Deferred Tax Research Articles

The effect of tax planning and deferred tax expense on earnings management

This study aimed to analyze the effect of Tax Planning and Deferred Tax Expense to Earnings Management. The independent variable is Tax Planning and Deferred Tax Expense and the dependent variable is the Earnings Management. Data were obtained from the financial statement of 6 manufacturing companies in food and beverages sub-sector listed on Indonesia Stock Exchange in the period 2014-2018. The study uses Multiple Linear Regression Test as the data analysis method. The results show that Tax Planning partially has not a significant positive effect to Earnings Management and Deferred Tax Expense partially have a significant positive effect to Earnings Management. Simultaneously, Tax Planning and Deferred Tax Expense had an effect to Earnings Management.

THE TAX SYSTEM OF GEORGIA IN PANDEXIT PERIOD

The topic of the article ,,The Tax System of Georgia in Pandexit Period” is very important and significant, because taxes are one of the main subjects in economic relationship. Generally taxes can regulate the direction of Georgian economic and promote its rapid development. Following in the footsteps of covid pandemic, it has become necessary for the tax system to be appropriate/adequate to the new reality facing the country. From all these, lots of changes have been made and most of them are easing and loyal. Today we are in the period of the end of covid pandemic, thus it is very important to realize and summarize tax system in pandexit period. Significant measures were taken during the pandexit to increase the efficiency of tax administration. Special attention was paid to the most important taxpayers ,,large taxpayers”, who make a great contribution to the formation of the state budget. A large taxpayer office has been set up in the Revenue Service of the Ministry of Finance, Which aims to bring the interests of these types of taxpayers and the state as close as possible to each other. Special manuals has been worked out which made it easier to solve various important problematic issues. During the covid pandemic, a number of entrepreneurs have shown unscrupulous attitudes towards the automatic refund of VAT. New regulations and norms have been implemented so as to control unlawful or illegal refund of paid taxes from budget. The buyer of the goods is entitled to deduct the value added tax paid only in that case if he instead of the supplier, will pay the VAT amount to the budget. The relation between entrepreneurial entities and the state has significantly improved. The main focus was not on finding fault and appropriate sanctioning but also to inform taxpayers about their possible mistakes. In order to perfect this idea, special rules have developed, which means informing taxpayers at an early stage about specific violations and warning them. A loyal approach was formed regarding the inaccuracies allowed by the taxpayers in the declarations, there was introduced audit program of declaration which allowed tax payers to verify their data. In 2021, 15 969 declarations were examined, and the amount adjusted by the taxpayers amounted to 67 170 364 GEL. An entirely new ,,hypothetical taxation” mechanism has been developed, which aims to calculate and reflect the possible hypothetical amounts on the personal account of taxpayers. The regulation has had a positive effect on part of the budget as well as reduced the rate of non-submission of declarations by value-added taxpayers. A new debt management strategy has been developed for 2022, which aims at a loyal approach to the collection of tax debt from entrepreneurs, which involves a variety of preventive measures to reduce tax evasion, as well as improving the rate of debt repayment before the budget and reducing existing debts. The existing regulation is especially important for enterprises whose financial situation was unfavorable at the time of the pandexit. In conclusion, the article gives us very essential information about changes and enscouraging regulation of taxes. While all regulations, such as financial assistance or deferral of taxes are important in oder to support the financial crisis, this should not give the impression that all their losses will be compensate by the state budget. It is very difficult to make right decision in tax laws, firstly, it should not course the crisis of budget, secondly, it must be loyal towards taxpayers. I think that the implemented changes have a positive effect on entrepreneurial entities because most of them are liberal. To sum up all these, stricter tax policies at this stage will be ineffective, moreover, it will cause damage to business and as a result will have a negative impact on the economy.

