Page 180 - FR Integrated Workbook 2018-19
P. 180
Chapter 13
Deferred tax
2.1 What is deferred tax?
Deferred tax is an application of the accruals concept. The provision for deferred
tax recognises the estimated future tax consequences of recognised transactions
and events.
If there is a difference
between the
accounting and tax
treatment of an item.
Is the
difference
temporary or
permanent?
Temporary Permanent
(e.g. accelerated (e.g. disallowed
tax allowances) expenses)
Deferred tax to No deferred tax
be provided impact
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