CERTYNEX IFRS ACADEMY

Korvelin holds a data centre as investment property measured at fair value; the building is depreciated for tax purposes and has a useful life of twenty years (case data). Its business model, documented by the board, is to let the building under successive leases until the end of its useful life and then demolish it; no sale is contemplated. How does Korvelin measure the deferred tax on the building?

Under the disposal rules, as the presumption is irrebuttable.

Under the disposal rules, as no buyer has been identified.

With no deferred tax, as fair value already reflects taxation.

Under the consequences of use, as the presumption is rebutted.