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taxable temporary difference

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA FR Exams › taxable temporary difference

  • This topic has 1 reply, 2 voices, and was last updated 8 years ago by MikeLittle.
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  • December 3, 2016 at 11:14 am #353388
    aicca
    Member
    • Topics: 27
    • Replies: 10
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    how will develpment cost capitalised create taxable temporary difference?

    December 3, 2016 at 4:09 pm #353457
    MikeLittle
    Keymaster
    • Topics: 27
    • Replies: 23350
    • ☆☆☆☆☆

    Because they will be claimed as an when we start to amortise them whereas when we capitalise them, we will get the benefit of tax allowances straight away

    This means that, during the years of amortisation, we will need to add back as dis-allowable each year’s amortisation expense

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