United States

Recognition of deferred tax assets for unrealized losses


To address diversity in practice, the International Accounting Standards Board recently published Recognition of Deferred Tax Assets for Unrealised Losses (Amendments to IAS 12). The amendments to International Accounting Standard (IAS) 12, Income Taxes, provide guidance that clarifies how to account for deferred tax assets related to unrealized losses on debt instruments measured at fair value. The amendments are effective for annual periods beginning on or after January 1, 2017.