Steve Collings outlines the areas typically targeted by HMRC accountants in financial statements.
During the course of a tax investigation inspectors may query the accounting treatment of certain points in the financial statement. In certain cases, the inspector will refer the matter(s) to the revenue accountants who will then interpret the relevant accounting standards. Where HMRC accountants disagree with an accounting treatment, they will then provide details of the relevant standards or legislation. Revenue accountants also inform tax inspectors whether, in their opinion, financial statements comply with UK GAAP.
Under FRS 18 and FRSSE, entities are required to adopt accounting policies that are most appropriate to its particular circumstances...
About Steven Collings
Steve Collings, FMAAT FCCA is the audit and technical partner at Leavitt Walmsley Associates Ltd where Steve trained and qualified.