goodwill on bs in partnership accs

Jane e
Jane e Registered Posts: 3 New contributor 🐸
in General accounting discussion
Hi
Fairly new mip.
I have a new partnership client with goodwill b/f on balance sheet.
Not too sure but thought only incorporated clients had goodwill.
Do i write it off?
Thanks in anticipation

Comments

  • groundy
    groundy Registered Posts: 495 Dedicated contributor 🦉
    Goodwill can be acquired by any business. The partnership that is your client may have purchased the goodwill when setting up in business.

    The goodwill should be amortised as in previous periods.
  • Anne Boleyn
    Anne Boleyn Registered Posts: 196 Dedicated contributor 🦉
    Goodwill

    Hi

    Just to add that there isn't any tax relief for the partnership so it gets added back in the tax comp.
  • Jane e
    Jane e Registered Posts: 3 New contributor 🐸
    Thank you both for responding.

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