On or about 22 July 2019, the Accounting Standards Council (ASC) invites comments on Exposure Draft ED/2019/5 Deferred Tax related to Assets and Liabilities arising from a Single Transaction (Proposed amendments to IAS 12) by 11 October 2019. The compiled comments would then be summarised and forwarded to the IASB.
On or about 17 July 2019, the International Accounting Standards Board (IASB) has published the Exposure Draft ED/2019/5 and open for comment until 14 November 2019.
The proposed changes state that an entity would be required to recognise deferred tax on initial recognition of particular transactions so that the transaction gives rise to equal amounts of deferred tax assets and liabilities. These amendments would apply to particular transactions for which an entity recognises both the assets and liabilities, like leases and decommissioning obligations.
Source: ASC website, 22 July 2019