Provision and Rebasing: Difference between pages

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1. ''Financial reporting - balance sheet - liabilities''.  
1. ''Index numbers''.


A form of liability where there is uncertainty as to the amount and timing of final settlement.
In the context of index numbers, rebasing can refer to either:


Relevant accounting standards include IAS 37 and Section 21 of FRS 102.
- changing the weights in an index, such as an inflation index,


- changing the reference period of an index number series.


2. ''Accounting - noun''.


A reduction in the carrying amount, or net book value, of an asset to recognise an estimated reduction in value.  
The weights and the reference period may be changed at the same time.


Examples include bad debt provisions and provisions for depreciation.


2. ''Tax.''


3. ''Accounting - verb''.
In relation to tax, rebasing means re-stating the base value of an asset for tax calculation purposes.


To create an accounting provision, or increase the amount of a provision.
The re-statement would usually be upward, thereby reducing any potentially taxable gain calculated on any surplus over the base value.
 
 
4. ''Law''.
 
A significant individual part of a law, for example a tax anti-avoidance provision.
 
 
5. ''Contract law''.
 
A significant individual part of a contract, for example a clause or a term in a contract.




== See also ==
== See also ==
* [[Accrual]]
* [[Assets]]
* [[Anti-avoidance provision]]
* [[Base value]]
* [[Bad debt provision]]
* [[Capital gain]]
* [[Big bath]]
* [[Capital Gains Tax]]
* [[Book reserve]]
* [[Corporation Tax]]
* [[Call provision]]
* [[Index]]
* [[Carrying amount]]
* [[Contract]]
* [[Deficit]]
* [[Depreciation]]
* [[FRS 102]]
* [[General provision]]
* [[IAS 37]]
* [[Liabilities]]
* [[Make whole provision]]
* [[Net book value]]
* [[Prudence]]
* [[Reserve]]
* [[Term]]
* [[Zero rate provision]]


[[Category:Accounting,_tax_and_regulation]]
[[Category:Accounting,_tax_and_regulation]]
[[Category:Compliance_and_audit]]

Latest revision as of 07:21, 4 March 2022

1. Index numbers.

In the context of index numbers, rebasing can refer to either:

- changing the weights in an index, such as an inflation index,

- changing the reference period of an index number series.


The weights and the reference period may be changed at the same time.


2. Tax.

In relation to tax, rebasing means re-stating the base value of an asset for tax calculation purposes.

The re-statement would usually be upward, thereby reducing any potentially taxable gain calculated on any surplus over the base value.


See also

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