Additional disclosures are required pertaining to deferred tax amounts reported on the balance sheet. What are the needed disclosures?

Q: discuss eac

A: The three primary sources of tax law are statutory sources, administrative sources, and judicial…

Q: Which of the following would result in the recognition of deferred tax liabilities? Select one: A.…

A: DTT (Deferred tax liability) which is recorded in the balance sheet (BS) of company and it reports…

Q: Under which of the two accounting methods can you have instances of Deferred Tax Assets like Net…

A: The accounting method changes the rules and principles for recording the financial transaction.

Q: Which of the following tax accounting methods least likely defers payment of taxes?     Spread Out…

A: Spready Out method: Under this method revenue is recognised over a period of time. Lets make an…

Q: Provide two examples of expenditures that are typically not allowable for tax deductions but are…

A: Introduction: A tax-deductible cost is one that is "ordinary, essential, and reasonable" and…

Q: Under what condition deferred tax assets can be offset against deferred tax liabilities?

A: DTA stands for Deferred tax asset and DTL stands for Deferred tax liability which is integral part…

Q: Which of the following is not a disclosure required by PAS 12 Income Taxes? Group of answer choices…

A: PAS 12 Income taxes is an accounting standard which is meant and used for guidelines and policies…

Q: Which of the following cases would affect the noncurrent liabilities portion of the balance sheet?…

A: When Taxable income is greater than the accounting income then deferred tax liability should be…

Q: All of the following statements are correct concerning PAS 12 Income Taxes. Which is the exception?…

A: Following statements are correct concerning PAS 12 Income Taxes:1. Tax assets and liabilities…

Q: What is a valuation allowance for deferred tax assets

A: A deferred tax asset is the opposite of a deferred tax liability, which can increase the amount of…

Q: Deferred tax liability

A: Correct Answer is :- C Deferred tax Liability.

Q: Explain how deferred tax assets and deferred tax liabilities are reported in a classified balance…

A: When the Income Tax Expense account is more than the Income Tax Payable account, this difference is…

Q: Question Content Area Permanent differences impact deferred tax assets. current tax liabilities.…

A: There are two type of differences in accounting. One is permanent differences and other is temporary…

Q: The justification for the method of determining periodic deferred tax expense is based on the…

A: Deferred tax refers to the difference between the tax stated in the income statement and the tax…

Q: Describe the types of temporary differences that cause deferred tax assets and determine the amounts…

A: Deferred tax liabilities It is a type of liability that arises due to the difference between the tax…

Q: Briefly explain the recognition criteria of deferred tax assets and deferred tax liability and the…

A: Both deferred tax liabilities and assets should be recognized gross in the balance sheet unless the…

Q: the relevent IPSAS used in accounting for tax revenue with illustration.

A: These are accounting standards made particularly for the public sector.

Q: his is an item in the balance sheet relating to the unpaid portion of an income already taxed.…

A: Answer: Balance sheet consists of assets and liabilities as part of financials.

Q: What are the distinctions between deferred tax assets and deferred tax liabilities?

A:

Q: Which of the following is a compliance tool the IRS utilizes to address the tax gap?   Compliance…

A: Tax gap is the amount of tax which is computed by subtracting the tax paid by the tax payer from the…

Q: What are some of the reasons that the components ofincome tax expense should be disclosed and a…

A:

Q: describe the valuation allowance for deferred tax assets—when it is required and what impact it has…

A: Valuation Allowance: Deferred tax assets should be assessed on every balance sheet date. If it is…

Q: What is the IRS’s requirement for tax reporting regarding the choice of a denominator-level capacity…

A: Denominator-level Capacity Concepts:Denominator-level capacity concept is a term used to depict the…

Q: Explain deferred tax assets.

A: Temporary Difference: Temporary difference refers to the difference of one income recognized by the…

Q: How is a deferred tax asset and a deferred tax liability established?

A: Deferred tax asset:   It is the carry-over of losses by a business. If a business incurs a loss for…

Q: Which of the following is deducted from the financial income in computing for the taxable income?…

A: Donations received during the year is deducted from the financial income in computing for the…

Q: What is the difference between a future taxable amount and a future deductible amount? When is it…

A:

Q: deferred tax asset and a deferred tax liability

A: Deferred tax asset refers to the items that were shown as a result of extra payment of taxes.…

Q: Do the liabilities and assets that are generated by using the 'balance sheet method' of accounting…

A: The implication of the rules of conceptual frame work will helpful to create best standard in the…

Q: Define Deferred tax liability.

A: Liabilities: The claims creditors have over assets or resources of a company are referred to as…

Q: Which of the following is false? (a) Under GAAP, deferred taxes are reported based on the…

A: Liabilities that may occur in the future depending on the outcome of the future event are termed as…

Q: distinguish between temporary and permanent diff erences in pre-tax accounting incomeand taxable…

A: Taxable income is the income on which the assessee is liable to pay Income tax. It is the base upon…

Q: What Is A Deferred Tax Liability And What Is Its Purpose?

A: Liabilities: The claims creditors have over assets or resources of a company are referred to as…

Q: What is a deferred tax liability?

A: Deferred tax liability arises due to the difference in the amount of accounting income and taxable…

Q: What is deferred tax liability and deferred tax liability in accounting?

A: A deferred tax liability:A deferred tax liability is an income tax obligation that is due for the…

Q: explain the recognition criteria of deferred tax assets and deferred tax liability.

A: Deferred tax asset are the assets recorded when the income calculated according to statutory tax…

Q: Which of the following is not a disclosure related to income taxes based on IAS 12? * O The amount…

A: Answer: IAS 12- Income taxes. The disclosure related to income taxes is mentioned as : taxes…

Q: describe the diff erences between accounting profi t and taxable income, and defi ne key…

A: The temporary difference between taxes as per accounting income and taxes asper tax regulation is…

Q: Expenditures currently deducted in the tax return but not included with expenses in the income…

A: Solution: Expenditures  currently deducted in the tax return but not included with expenses in…

Q: RUE OR FALSE? Tax assessments made by the BIR must be in writing containing the law and facts as…

A: Taxation- Taxation refers to the imposition of a tax on persons and other types of organizations, as…

Q: Why deferred tax rate assets and liabilities are recorded in balance sheet?

A: The reasons for the recognition and reporting of deferred tax assets are as follows: The following…

Q: explain how deferred tax liabilities and assets are created and the factors that determine howa…

A: Deferred Tax Liability or Deferred Tax Asset is an integral component of the financial statements.…

Q: Explain when a full tax invoice and an abridged tax invoice is requir

A: A tax invoice is a statement issued for the delivery of taxable goods and services. A tax invoice…

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…

Deferred Tax

Deferred tax is an estimated future tax which is made while preparing accounts. It is estimated as a result of past and present transactions in the financial statements. It is not the actual tax which needs to be paid or refundable from the revenue authority, it is an accounting entry. It exists because of the difference between accounting profits and taxable profits.