Notes to the Financial Statements


1. ACCOUNTING POLICIES


1.1 Basis of preparation of financial statements The financial statements have been prepared under the historical cost convention and in accordance with applicable accounting standards.


1.2Income Since the introduction of GPT the rate of contribution has been agreed between the Association of British Bookmakers and the Greyhound Board of Great Britain Limited.


The current applicable rate is 0.6%. The company has no statutory power to collect its income and has to rely for verification on voluntary certificates supplied by the auditors of fivemajor companies relating to the contributions theymake: (in alphabetical order) Bet 365, Betfair, Coral Racing, Ladbrokes andWilliamHill. Income represents contributions received during the period.


1.3 Tangible fixed assets and depreciation Tangible fixed assets are stated at cost less depreciation. Depreciation is provided at rates calculated to write off the cost of fixed assets, less their estimated residual value, over their expected useful lives on the following bases:


Office equipment - 25% straight line


1.4Deferred taxation Full provision ismade for deferred tax assets and liabilities arising fromall timing differences between the recognition of gains and losses in the financial statements and recognition in the tax computation.


A net deferred tax asset is recognised only if it can be regarded asmore likely than not that there will be suitable taxable profits fromwhich the future reversal of the underlying timing differences can be deducted.


Deferred tax assets and liabilities are calculated at the tax rates expected to be effective at the time the timing differences are expected to reverse.


Deferred tax assets and liabilities are not discounted.


1.5Grants offered All grants approved by the directors during the period are charged to the income and expenditure account. Grants offered have been reduced by £254,855 (2011: £77,610) in respect of grants approved in prior years which had not been taken up by 31March 2012.


2. INCOME The whole of the income is attributable to the company’s principal activity. All income arose within the United Kingdom.


12 Annual Report 2011-2012


Page 1  |  Page 2  |  Page 3  |  Page 4  |  Page 5  |  Page 6  |  Page 7  |  Page 8  |  Page 9  |  Page 10  |  Page 11  |  Page 12  |  Page 13  |  Page 14  |  Page 15  |  Page 16  |  Page 17  |  Page 18  |  Page 19  |  Page 20  |  Page 21  |  Page 22  |  Page 23  |  Page 24  |  Page 25  |  Page 26  |  Page 27  |  Page 28