FA4

• CA of Asset is greater than Tax base

  Taxable temporary difference
• AI is greater than IT

  Taxable temporary difference
• CA of Liability is lesser than Tax base

  Taxable temporary difference
• AI is lesser than TI

  Deductible temporary difference
• CA of Asset is lesser than Tax base

  Deductible temporary difference
• CA of liability is greater than Tax base


  Deductible temporary difference
• Future Taxable

  Deferred Liability
• Future Deductible


  Deferred Asset
• Tax Income x Tax Rate


  Current tax expense
• AI subj to tax x Tax rate

  Total income tax expense/liab
• Future deductible x tax rate


  Deferred tax asset
• future tax income x tax rate


  Deferred tax liability
• Current tax expense Journal

  D: Income tax exp

  C: income tax pay
• Deferred tax liab journal

  d: income tax exp

  c: deferred tax liab
• decrease of DTL journal


  D: deferred tax liab

  c: income tax expense
• Deferred Tax asset journal 


  D: deferred tax asset

  c: income tax benefit
• Decrease of DTA journal

  D: income tax benefit

  c: deferred tax asset