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Sir, IAS 12 defines the “tax base of an asset” as the amount that will be deductible against any “taxable economic benefits” that will flow to the entity when it recovers the carrying value of the asset.
My question sir is what is this “taxable economic benefit”, and can you just give an example of how the tax base is deducted from this amount.
It is referring to the receipt of revenue in the future, which we receive when we use the asset to generate the benefit.