theresearchonaccountingforincometaxofmergersandacquisitions国际会计专业毕业论文英文

theresearchonaccountingforincometaxofmergersandacquisitions国际会计专业毕业论文英文内容摘要：

ich provides the following strengths: 1. Improve the relevance of accounting information According to the balance sheet liability method, the deductible temporary differences and the taxable temporary differences would be recognized as deferred tax assets and deferred tax liabilities respectively. They are the essential items that prise the balance sheet. Such accounting treatment can thoroughly reflect the inflow and outflow of cash in the future because of the temporary differences on the balance sheet date. Therefore, the information user can better judge the financial position and predict the future cash flow. 2. Provide more reliable and sufficient ine tax accounting information As mentioned above, the balance sheet liability method focuses on temporary 5 differences, which includes all the timing differences and other temporary differences. Temporary differences arise in the following circumstances, which do not give rise to timing differences: (a) Subsidiaries, associates or joint ventures have not distributed their entire profits to the parent or investor (b) Assets are revalued and no equivalent adjustment is made for tax purposes。 and (c) The cost of a business bination that is an acquisition is allocated to the identifiable assets and liabilities acquired, by reference to their fair values but no equivalent adjustment is made for tax purposes. Furthermore, there are some temporary differences which are not timing differences, for example those temporary differences that arise when: (a) The nonmoary assets and liabilities of a foreign operation that is integral to the operations of the reporting entity are translated at historical exchange rates。 (b) Nonmoary assets and liabilities are restated under IAS 29, Financial Reporting in Hyperinflationary Economies。 or (c) The carrying amount of an asset or liability on initial recognition differs from its initial tax base. Therefore, when we apply balance sheet liability method, we could acquire more sufficient and plete information. 3. Provide an easier and prehensible way of accounting for ine tax Under ine statement liability method, there is only one account which is “deferred ine tax”. But under balance sheet liability method, we set two accounts based on the specific temporary differences. They are “deferred tax assets” and “deferred tax liabilities”. It’s more prehensive for us to recognize and measure the deductible temporary differences and the taxable temporary differences by using two accounts. 4. Achieve the targets of tax law and accounting in an better way The goal of the tax law is to assure the tax revenues while the aim of accounting is to provide relevant, reliable information to the users. It’s true that the differences can’t 6 be avoided. Moreover, with the development of the economy, we can expect that there will be more temporary differences including timing differences and other temporary differences. However, using ine statement liability method can’t handle other temporary differences. The adoption of balance sheet liability method can solve all the differences between accounting profit and taxable profit. The application of balance sheet liability method According to both “IAS 12 Ine Taxes (revised 2020)” and “Accounting Standards for Enterprises No. 18 Ine Tax”, accounting for ine tax should adopt the balance sheet liability method. Under balance sheet liability method, the key of accounting treatment is to determine the tax base of the assets and liabilities. The tax base of an asset is the amount that will be deductible for tax purposes against any taxable economic benefits that will flow to an enterprise when it recovers the carrying amount of the asset. The tax base of a liability is its carrying amount less any amount that will be deductible for tax purposes in respect of that liability in future periods. Once it’s decided, we can easily calculate the temporary differences by paring the carrying amount of assets or liabilities to the tax base. By judging the influence on the future tax, temporary differences can be divided into taxable temporary differences and deductible temporary differences1: 1. When the carrying amount of assets is less than tax base or the carrying amount of liabilities is greater than tax base, the deductible temporary difference arises and shall be recognized as deferred tax assets. 2. When the carrying amount of assets is greater than tax base or the carrying amount of liabilities is less than tax base, the taxable temporary difference arises and shall be recognized as deferred tax liabilities. ，《会计》，中国财政经济出版社， 2020 7 3 Rules of tax law and accounting standards for Mamp。 A Taxable and taxfree Mamp。 A According to “The notification of the ine tax problem of the business bination and division transactions by the State Administration of Taxation” (［ 2020］ of State Administration of Taxation ), the tax treatment of business bination will be divided into taxable and taxfree Mamp。 A. 1. Taxable Mamp。 A. Generally speaking, the bined party should be regarded as transfer or dispose of all assets at fair value, calculate the gains from the sale of assets and pay ine tax according to the tax law. When bining party accept the relevant assets from the bined party, the tax should be calculated based on the assessment of the cost. 2. Taxfree Mamp。 A. If nonequity payment ( cash, securities and other assets other than bining party’s equity)of the purchase price paid to the bined party or its shareholders by the bining party is no higher than 20% of the face value of the equity payment, then the bining party should choose ine tax treatment in accordance with the following provision: The tax base of all assets accepted by the bing party which are from the bined party shoul。