General provision: Difference between revisions
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imported>Doug Williamson (Clarify wording.) |
imported>Doug Williamson m (Amend header and layout.) |
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1. ''Financial reporting - balance sheet - liabilities.'' | |||
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. | ||
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For example a general bad debt provision, calculated as a global 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. | |||
2. ''Tax.'' | |||
Movements on general provisions are not allowable expenditure for tax purposes, nor taxable. | |||
== See also == | == See also == | ||
* [[Bad debt provision]] | * [[Bad debt provision]] | ||
* [[Liabilities]] | |||
* [[Provision]] | * [[Provision]] | ||
* [[Receivables]] | * [[Receivables]] | ||
[[Category:Accounting,_tax_and_regulation]] | [[Category:Accounting,_tax_and_regulation]] | ||
Latest revision as of 12:18, 29 October 2020
1. Financial reporting - balance sheet - liabilities.
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.
2. Tax.
Movements on general provisions are not allowable expenditure for tax purposes, nor taxable.
