BIM74080 - Abolition of the cash basis: notes agreed with representatives of Solicitors and Barristers

This guidance relates to accounting periods before the issue by the Accounting Standards Board (ASB) of Urgent Issues Task Force (UITF) Abstract 40 in March 2005. UITF 40 applies for accounting periods ending on or after 22 June 2005. Further guidance is at BIM74200 onwards. See in particular Appendix 2 paragraph 1 in BIM74275 in relation to the ICAEW’s guidance TAX30/98 (see BIM74130).

Guidance note

Subsequently we agreed with the Law Society a supplementary note covering solicitors; a copy of this is at BIM74150. The issues for Barristers were rather different since although they have no work in progress almost all of them were on a ‘pure’ cash basis, so bringing in debtors was a new concept for them (and for their record-keeping systems).