Use "Deferred Tax" in a sentence | "Deferred Tax" sentence examples

Deferred tax refers to the tax liability or asset that arises due to temporary differences between the carrying amount of an asset or liability and its tax base. It is an accounting concept that recognizes the timing difference between when a transaction affects taxable income and when it is recognized for tax purposes. When using the term "deferred tax" in a sentence, it is important to provide context and clarity to ensure proper understanding. Here are some tips on how to use this phrase effectively:

1. Define the term: Begin by providing a brief explanation of what deferred tax means.

For example, "Deferred tax, in accounting, refers to the tax liability or asset that arises due to temporary differences between the carrying amount of an asset or liability and its tax base."

2. Use it in a sentence: Once you have defined the term, incorporate it into a sentence that demonstrates its meaning. For instance, "The company reported a deferred tax liability of $10 million due to the temporary difference in the valuation of its assets for accounting and tax purposes."

3. Provide examples: To further illustrate the concept, offer examples of situations where deferred tax may arise.

For example, "Deferred tax can occur when a company depreciates an asset differently for accounting and tax purposes, resulting in a temporary difference in the timing of recognizing the associated tax expense."

4. Explain the implications: Elaborate on the significance of deferred tax in financial reporting and its impact on a company's financial statements. For instance, "Deferred tax liabilities can affect a company's profitability as they represent future tax payments that need to be accounted for, potentially reducing the available funds for other purposes."

5. Discuss the accounting treatment: Describe how deferred tax is recognized and measured in financial statements.

For example, "Deferred tax assets and liabilities are recognized using the balance sheet approach, where the temporary differences are multiplied by the applicable tax rate to determine the deferred tax amount."

6. Highlight the importance of tax planning: Emphasize the role of deferred tax in tax planning strategies and its impact on a company's overall tax position. For instance, "Proper tax planning can help companies manage their deferred tax liabilities by optimizing the timing of recognizing taxable income and expenses."

7. Address any related concepts: If relevant, mention other related terms or concepts that are commonly associated with deferred tax.

For example, "Deferred tax is closely linked to the concept of tax base, which represents the amount that will be deductible for tax purposes in future periods."

8. Conclude with a summary: Wrap up the article by summarizing the key points discussed and reiterating the importance of understanding deferred tax in financial reporting and tax planning. By following these tips, you can effectively incorporate the term "deferred tax" into a sentence and provide a comprehensive understanding of its meaning and implications.

In the remaining portion of this article, additional example sentences are presented to demonstrate the usage of the term "Deferred Tax" within sentences.

"Deferred Tax"

(1) The balance sheet includes a line item for deferred tax.

(2) The deferred tax expense is recognized in the income statement.

(3) Deferred tax is recognized based on enacted tax rates and laws.

(4) The deferred tax expense is included in the income tax provision.

(5) Deferred tax assets can be used to offset future tax liabilities.

(6) The deferred tax expense for the year was higher than anticipated.

(7) The balance sheet includes a line item for deferred tax liabilities.

(8) Deferred tax is a non-cash item that affects a company's tax expense.

(9) The net asset value of the company's deferred tax assets is $500,000.

(10) The method of accounting for income taxes is the deferred tax method.

Sentence For "Deferred Tax"

(11) The company recorded a deferred tax asset due to its operating losses.

(12) The carrying value of the company's deferred tax assets was recognized.

(13) The net asset value of the company's deferred tax assets is $1 million.

(14) Unamortized deferred tax liabilities can result in future tax payments.

(15) The company's deferred tax liability is subject to changes in tax rates.

(16) The deferred tax liability is adjusted for changes in tax laws and rates.

(17) The company recognized a deferred tax liability for its unrealized gains.

(18) Non-current liabilities are reported net of any deferred tax liabilities.

(19) The company's deferred tax liability decreased due to changes in tax laws.

(20) The company's deferred tax liability increased due to changes in tax laws.

"Deferred Tax" In A Sentence

(21) Deferred tax assets and liabilities are revalued at each reporting period.

(22) Deferred tax assets and liabilities are adjusted for changes in tax rates.

(23) The net asset value of the company's deferred tax liabilities is $300,000.

(24) The deferred tax liability is recognized for taxable temporary differences.

(25) Deferred tax is an important consideration in financial statement analysis.

(26) The deferred tax asset increased as a result of the company's recent losses.

(27) The company's deferred tax asset is primarily composed of unused tax credits.

(28) Unamortized deferred tax assets can be used to offset future tax liabilities.

(29) The company's deferred tax liability is classified as a non-current liability.

(30) The balance sheet shows the net amount of deferred tax assets and liabilities.

"Deferred Tax" Sentence

(31) The company's deferred tax asset decreased as a result of a change in tax rates.

(32) The company's deferred tax asset increased due to the recognition of tax credits.

(33) Non-current liabilities are reported net of any related deferred tax liabilities.

(34) Deferred tax is a concept used in accounting to account for future tax obligations.

(35) The company's deferred tax asset is reviewed for recoverability on a regular basis.

(36) The company's deferred tax asset decreased due to the expiration of tax deductions.

(37) The company's deferred tax asset decreased due to the expiration of tax exemptions.

(38) The company's deferred tax asset is subject to potential future changes in tax laws.

(39) The company's deferred tax asset is recognized for deductible temporary differences.

(40) Deferred tax arises when there is a difference between accounting and tax treatment.

"Deferred Tax" Sentence Examples

(41) The company's deferred tax liability decreased due to the expiration of tax credits.

(42) The company's deferred tax asset increased due to the recognition of tax incentives.

