alleryStart learning →Dividends receivable from a subsidiary, carrying Rs. 100, are not taxable. Their tax base is:
ARs. 50
BRs. 200
CRs. 100
DNil
Answer & Solution
Correct answer: C. Rs. 100
When the economic benefits are not taxable, the tax base of an asset equals its carrying amount, so no taxable temporary difference arises.
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