Reconciliation

Deferred Tax Asset/Liability Schedule Template

Maintain a comprehensive schedule of deferred tax assets and liabilities with roll-forward of temporary differences.

How to use this template

1

Pull prior year deferred tax

Obtain the beginning balance of deferred tax assets and liabilities from the prior close.

2

Identify current period changes

List temporary differences created or reversed during the current period.

3

Calculate DTA/DTL balances

Apply current tax rates to temporary differences to calculate ending deferred tax positions.

4

Assess valuation allowance

Evaluate whether a valuation allowance should be recorded against deferred tax assets.

5

Reconcile tax provision

Tie the change in deferred tax position to the tax expense recorded on the income statement.

Why use this template

  • Ensures deferred tax positions are accurate and complete
  • Provides clear tracking of temporary difference changes
  • Supports accurate income tax provision calculation
  • Reduces audit findings related to deferred tax

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