Deferred tax liability

Deferred tax liability,

Definition of Deferred tax liability:

  1. Taxes a company must pay but not in the current accounting period. Taxes will be paid in a future year.

  2. Deferred tax liability is a tax that is assessed or is due for the current period but has not yet been paid. The deferral comes from the difference in timing between when the tax is accrued and when the tax is paid. A deferred tax liability records the fact the company will, in the future, pay more income tax because of a transaction that took place during the current period, such as an installment sale receivable.

  3. Because U.S. tax laws and accounting rules differ, a company's earnings before taxes on the income statement can be greater than its taxable income on a tax return, giving rise to deferred tax liability on the company's balance sheet. The deferred tax liability represents a future tax payment a company is expected to make to appropriate tax authorities in the future, and it is calculated as the company's anticipated tax rate times the difference between its taxable income and accounting earnings before taxes.

Meaning of Deferred tax liability & Deferred tax liability Definition

Deferred Tax Liability,

What is The Definition of Deferred Tax Liability?

Deferred tax liability is a tax that has been assessed in the current period or due to it, but has not been paid. Appropriate results of time difference between taxation and tax payment time. The record of late tax liabilities is that a company arising out of a transaction in an existing company, such as BK's claims on credit sales, will pay higher income tax in the future.

Literal Meanings of Deferred Tax Liability


Meanings of Deferred:
  1. Postponed to a later date (action or event).

  2. Send or credit.

Sentences of Deferred
  1. Postpone your decision until February

  2. Provide superior knowledge to the team

Synonyms of Deferred

postpone, put off, adjourn, delay, hold off, hold over, put back, carry over, yield, submit, give way, give in, surrender, accede, bow, capitulate, acquiesce, knuckle under


Meanings of Tax:
  1. Mandatory contribution to state revenue that the government collects for workers' income and company profits or increases the cost of certain goods, services and transactions.

  2. Strict restrictions or demands.

  3. Collecting tax on (someone else or something)

  4. Create demand requirements (power or resources)

  5. Facing someone's fault or crime.

  6. Investigation and evaluation (case cost)

Sentences of Tax
  1. Higher taxes will reduce consumer spending

  2. Heavy tax on reader's attention

  3. Hardware and software are subject to 7.5% tax

  4. He knew that the next test would force all his strength

  5. Why are you accusing me of this meaningless accusation?

  6. Tax agents

Synonyms of Tax

levy, tariff, duty, toll, excise, impost, contribution, assessment, tribute, tithe, charge, fee, burden, load, weight, encumbrance, demand, strain, pressure, stress, drain, imposition, levy a tax on, impose a toll on, charge duty on, exact a tax on, demand a tax on, stretch, put a strain on, make demands on


Meanings of Liability:
  1. The person or object whose presence or conduct causes embarrassment or harm.

Sentences of Liability
  1. The partner accepts unlimited responsibility for the perceived risks

Synonyms of Liability

accountability, responsibility, legal responsibility, answerability, hindrance, encumbrance, burden, handicap, nuisance, inconvenience