UKAS Module 4: Accounting Standards Dealing with Fair Value, Revenue and Income Taxes

• Understand the concept of revenue recognition under IFRS 15.
• Understand the five-step revenue recognition methodology contained in IFRS 15 and how to apply each step in practice.
• Understand how to calculate income tax expense under IAS 12.
• Understand the two components that constitute income tax expense; namely, current tax expense and deferred tax expense.
• Understand the two types of temporary differences, being an assessable temporary difference, which gives rise to a deferred tax asset (DTA) or a deductible temporary difference, which gives rise to a deferred tax liability (DTL).
• Understand the concept of tax base under IAS 12 and how assets and liabilities need to be compared to their carrying amounts in order to determine whether a DTA or DTL arises.
• Understand how to calculate deferred tax under IAS 12.
• Understand the tax consequences of tax losses and the criteria used before being able to be recognised as a DTA in the balance sheet.
• Understand the disclosures required in the notes to the financial statements under IAS 12

This module is designed for accountants who are involved in reporting, particularly in the application of accounting standards. It is beneficial to financial accountants in both public practice or private companies wishing to increase or refresh their knowledge of current reporting standards.