A client came to us who had a large property company.
After exploring the way the company had been structured by the company’s previous firm of Chartered Accountants, we advised on a different tax structure.
This entailed revising prior year accounts and restructuring the balance sheet. This resulted in a Financial Reporting Standard (FRS) 8 Prior Year Adjustment to the financial statements which increased the trading loss in the company for tax purposes by approximately £250,000 thus creating a tax loss to carry forward against future years profits and creating a tax asset of approximately £65,000.
