From the reports, balance of on-budget entities and revenue of on-budget entities are produced from the budget accounting, which means the presentation of revenue and expenditure in accordance with the budget, i.e. the state budget. From the reports, the state income and expense account, the income and expenses from payment transfers and the state balance sheet have been produced from the business accounts and are presented in accordance with the state business accounts. Income and expenses between agencies and institutions, as well as receivables and liabilities, have been eliminated from the state income and expense account and the state balance sheet. The elimination procedure has changed since the beginning of 2020.
Borrowings are considered as revenue, and credits as expenditure in the Budget and in the budget accounting used to monitor its implementation. Deferrable appropriations that are not used during the budget year and that can be used in the following budget year are considered as expenditure in the financial statements based on budget accounting. Revenue and expenditure are not allocated as income and expenses.
The concepts of revenue and expenditure used in business accounting correspond to those used in general business accounting. In such situations, borrowings and credits are treated as financial transactions, and revenue and expenditure are allocated as income and expenses for the purposes of creating the income and expense account and balance sheet. Deferrable appropriations that are not used during the budget year and that can be used in the following budget year do have any impact on the income and expense account or the balance sheet.