Asked by Jasdeep Singh on May 20, 2024
Verified
Both IFRS and U.S.GAAP require a numerical reconciliation that explains the differences between statutory and effective tax rates.
Effective Tax Rates
The average percentage at which an individual or corporation is taxed.
Statutory Tax Rates
The tax rate legally imposed on income or profits by the government, which can vary depending on the type of income, entity, or other factors.
- Understand the necessity of aligning actual income tax rates with legislated rates.
Verified Answer
HH
Hannah HornungMay 21, 2024
Final Answer :
True
Explanation :
Both IFRS and U.S.GAAP require a numerical reconciliation that explains the differences between statutory and effective tax rates.
Learning Objectives
- Understand the necessity of aligning actual income tax rates with legislated rates.