Page 117 - International Taxation IRS Training Guides

Exam Tips:
Deferred Tax

Assets
and Liabilities (Cont’d)

 Apply Appropriate Rate: Companies
will schedule
when temporary differences are expected to reverse in

order to apply
the appropriate rate. Fiscal year-end

will determine the appropriate blended rate
companies
mid-year based on their respective year ends.
to apply

differences reversing during the fiscal year that
• Temporary
includes
the enactment date should be remeasured using the

blended rate.

differences reversing in subsequent fiscal years
• Temporary
should be remeasured
at the new 21% rate.

32