Field help:
(2023)
Was the profit calculation method changed during this business year?
Select "yes" if the profit calculation method was changed during the business year.
During the transition from the profit calculation by balance sheet (comparison of operating assets or based on average rates) to a profit calculation with profit and loss statement (net income method), in accordance with section 4 para. 3 Income Tax Act (EStG), any additions or deductions made as a result of this transition, in the first year after the transition, must be made in accordance with section 4 para. 3 Income Tax Act (EStG).
If the business is closed or sold, final accounts must be compiled according to the principles of operating asset comparisons (balance sheet method). Any transitionary profit/loss is to be specified accordingly.
If necessary, please contact your local tax advisor or lawyer specialising in tax matters to obtain advice.
