Truthfulness or trib-truthfulness of financial reporting?

Maria Silvia Avi

Truthfulness or trib-truthfulness of financial reporting?

A historical analysis

In this volume has discuss in detail the concept of tax interference from Law Visentini to today. To underline some peculiarities of the phenomenon of tax pollution of financial reporting, we report some observations that may help to understand better the reasons of tax interferences in profit and loss statement, balance sheet and notes as well as in the cash flow statement.

Pages: 172

ISBN: 9788835142980

Edizione:1a edizione 2022

Publisher code: 10365.46

Info about Open Access books

In this volume has discuss in detail the concept of tax interference from Law Visentini to today.
To complete what has already been illustrated and to underline some peculiarities of the phenomenon of tax pollution of financial reporting, we report below some observations that may help to understand better the reasons of tax interferences in profit and loss statement, balance sheet and notes as well as in the cash flow statement.
As already pointed out that in many entrepreneurial realities of our country, it can identity financial reports, frequently, characterized by a trib-veridicality, fiscal evaluations by a "truthfulness" influence. As can be easily understood, the values recorded in such a document do not identify "economically truthful" data but rather represent values relevant in different areas (in this specific case, tax) from the one we are interested in.
In addressing the issue of tax interferences and the identifiable relationship between general accounting/financial reporting and taxable income, we intend to focus our attention on possible interrelationships/interconnections of data deriving from the application of economic/business/civil law valuation principles and values quantified based on rules dictated to determine taxable income.

Maria Silvia Avi
(avi@unive.it) is Full Professor of Business Administration at the Department of Management, Ca' Foscari University of Venice. She is engaged in research in the field of business management, financial reporting, accounting and management control. She is a certified public accountant and auditor. The numerous publications produced in recent years deal with management control of small and large enterprises, accounting and legal aspects of financial statements, the invalidity of financial statements and their use as a tool for management and information inside and outside the company.

Tax interferences in financial reporting as a means to dedirect economically non-existent amounts or to avoid administrative work: two objectives compared
(Brief consideration of the reasons for tax interferences in financial reporting and reference to vol. I)
The truthfulness of financial reporting vs the unreliability of financial reporting data due to "tax interferences" from the Visentini reform to the 2003 reform)
(Law 216/74 and the Visentini reform: turning points in the relationship between general accounting and taxation; The relationship between financial reporting and tax provisions in the period 1991-1993 and the tax appendix; The mini-reform of financial reporting in 1994: abolition of the tax appendix, legitimisation of tax interferences and informative capacity of financial reporting; The corporate and tax reform of 2003: profit and loss statement, EC framework and non-accounting deductions)
The 2008 reform: analysis of the post-reform situation regarding the relationship between civil law rules and provisions. Reinforced derivation imposed in 2017
(The 2008 reform. Revolution, evolution or involution?; Statutory income and taxable income post elimination of the EC panel: the prohibition of deductions of non-accounting items; IRES and the 2017 mini-reform: the enhanced derivation also applied to companies preparing financial reports according to the Italian Civil Code and the OIC national accounting standards; IRES and IRAP: from the shared tax track to the separation of the principles for determining taxable income. Outline of this problem; Suspension of depreciation and amortization due to Covid: outline of the legislation and highlighting the impact of this rule on tax interference)
References cited and consulted.

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