IFRS Notes

IAS 12: Keywords

Temporary differences
Differences between (1) and (2)

(1) carrying amount of an asset or liability
(2) tax base of an asset or liability

Tax base
Amount attributed to an asset or liability for tax purposes

Taxable temporary differences
Temporary differences that will result in taxable amounts

Deductible temporary differences
Temporary differences that will result in deductions

Deferred tax liabilities
Amount of income taxes payable in the future
due to (1)

(1) taxable temporary differences

Deferred tax assets
Amount of income taxes recoverable in the future
due to (1), (2), (3)

(1) deductible temporary differences
(2) carryforward of unused tax losses
(3) carryforward of unused tax credits

Current tax = (1) - (2) for the period
(1) income taxes payable due to taxable profit
(2) income taxes recoverable due to tax loss

Taxable profit
Profit for a period as determined by tax rules

Tax loss
Loss for a period as determined by tax rules

Accounting profit
Profit or loss for a period before deducting (1)
(1) tax expense

Tax expense
The sum of (1) and (2), included in profit or loss
(1) current tax
(2) deferred tax