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Generally deferred tax liability account created due to treatment of : ( According to US GAAP )?

1- An asset .

2- A liability .

Accounting Auditing US GAAP CMA
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Question added by Deleted user
Date Posted: 2015/09/18
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IMRAN ALI MOHAMMED
by IMRAN ALI MOHAMMED , Accounts Officer , M/s. Euro Glazing Ltd

The answer is1. An Asset. The deferred tax liability arises due to the difference in treatment of value of Assets as per Accounting practice and Tax regulations.

 

Note :- Deferred Tax Liability (DTL) is created due to the treatment of an Asset not only under US GAAP but also IFRS.

Ahmed kandil
by Ahmed kandil , Cost Controller , Battour Holding Cpompany

agree with Mr  : IMRAN ALI MOHAMMED

Thanks 

 

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