The subsidiary Escarvelle has 600,000 of losses, which may be carried forward for five years under its tax law (data). Within that period, 180,000 of taxable differences (same authority, same entity) will reverse; 120,000 will reverse later. Probable taxable profit within the period is 140,000. Tax rate: 30%. Compute the usable losses and the asset.
- Losses carried forward (five-year period)
- 600,000
- Taxable reversals within the period
- 180,000
- Taxable reversals after the period
- 120,000
- Probable taxable profit within the period
- 140,000
- Tax rate (%)
- 30 %