tax allocation

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

A: The taxable income for a company is calculated by adding all the taxable revenues, and deducting the…

Q: All of the following are reported on the income statement net of tax except DA other comprehensive…

A: The answer is as fallows

Q: Total comprehensive income is: Select one alternative: profit or loss after tax other…

A: Solution: Total comprehensive income is "profit or loss after tax + other comprehensive income after…

Q: Differentiate the accounting measurement of current tax liability and current tax asset from…

A: Tax is the charges levied by the central and state government on the net income, sale or capital…

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: 1.Briefly explain the concepts of temporary difference and permanent difference.

A: We’ll answer the first question since the exact one wasn’t specified. Please submit a new question…

Q: All of the following must be disclosed separately, except A. The aggregate amount of current and…

A: The effect on tax due to any differences in timing can be termed as deferred tax, which also means…

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: 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: Interperiod and Intraperiod Tax Allocation  Income Tax allocation is an integral part of generally…

A: The term interperiod income tax allocation states to the income tax expense distribution among…

Q: All of the following are reported on the income statement net of tax except Select one: a. irregular…

A: Income statement: The income statement is one of the three primary financial statements used to…

Q: A reduction in the statutory tax rate would most likely benefi t the company’s:A . income statement…

A: A balance sheet is a financial statement that offers a framework for estimating the return rates and…

Q: In computing the change in deferred tax accounts, which tax rates are used? O A. Current tax rates…

A: SOLUTION- DEFERRED TAX LIABILITY AS BEING THE AMOUNT OF INCOME TAX PAYABLE IN FUTURE PERIODS IN…

Q: Briefly explain the concepts of accounting profit, taxable profit, temporary difference, taxable…

A: Since you have posted a question with multiple sub-parts, we will solve first three sub-parts for…

Q: In computing the deferred tax asset or liability, w. tax rate is used? a. Current tax rate b.…

A: Deferred  tax asset or liability  arises  due to temporary differences

Q: Intra-period tax allocation is the allocation of the total income tax expense to the various…

A: Intra-period tax allocation means the allocation of income tax expense. Income tax expense is the…

Q: g. An increase in the Deferred Tax Liability account on the statement of financial position is…

A: Solution Note Dear student as per the Q&A guideline we are required to answer the first question…

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: 1. In computing the CURRENT tax asset or CURRENT tax liability, which tax rate is used? a. Current…

A: Hi student Since there are multiple questions, we will answer only first question. If you want…

Q: There are three general views regarding interperiod income tax allocation: no allocation, partial…

A: Income tax is a type of tax imposed by governments on income generated by businesses and limits…

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

A: Note: As per the policy, we’ll answer the first question since the exact one wasn’t specified.…

Q: It is characterized by final taxes which are withheld or deducted at source. A. Capital gains…

A: The three schemes under the NIRC are Capital gains taxation ,Final income taxation, Regular income…

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

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

Q: Which of the following is NOT a reason why timing is significant in tax? Group of answer choices…

A: Tax: When any assesse is earned the income from any sources of income which are mentioned in the tax…

Q: Explain the conceptual underpinnings of accounting for temporary differences and the four-step…

A: Income tax: Income tax refers to the direct tax levied on individual person or business and…

Q: Listed below are items that are commonly accounted for differently for financial reporting purposes…

A: The answer is stated below:

Q: It is the sum of the amount of in deferred tax liability related to accounting income. a. Tax…

A: Income tax actual paid and income tax expenses some time differ because of deferred income tax.…

Q: Listed below are items that are commonly accounted for differently for financial reporting purposes…

A: Financial accounting refers to the accounting which helps in keeping a logical as well as systematic…

Q: The deferred tax expense is the Select one: a. decrease in balance of deferred tax asset minus…

A: Lets understand the basics. When there is taxable temporary difference between the book profit and…

Q: Listed below are items that are treated differently for accounting purposes than they are for tax…

A: The question is based on the concept of Accounting Standards.

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: This refers to the process of taxation to determine the amount of tax based on existing tax laws.

A: Answer: b. Imposition

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: A temporary difference which would result in a deferred tax liability is a) installment sale…

A: Definition: Deferred tax liability:- It is the liability of tax that a business has yet not paid in…

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: Distinguish between intraperiod tax allocation and interperiod tax allocation (deferred tax…

A: Inter period income tax allocation is defined as the income tax obligation of company as expense to…

Q: What is the difference between tax rates and tax rate structures? How does this notion of…

A: Income tax payable is an obligation for the tax payers to the government on the taxable income.…

Q: Question 1: Why do deferred tax assets or deferred tax liabilities arise? Explain your answer with a…

A: Income tax actual paid and income tax expenses some time differ because of deferred income tax.…

Q: Which temporary difference would result in a deferred tax asset? a. Tax penalty or surcharge b.…

A: For an assets, the deferred tax asset arise when carrying amount of asset is lower than it's tax…

Q: What is intraperiod tax allocation and why is it necessary? How is the income tax expense related to…

A: Income tax seems to be the amount of tax collected by the federal government on the earnings of…

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: 1.  Permanent differences between tax income and financial reporting income results from deferred…

A: Deferred tax should be record in the accounting books, in order to apply with matching concept.

Q: Which of the following has a different treatment for cash and accrual basis of tax accounting?…

A: Under cash basis accounting, the transactions are recorded when the income is actually received or…

Q: The FASB has defined several terms in regard to accounting for income taxes. Below are various code…

A: Comment- Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the…

Q: The following needs to explain further the steps in determining the income tax. Jse the space…

A: SOLUTION-    TAX IS A COMPULSORY FINANCIAL CHARGE OR SOME OTHER TYPE OF LEVY IMPOSED ON A TAX PAYER…

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.