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Small Companies Will Lag, but By How Much?
Switching to IFRS is inevitable for private companies — eventually.
Josh Hyatt, CFO Magazine
November 1, 2008
- LIFO
"much bigger tax liabilities"?
No. Earlier, not bigger. Financial reviewers who defend LIFO often forget that the tax is the same, only the timing is different. The reason why IFRS threw out LIFO is that it gives garbage on the balance sheet. You have to calculate FIFO anyway, in order to disclose the real tax liability (hidden away in the notes and misnamed "LIFO reserve")...Posted by Stephanie Campion | Nov 3, 2008 4:48 AM ET
