Deferred tax liabilities are income taxes payable in future periods in respect of:
ADeductible differences
BTaxable differences
CUnused tax credits
DPermanent differences
Answer & Solution
Correct answer: B. Taxable differences
Taxable temporary differences produce taxable amounts later, so the tax on them is a deferred tax liability.
Keep practising Ind AS 12 Income Taxes
Browse all Ind AS 12 Income Taxes questions for CA Final, or explore more Financialreporting topics.
Related questions
Deferred tax accounting is relevant to which accounting principle?A permanent difference in accounting versus tax treatment gives rise to:Tax-related contingent liabilities, such as disputes with tax authorities, follow:An entity's accounting profit is Rs. 2,500 and the domestic rate is 30%. Tax at the domestThe average effective tax rate equals tax expense divided by:What can make tax expense differ from profit times the rate?A deferred tax asset reliant on future profits needs evidence disclosure when the entity hFor unrecognised subsidiary-investment liabilities, disclose the: