A deferred tax liability shall be recognized for all O taxable temporary differences. O permanent differences. O temporary differences. O deductible temporary differences.

Q: A deferred tax asset shall be recognized for all taxable temporary differences and it is probable…

A: A deferred tax asset is recognised for all the deductible  temporary differences and it is probable…

Q: 5) Which of the following statements is NOT correct regarding permanent differences? A. Permanent…

A: Permanent differences are the differences between the tax expenses paid and tax actually payable.…

Q: Which of the following cases would result in a Deferred Tax Liability? I – CA of Asset > TB of Asset…

A: Solution: following cases would result in a Deferred Tax Liability as they will create future…

Q: temporary difference arises when an element of income is reported for tax purposes in the period:…

A: As per IFRS deferred  tax assets and liabilities  arises on temporary  differences which  can either…

Q: The excess of the de minimis benefits over their respective ceilings prescribed under the…

A: De minims Benefits : These are the small benefits provided by company to Employees. De minimis…

Q: Which of the following is an example of a temporary difference which would result in a deferred tax…

A: Solution: Rent revenue collected in advance included in taxable income before it is included in…

Q: an item is excluded from income taxation, it would follow that the same is likewise exempt from…

A: Ans. In regard to tax laws various tax treatments are made while calculating tax liability.

Q: FUTA TAX MUST BE DEPOSITED WHEN THE CUMULATIVE QUARTERLY TAX LIABILITY EXCEEDS?

A: FUTA (Federal unemployment tax) Tax is required to be paid by an employer for the first $7000 wages…

Q: Deferred tax expense or benefit is the net change in DTL and DTA for the period. If the increase in…

A: The deferred tax asset or even the deferred tax liabilities are caused due to the variations in the…

Q: When the temporary differences result to financial income higher than taxable income, they are known…

A: As per IAS 12 Taxable temporary differences Temporary differences that will result in taxable…

Q: Where the carrying amount of an asset or liability is different from the tax base a ‘temporary…

A: Temporary difference is occurre in one period and shall be reverse in subsequent period for tax…

Q: TRUE OR FALSE? Under IFRS, deferred tax liability and deferred tax asset should be reported as…

A: The given statement is True... Under IFRS, deferred tax liability and deferred tax asset should be…

Q: Which of the following statements is most correct? a.Tax preference items for the alternative…

A: Tax preference items are the types of income that are tax-free and helps in reducing tax.…

Q: A deductible temporary difference leads to the payment of:   Select one: A. less tax in the…

A: The question is related to Taxes on Income.There are two types of deferred tax- (i) Deferred tax…

Q: For each item listed below, indicate whether it involves a:                            a. permanent…

A: PLEASE LIKE THE ANSWER, YOUR RESPONSE MATTERS  The items should be matched as follows:   b  1…

Q: This type of difference will give rise to deferred tax liability. * Taxable temporary difference…

A: As per IAS 12 OF IFRS Or as per PAS 12 Their are two types of temporary differences that arise from…

Q: Which of the following statements is incorrect with respect to determining current E & P? a.…

A: Exempted income are not added backe for calculating taxable income,

Q: All are true except: OSD is a substitute for itemized deduction. The OSD relieves the taxpayer of…

A: In lieu of the itemised deduction of ordinary and necessary expenses paid or incurred to calculate…

Q: A temporary difference which would result in a deferred tax liability is O excess of tax…

A: Introduction:- A deferred tax liability represents an obligation to pay taxes in the future.…

Q: In accordance with IAS: 12 Income Taxes, deferred tax liabilities are the amounts of income taxes…

A: Deferred taxes comes into place when there is a difference between pretax financial income and…

Q: Discuss how a deferred tax provision can arise under IAS 12, Income Taxes, and the available methods…

A: the above requirement are discussed below

Q: Which of the following is not a source of support for the occurrence of a deferred tax liability?…

A: Solution: Future deductible temporary differences is not a source of support for the occurrence of a…

Q: deferred tax asset and deferred tax liability

A: Deferred tax is the tax arises due to the differences between accounting income and taxable income.…

