When Congress changes the tax laws or rates, a corporation's deferred tax liability and asset accounts

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When Congress changes the tax laws or rates, a corporation's deferred tax liability and asset accounts are adjusted as of the beginning of the year in which the change occurred. This is because the change in tax rates affects the entire year's tax liability, and not just the end of the year. Therefore, the adjustment should be made as of the beginning of the year to reflect the correct tax liability for the entire year.

When Congress Changes the Tax Laws or Rates, a Corporation's