Handbook | October 2019

 

Handbook: Accounting for income taxes

KPMG’s guidance on and interpretation of ASC 740. KPMG explains the accounting for income taxes in detail, providing examples and analysis. 

Applicability

  • All entities subject to income taxes

Relevant date

  • Effective immediately

Key impacts

Provides interpretive guidance on ASC 740, including illustrative examples and Q&As.

This October 2019 edition incorporates:

  • Updates for the forthcoming ASU on simplification
  • Updates to interpretive guidance on changes in tax status in connection with transactions with shareholders and common control mergers
  • Additional guidance on intercorporate tax allocation and presentation of deferred tax asset and liabilities in separate financial statements
  • Removal of Appendix D: Tax Reform Supplement

Report contents

  • Temporary differences
  • Tax calculation
  • Valuation of deferred tax assets
  • Changes in tax laws, rates or status
  • Tax effects of business combinations
  • Foreign operations
  • Income tax issues associated with share-based payment arrangements
  • Financial statement presentation and disclosure
  • Other considerations
  • Examples of scheduling temporary differences
  • Accounting for investments in qualified affordable housing projects

Main contributors

Ashby Corum

Ashby Corum

Partner, Accounting for Income Taxes, KPMG US

+1 313-230-3361
Kayreen Handley

Kayreen Handley

Partner, DPP, KPMG US

+1 212-954-8288
Angie Storm

Angie Storm

Partner, Dept. of Professional Practice, KPMG (US)

+1 212-909-5488
Karmen Ward

Karmen Ward

Managing Director, Audit, KPMG US

+1 212-872-6808

 

 

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