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

See illustration 13 40 20 measurement of deferred tax

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Unformatted text preview: reassessed at each reporting date for probable recovery (FRS12:37) 32 16 TD Arising from Carry Forward of Unused Tax Losses & Credits Considerations of whether future taxable profit is probable include: a.  Sufficient taxable TD (same tax authority & entity) b.  Taxable profit probable before carry- forwards expire* c.  Identifiable causes of tax losses are unlikely to recur d.  Tax planning opportunities exist for creating taxable profit * In Singapore, tax loss can be carried forward indefinitely provided no substantial change in shareholders. FRS12:36 33 TD Arising from Carry Forward of Unused Tax Losses & Credits 3 possible scenarios: 1.  Future taxable profit is probable *  Recognized in year of loss (Illustration 6) 2.  Future taxable profit is NOT probable *  Recognized...
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