CERTYNEX IFRS ACADEMY

The Thoronde group revalues its owner-occupied buildings under its accounting policy (case data); tax law does not change their tax base. Which statements are correct?

The difference between the revalued carrying amount and the tax base is a temporary difference.

Deferred tax is recognised even if the group does not intend to dispose of the buildings.

No deferred tax is recognised until a disposal is decided.

The difference is measured as the revalued carrying amount less the tax base.

As the revaluation has no immediate tax effect, it creates no temporary difference.