• Thomas Tsang

Waiver of director salary

For SME and owner managed, it is quite common for director to waive his own salary in order to improve the performance. When the director do this after year end date, we need to consider if it is an event after the year end or just a transaction in subsequent year. If the salary had been paid months out of the normal payroll and CFP had been contributed monthly, it should be considered as completed transaction without any further condition.


The paid salary cannot be waived after the salary transaction was completed.

7 views0 comments

Recent Posts

See All

In contract revenue to recognise using input method, one of the key audit procedures is to ascertain the budgeted cost of the project contract is reasonable. We need to test the underlining assumptio

For change of accounting policy for PPE from cost model to revaluation model. It is not follow FRS 8 as exempted from prior year adjustment. The change will apply prospectively from the date of reva

When receivables classified from current to non-current, it needs to be measured at fair value upon reclassification. The different will be charged to profit and loss. It is because the receivables