Financial year-end processing refers to the procedures involved in closing out a company's financial books at the end of its fiscal year.
This process includes finalizing payroll for the year, generating financial reports (such as income statements and balance sheets), and submitting required tax filings to ensure compliance with tax regulations.
For example, businesses must reconcile their accounts to accurately report their financial position before filing annual tax returns.
Proper financial year-end processing is crucial for maintaining transparency and accountability in financial reporting.
