Commentary on Sections Overview Chapter 3: Credits and debits to be brought into account: general Section 605: Credits and debits recognised in equity
1634.This section brings a credit or debit that is recognised in equity or shareholders’ funds, rather than in one of the statements mentioned in section 597(1), into account for the purposes of this Part in the same way as a credit or debit that is brought into account in determining the company’s profit or loss. It is based on paragraph 25A of Schedule 26 to FA 2002.
1635.As in the case of section 604, this section overrides the accounts treatment.