AC2101 S1 2014 Seminar 13 & 14 Deferred Tax (Anil).pptx

Intention to settle on a net basis or simultaneously

Info iconThis preview shows page 1. Sign up to view the full content.

View Full Document Right Arrow Icon
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: in year of realization (Illustration 7) 3.  Sufficient taxable temporary differences *  Recognized to the extent of TTD (Illustrations 8 & 9) 34 17 Clicker When can an entity recognise DTA for the carry forward of unused tax losses? 1.  When future taxable profit is probable 2.  When future taxable profit is not probable 3.  When future taxable profit is not probable but there is sufficient taxable temporary differences and DTA is recognised to the extent of TTD 35 Unused Tax Losses Carry Back *  In Singapore, unused tax losses of up to $100k can be carried back to offset against immediately preceding year’s taxable profit, provided that no substantial change in shareholders, wef YA 2006. Enhanced carryback relief in YA 2009 and YA 2010. *  Journal entry: Dr Current tax receivable (SoFP – B/S) Cr Current tax expense (P/L) *  Illustration 10 *  For further examples, refe...
View Full Document

This document was uploaded on 02/10/2014.

Ask a homework question - tutors are online