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Home / Simons-Taxes /Corporate tax /Part D1 Corporation tax generally /Division D1.6 Intangible fixed assets /Corporate intangible regime—tax computational rules / D1.624 Intangible credits—negative goodwill
Commentary

D1.624 Intangible credits—negative goodwill

Corporate tax

Negative goodwill can be recognised where the fair value of assets and liabilities acquired when purchasing a business exceeds the price paid for the business. The accounting treatment of negative goodwill depends on which accounting standards are being used by the company (see D1.611). Under FRS 102 and FRS 105 negative goodwill is recognised on the balance sheet and released to profit and loss on the same basis as any non-monetary

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