(43) The deferred tax liability is recorded as a long-term liability on the balance sheet.

(44) The company's deferred tax liability increased due to the acquisition of a subsidiary.

(45) Deferred tax is recognized based on temporary differences between book and tax values.

(46) Deferred tax liabilities are classified as long-term liabilities on the balance sheet.

(47) The company's deferred tax asset decreased due to the expiration of certain tax credits.

(48) The deferred tax expense is impacted by changes in the company's tax planning strategies.

(49) The balance sheet discloses the nature and amount of deferred tax assets and liabilities.

(50) The company reported a significant liability for deferred tax in its financial statements.

Sentence With "Deferred Tax"

(51) The company's deferred tax liability is expected to be settled within the next five years.

(52) The amortization of the deferred tax asset will be recognized over the tax benefit period.

(53) The valuations of the company's deferred tax assets were adjusted for changes in tax laws.

(54) The company's deferred tax liability is disclosed in the notes to the financial statements.

(55) The company's deferred tax liability increased due to the recognition of additional income.

(56) The company's deferred tax liability decreased due to the reversal of temporary differences.

(57) The net book value of the company's deferred tax liabilities was disclosed in the footnotes.

(58) The company recognized a deferred tax asset related to its research and development expenses.

(59) The company's deferred tax liability increased due to the recognition of additional expenses.

(60) The amortization of the deferred tax liability will be recognized over the tax benefit period.

Use "Deferred Tax" In A Sentence

(61) The deferred tax expense is recognized in the period in which the temporary differences reverse.

(62) The company's deferred tax liability decreased due to the utilization of tax loss carryforwards.

(63) The consolidated balance sheet presents the company's total deferred tax assets and liabilities.

(64) The auditor recommended revaluing the company's deferred tax assets to reflect changes in tax laws.

(65) The net book value of the company's deferred tax assets was recognized in the financial statements.

(66) The company's deferred tax liability is adjusted for changes in estimates of future tax obligations.

(67) Deferred tax assets are recognized when it is probable that future taxable income will be available.

(68) The net asset value of the company's deferred tax assets is recognized based on future tax benefits.

(69) The deferred tax expense is calculated based on the temporary differences between book and tax values.

(70) The deferred tax asset represents future tax benefits that can be offset against future taxable income.

Sentence Using "Deferred Tax"

(71) The company's deferred tax asset is recognized when it is more likely than not that it will be realized.

(72) Deferred tax assets are reduced if it is no longer probable that future taxable income will be available.

(73) The consolidated balance sheet presents the company's total income tax payable and deferred tax liabilities.

(74) The amortizations for the deferred tax liability were recorded as a long-term liability on the balance sheet.

(75) The unamortized balance of a deferred tax liability represents the future tax impact of temporary differences.

(76) The net asset value of the company's deferred tax assets and liabilities is recognized based on enacted tax rates.

(77) The deferred tax liability represents the difference between book and tax values of certain assets and liabilities.

(78) Deferred tax liabilities are recognized for temporary differences that will result in taxable amounts in the future.

(79) The net book value of the company's deferred tax assets and liabilities was calculated based on applicable tax rates.

(80) The deferred tax asset is reduced by a valuation allowance if it is more likely than not that it will not be realized.

Sentences With "Deferred Tax"

(81) The equity method allows for the recognition of the investor's share of the associate's deferred tax assets and liabilities.

(82) Deferred tax is an accounting concept that reflects the timing difference between when taxes are recognized for financial reporting purposes and when they are paid to tax authorities.

Learning English Faster Through Complete Sentences With "Deferred Tax"

Sentences are everywhere.
Without sentences, language doesn’t really work.

When you first started learning English, you may have memorized words such as English meaning of the word "Deferred Tax"; But now that you have a better understanding of the language, there’s a better way for you to learn meaning of "Deferred Tax" through sentence examples.

True, there are still words that you don’t know. But if you learn whole sentences with "Deferred Tax", instead of the word "Deferred Tax" by itself, you can learn a lot faster!

Focus Your English Learning On Sentences With "Deferred Tax".

Why Is Focusing on Sentences Important?
Sentences are more than just strings of words. They’re thoughts, ideas and stories. Just like letters build words, words build sentences. Sentences build language, and give it personality.

Again, without sentences, there’s no real communication. If you were only reading words right now, you wouldn’t be able to understand what I’m saying to you at all.

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- 20 examples of simple sentences "Deferred Tax".

All the parts of speech in English are used to make sentences. All sentences include two parts: the subject and the verb (this is also known as the predicate). The subject is the person or thing that does something or that is described in the sentence. The verb is the action the person or thing takes or the description of the person or thing. If a sentence doesn’t have a subject and a verb, it is not a complete sentence (e.g., In the sentence “Went to bed,” we don’t know who went to bed).

Four Types Of Sentence Structure.

Simple Sentences With "Deferred Tax"

A simple sentence with "Deferred Tax"contains a subject and a verb, and it may also have an object and modifiers. However, it contains only one independent clause.

Compound Sentences With "Deferred Tax"

A compound sentence with "Deferred Tax" contains at least two independent clauses. These two independent clauses can be combined with a comma and a coordinating conjunction or with a semicolon.

Complex Sentences With "Deferred Tax"

A complex sentence with "Deferred Tax" contains at least one independent clause and at least one dependent clause. Dependent clauses can refer to the subject (who, which) the sequence/time (since, while), or the causal elements (because, if) of the independent clause.

Compound-Complex Sentences With "Deferred Tax"

Sentence types can also be combined. A compound-complex sentence with "Deferred Tax" contains at least two independent clauses and at least one dependent clause.