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Discuss the Reasons for Ignoring Tax Effects in Respect of Goodwill

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Essay

Discuss the reasons for ignoring tax effects in respect of goodwill recognised on consolidation in a business combination.


Definitions:

Involuntary Response

A reflex or action that occurs automatically without conscious thought, often as a result of a stimulus.

Allele

A variation that makes a gene different in some way from other genes for the same characteristics. Many genes never vary; others have several possible alleles.

Gene

A unit of heredity made up of DNA that is located on a chromosome and can influence physical or behavioral traits, and can be passed from one generation to the next.

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