Current tax consequences of business operations give rise to:

Question

Quizplus · Accepted Answer

Current tax consequences of business operations give rise to a current liability for income tax payable, as the taxes owed must be paid in the current period. Deferred liability for income tax payable pertains to situations where tax will be paid in future due to temporary differences between accounting and tax rules. Non-current liability for taxes payable refers to taxes owed beyond one year from the balance sheet date, and contingent liability for taxes payable represents uncertain tax situations that may or may not result in a liability.

Current Tax Consequences of Business Operations Give Rise To