Most of us know, it’s only a matter of time. The move towards a single set of high quality, understandable and enforceable global accounting standards – IFRS – is already underway amongst most of the world’s economies and before we know it, IFRS will be more or less mandatory for U.S. corporations as well. Some IFRS / U.S. GAAP differences require minimal work but have significant impacts; other differences require a substantial amount of work and may result in very minimal differences. Either way, there’s a lot of work ahead for companies preparing for IFRS.
There are a few specific tax accounting differences of which you should be aware.
6 Key Tax Impacts To Know About
1. Realiability of deferred tax assets
2. Uncertain tax positions
3. Classification of deferred taxes
4. Permanent reinvestment of foreign earnings
5. Foreign currency translation amounts
6. Intercompany transactions
Are you ready for IFRS? Share what you’re doing.