The company's activity, including the acquisition and production of assets, is often financed from external sources (loans or credits). Such type of financing involves the payment of interest and other costs associated with the borrowing of the funds, i.e. the borrowing costs.
During the year a number of economic events take place in a company, affecting the overall image of the entity. Not always, however, do those events have the same impact on the entity's results presented in accordance with the tax law and the balance sheet law. The discrepancies between the tax and balance sheet system are caused by different principles, functions and different methods of valuation of assets and liabilities components, which, consequently, leads to temporary positive and negative differences between the values stipulated in the financial statement and those that would be calculated and presented on the basis of the tax law.
When providing accounting and tax compliance services to national and international entities, I often see how difficult it is for an entrepreneur, especially a foreigner, to go through the company registration process and comply with all the associated formalities.
What makes Poland such an attractive place for investment? Are German companies, from the perspective of time, satisfied with having invested their capital in Poland?
The results of active operations of business entities that seek to generate revenue are liabilities and receivables arising out of contracts concluded with contracting parties or resulting from the rights and obligations imposed by tax offices, the Social Insurance Institution (ZUS) or other state administration units. Today, I would like to draw your attention to the specific nature of receivables and the method of their presentation in the company's balance sheet.
Today, I would like you to become acquainted with the judgement of the CJEU and I would like to answer the question on how to apply the tax avoidance clause in case of a merger and division of companies and the exchange of shares.
The main purpose of an external audit is to protect the reliability of financial data presented by market participants in order to effectively reduce economic and investment risk. The role of a good auditor is not only to confirm the reliability of financial data, but also to go a step further, i.e. to identify customer needs, design a solution and implement it together – always in the context of the client's intended business purpose.
The last blog entry concerning research and development relief (hereinafter: R&D relief) we ended with the conclusion that despite the liberal approach of the tax authorities, which allow the relief to be used by a large group of taxpayers, the effective implementation of the relief requires an in-depth analysis of the regulations that govern it – especially in the context of the specific nature of a given taxpayer's business activity.
In March, RSM Poland participated in the European conference on due diligence. The meeting with transaction advisors from across Europe allowed for the exchange of experience and views concerning methods of conducting due diligence, which are different in Poland compared to Western countries.
Perhaps a little out of spite, but personally I would like to draw your attention not so much to whether the cooperation of the auditor with the management or supervisory board of an audited entity should be currently assessed positively or not, but rather what perspective to adopt to assess such cooperation.
