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INDAS 12 Income Taxes

Financial Reporting

answered on 18-Feb-25 16:13

A deferred tax liability shall be recognised for all taxable temperory differences except when DTL arises from:- 1) Initial recogniton of goodwill 2) Initial recogniton of an asset /liability in a transaction which (i) is not a business combination (ii) at the time of transaction which neither affects the accounting profit nor taxable profit I am not clear about the 2(ii) point. In video 8 of this standard, an illustration explains that the transaction does not impact the accounting profit, even though it is also mentioned that the aggregate depreciation in the books is 100,000. It would be helpful if the 2(ii) is explained.

latest answer

Assume a company installs a plant and, under legal requirements, must dismantle it after 10 years. It recognizes: A liability for decommissioning - say ₹2,00,000, discounted to present value A corresponding asset (Capitalized cost added to the Plant). At the time of initial recognition: Accounting Impact: No immediate profit or loss impact (since both asset and liability are recorded at the same amount). Tax Impact: The tax laws may not allow the liability as an expense immediately (hence no impact on taxable profit). This is a case of exclusion

Parvathi Jayachandran

Parvathi Jayachandran

CA Final

21K+

1

255

Budget

Direct Taxation

answered on 19-Feb-25 21:42

Updated return time limit increased form 2 year to 4 years is this update is retrospective

latest answer

Need to await clarification on this. Will update.

Sruthi sruthi

Sruthi sruthi

CMA Inter

640

2

204

Consolidated Financial Statements

Financial Reporting

answered on 18-Feb-25 11:12

Hi Sir, In the above solution, we have bifurcated share of Net profit in Associates into NCI portion and to the parent. Should we bifurcate Net assets of Associates to NCI and Investment in Associates?

latest answer

The share of net profit automatically captures net assets.

ahmad bunyamin

ahmad bunyamin

CA Final

1K+

1

167

Charge of gst

Indirect Taxation

answered on 25-Feb-25 12:21

If GTA is registered and choose Rcm @5%. If we received such services from Gta and while paying in GSTR 3B, is mandatory to convert it in 12 or 18% for claiming Itc.

latest answer

For recipient, ITC will be available.

Sairam Reddy

Sairam Reddy

CA Final

10K+

5

227

Difference between provisional assessment and advance ruling

Indirect Taxation

answered on 19-Feb-25 21:50

What is the difference between provisional assessment and advance ruling? Why would someone chose 1 over the other?

latest answer

Both are similar but the primary difference is that provisional assessment is only when we are unable to determine the value or rate of tax.

Manu Jacob

Manu Jacob

CA Final

6K+

1

218

Time period

AFM

answered on 18-Feb-25 15:33

In part 4, when i was calculating d1 and d2, i was using t as 2/12= 1/6 but in our solution we have used same 3/12=0.25, why have we done like this ?

latest answer

Achaa achaa !! Understood!!

Hrishikesh Pradhan

Hrishikesh Pradhan

CA Final

18K+

2

227

Computation Doubt.

AFM

answered on 19-Feb-25 06:53

Sir, in the last where the revised price computation, the delta y*D*P is done, however i didnt get the concept of taking P multiplying with D and delta Y.

latest answer

Duration

Abhinav K A

Abhinav K A

CA Final

2K+

3

205

SEZ

Indirect Taxation

answered on 20-Feb-25 17:05

Is a sez not liable to pay output tax to the govt on the sales made by them in India(even though they collect igst on the same)(is this because they needn't pay gst on purchases, reflecting of not claiming ITC)

latest answer

Thank you sir

Ramya Telikicherla

Ramya Telikicherla

CA Final

6K+

2

195

AMT

Direct Taxation

answered on 19-Feb-25 21:42

In case where the assessee has not claimed any deduction under section 10AA or section 35AD or deduction under section 80JJAA, 80QQB & 80RRB in any previous year and the adjusted total income of that year does not exceed ` 20 lakh, it would still be entitled to set-off his brought forward AMT credit in that year Query = if assesse didn’t claim these deduction in ANY previous year then how did AMT credit arise

latest answer

AMT credit arised because earlier years they paid AMT>

Sushmita Chowdhury

Sushmita Chowdhury

CA Inter

2K+

5

306

About the Examination Questions in Ethics subject

CFA

answered on 17-Feb-25 19:45

Sir,a Small Question. What type Of Questions are asked Apart From the ethics Kaplan Scheweser Textbook you Said That Some Questions are asked from the Googled ones.

latest answer

Not from googled I meant googly like cricket 😀 Question appears simple but answer is completely different Pls go through cfa institute MCQs in the ematerial

dhupam jayanth

dhupam jayanth

CFA L1

10

1

211