The overall accounting model for income taxes has been in place for many years, yet the accounting for income taxes continues to pose many challenges for preparers, users, and auditors. Among those challenges are the tax accounting rules for valuation allowance, intraperiod allocation, business combinations, and foreign operations.
PwC is pleased to offer this comprehensive guide on the accounting for income taxes. It is intended to assist you in interpreting the existing literature in this complex area of accounting by bringing together all of the key guidance into one publication. It provides several comprehensive examples to help navigate the guidance, and offers our perspective throughout, based on both analysis of the guidance and our experience in applying it.
This guide is intended to clarify the fundamental requirements involved in the accounting for income taxes and to highlight key points that should be considered before and after transactions are undertaken.