Accounting for software and intellectual capital

In today's economic and social world, where knowledge and time are the most precious capital, businesses decide, take action and result with information. Therefore it has become mandatory to use the software product, which is needed to collect, combine and analyze a large number of produced or acquired data, in all sectors from the production sector to the service sector. Along with the software that has become indispensable in economic and social life, the intellectual capital that develops these software is also an important input in the infrastructure of the enterprises and has become an important instrument in today's competitive world. All stakeholders make decisions by looking at the reports of the enterprise. For this reason, it is of great importance that the reports are prepared and presented in accordance with the reality. The fact that an element that significantly affects the value of the enterprise is not included in the operation report will constitute a violation of the fair presentation principle. In this study, after giving general information about the software and intellectual capital that have become so important, the criteria that software and intellectual capital must meet in order to be capitalized, the points to be considered in their registration for the first time and the valuation transactions that can be made in the periods after the registration date are explained with examples. On the other hand, it has been explained how the software will be accounted and reported in terms of Turkish Financial Reporting Standards (TFRS) according to various scenarios such as development for sale, development for use, development for use, purchase, leasing, merging with another business, both for the company that produces the software and the company that uses the software and the differences between them have been revealed by looking at the Accounting System Application Technique (MSUGT) provisions on the subject. In addition, after the intangible assets were evaluated in the defense industry sector, an exemplary case study was conducted on the TUSAŞ Turkish Aerospace and Industry (TUSAŞ) and Borsa İstanbul AŞ (BIST) technology companies operating in this sector. Within the scope of the case study, a survey was conducted with the interview technique in order to understand the transactions, thoughts and approaches of all parties related to the software sector, and the results obtained on the theoretical and actual applications of the accounting and reporting processes in the software sector were conveyed by taking the evaluations of the participants on the subject.