At the time of the acquisition, a company must recognize deferred tax
assets and liabilities related to the acquired assets and liabilities and also recognize any related valuation allowance (see ASC paragraph 805-740-25-2).
The interest charge is calculated on the applicable percentage of the deferred tax
liability at the end of each year.
In this respect in 2008 resulted a taxable temporary difference that will lead to the recording of a debt concerning the deferred tax
of 3,200 lei.
Five banks will be affected most by the tax cut, due to their large amount of deferred tax
assets deriving from their loss in previous years.
The amount of the net operating loss must be multiplied by the tax rate in order to determine the amount of the deferred tax
These are called temporary differences, as they will reverse in future and give rise to deferred tax
109, Accounting for Income Taxes, requires a reduction to the deferred tax
asset by a valuation allowance if it is more likely than not that the deferred tax
asset will not be realized.
One exception to this occurs when firms are required by SFAS 109 to disclose the valuation allowance for deferred tax
assets on their balance sheets from 1992 onwards.
Consequently, the ratio of the deferred tax
assets to combined shareholders' equity at the 16 plummeted by 9.
For the fiscal year ended January 3, 2004, the Company calculated the valuation allowance (mark-down) based upon the gross value of deferred tax
assets which was $980,000.
On July 27, TEI filed comments with the International Accounting Standards Board on IAS 12, Deferred Tax
Accounting for Intercompany Profits in Inventory.
3 billion last year to comply with a new accounting standard - FRS19: Deferred Tax