Q: If during the current year, taxable profit is greater than accounting profit and the difference is a…

A: Temporary differences refer to the differences between taxable and pre-tax book income the effect of…

Q: entory methods from FIFO to LIFO: O Requires retrospective restatement. O Does not require…

A: Changing the inventory method from FIFO to LIFO is the change in the accounting policy. Preparation…

Q: How do you call a deductible temporary difference? a. Current tax asset. b. Deferred tax asset.…

A: As per IAS 12  The amount of the income taxes which will be Recoverable in future period in respect…

Q: Identify three examples of differences with no deferred tax consequences.

A: Definition:   Deferred Tax: Deferred tax is an amount i.e. computed on the basis of tax liability on…

Q: TRUE OR FALSE? If the carrying amount of a liability is higher than the tax base, the difference is…

A: The given statement is True...If the carrying amount of a liability is higher than the tax base, the…

Q: In addition to the basic tax assessed on the taxpayer, the following civil penalties will also be…

A: The correct answer for the above mentioned question is given in the following steps for your…

Q: unts that are made available to a taxpayer without substantial restrictions are included in gross…

A: In income tax there are different types of doctrine for different types of recognition of income and…

Q: Lists some common expense-related deferred tax liabilities.

A: Deferred Tax Liability: It refers to the obligation that is to be paid in the future time period.…

Q: All are true except:   a. OSD is a substitute for itemized deduction. b. The OSD relieves the…

A: A company's financial statements are a collection of summaries of its monetary performance,…

Q: ustification for the method of determining periodic deferred tax expense is based on the concept of?…

A: Solution: According to matching principal, If income is recognized in particular period, all…

Q: hen the temporary differences result to financial income higher than taxable income, they are known…

A: Solution: False. This is because he temporary differences result to financial income higher than…

Q: Which of the following is not a source of support for the realization of a deferred tax asset?…

A: Future expiration of temporary exemptions is not a source of support for the realization of a…

Q: fringe benefit tax

A: Tax deduction refers to the claims which are to be made as a reduction in the amount of taxable…

Q: According to PAS 12, this do not give rise to deferred tax asset or liability because they have no…

A: PAS 12 provides provisions relating to Accounting for Income taxes.

Q: An unused tax loss will arise when:   a. Expenses deductible for tax purposes are less than the…

A: Taxable income is the one upon which a tax percentage is charged as per the tax bracket to be paid…

Q: Which one of the following is correct as per section 4-10 of ITAA97 tax offsets? Select one: are…

A: The two main income tax assessment acts are ITAA 1936 (original) and ITAA 1997 (active on 1 July…

Q: List expenses that will be deductible for normal or income tax purpose

A: The above question mainly deals with expenses that will be deductible…

Q: what are the differences between the following components of taxable income                   o…

A: Difference between the Deductions for AGI and Deductions from AGI: Deductions for AGI are also…

Q: A deferred tax liability or asset that is related to an asset or liability shall be classified in…

A: Solution: True. This is because deferred tax liability or asset are classified in the statement of…

Q: Which of the following statements is correct with regard to IFRS and GAAP? a.    Under GAAP, all…

A: Generally Accepted Accounting Principles (GAAP): These are the guidelines necessary to create…

Q: Please critically evaluate and discuss in detail how a deferred tax provision can arise under IAS…

A: Typically, publicly listed corporations are held to high standards. Small and midsized enterprises…

Q: Which of the following results to a deferred tax liability? When the carrying amount of an asset is…

A: Solution: "None of the choices" results to a deferred tax liability. this is because When the…

Market Efficiency

Market efficiency refers to the market's ability to provide investors with all available information about investment options for buying and selling securities. Market efficiency reflects the true value of securities without undervaluing or overvaluing them. When the quality and quantity of information increase, the market becomes more efficient, allowing it to reduce arbitrage and obtain higher market returns from investment. In a well-functioning market, everyone receives all information completely and immediately at no cost. It opens up a plethora of opportunities for investors to access various investment options.