Deferred tax template

An Excel workbook for the current and deferred tax of a small company under IAS 12 – from the carrying amounts and tax bases of its assets and liabilities to the tax charge, the tax rate reconciliation and the figures for the income tax note.

What it does

• Calculates the temporary difference on each asset, liability and unused tax loss at both year ends, and the deferred tax at the rates you set – including a different rate for items such as land you expect to sell.

• Tests how much of any deferred tax asset can be recognised, using reversing taxable differences first and then forecast taxable profits.

• Derives taxable profit and current tax from profit before tax, and compares it with your own tax computation.

• Splits the tax charge between profit or loss and other comprehensive income, and shows the effect of a change in the tax rate.

• Produces the tax rate reconciliation, deferred tax by type, the amounts for the statement of financial position, unrecognised deferred tax assets, ready-to-post journals and draft wording for the note.

What you get

• One Excel workbook (.xlsx) with an Instructions tab, the blank template and a completed worked example for a fictitious company.

• Clearly marked input cells, protected formulas and built-in checks, with a status line on every tab.

• Works in Microsoft Excel 2010 or later (Windows or Mac). No macros.

Scope

One company in one tax jurisdiction. Business combinations, investments in subsidiaries and associates, tax deductions for share-based payments, tax credits, group relief and Pillar Two top-up taxes are outside its scope.

Designed for small and medium-sized businesses reporting under IFRS Accounting Standards. It is a working aid: it does not replace the Standards or professional judgement, and its scope and limitations are set out in the Instructions tab.