FORECASTING DEFERRED TAXES IN INTERNATIONAL ACCOUNTING WITH MACHINE LEARNING

The aim of this study is to estimate the possible deferred tax values and the TAS-TFRS profit/loss of 31 companies in three different sectors- the wholesale trade, retail trade and hospitality industry- whose shares are traded on Borsa Istanbul (BIST). This estimation is based on the companies' deferred tax values for the years 2015-2019 as well as twelve main economic parameters. Within the context of the study, the deferred tax output parameters, which companies will present in their annual financial reports in 2020, have been estimated using the following methods: the DTA value using the random forest method with an accuracy rate of 0,823, the net DTA value using the artificial neural networks method with an accuracy rate of 0,790, the DTL value using the random forest method with an accuracy rate of 0,823 and the net DTL value using the random forest method with an accuracy rate of 0,887. In addition, it has been discovered that the TAS-TFRS profit/loss, which is one of the output parameters, can be estimated using the random forest method with an accuracy rate of 0,629.

PENGARUH BEBAN PAJAK TANGGUHAN, ASET PAJAK TANGGUHAN DAN PERENCANAAN PAJAK TERHADAP MANAJEMEN LABA

Abstract— The purpose of this study is to understand and analyze the effect of earnings management variables in terms of taxation by using deferred tax expense, deferred tax assets and tax planning on consumer goods manufacturing companies listed on the Indonesia Stock Exchange from 2016 to 2020. 35 companies become research sample through the selection of purposive sampling method as a method of determining the sample with certain provisions and considerations. Panel data regression method with statistical software views is used in this study. The data collection needed is the published annual report of consumer goods manufacturing companies for the period 2016 to 2020. The researcher used the method of quantitative descriptive analysis of logistic regression. From the results of research that has been done, it is found that in terms of taxation, the burden of deferred tax, assets on deferred tax and tax planning is not significant on earnings management actions. Deferred tax assets show negative results, this is because earnings management is carried out to minimize company expenses. Meanwhile, tax planning shows negative results where tax planning is carried out in order to minimize profits to achieve shareholder goals
 Keywords: Beban Pajak Tangguhan; Aset Pajak Tangguhan; Perencanaan Pajak; Manajemen Laba

Features of the state policy of the Republic of Kazakhstan in the field of support and development of small and medium-sized enterprises in a period of uncertainty

Currently, strategic planning of state policy is formed in accordance with the needs of society and socio-economic conditions. The pandemic of Covid-19 coronavirus infection caused significant damage to small and medium-sized businesses in Kazakhstan and was a realized uncertainty, setting new tasks for state policy. The purpose of this article is to analyze the features of state policy to support small and medium–sized businesses in conditions of uncertainty. In this work, a set of research methods is applied, including a sociological survey among representatives of small and medium-sized businesses and subsequent regression analysis of its results. During the analysis, the high need of entrepreneurs for state support measures, especially in financial instruments in the form of preferential loans, tax deferrals, was revealed. The study showed insufficient access of small and medium-sized businesses to information on government support measures. Based on the results of the regression analysis, the factors of influence on the assessment by representatives of small and medium-sized businesses of the state policy in relation to them were established. The results of this study can be applied in the development of state policy to support small and medium-sized businesses. Key words: state policy, small and medium-sized businesses, state support, uncertainty

ОСОБЕННОСТИ ОТРАЖЕНИЯ В ОТЧЕТНОСТИ НАЛОГА НА ПРИБЫЛЬ СОГЛАСНО ТРЕБОВАНИЯМ МЕЖДУНАРОДНЫХ И РОССИЙСКИХ СТАНДАРТОВ ФИНАНСОВОЙ ОТЧЕТНОСТИ

The article applies a methodology for comparing the rules for recording temporary differences and deferred taxes in Russian financial statements, as well as in accordance with the requirements of IFRS. The study revealed the convergence of Russian norms for determining temporary differences and deferred taxes, and at the same time pointed out the still remaining differences, and also assessed the existing differences. The author substantiated the expediency of refining the Russian principles for calculating deferred income taxes. The results of the study can be applied in the transformation of reporting, as well as in the construction of consolidated financial statements generated in the Russian Federation in accordance with international requirements, since the latest changes in PBU 18/02 include the calculation of tax for members of a consolidated group of taxpayers. The article systematizes new principles for calculating deferred income taxes, which will greatly simplify the procedure for transforming reporting into the IFRS format. Keywords

