IFRS Accounting for Income Taxes- IAS 12

• Apply the principles of IAS 12
• Recognize and measure deferred tax assets and liabilities
• Understand the practicalities involved in accounting for income taxes
• Learn the methods that may be applied in accounting for complex tax situations
• Identify and account for uncertain tax positions under IFRIC 23
• Comply with presentation and disclosure requirements

CONTENT

General principles

• Scope and objectives
• Definitions – deferred tax, temporary differences, tax base

Current tax

• Current tax assets and liabilities; recognition and measurement
• Recognition in profit or loss, other comprehensive income or equity

Deferred tax

• General principles
• Tax bases of assets, liabilities and deferred revenue
• Treatment of taxable and deductible temporary differences
• Exceptions to the recognition rules
• Recognition of deferred tax liabilities
• Recognition of deferred tax assets
• Sources of deductible temporary differences
• Unused tax losses and tax credits and availability of future profits
• Assessment of recoverability

Measurement

• Enacted and substantively enacted tax rates
• Reflecting different methods of recovery
• Presentation and disclosure in the financial statements

Special applications

• Tax credits
• Leases
• Provisions and employee benefits
• Share-based payments
• Revaluations
• Investment properties
• Intangible assets
• Financial instruments
• Investments in subsidiaries, associated and joint ventures

Treatment in consolidated financial statements

• Business combinations
• Purchased goodwill
• Unrecognized tax losses
• Intra-group transactions
• Issues arising on first-time adoption of IFRSs
• Treatment in interim financial reports

TRAINING METHODOLOGY

The training methodology combines lectures, discussions, group exercises and illustrations. Participants will gain both theoretical and practical knowledge of the topics. The emphasis is on the practical application of the topics and as a result participant will go back to the workplace with both the ability and the confidence to apply the techniques learned to their duties.