Is putting a period on-hold consider a "not the best practice"

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Posted on by lmai

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Hi All,

Many companies have chosen not to put a period on Permanently closed. From the financial report perspective, they don't go back and change the numbers. But from the system perspective, would putting a period on hold consider not the best practice? Please give feedback. Thanks

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lmai 2,432 on at

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RE: Is putting a period on-hold consider a "not the best practice"

Every country is different, indeed. Thanks for your feedback, Ludwig.
lmai 2,432 on at

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RE: Is putting a period on-hold consider a "not the best practice"

Thanks, Andre', for your feedback.
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Ludwig Reinhard Microsoft Employee on at

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RE: Is putting a period on-hold consider a "not the best practice"

Hello Kim,

In my home country we usually do not close the periods until the final tax audit of the company's books is finished because until that time it is possible that the tax auditors request changes to the transactions posted.

This regularly takes 3 or more years depending on the speed our tax offices are working.

Until that time we put all periods on hold.

Best regards,

Ludwig
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André Arnaud de Cal... 291,269 Super User 2024 Season 2 on at

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RE: Is putting a period on-hold consider a "not the best practice"

Hi Kim,

Usually during the same year it would be OK to habe the period on hold. Once the year has been closed and confirmed by accountants it is a good practice to permanently close the periods and the year. In some cases the permanent close could be a year or more later.