Analysis of support measures for strategic organizations during the pandemic

The article is devoted to an overview of measures to support backbone organizations during a pandemic. In this context, the issue has not been addressed in other studies. The peculiarities of the group of backbone organizations were a significant increase in their number, in the structure the largest share falls on the industrial sector, in the regional context — on the capital region. However, the status of backbone organizations is not sufficiently substantiated. The criteria for referring to this group are controversial and, at the same time, can be ignored by the decision of the government commission. The measures of state support related to subsidizing bank loans provided to systemically important organizations, tax deferrals and other payments are being studied. The problems and risks for counterparties are indicated, due to the conditionality of the interest rate on loans. The main limitations for the use of support tools are given. We can conclude that the backbone status does not affect the composition of the support measures that a legal entity has the right to use. The advantage is that financial support is given priority. However, there is a possibility of disruption of the competitive environment as a result of this preference, as well as if the counterparty company is not subject to the moratorium on bankruptcy. It is proposed to change the approach to grouping organizations for the purposes of state support, with the allocation of sectoral priority. The article critically assesses the relevance of the proposed measures. It is proposed to diversify them through the use of refinancing and restructuring of already received concessional loans.

Policy Forum: Who Needs Property Tax Deferral?

There are good reasons to impose property taxes on owner-occupied housing. Yet population aging and declining rates of home ownership among younger Canadians mean that an increasing number of homes are owned by older Canadians, many of whom have modest incomes. This raises the question "How do these seniors get the wherewithal to pay their property taxes?" British Columbia, Alberta, and some other jurisdictions have addressed this issue through property tax deferral programs. These allow property taxes to be deferred until the home is sold, with the interest charged on the deferred amount generally being below market rates. The province or local municipality ensures that the deferred taxes will be repaid by taking a lien on the property. Property tax deferral would be expected to be attractive for seniors, because it usually allows them to tap into their home equity at a low cost and maintain their standard of living as they age. Yet the (scant) evidence available suggests that the takeup rates for property tax deferral programs are "extremely low." This article sets out the rationale for property tax deferral and describes current Canadian property tax deferral programs. The author discusses policy options, arguing that there is a rationale for having property tax deferrals in place, and substantial scope for redesigning property tax deferral programs so that their benefits reach those who need them.

Pengaruh Beban Pajak Tangguhan, Aktiva Pajak Tangguhan, Dan Akrual Terhadap Manajemen Laba Pada Perusahaan Aneka Industri Yang Terdaftar Di Bursa Efek Indonesia Periode 2015-2020

This study aims to determine the effect of deferred tax expense, deferred tax assets, and accruals on earnings management. The population in this study are various industrial companies listed on the Indonesia Stock Exchange for the 2015-2020 period. This research is a descriptive research with a quantitative approach. Data processing program using SPSS Version 25.By using 5 companies using purposive sampling. The data used in this study is secondary data, namely data on the financial statements of various industrial sector companies listedon the Indonesia Stock Exchange in the 2015-2020 period. The sample selection method used purposive sampling, namely the sampling method based on certain criteria. Of the 45 various industrialcompanies listed on the Indonesia Stock Exchange, there are only 5 companies that meet the research sample criteria that have been determined. The data analysis method used inthis research is multiple linear regression test, coefficient of determination (R^2) and correlation (R), partial test (t-test) and Simultaneous test (F-test) while earnings management is measured based on dummy variables. The results of this study indicate that deferred tax expense affects earnings management, deferred tax assets affect earnings management and accruals have no effect on earnings management.Based on the simultaneous test (F test) variable deferred tax expense, deferred tax assets andaccruals together have no effect on earnings management in various industrial companies listed on the Indonesia Stock Exchange in 2015-2020.

The Effect of Taxes, Exchange Rates, Leverage, and Bonus Mechanisms on Transfer Pricing in Manufacturing Companies Listed on The IDX

This research examines the impact of taxes, exchange rates, leverage, and bonus mechanism on transfer pricing. Tax is calculated by dividing deferred tax expenses taxable by profits. The exchange rate is calculated by dividing foreign exchange profit and loss by profit and loss before tax. Leverage is calculated by dividing total debt by total assets. Bonus Mechanism is calculated by multiplying net profit year t by net profit year t-1 by 100%. The population in this research included 54 manufacturing firms listed on the Indonesia Stock Exchange in 2017-2019, with 29 samples examined across three years. This study is quantitative since the data is numerical, and the data analysis technique is multiple linear regression. The exchange rate has a substantial impact on transfer pricing, according to the findings of this research. Based on the study, the Adjusted R Square value is 0.104, which indicates 10.4% of the independent factors, namely tax, exchange rate, leverage, and bonus mechanism, impact the dependent variable, transfer pricing. The remaining 89.6% is affected by another variable.

