Section 718 — Corporation Tax Act 2009: GAAP-compliant accounts: reference to consolidated group accounts

GAAP-compliant accounts: reference to consolidated group accounts 718 1 In determining whether a company's accounts are GAAP-compliant, reference may be made to any view about—

a the useful life of an asset, or b the economic value of an asset, taken for the purposes of consolidated group accounts prepared for any group of companies of which the company is a member.

2 This section does not apply if the consolidated group accounts—

a are drawn up using a different accounting framework from that used for the company's individual accounts, and b as a result are prepared on a basis that, in relation to the matters mentioned in subsection (1), substantially diverges from the basis used in the company's individual accounts.

3 This section does not apply so far as the consolidated group accounts are prepared—

a in accordance with the requirements of the law of a country outside the United Kingdom, and b on a basis that, in relation to the matters mentioned in subsection (1), substantially diverges from generally accepted accounting practice.