How do you account for bookmakers
I have a potential new client who is a bookmaker.
Never been involved in this sector before and I need to know how you account for outstanding bets.
Lets say the year end is 31 Mar-13. Lets take two bets that I have tried to make the extremes.
Punter A has staked £500 on his son playing for England at 300:1 before 2020. Do you take £500 to the profit and loss account and ignore the potential liability or account for the bet as a "long term contract". The son will never play for England he only has one leg.
Punter B has bet £1,000 on Manchester United to win the league. The league ends on 19 May-13 but Manchester United are so far ahead, at 31 Mar-13, they really have to be bad to lose the title. Do you recognise the loss in the accounts or do you have to wait until they do win. It is not a known and certain situation at the year end but probable.
No silly football answers, no witty answers about value price(s) etc. Non Bob please.
- Taxation of rental income 240 5
- Scams are not always obvious 731 21
- Google contacts sharing within our domain 136 2
- Restructuring company and Form 42 51 3
- Market Value/Connected Persons 219 9
- Limited Companies, Directors Employer Registration P11D 158 5
- Overseas company and VAT 32 1
- SAGE - Filtering Inactive Suppliers/Customers 138 2
- Personal allowance 440 10
- Workshops centred around Xero 471 12
- RTI, no payroll but BIK 158 1
- P60 from HMRC Basic Paye Tools 162 2
- VAT on long lease in comercial property thathas opted to Tax 107 3
- Related party disclosures 180 3
- Input vat on my fees after deregistration 187 2
- Charity Buildings and Zero-rated Vat 100 1
- Auto Enrolment, Payroll, Small Client Advice and what to charge? 626 17
- 100% FYA, do I have to cliam all of it in 1 year? 292 4
- Vat query - EU customer requesting invoice without charging vat 264 8
- Is this legal? 638 9
- New Fangled Penalties 1,043
- Moving away from CCH software 906
- Recruitment agencies 530
- QROP pension input amounts 412
- write off loan or loan to equity swap or both 364
- Deemed Employment Payment 347
- HMRC BENCHMARK EXPENSES 308
- Unused Losses and Post Cessation Receipts 300
- fraud 225
- EIS relief on transferring shares to spouse 224