Wednesday, March 21, 2018 12:18:35 AM
Now because accounting is represented as a snap shot of time between one cycle or quarter depending on the structure that was set up the proceeds from the accumulated tax’s owed is moved into another account “ outstanding equity or possible recovery equity pending future profits.
Remember you can’t get blood from a stone in other words if no profits then there is no chance of recovering this asset class.
A company can have years of profits then decide to make a move and put capital into a new project. A certain portion of the paid profits from previous quarters can be used too unlock the upcoming new capital expenditures. This is referred to as good will by the government to incurage job growth in the industry. There are many factors that determine how much previous tax paid on profits will be allowed.
It’s good to follow government programs of this type to pick out hot new sectors maybe coming into play.
I will leave you with those thoughts. Do your own DD cause like Sly I don’t always tell the truth. Got to go and unpack I have a ton of dry cleaning I have scheduled too have picked up and cleaned plus I have a fitting arranged for two new suits.
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