Debts


Also found in: Dictionary, Thesaurus, Medical, Legal, Financial, Acronyms, Idioms.
Related to Debts: Bad debts, national debts

Debts

 

the total of obligations due an enterprise, organization, or establishment from legal “persons” [such as corporations] or individuals as a result of economic relations. The source of payment of debts is the debtor’s own funds diverted from working capital.

Under the conditions governing the socialist economy, debts are subdivided according to their origin into indebtedness arising from the normal process of economic activity and indebtedness arising from budgeting and paying violations, as well as from violations of socialist legality. To the first category belong such items as advances to suppliers under contracts (for gas, electric power, motor-transport and communication services, and purchase of certain materials); planned and preliminary payments for which the goods were to be delivered later; the liability of officials responsible for returns (in connection with advances issued to them) for failure to act within the time permit they have; and the liability of tenants of housing units for nonpayment of rent for the last month. The second category of debts covers debts connected with deficits, embezzlement, and misappropriation; claims acknowledged by defendants or adjudged by arbitration and arising from inadequacies in the quantities or qualities of goods (or services) with regard to the selected previously fixed assortment; and other forms of overdue debts.

From the point of view of economic content, debts also include liabilities of buyers for goods delivered and work completed and not paid for on time, as well as for goods on which the documents were not submitted to the bank for collection as collateral for loans; liabilities of production and clerical workers for loans received for individual housing construction and purchase of goods on credit in excess of the bank loans issued for these purposes, and so on. Debts for which the period of limitation has expired are, with the permission of the manager of the enterprise or organization, written off as a loss with a notification sent to a higher agency. Persons guilty of allowing time to run out in cases involving limitations of actions are held responsible.

I. N. GASKAROVA


Debts

 

the total money of an enterprise, organization, or institution that is owed to legal or physical entities.

In the process of the economic activities of socialist enterprises, debt occurs naturally for incomplete payments; this is a normal indebtedness to creditors. Such indebtedness includes debts to suppliers within the established due dates of bills, debts to production and office employees for wages and to trade union organizations for social security deductions, debt incurred through the significantly early receipt of materials or capital stocks in comparison with the term of their payment, debts to financial bodies for the turnover tax and profit payments within the current payment dates, debts caused by excesses of actual total monetary accumulation in comparison with the established plan, and debts to suppliers under offsetting of payments. Debts may also arise through the violation of financial discipline and the established payment procedure. This category includes indebtedness to suppliers for bills not paid on time and for deliveries not invoiced and debts to suppliers formed when the received materials or capital stocks exceed the total paid bills. Debts for which the period of limitation has expired go to the state budget as income.

I. N. GASKAROVA

References in periodicals archive ?
In contrast, by mechanically adjusting book income for the $2 million increase in the allowance for bad debts account, ABC could not claim any portion of the $800,000 deduction until a write-off entry is recorded for financial accounting purposes.
Reaffirming Debts Asking people to recommit to paying debt was once thought of as a tactic creditors used for people who file for bankruptcy.
When your tormentor has finally been run off or captured by the police, could any reasonable person expect you to pay off debt acquired under such circumstances?
Critics of our consumption-driven economy often point to rising household debt as a serious problem and a sign of future financial trouble.
Canada has agreed to cancel bilateral debts owed to it by heavily indebted poor countries, with conditions attached, as have the other wealthy countries.
Judge Hagler stated that Congress enacted FDCPA in 1977 to regulate the manner in which debt collectors (including attorneys for landlords seeking to collect rent) may attempt to collect personal debts (including rent).
It's not uncommon for a taxpayer that has defaulted on a debt to find the property securing the debt is worth less than the amount of the liability.
As Chairman Leach noted in his letter of invitation, consumer delinquencies on nonmortgage debt have increased in recent periods, and bankruptcy filings could well exceed I million in 1996.
com/reports/c36815) has announced the addition of Kaulkin Ginsberg's "The Global Debt Buying Report" to their offering.
It is not unusual for taxpayers to loan money to other family members or guarantee their debts.
announced a goal of eliminating the federal debt altogether by the year 2015.