- This topic has 1 reply, 2 voices, and was last updated 3 years ago by
.
Viewing 2 posts - 1 through 2 (of 2 total)
- Posts
HI Sir,
BPP- Q13 Moby Co (Dec13 amended):
In the working for Tax charge,
Why does it need to deduct “Defered Tax on Revaluation Debibted to Revaluation Surplus (1100)?
I think we only need to count the movement of Deferred Tax for the Tax charge?
(the 1100 Deffered Tax have been included in the Movement of Deffered Tax calculation, 24000*25%+4400*25%- 8000= -900) ?Thanks.
Hi,
If there is a revaluation in the year then there will be a deferred tax impact as we will be paying a higher tax in the future when the asset is sold. As the gain is taken through OCI then the associated tax on the gain is also taken through OCI and not through profit or loss.
Thanks
Viewing 2 posts - 1 through 2 (of 2 total)
- You must be logged in to reply to this topic.