DFS4190 - Technical Guidance: How are losses treated?

The trader must record:

• losses in storage;
• accidental losses in processes;
• investigations into the losses, including any management decisions taken; and
• report more serious losses and deficiencies.

You should agree with the trader a level at which a loss should be reported. Obviously, a large loss for one company will be negligible for another.

Any losses for which the trader cannot provide a satisfactory explanation will be liable to duty (see DFS3050 and DFS3060)