Farming is a unique business undertaking with peculiar challenges. Very few types of businesses deal with living produce in the form of crops or livestock (biological assets). The transformation of these biological assets into agricultural produce makes agricultural businesses different.
How does a farmer value livestock at the end of a trading year? What about crops that are not yet ready for harvesting? Nutrients are taken out of agricultural land year in, year out; does the farmer depreciate it in the books? These simple examples give you an indication of the uniqueness of accounting for farming businesses.
By attending this webinar you will gain the following competencies:
Understand the peculiarities of accounting for agricultural entities.
Understand the standard for farming; IAS 41 - Agriculture.
Understand amendments to IAS 16 and IAS 41 on bearer plants.
Understand the treatment of government grants pertaining to agricultural activities.
Be aware of the taxation of income from agricultural activities.
The webinar will cover the following topics:
Introduction to IAS 41 - Agriculture.
Scope and application of IAS 41 - Agriculture.
Recognition and measurement of biological assets.
Disclosure of fair value of biological assets.
Accounting for intangible assets related to farming.
Treatment of government grants.
Agriculture: Bearer plants (Amendments to IAS 16 and IAS 41)
Overview of the taxation of income from agricultural activity; the First Schedule of the Income Tax Act.