Deferred Tax on revaluation

There are two ways in which the examiner tests this The first is rather more common than the second 1) The examiner will say something like 'the deferred tax on the revaluation should go through the profit or loss account' Carry forward in the deferred tax account the deferred tax on the revaluation from debit above the line to credit below the line Balance off the deferred tax account 'as normal' 2) Occasionally the examiner will say that the deferred tax on the revaluation should go to the deferred tax account Carry forward in the deferred tax account the deferred tax on the revaluation from debit above the line to credit below the line But this time, take the appropriate amount of deferred tax from the deferred tax account to the revaluation reserve Dr Revaluation Reserve Cr Deferred tax with the calculated deferred tax on the amount of the revaluation Have you bothered looking at all at the mini exercises towards the end of the free course notes?

Thanks for your explanation mike. I will solve those mini exercises.

You're welcome and yes, that would be a good idea!