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deferred income

   Also found in: Wikipedia 0.02 sec.
deferred income
Income received by a business but not yet reported as earned. For example, a business may receive payment for a service or a product that has not yet been delivered. A deferred credit is treated as a liability until reported as income earned. Also called deferred credit.


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Deferred income items of the liquidating corporation: All of the authorities that permit the use of a deferral method for unearned income require that the income be recognized if the taxpayer is relieved of its obligation to perform the services or provide the goods.
While the standardization of recording of the impairment in value of fixed assets should increase the comparability of financial reporting, it may also bring about a significant, decrease in the amount of reported deferred income tax liabilities.
The reason for this reporting difference is that in the fourth quarter of 2005, the Company recorded deferred income tax assets to reflect its expected future use of net operating loss carry forwards.
 
 
 
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