Deferred Tax Liability

Definition: A deferred tax liability occurs when a company underpays its taxes due to a difference between how it accounts for an asset on its books versus how it accounts for it on a tax basis.Advice: Deferred tax liabilities aren't very good because they increase the liability in the future.  Because this has value, they're recorded as an liabilities.Investors should give these a little consideration when analyzing a company's financials because high deferred tax assets and liabilities may signal that the company is too aggressive in its accrual accounting.

saurabh said:

details of deffered tax asset and liabilities