26 December 2011
Deferred tax is just a tip-off of reserves and surpluses. It has to be treated as separate fund to absorb the tax effects raised because of differences in the tax rates in IT Act and Companies Act. You can see the guidance note on this which explain the concept with illustrations.
27 December 2011
Pls go through accounting standard AS-22 issued for ICAI for detailed understanding. You will get all whatever you need over there. If you have any other query in understanding the same, pl jot down your query.