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What is the Meaning of Tax accounting | Definition and What is Tax accounting

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Meanings, definitions, concepts of daily use

Accounting is a science (because it produces systematic and verifiable knowledge) and a technique (it can treat and apply information/data) that provides useful information when making economic decisions. It is intended to study the heritage, whose analysis is reflected in the financial statements.
Tax (from latin fiscālis), on the other hand, refers to what belongs or relates to the tax authorities. This term is related to the Treasury or to the whole of the public bodies responsible for the collection of taxes.
Means tax accounting information system linked to the dependent requirements. This type of accounting is based on tax regulations laid down by the law of each country and contemplate the registration of operations for the reporting and payment of taxes.
Tax accounting may differ from financial accounting (that records activity and transactions of a business during a given period). In some countries, laws that govern accounting require that the report be presented every 12 months, giving rise to the new fiscal year (FY).
If the presentation of these reports is payable July 1, the exercise begins then from that day and ends June 30 of the following year. Because of this difference with the normal schedule, there may be various accounting information within an enterprise. For example, a company may have won a million dollars in the year 2012 for its operations, but have lost two million for the fiscal year (fiscal year) which began at the same date.
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