If a company's fiscal year is the same as the year used for property tax purposes, there should be no prepaid property tax on its year-end financial statements but there may be a property tax liability.

Question

Quizplus · Accepted Answer

If the fiscal year and property tax year are the same, there should be no prepaid property tax on the year-end financial statements because the expense has already been incurred and recorded. However, there may still be a property tax liability that needs to be recorded on the financial statements.

If a Company's Fiscal Year Is the Same as the Year