Rakesh hegde (Audit Consultant) (81 Points)
26 September 2013Hai All,
How to consider Carry forward loss & Current year loss in calculation of differed Tax calculation?
And what is the accounting entry??
Thanks in advance
Sourav
(Achieving d UnAchieved)
(991 Points)
Replied 26 September 2013
Pass the following entry to create DTA on current year loss :
Deferred Tax Asset Account..........dr
To Profit & Loss Account.
However create DTA only if there is reasonable certainity of profit in future.
Jefna pm
(Articled assistant)
(142 Points)
Replied 28 November 2014
on which amount the deferred tax asset to be created? is it only for current year loss or along with carried forward loss also?
rohit
(Student CA Final )
(117 Points)
Replied 05 December 2014
If earlier DTL were created than pass below entry for reversal of DTL
DTL a/c Dr.
P&L a/c Cr.
If there is no reversal than pass: DTA to P&L
CAclubindia
