jaggu
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Hi Can you please Justification for deferred tax accounting?
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narahari
answered
Deferred tax is recognized as a result of the Matching principle. Deferred tax liabilities are provided in order that investors may understand the future tax liabilities that may arise as a result of accelerated tax relief taken to date, or income that has not yet been taxed.
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HIMANSHU
answered
Hello
Deferred tax is recognized as a result of the Matching principle. Deferred tax liabilities are provided in order that investors may understand the future tax liabilities that may arise as a result of accelerated tax relief taken to date, or income that has not yet been taxed.
Where accelerated tax relief is obtained for expenditure relative to the timing of an expense recognized in a company's profit and loss account, a deferred tax charge should be recognized in the profit and loss account for the movement in the company's deferred tax liability, which will increase the company's total tax charge
CA Sandeep Bohra
answered
Dear Friend,
**Justification for deferred tax accounting**
-Deferred tax is recognized as a result of the Matching principle. Deferred tax liabilities are provided in order that investors may understand the future tax liabilities that may arise as a result of accelerated tax relief taken to date, or income that has not yet been taxed.
-Where accelerated tax relief is obtained for expenditure relative to the timing of an expense recognized in a company's profit and loss account, a deferred tax charge should be recognized in the profit and loss account for the movement in the company's deferred tax liability, which will increase the company's total tax charge
Archana
answered
Hie Jaggu,
Justification for deferred tax accounting
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- Deferred tax is recognized as a result of the Matching principle. Deferred tax liabilities are provided in order that investors may understand the future tax liabilities that may arise as a result of accelerated tax relief taken to date, or income that has not yet been taxed.
- Where accelerated tax relief is obtained for expenditure relative to the timing of an expense recognized in a company's profit and loss account, a deferred tax charge should be recognized in the profit and loss account for the movement in the company's deferred tax liability, which will increase the company's total tax charge
Shubhangi Jain
answered
Deferred tax is recognized as a result of the Matching principle. Deferred tax liabilities are provided in order that investors may understand the future tax liabilities that may arise as a result of accelerated tax relief taken to date, or income that has not yet been taxed.
Where accelerated tax relief is obtained for expenditure relative to the timing of an expense recognized in a company's profit and loss account, a deferred tax charge should be recognized in the profit and loss account for the movement in the company's deferred tax liability, which will increase the company's total tax charge
