A toddler is yelling uncontrollably at their parent’s unfairness and won’t let them unbuckle their belt. An authority has the right to do just that in life. The child comprehends and, in the end, accepts the power disparity while crying. We have this innate knowledge from our upbringing, which is why we object when someone who we are very certain does not hold such a position does.
A trade licensing issuing body recently decided to require that all organizations falling under its jurisdiction use the calendar year, which runs from January to December. With a single stroke of the pen, hundreds of entities could modify a common company formation document, the memorandum of association.
Up until now, many authorities—including this one—have just mentioned that it starts in the first month and ends twelve months later, without providing a precise 12-month timeframe. You could be forgiven for interpreting this as empowering entity owners and allowing for flexibility, but in the context of corporate taxes, it only confused.
In 2024, I discovered that the Federal Tax Authority recognized the month of incorporation or the month that followed as the start of a full year. They started switching these to the month of formation recently.
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