The Effect of Taxes, Exchange Rates, Leverage, and Bonus Mechanisms on Transfer Pricing in Manufacturing Companies Listed on The IDX

This research examines the impact of taxes, exchange rates, leverage, and bonus mechanism on transfer pricing. Tax is calculated by dividing deferred tax expenses taxable by profits. The exchange rate is calculated by dividing foreign exchange profit and loss by profit and loss before tax. Leverage is calculated by dividing total debt by total assets. Bonus Mechanism is calculated by multiplying net profit year t by net profit year t-1 by 100%. The population in this research included 54 manufacturing firms listed on the Indonesia Stock Exchange in 2017-2019, with 29 samples examined across three years. This study is quantitative since the data is numerical, and the data analysis technique is multiple linear regression. The exchange rate has a substantial impact on transfer pricing, according to the findings of this research. Based on the study, the Adjusted R Square value is 0.104, which indicates 10.4% of the independent factors, namely tax, exchange rate, leverage, and bonus mechanism, impact the dependent variable, transfer pricing. The remaining 89.6% is affected by another variable.

The Effect of Institutional Ownership, Managerial Ownership and Deferred Tax Expense on Earnings Management in Indonesia

The goal of this research was to see how Institutional Ownership, Managerial Ownership, and Deferred Tax Expense affected Earnings Management. In this study, 811 non-financial businesses listed on the Indonesia Stock Exchange from 2017 to 2019 were used as a sample. The independent factors in this study were Institutional Ownership, Managerial Ownership, and Deferred Tax Expense, while the dependent variable was Earnings Management. Multiple linear regression analysis was used to analyze the data in this study. This study's findings suggest that institutional and managerial ownership have an impact on earnings management. The Variable for Deferred Tax Expenses has no effect.

DEFERRED INCOME TAX: IMPACT ON FINANCIAL AND TAX REPORTING (THE PRACTIСE OF UKRAINE AND GERMANY)

Abstract. Income taxation is typical for most countries with their own peculiarities. In the practice of the Ukrainian enterprises, there is a lack of relationship between accounting and tax accounting to reflect the deferred tax asset and deferred tax liability in the reporting. The purpose of the article is to analyze the income tax in terms of its calculation by the international standards and identify key tax differences. The authors proposed to formulate the definitions of the current income tax which should be understood as the amount of income taxes payable (reimbursed) on taxable profit (tax loss) for the period and expenses (income) from income tax which should be understood as the total amount included in the determination of profit or loss for the period in accordance with current and deferred taxes. This interpretation of the definitions will help better understand the concepts in accounting and taxation. The tax base of assets and the tax base of liabilities are given and substantiated. The temporary differences were identified by authors. The example of definition of Deferred tax liabilities and Deferred tax assets, the order of their reflection in the report on financial results (about the total income) and disclosure in the Notes to the financial reporting is considered and analyzed. The impact on the indicators of the Income Tax Return is investigated. There is no direct impact of the amount of the Deferred tax assets / Deferred tax liabilities according to the current algorithm for the object of taxation, which is determined by tax legislation. The conclusions are made about the importance of determining of Deferred tax liabilities and Deferred tax assets, which directly affects the amount of net profit. The result of the study was confirmation of the hypothesis concerning different orientation of norms of the legal documents on the display of information in the forms of the financial and tax reporting. Such differences are related to the different requirement to the reporting by the modern stakeholders. Keywords: income tax, deferred tax, tax asset, tax liability, reporting. JEL Classification M40, М41, М48 Formulas: 0; fig.: 2; tabl.: 5; bibl.: 16.

