Commentary on Sections Overview Chapter 2: Taxation of activities of film production company Section 1194: Estimates
3032.This section provides that estimates for the purposes of this Chapter are to be made at the balance sheet date and on a just and reasonable basis. It is based on paragraph 8 of Schedule 4 to FA 2006.
3033.The section provides that any estimate is to be made on a “just and reasonable basis”. The source legislation refers to “fair and reasonable”. The formulation used in this section has generally been adopted in ITTOIA and ITA. See Change 12 in Annex 1.