General provision: Difference between revisions
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imported>Doug Williamson (Create the page. Source: ACT Glossary of terms.) |
imported>Doug Williamson (Clarify wording.) |
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A general provision is an accounting liability which is not linked with specific items. | A general provision is an accounting liability which is not linked with specific items. | ||
For example a general bad debt provision, calculated as a percentage of all receivables. | For example a general bad debt provision, calculated as a global percentage of all receivables. | ||
Movements on general provisions are not allowable expenditure for tax purposes. | Movements on general provisions are not allowable expenditure for tax purposes. | ||
Revision as of 10:18, 27 November 2014
Accounting and tax.
A general provision is an accounting liability which is not linked with specific items.
For example a general bad debt provision, calculated as a global percentage of all receivables.
Movements on general provisions are not allowable expenditure for tax purposes.
