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The accounting regulation from 1959




The accounting regulation in the Island gave a radical change from the triumph of the Revolution .

Before 1959 , business or business in the country, was marked by private property, such that almost 100 percent of the nation was actually privatized.

To this condition was united the fact that the national industry was incipient and in the coffers of the transnational concentrated the main companies that acted within the Cuban society.

Scholars on the subject have explained that there was then a structure marked by small and medium service companies, the vast majority of them raw materials and agricultural products.

One of the specialists dealing with these accounting matters has emphasized that the commercial norms - or the Commercial Code - of the pre-revolutionary era, was the mechanism that regulated only in general forms, the formal aspects of the Accounting of the companies, complemented By the current fiscal regulations.

Economists have always been more assertive in recent times in the accounting field, than Accounting, really has a "social essence." Perhaps this is not fully appreciated by the majority of the population, perhaps because, as Saint Expiry rightly asserted in The Little Prince, "the essential is invisible to the eyes."


Stages of transit of Cuban accounting

The I of them covered from 1959 to 1976 , with the implementation of the System of Direction and Planning of the Economy (SDPE).
1st stage ( 1977 - 1986 ): Establishment of an accounting system implemented through a document containing the economic content of the accounts to be used and the aspects for which it was debited and accredited; Information System; Standards and Procedures; And illustrative examples. The practical application gave rise to multiple additions and modifications that brought negative effects such as: excessive informational models, accounting registration was prioritized according to the information needs of the higher levels, the countermeasures initiative was stopped in order to fulfill the management,

The second stage took place from 1977 to 1992 , with the validity of this SDPE system,
2nd stage ( 1987 - 1992 ): Transformations aimed at the simplification of the National Accounting System (SNC) occur, accounts and subaccounts are removed, functions are decentralized and rationalized models and annexes of the Information System. However, the language was non-homologous with the one that ruled internationally, given the legacy of Cuba 's participation in the CAME, which was in direct opposition to changes in the world context and the immediate and future projection of the economy Cuban

The III reaches to our days.
3rd stage ( 1993- current): Great flexibility of Cuban accounting practice, communication with foreign partners when adopting terminology homologous with international accounting practice, the process of Entrepreneurial Improvement begins, in which the various branches of Accounting play an important role .

It would take too much space to argue the predominant characteristics in each of the stages. But it is true that during the Cuban revolutionary process - a product of innumerable factors, such as the unforgivable imperialist blockade - in accounting regulation there have been moments of evolution and involution.

This has been in direct and indirect dependence on the economic, political and social conditions prevailing in each of the three stages.

Cuban accounting practice was revived in 1975 , but now it is heavily influenced by the accounting concepts prevailing in the former socialist countries of Eastern Europe , as Cuba belongs to the member countries of the Council of Mutual Economic Assistance ( CAME ). From that moment on, successive changes in Cuban accounting began, which can be framed in three successive stages of refinement.

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