Oil Pipeline Uniform Accounting Regulations

Index of Accounts

Retained Earnings Accounts

• 302 Balance transferred from income

• 303 Prior period adjustments

• 304 Miscellaneous retained earnings adjustments

• 315 Dividend appropriations

• 318 Income tax applicable to retained earnings adjustments

Text Pertaining to Retained Earnings Accounts

General

The balances in all retained earnings accounts shall be closed to balance sheet account 92 (Retained Earnings) at the end of each fiscal year.

• 302 Balance Transferred from Income

  This account shall show the debit or credit balance brought forward from the income accounts for the fiscal year.

• 303 Prior Period Adjustments

  • (1) Unless otherwise directed by the Board in a particular case, a company shall include in this account all material adjustments to the income of prior fiscal years where such adjustments meet the requirements of subsection 78(1) of the Regulations.

  • (2) The following is a representative list of items of prior period adjustments to be included in the account: (See Regulations, section 14)

    • (a) adjustment or settlement of income taxes; and

    • (b) adjustment or settlement of claims resulting from litigation.

• 304 Miscellaneous Retained Earnings Adjustments

  • (1) This account shall include adjustments to retained earnings not provided for elsewhere.

  • (2) A company shall not use this account without obtaining the prior approval of the Board.

• 315 Dividend Appropriations

  • (1) This account shall include the amount of dividends declared during the fiscal year on all classes of outstanding capital stock.

  • (2) Subsidiary records shall be maintained showing separately the dividends declared on each type and class of capital stock.

  • (3) Where dividends are paid in other than money, complete details of each transaction shall be maintained.

  • (4) Dividends declared out of contributed surplus shall be debited to account 91 (Contributed Surplus).

• 318 Income Tax Applicable to Retained Earnings Adjustments

  This account shall include the estimated federal, provincial or other government income taxes (debit or credit) assignable to the aggregate of items of both taxable income and deductions from taxable income that, for accounting purposes, are recorded in retained earnings accounts.