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Sir in this Qs examiner has written following in his answer
Hudson operates under a tax jurisdiction which only allows losses to be carried forward for two years. The maximum total losses that can be used are equal to total unused losses for 20X1 and 20X2. Losses incurred before 20X1 cannot be carry forward and so no DTA shall be recognized in respect of them
I want to ask 1 thing that here we are considering that losses will be carryforward till 20X3 or are we considering that losses will be carry forward till 20X2?
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Don’t really understand what you are worrying about. 🙂 The credit will be given if you show some understanding of the fact that the deferred tax asset will be restricted.
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