Deferred Tax Accounting: Temporary Differences, DTA & DTL

About this course

A deferred tax accounting course that works through one manufacturing group's income taxes in a spreadsheet, for accounting students, auditors and tax and reporting teams. You turn accounting profit into taxable profit and sort each adjustment into permanent or temporary, compare the carrying amount and the tax base of eight balance sheet items, follow a CNC machine's deferred tax liability as it builds up and reverses over five years, test how much of a loss-making subsidiary's deferred tax asset future taxable profit supports, remeasure deferred tax after a rate change and split the effect between profit or loss and OCI, put together the tax expense from current and deferred tax with its journal, reconcile the home rate to the effective tax rate in a waterfall chart and offset deferred tax balances in a movement table. Educational examples with an illustrative tax rate, not tax advice. The first lab is free.