Published 24 September 2026, Synergy Audit
Accounting for deferred taxes when the corporate income tax rate changes
Order No. 121n of the Ministry of Finance of Russia dated 20 August 2026 amended PBU 18/02 as regards recognising the remeasurement of deferred tax assets (DTAs) and deferred tax liabilities (DTLs) when the corporate income tax rate changes.
What has changed
Previously, the difference arising on the remeasurement of DTAs and DTLs was recognised in profit or loss.
It must now be recognised where the transaction to which the DTA or DTL relates is recognised in the accounts:
- in net profit (loss);
- in total comprehensive income;
- directly in the organisation's equity.
What this means in practice
When recording the adjustment, the organisation needs to consider where the transaction that gave rise to the deferred tax was originally recognised.
The amendments are mandatory starting from the annual financial statements for 2026.
Cover of the post in the Synergy Audit Telegram channel
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