Temporary Differences

Temporary differences:

A) arise due to differences between income tax legislation and accounting rules, in a particular period, and are reversed in subsequent periods.
B) can be both deductible temporary differences or taxable temporary differences.
C) must be considered, and accounted for, by the creation of deferred tax asset and liabilities for all statement of financial position items (e.g. including asset revaluations) , rather than just statement of comprehensive income items, which is a major change created by the new standard.
D) arise due to changes in the income tax rate.