FRS 19

"FRS 19 is a deferred tax standard. In summary: A. Deferred tax is provided on timing differences relating to: - accelerated capital allowances and depreciation accruals for and payments of pension and other post retirement benefits the elimination of unrealized intra group profits unrelieved tax losses “fair value revaluations” that are taken annually to the profit and loss account other short-term timing differences B. Deferred tax is not provided on timing differences relating to: - other fixed asset revaluations, where there is no intention to sell - gains that are rolled over - unremitted overseas earnings, where there is no intention to remit. The FRS 19 Standard also includes further, detailed measurement and disclosure rules."

- Used when computing taxes, preparing returns, and documenting tax positions.
- Used to evaluate transaction tax impact and ensure compliance (VAT/GST/Corporate Tax).

- Example: The tax team applies **FRS 19** to determine the correct tax treatment and to support the filing.

- Why it matters: Reduces compliance risk, helps avoid penalties, and supports consistent tax reporting and defensible positions.