counter-subsidy accounting in our country. This affects the enterprise pay much attention to the counter-subsidy accounting in a certain extent, and will also enlarge the enterprise's possibility of the unfavorable situation in dealing with the counter-subsidy investigation.This paper analyses the accounting problems on counter-subsidy practice what our country will encounter. And it also elaborates the solution to these problems. Then it proposes the export companies should establish the counter-subsidy accounting. The paper analyses the function of the counter-subsidy accounting and the information's origin and the contents of the counter-subsidy accounting report what the enterprises obtain base on the information. The main point of the paper is it elaborates the great effects of the counter- subsidy accounting, including the confirmation and computation of the subsidy's incomes, the computation of the subsidy's scope, the arbitration of the damage and the remedies aspects. Makes the enterprises can use these stipulation of the same aspects of the SCM agreement and the counter-subsidy's law of US better by which makes the enterprise to be in an advantageous or the initiative position on dealing with the counter-subsidy investigation. The paper finally uses a case to explain what problems of the accounting aspects should be pay attention in the counter-subsidy investigation process.