The Official Accounting Plan of Accounts, also known as POC, is a codification of the type of accounting transactions that can be made by grouping them into classes so that they can be easily consulted and used.
So we have:
Class 1 – Cash and cash equivalents
In cash, we have the company’s liquidity and also short-term investments, up to one year.
Class 2 – Third Parties
In class 2 we have entities outside the company such as the State, customers, suppliers, banks (loans) and even the company’s shareholders. This account also includes other items, namely additions and deferrals, provisions and adjustments to debts receivable.
Class 3 – Stocks
In the stock class, we have the entire list of materials that the company sells, buys and consumes, and also includes advances on account of sales, regularization and stock adjustments.
Class 4 – Fixed assets
The company’s assets are included in this chapter, whether tangible or intangible assets, investments of more than one year and depreciation of fixed assets.
Class 5 – Capital, reserves and retained earnings
Account 5 includes the company’s capital, shares and also the company’s results.
Class 6 – Costs and losses
The costs and losses of the company are accounted for here, the values of this category will be transferred to the Profit and Loss Statement to determine the results.
Class 7 – Income and earnings
The class that records sales, services rendered, financial gains and other gains, joins class 6 in the income statement to calculate the company’s results.
Class 8 – Results
The sub accounts of this class show the company’s results at the end of the year.
Class 9 – Internal accounting of the company
Class 9 is used in cost accounting or analytical accounting using costing systems to record the costs of production or the company’s activities.
The chart of accounts (POC) was approved by Decree Law nº:
- 410/89 of November 21
- 238/91 of July 2
- 35/2005 of 17 February
The Accounting chart of accounts was replaced by the SNC on 1 January 2010.