The difference of costs in accounting law and tax law

Expense is one of the most important information in organizing and operating the business activities of an enterprise. Scientific expenses have many different definitions, and according to the law, there are also differences in legal normative documents. For the managers, especially the financial management of the business, the issue of legal compliance and optimizing the value of the business is a parallel requirement. In practice, however, these two targets are contradictory every so often. Even on the same issue, legal documents have notable differences. Therefore, distinguishing between the expenses under the accounting laws and the expenses according to the tax law is a necessary requirement for any manager so that they can foresee the legal consequences when choosing appropriate behavior. The article, on the basis of presenting and listing the difference of expenses in the accounting law and tax law, has given a number of recommendations to suit the expense, helping businesses of all economic sectors more convenient when incurred transactions related to expenses in the process of operation, thereby creating equality among businesses and stimulating economic development.