The Effect of Deferred Tax Expenses, Profitability and Leverage on Earnings Management

This research uses quantitative research methods. The data source obtained is secondary data obtained from the Indonesia Stock Exchange (BEI). The data will be analyzed using the classical assumption test method, the goodnes of fit model test and multiple linear regression. The independent variables in this study are dependent tax expense, profitability and leverage. The dependent variable in this study is earnings management.Based on the data analysis conducted, it is concluded that deferred tax expense and profitability have no effect on earnings management. This means that earnings management cannot be measured by the variable deferred tax expense and profitability. However, the leverage variable has an effect on earnings management. This means that the leverage of a company can be used as a guide in determining earnings management

EARNINGS AND FIRM VALUE: THE MODERATING IMPACT OF LARGE DEFERRED TAXES AND LARGE ACCRUALS IN INDONESIA

Deferred tax and accruals have the characteristic of causing reported earnings to be above or below normal. Both are permitted to be used by companies in financial reporting. This study examines whether large deferred taxes and large accruals have an impact on the relationship between earnings and firm value. Using a sample that includes 1938 company-year observations for the 2007−2017 periods listed on the Indonesia Stock Exchange (IDX), this study found that large positive deferred taxes with large positive accruals had weakened the relationship between earnings and firm value. In contrast to these results, a large negative deferred tax with a large negative accrual does not have an impact on the relationship between earnings and the firm value. This finding suggests that “liberal” accounting policies that cause reported “above normal” earnings have a negative effect on the association between earnings and firm value. However, “below normal” earnings resulting from “conservative” accounting policies do not affect the association between earnings and firm value. The uniqueness of this study is the incorporation of deferred taxes with accruals with variations in the form of positive versus negative and large versus small. The findings imply that the presentation of financial information with small deferred taxes and small accruals is more beneficial for investors compared to financial information with large positive deferred taxes and large positive accruals. However, results of this study indicate that large negative deferred taxes and large negative accruals, indicating conservative accounting, are not responded differently by investors.

FUNCTIONING OF FINANCIAL INSTITUTIONS AND INSTRUMENTS IN AN UNSTABLE GLOBAL ECONOMY

The current financial and economic outlook from 2020 onwards is a concern worldwide, especially for borrowers with a lower credit score or in industries most affected by the restrictions associated with the spread of the COVID-19 epidemic in the world. Extraordinary budgetary financial and fiscal incentives have helped stabilize the national economies of most countries. The central banks of the developed world and developing countries responded quickly and decisively, providing their own unprecedented support measures. They did so through a variety of policy instruments (liquidity support in the banking system and financial markets, control over foreign exchange interventions, lowering the discount rate, lowering reserve requirements for banks and insurance companies, debt and tax deferrals, soft loans, grants, grants, financial assistance, etc.), which greatly helped to stabilize their markets and maintain their full functioning. In addition, almost all central banks in the developing world have been very active in anti-crisis policies, and about half of them have reduced reserve requirements for banks that provide liquidity to the financial system; also eased lending conditions. About 20 emerging market central banks have first launched quantitative easing - formally known as asset repurchase programs - by buying public and private debt to relieve stress in the economy and help markets function. The analysis shows that these asset repurchase programs have generally proven effective, including by helping to stabilize local financial markets. Following the application of quantitative easing in 2020, the analysis shows that these asset repurchase programs have generally had a positive impact on local financial markets. It is important to note that this has taken place even with the reduction of the discount rate, additional large-scale purchases of assets by the Federal Reserve and a significant recovery in global appetite for risk. In particular, the repurchase of assets by central banks of emerging market countries helped to reduce the yield on government bonds, which did not significantly affect the depreciation of local currencies. They have also gradually helped reduce the stress of the local financial investment market. A positive asset repurchase experience may prompt central banks in more emerging markets to view non-traditional monetary policies as a key part of their policy tools, especially when space for traditional policies is limited. The purchase of assets may be a suitable policy for some central banks depending on the market conditions they face and their ability to successfully implement them. Ukraine also needs to end the harmful effects of chaos and inconsistency in the public sector during the pandemic and to develop a comprehensive strategy to protect the population and business structures from the COVID-19 pandemic, especially those sections of the population and areas of activity that have suffered the most. At the same time, as world experience shows, financial institutions and instruments are one of the key anti-crisis mechanisms that must be actively used to overcome the existing challenges.

