Deferred taxes are only a liability.

Name: Deferred taxes are only a liability.
Brand: Quizplus
Rating: 4.8 (27 reviews)

Question

Quizplus · Accepted Answer

Deferred taxes can be either a liability or an asset depending on the difference between tax accounting and financial accounting methods. If tax accounting methods result in higher taxes payable in the future, deferred taxes are a liability. If tax accounting methods result in lower taxes payable in the future, deferred taxes are an asset.

Deferred Taxes Are Only a Liability