11. If different tax rates apply to different levels of taxable profit, an SME shall measure its deferred tax liability or asset using a. the tax rates and laws that have been enacted or substantively enacted by the reporting date. b. the tax rate(s) applicable to the period where the transactions that gave rise temporary differences occurred. c. the average enacted or substantively enacted rates. d. any of these.

Q: Which one of the following is correct as per section 4-10 of ITAA97 tax offsets? Select one:o are…

A: The taxable income for a company is calculated by adding all the taxable revenues, and deducting the…

Q: tax allocation

A: Correct Answer 1 :- D The purpose is to relate the income tax expense to the items which affect the…

Q: t is the change during the year in an entity's deferred tax liability and o O A. Current tax expense…

A: Solution: "Deferred tax expense" is the change during the year in an entity's deferred tax asset and…

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A: Temporary differences are those differences which are there in between carrying value of asset or…

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A: Solution: following cases would result in a Deferred Tax Liability as they will create future…

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A: Temporary book-tax differences refer to the differences that arise between the pretax book income…

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A: We’ll answer the first question since the exact one wasn’t specified. Please submit a new question…

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A: Taxable income A taxable income refers to the income on which the tax has been imposed. It is the…

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A: The accounting method changes the rules and principles for recording the financial transaction.

Q: current and deferred tax expense

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A: Tax is the amount which an individual or business is liable to pay the government for business…

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A: Tax is the liability that person owes to the government.

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A: Deferred tax liabilityWhen a firm's taxable income for financial reporting purposes and its taxable…

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A: A balance sheet is a financial statement that offers a framework for estimating the return rates and…

Q: analyze disclosures relating to deferred tax items and the eff ective tax rate reconciliation,and…

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A: The question is related to the taxation.

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A: There are two type of differences in accounting. One is permanent differences and other is temporary…

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A: The answer is as fallows

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Deferred Tax

Deferred tax is an estimated future tax which is made while preparing accounts. It is estimated as a result of past and present transactions in the financial statements. It is not the actual tax which needs to be paid or refundable from the revenue authority, it is an accounting entry. It exists because of the difference between accounting profits and taxable profits.