ACCOUNTING, TAXATION, AND TRAVEL IN LIBERIA

Until the announcement IAS 36, there had been a wide range of practices dealing with impairment recognition and measurement. Many jurisdictions—European at most—had statutory obligations to compare the carrying value of assets with their market value, but these requirements were not necessarily applied rigorously. Some other jurisdictions had no requirement to reflect impairment unless it was permanent and long-term. The much more rigorous approach of IAS 36 reflects awareness by regulators that this has been a neglected area in financial reporting . Principal Requirements Of IAS 36 In general, the standard requires that the entity tests for impairment when there is an indication that an asset might be impaired (but annually for intangible assets having an indefinite useful life). When carried out, the test is applied to the smallest group of assets for which the entity has identifiable cash flows, called a “cash generating unit.” The carrying amount of the asset or asse

Liberia has amended her revenue code act of 2000, this was done in 2010 with effective date 1 January 2011. The amended code adjusted the personal income tax from to reflect low tax burden on individuals. The code also reduced the highest tax bracket from 35% to 25%. The code further addresses issue of Investment incentives encouraging people to invest excess cash into the hinterland with percentage ranging from 30% of the investment. The penalties for late filing and late payment was also adjusted by the code to 0.5% instead of 1%. The period for retention of tax documents have been increased to 7 years from 5. The amendment addressed issues not also covered by the initial code such as tax payment for mining and exploration companies. It also discuss some accounting policies that should be applied, like depreciation, etc. To obtain a copy of the amended code you may contact me on my email address. dahndarlington@gmail.com