Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Q:
"Presentation of an Unrecognized Tax Benefit When a Tax Credit Carryforward or Net Operating Loss Carryforward Exists." The settlement of a liability for an unidentified tax benefit may be reduced by a net operating loss (NOL) carryforward or a tax credit carryforward as needed by U.S. tax law. The IRS does not need a disallowed uncertain tax position to be settled in cash if enough NOL carryforwards are available to remove the additional taxable income, but a taxpayer is required to use NOL carryforwards in the first year taxable income arises.
Topic 740, Income Taxes, does not add explicit guidance on whether and when an entity could present an unrecognized tax benefit as a liability or as a reduction of NOL carryforwards or other related tax credits. In practice, the presentation of the liability for an unidentified tax benefit depends on the relationship with the NOL carryforwards. If the liability for an unrecognized tax benefit is directly related with a tax position taken in a tax year that results in or that resulted in the recognition of an NOL carryforward for that year (and the NOL carryforward has not yet been utilized), the unrecognized tax benefit could be presented as a reduction to the NOL; otherwise, it should be shown as a liability.
The issue is how an entity could present a liability for an unrecognized tax benefit in the statement of financial position when non-recognition of the tax benefit would otherwise reduce a deferred tax asset related to an NOL or tax credit carryforward under the provisions of the tax law.
Required:
- Determine the key areas being addressed by the EITF
- Assess how a company's accounting and financial reporting is likely to be impacted by the work being done by the EITF on this issue.
Evaluate the issue price of the bonds and prepare the amortization table for 2011; consider that amortization is recorded on interest payment dates.
Since it was shipped as of 31 st December, does this represent a sale for the year ended on that date? What additional audit steps would be taken to evaluate that the sale is valid?
Determine the NPV for the purchase, lease without the service contract, and the lease with the service contract.
Suppose that joint -product costs are allocated using the net realizable value method, what were the net costs of product Y?
The company's management is working on preparing the Management Discussion and Analysis (MD&A) for the report.
Total partnership net assets will logically be revalued to $1,080,000 on the basis of the price paid by Mary Ann. Total capital of the new partnership will be $840,000 considering no revaluation.
The founders of Samanta Shoes utilize variable costing in their business decisions. If Samanta Shoes utilizing absorption costing, would you see the company's income to be more than, less than or about the similar as its income measured under vari..
What kind of transaction is a service revenue earned on account
Differences between the book value and the fair value of the identifiable assets of Salem Company
Make a flexible budget for the Beverage Division using production levels of 45,000 units, 50,000 units, and 55,000 units. If required, round per unit amounts to two decimal places
Prepare a report that indicates the effect on the company's total net operating income of buying part F77 from the supplier rather than continuing to make it inside the company.
At what price could you expect the stock to trade instantaneously after the split goes into effect
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd