FURTHER DISTILLING THE RESERVE FOR UNCERTAIN TAX POSITIONS

摘要

In order to address inconsistency across firms as to how they accounted for the benefits of uncertain tax positions claimed on their income tax returns the Financial Accounting Standards Board (FASB) in 2006 adopted Interpretation no. 48, Accounting for Uncertainty in Income Taxes: An Interpretation of FASB Statement no. 109 (hereinafter, FIN 48). By standardizing how firms account for and disclose their unrecognized tax benefits, the FASB sought to increase the comparability of financial statements. Comparability is a qualitative characteristic that the FASB seeks to enhance and is part of the FASB's Conceptual Framework (FASB 2010).