New f6 - pension and income tax

Question 1

perm difference

Answer 1

1. Gross income (100 / 80 / 70%) exclusion (income in f/s, not in taxable income)
2. state and municipal bond interest (income in f/s income, not in taxable income)
3. Life insurance proceed (income in f/s income, not in taxable income)
4. Life insurance premiums when corporation is beneficiary (income in f/s income, but not in taxable income)
5. nondeductible portion of meal and entertainment expense
6. dividend-received deduction for corporations
7. penalties, fines, lobbying / political expense, federal income taxes (expense in f/s, but not in taxable income)

Question 2

refreshing - what are the topics in income tax?

Answer 2

1. permanent difference - no deferred tax
2. comprehensive allocation - the asset and liability (balance sheet approach) method is required.
3. temp diff - yes deferred tax
4. temp diff - core formula and core j/e
5. DTL - core j/e
6. DTA - core j/e + allowanace (not in ifrs)
7. current rate and enact rate
8. balance sheet presentation (current and non current)
9. other issues (carry forward/back,

Question 3

enacted tax rate

Answer 3

use the tax rate in effect WHEN the temp diff reverses itself.

Question 4

balance sheet presentation DTL DTA classification

Answer 4

current, netted, one amount

noncurrent, netted, one amount

Question 5

current / non-c DTA or DTL

Answer 5

rule 1: follow mama
rule 2: if no mama, follow the reversal date (ex. deferred tax asset carrying forward, organization cost, % completion method and completion method)

Question 6

operating losses

Answer 6

carry forward

carry back