Deferred Income Taxes

Description

Accounting for income taxes is now a complex set of standards with computational difficulties and confusion particularly relating to private companies. A practical approach is shown to navigate the maze and simplify basic calculations and financial statements including the impact of the 2017 Tax Reform Act on calculations.

Highlights

• Sample Schedule M calculations
• Sample work papers for deferred tax computations
• Comprehensive two year example and computations
• Review and analysis of recurring temporary differences
• Identification of the sources to compute “cumulative temporary differences”
• Sample workpapers for analysis of tax positions

Objectives

• Develop a practical approach for the application of the basic elements of income tax accounting under FASB codification 740.
• We will dispel the myths surrounding deferred income taxes, and provide useful approaches and numerous computations.
• Identify basic recurring transactions that result in book-tax differences for private companies, and how to accumulate the needed information to simplify the computations.
• Recognize tax positions taken in tax returns and how those positions are to be evaluated for purposes of accruing the related tax benefits in the financial statements.

Designed For

CPAs, accountants and financial professionals.