Temporary differences that arise on consolidation always result in the recognition of either a deferred tax asset or a deferred tax liability.

Question

Quizplus · Accepted Answer

Temporary differences that arise on consolidation may not always result in the recognition of either a deferred tax asset or a deferred tax liability, as the recognition depends on the nature of the temporary difference and the expectation of the reversal of these differences.

Temporary Differences That Arise on Consolidation Always Result in the Recognition