Please Help: DTA/DTL
Posted Date : 08-Sep-2011 , 09:07:10 am | Posted By sanjeev
SIR
dta/dtl kab arise hoti hai ....meaining kya hai...with example ?
dta/dtl kab arise hoti hai ....meaining kya hai...with example ?
Category : Income Tax | Answers : 3 | Comments : 2 | Hits : 767
Answers
Answer By: Ashish Karundia
Dear Sanjeev,
DTA is known as Deferred Tax Asset and DTL is known as Deferred Tax Liabilities. DTA/DTL arises due to difference between accounting income ( as per Companies Act, 1956) and taxation income (as per Income Tax Act.
Example - Depreciation as per companies Act - Rs. 10,000
Depreciation as per Income Tax Act - Rs. 15,000
Here, DTL = (5,000 X rate of tax) because excess depreciation of Rs. 5,000 has been claimed in Income Tax Computation.
Further, you will understand in a better way if you read AS-22 - Accounting for Taxes on Income.
DTA is known as Deferred Tax Asset and DTL is known as Deferred Tax Liabilities. DTA/DTL arises due to difference between accounting income ( as per Companies Act, 1956) and taxation income (as per Income Tax Act.
Example - Depreciation as per companies Act - Rs. 10,000
Depreciation as per Income Tax Act - Rs. 15,000
Here, DTL = (5,000 X rate of tax) because excess depreciation of Rs. 5,000 has been claimed in Income Tax Computation.
Further, you will understand in a better way if you read AS-22 - Accounting for Taxes on Income.
Answer By: Rohit Agarwal
Read AS-22 - Accounting for Taxes on Income link : http://mca.gov.in/Ministry/notification/pdf/AS_22.pdf
Answer By: Rohit Agarwal
Read AS-22 - Accounting for Taxes on Income link : http://mca.gov.in/Ministry/notification/pdf/AS_22.pdf
Comments
Rohit Agarwal
08-Sep-2011 , 10:48:41 amRead AS-22 - Accounting for Taxes on Income link : http://mca.gov.in/Ministry/notification/pdf/AS_22.pdf
sanjeev
28-Sep-2011 , 05:44:33 pmthanks sir, aap ne simple word me case ko smjaya ...thanks both of u...