Accounting period The period for which the financial results (profit or loss) of an entity are summarised in the income statements

Accounting policies The selection of concepts, principles and methods adopted by an entity regarded as the most appropriate for the entity

Accounting The process of identifying, measuring and communicating financial information, so as to enable the user of that information to evaluate it and make decisions based on the evaluation

Accrual An accounting convention by which payments and receipts are recorded as they occur, even if no cash flow takes place.

Accrual basis The accrual basis implies that transactions are recorded for accounting purposes when they occur and not when the cash is received or paid. Not only is the movement in cash shown, but also the expected future movements.

Ad valorem duties Duties levied on commodities as a certain percentage of their value.

Adjustments estimate Presentation to Parliament of the amendments to be made to the appropriations voted in the main budget for the year.

Administered prices Prices set outside ordinary market processes, through administrative decisions by government, a public entity or a regulator.

African Renaissance and International Cooperation Fund A fund established by government to enhance cooperation and promote democracy, good governance and socioeconomic development, and to provide international humanitarian assistance.

Aggregate capital gain The sum of your capital gains for the tax year less the sum of your capital losses for the year, and your annual exclusion for the year

Aggregate capital loss This is the sum of all your capital losses for the tax year less your capital gains for the year, and your annual exclusion for the year.

Allocated expenditure The part of the national budget that can be divided between the national, provincial and local spheres of government, after debt interest and the contingency reserve have been taken into account.

Allowance Cash amounts paid to you either to reimburse you for the business use of your private asset, or as compensation for an inconvenience, or in the anticipation of expenses to be paid on behalf of the company.

Amortisation The repayment of a loan by instalments over the duration of the loan.

Appropriation The approval by Parliament of spending from the National Revenue Fund, or by a provincial legislature from a provincial revenue fund.

Articles of Association Govern the internal workings of the company between the shareholders and directors. If there is ever a conflict between the Memorandum of Association and the Articles of Association of a company, the Articles of Association will be used.

Assessed loss An assessed loss arises when the deductions provided for under Sections 11 to 19 of the Income Tax Act exceed the income against which such deductions are entitled to be claimed.

Asset An item is identified as an asset if it is under the control of the company and it is possible that a debt can be collected e.g. furniture and fittings, computers (hardware and software), motor vehicles, equipment, land and buildings.

Asset swap An arrangement whereby financial institutions are permitted to exchange a portfolio of South African shares and securities for a portfolio of foreign shares and securities. This enables South African investors to diversify offshore, while minimising the impact on domestic financial markets and the rand.