Follow Us

Follow us on Twitter  Follow us on LinkedIn
 

10 September 2010

IASB proposes to amend one aspect of accounting for deferred tax


Default: Change to:


The proposal would amend one aspect of IAS 12 Income Taxes. Under IAS 12, the measurement of deferred tax liabilities and deferred tax assets depends on whether an entity expects to recover an asset by using the asset or by selling the asset.


To provide a practical approach in such cases, the proposed amendment would introduce a presumption that an asset is recovered entirely through sale unless the entity has clear evidence that recovery will occur in another manner.
The presumption would apply when investment properties, property, plant and equipment or intangible assets are remeasured or revalued at fair value.
 


© IASB - International Accounting Standards Board


< Next Previous >
Key
 Hover over the blue highlighted text to view the acronym meaning
Hover over these icons for more information



Add new comment