How to account for copyright transaction fees

Copyright transaction is a kind of intangible property transaction. For example, a novel author sells the Copyright of his work to a film and television company to make a movie or TV series, etc., and receives compensation in the process. This is a common copyright transaction. Copyright trading belongs to the category of license trade. So, how is the copyright trading fee accounted for? Today, the editor of Legal Savior Network has compiled the following content to answer your questions. I hope it will be helpful to you.

How to account for copyright transaction funds

Accounting for copyright transaction fees is actually consistent with other accounting methods , because copyright trading also belongs to the category of license trade and is an intangible property right trade. The entire process of accounting for copyright transaction funds, from the beginning of accounting to the settlement, and the links therein are called accounting.

Copyright trading refers to all or part of the economic Rights, through copyright licensing or copyright transfer, in order to obtain corresponding economic income transactions. It belongs to the category of license trade and is an intangible property right trade. The Southern International Copyright Exchange has established a copyright trading platform to provide information release, copyright registration, pledge, trading, custody and other services to enterprises and individuals in industries such as news and publishing, film and television entertainment, animation design, and artistic works.

How to account for trading financial assets

Trading financial assets mainly refer to financial assets held by enterprises for the purpose of selling in the near future. For example, enterprises purchase from two companies for the purpose of earning the price difference.Stocks, bonds, funds, etc. purchased in the secondary market. Enterprises with trading financial assets shall use the fair value at the time of acquisition as the initial recognition amount, and relevant transaction costs shall be included in the current profits and losses when incurred. Interest or cash dividends obtained by an enterprise during the period when it holds financial assets measured at fair value and whose changes are included in current profits and losses shall be recognized as investment income. On the balance sheet date, an enterprise shall include changes in the fair value of trading financial assets measured at fair value through profit or loss for the current period. When disposing of a trading financial asset, the difference between its fair value and the initial recorded amount should be recognized as investment income, and the gains and losses from changes in fair value should be adjusted at the same time.

From the above we know that copyright trading is actually a Commodity trading, but the characteristic of copyright trading is that the goods are intangible and not physical objects. There is nothing special about the accounting method for copyright transactions, as long as it is legal. The above is the relevant information compiled by the editor of Legal Savior Network for you. I hope it can answer your questions. If your problem is more complex, Legal Savior Network also provides online lawyers to serve you. You are welcome to come for consultation.