Question · Taxable temporary differences and deferred tax liabilities

At the end of its first year of activity, Brunelière identifies a taxable temporary difference of 90,000 on its equipment, depreciated faster for tax; no deferred tax existed at the start of the year. The expected rate is 25%. Record the entry, the difference arising from depreciation recognised in profit or loss.

Taxable temporary difference

90,000

Expected rate (%)

25 %