The Strange Case of Inventories In Italy. For The Tax Authorities, The Final Inventories of One Year Are The Opening Inventories of The Following Year. Still, The Opening Inventories of One Year Are Not The Final Inventories of The Previous Year. Mystery.......

The principle of continuity in financial reporting is a fundamental element the preparation reporting. final amounts report are, by definition, opening following year. Of course, reverse also true. values one year represent closing previous In Italy, this only half applied taxation. It applies to future (i.e. year) but does not apply past year). particular interest position Italian Court Cassation, i.e. highest court justice, which "lame continuity" its judgments. Despite astonishment scholars, Cassation continues consider that inventories initial accept as an obligation opposite case. Only time will tell if it resolve dispute between Supreme and basic principles business economics regarding reports.