- CFA Exams
- CFA Level I Exam
- Topic 3. Financial Statement Analysis
- Learning Module 24. Income Taxes
- Subject 6. Presentation and Disclosure
CFA Practice Question
Current deferred tax assets and current deferred tax liabilities are offset against each other and reported at their net amount on the balance sheet. True or False?
Correct Answer: True
While footnote disclosures provide detail on both current deferred tax asset and current deferred tax liability amounts, only the net amount is reported on the face of the balance sheet.
User Contributed Comments 2
| User | Comment |
|---|---|
| kalps | Only net amount reorded on the face of the balance sheet, the two are shown seperately in the notes to the accounts |
| surjoy | But current deferred tax assets and non-current deferred tax liabilities are not offset against each other. |