Under U.S. GAAP, DTAs and DTLs are measured by using the enacted tax laws or rates only. ASC 740-10-25-47 states that “[t]he effect of a change in tax laws or rates shall be recognized at the date of enactment.” Accordingly, the effect of a change in tax laws or rates on DTAs and DTLs should be recognized on the date on which the change is enacted. See Section 3.5.1 for additional guidance.
Confidential and Proprietary — for Use Solely by Authorized Personnel
This publication provides comprehensive guidance; however, it does not address all possible fact patterns, and the guidance is subject to change. Consult a Deloitte & Touche LLP professional regarding your specific issues and questions.