Abstract:
In April1997 the South African
Institute of Chartered Accountants
issued a new exposure
draft on Income Taxes. Exposure
Draft 111 closely follows the
International Accounting Statement
12 (revised) and forms part
of the Harmonisation and
Improvements Project of the
Institute. The exposure draft has
far-reaching implications, especially
for the calculation of
deferred tax and is far too
voluminous to discuss comprehensively
in an article. This article
briefly summarises the differences
between AC 102 and ED 111. It
then considers the nature and
types of temporary differences,
which now form the basis for the
provision of deferred tax in terms
of the exposure draft.
