chapter 20 accounting for income tax lecture …（第20章占所得税课u2026）.pdfVIP

Chapter 20 Accounting for Income Tax LECTURE OUTLINE The material in this chapter can be covered in three class periods. The conceptual issues in this chapter are difficult and the accounting procedures complex. Illustrations 20-1 and 20-2 can aid in demonstrating the recognition of deferred tax liabilities and assets and the calculation of income tax expense. Illustration 20-3 provides examples of temporary and permanent differences. Point out to the students how these examples result in different basis for book and tax purposes. A. Taxable Income and Financial Income. 1. Taxable income is calculated in accordance with prescribed tax regulations and rules. 2. Financial income is measured and reported in accordance with generally accepted accounting principles. 3. Differences between taxable income and financial income occur because tax regulations and GAAP are frequently different. B. Deferred Income Taxes. 1. A temporary difference is the difference between the tax basis of an asset or liability and its reported amount in the financial statements that will result in taxable amounts or deductible amounts in future years when the asset is recovered or the liability is settled. a. Taxable amounts increase taxable income. b. Deductible amounts decrease taxable income. 2. Deferred income taxes are the future tax effects of temporary differences. C. Deferred Tax Liability. Teaching Tip Illustration 20-1 provides a numerical example of the recording of a deferred tax liability. 1. A deferred tax liability represents the increase in taxes payable in future years as a result of taxable temporary differences