ACCA Technical Workshop - Accounting for Deferred Taxation: FRS 12

FRS 12 on ‘Income Taxes’ continues to be a difficult and sometimes confusing standard to understand and implement. This workshop will provide a comprehensive and ‘hands-on’ review of the requirements of the standard.

Intended for:
Accountants who wish to have a more detailed understanding of FRS 12 and for auditors who have to verify the appropriateness of the deferred taxation computations and disclosure requirements in the financial statements.

Coverage: 
1) Definition of tax base

2) What are taxable temporary differences? How are they measured in the following situations:
 - business combinations
 - assets carried at fair value
 - goodwill
 - initial recognition of an asset or liability

3) What are deductible temporary differences? How are they measured in the following situations:
 - initial recognition of an asset or liability
 - negative goodwill

4) How are unused tax losses and unused tax credits accounted for?

5) How do temporary differences arise for investments in subsidiaries, branches and associates and interests in joint ventures?
 
6) Deferred taxation issues for items credited or charged directly to equity

7) Presentation and disclosure