Pengaruh Beban Pajak Tangguhan dan Perencanaan Pajak Terhadap Manajemen Laba

This study aims to examine the effect of deferred tax expense and tax planning on earnings management. This research is a quantitative study using secondary data from financial reports and annual reports of manufacturing companies sub-sector consumer good indutry listed on the Indonesia Stock Exchange from 2014 until 2018. The sample selection uses a purposive sampling method. Data analysis techniques using multiple regression analysis with SPSS 23. The results of this study are the variable tax planning has a positive influence on earnings management. The variable deferred tax expense does not have a significant effect on earnings management because management has limitations in determining the amount of deffered tax expense.

The Six Lessons of Mises

From the perspective of the market as a process, the market only exists to the extent that exchanges take place. So, what is better in times of social isolation: intervene to ensure that the market works or let the market freeze freely? Moreover, to what extent is it possible to intervene in the market in times of pandemic, preserving the principles of economic freedom? Based on the principles of cooperation and economic calculation proposed by Mises, the objective of this paper is to analyze the possibilities of public policy in a situation of social isolation. Among the main public policy devised in this time of the pandemic, the following measures have provided the continuity of the market process: credit, tax deferrals, and emergency assistance or paycheck protection program. The concern with the preservation of the economic calculation extends to all supply chain linkages, including final customers, for to companies continue to do their economic calculation.

CALCULATION OF TEMPORARY DIFFERENCES AND ACCOUNTING OF DEFERRED TAX

В данной статье мы рассматриваем примеры расчетов ОНО, ОНА и отсроченного налога по балансовому методу. В условиях применения МСФО№12 влияние временных разниц рассчитывают, сравнивая два баланса: бухгалтерский и налоговый, отсюда он назван Балансовым методом расчета ОНО, ОНА и отложенного налога. Предлагаем определенную последовательность этих расчетов, порядок признания, образец расчета и порядок отражения в учете. Надеемся, что эти расчеты дополнят и обогатят налоговое планирование и последующий анализ показателей финансовой отчетности. Учет отложенного (отсроченного) налога упрощается, когда хозяйственная операция регистрируется как для целей бухгалтерского учета, так и для целей налогообложения в одном отчетном периоде. Отложенные налоговые активы и обязательства должны оцениваться на основе ставок налога по налоговому законодательству РК на каждую отчетную дату. Компании могут проводить взаимозачет отложенных (отсроченных) налоговых активов и налоговых обязательств.

ЗАРУБІЖНИЙ ДОСВІД ЗАБЕЗПЕЧЕННЯ РОЗВИТКУ ТУРИСТИЧНОГО СЕКТОРУ В УМОВАХ ПАНДЕМІЇ

The aim of the article is to study the best practices of ensuring the development of the tourism sector in a pandemic in the EU. As an example, the experience of France, Italy and Poland is considered. Pre-pandemic and available economic and organizational tools to support small and medium enterprises in the tourism industry through direct financing, tax deferrals, bank and insurance guarantees are analyzed. Special measures by non-governmental institutions are considered. There is the improvement of public-private partnership, the introduction of a new classification of hotels, the creation of special investment funds, and co-financing of canceled bookings. A set of marketing tools has been studied – promotion of less popular regions of the country among tourists, creation of local brands, digitization of tourist services, promotion of domestic tourism. Mechanisms for the recovery of the tourism sector are analyzed. These include the development of tourism infrastructure, the provision of high quality services through training and education, the improvement of the National Tourism Strategy, the establishment of sectoral commissions for tourism, and the renewal of the Roadmap. Measures to protect both tourists and tourism workers are considered. There are the optimization of quarantine security measures, the introduction of the digital certificate COVID (DCC), the program of tourist vouchers, changes in the conditions of cancellation and booking of travel, compensation of employees. Tools to support the economic and organizational development of the tourism sector in the EU are divided into three groups: creating a reasonable relationship between the protection of tourists and the interests of workers in the tourism sector; creating conditions to support private business in order to prevent its bankruptcy, especially small and medium enterprises; development and implementation of mechanisms to support and restore the tourism sector. New mechanisms for the development of the tourism sector of Ukraine are proposed, which are aimed at security measures for tourists and workers in the tourism industry, fiscal support, liquidity support and digitalization of the tourism business, further development and implementation of national tourism development strategy.