top of page

Explain the concept of Deferred Tax Assets and Liabilities

All the students who took our 8 weeks training program, 90% of them found internships and jobs. Please click here to learn more.

Check our popular ebook "Top 100 Investment Banking Questions with Answers".

Click here to get your copy:

Explain the concept of Deferred Tax Assets and Liabilities

The taxes a company pays to the tax authorities does not always equal to the amount calculated on the financial statements of the company. Company’s chart out two types of financial statements – one of which is for the public and stakeholders. The other is for tax authorities which follows different set of rules set out by the taxman.

The difference between these two accounting statements leads to a different pre-tax income which ultimately leads to a different tax figures - ultimately creating either a deferred tax asset or a deferred tax liability. If the company pays more tax under tax-based accounting methodology leading to more cash outflow, then the company creates a deferred tax asset on the BS. The reverse is true for deferred tax liabilities.

Despite the onset of Covid-19 and its accompanying challenges, our program registered a 90% placement rate for students on our 8 weeks training programs. Our students secure jobs at marquee investment banks such as Goldman Sachs, Credit Suisse, Morgan Stanley, Citi Bank and Deutsche Bank among others. Please send your CV to to check your eligibility for the course.

Get your copy of our "Top 100 Investment Banking Questions with Answers".Please click this link to get a copy of our popular eBook!

Visit this link to find out more about our programs:

74 views0 comments


bottom of page