ED/2019/5/Deferred Tax related to Assets and Liabilities

This topic has 2 replies, 3 voices, and was last updated 5 years ago by Stephen Widberg.

Viewing 3 posts - 1 through 3 (of 3 total)

Author

Posts
June 8, 2021 at 10:56 am #623872
msuvarna
Participant
- Topics: 9
- Replies: 3
Hello Sir!

Hope you are doing well.

I don’t have the latest SBR book so I don’t have the information on the ED proposal related to the deferred tax.

I would be grateful if you could give a summary of it.
June 8, 2021 at 2:30 pm #623900
Jiya024
Member
- Topics: 168
- Replies: 56
Yes Professor, this area of current issue is also very very confusing!! can you pls brief us?
June 8, 2021 at 3:16 pm #623916
Stephen Widberg
Keymaster
- Topics: 17
- Replies: 3453
Lessee accounting;

On date lease starts, let us say that:

Lease asset = 100
Lease liability = 80

Do we recognise DT?
Some companies have nor been doing so. This is because IAS 12 has a strange exemption for ‘initial recognition of transactions which on that date do not affect profit and loss’

The ED says you must reflect DT.

https://www.xrb.govt.nz/accounting-standards/standards-in-development/closed-for-comment/iasb-ed-20195/#:~:text=The%20IASB%20has%20recently%20issued%20an%20exposure%20draft%2C,for%20under%20IFRS%2016%20Leases%29%20and%20decommissioning%20obligations.

Be calm. (The reference above is a New Zealand document) but it summarises the rule.
Author

Posts

Viewing 3 posts - 1 through 3 (of 3 total)

You must be logged in to reply to this topic.