Reversible Depreciation of Property, Plant and Equipment - Tax Implications vs. Ensuring the Quality of the Accounting Information

Abstract

In this paper, the reversible depreciation of the tangible fixed assets is addressed to the companies applying the provisions of Order of the Minister of Public Finance1802/2014 for the approval of the Accounting Regulations regarding the individual annual financial statements and the consolidated annual financial statements. Also, the need to recognize the adjustments for the depreciation of tangible fixed assets is highlighted by analyzing, from the accounting and fiscal perspective, the impact on the indicators in the balance sheet and the profit and loss account. The importance of the accounting information regarding the adjustments for the depreciation of the tangible fixed assets in the management, investment and lending decisions, is a topic of this work.

Keywords

• accounting information
• users of accounting information
• reversible depreciation of the intangible assets
• the result of the financial year
• taxable result