In the last of our series on 'Tax in Turbulent Times' David Nickson and Nick Chandler of KPMG LLP consider some of the issues that arise when distributable reserves are under pressure
The UK economy has now been experiencing negative GDP growth for six consecutive quarters according to the Office for National Statistics. Profits generated by UK businesses have been falling both as a consequence of the pressure on trading activities and from impairment charges booked in the financial statements as assets are marked downwards. Many businesses have therefore been reporting losses with a knock-on implication for distributable reserves. Within groups of companies it is rare for such a reduction in reserves to be evenly spread and even groups which are in an overall positive reserves position will often have one...
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In the last of our series on 'Tax in Turbulent Times' David Nickson and Nick Chandler of KPMG LLP consider some of the issues that arise when distributable reserves are under pressure
The UK economy has now been experiencing negative GDP growth for six consecutive quarters according to the Office for National Statistics. Profits generated by UK businesses have been falling both as a consequence of the pressure on trading activities and from impairment charges booked in the financial statements as assets are marked downwards. Many businesses have therefore been reporting losses with a knock-on implication for distributable reserves. Within groups of companies it is rare for such a reduction in reserves to be evenly spread and even groups which are in an overall positive reserves position will often have one...
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If you do not subscribe but are a registered user, please enter your details in the following boxes:
