All of the following are benefits to the IASB requiring a reconciliation between the effective tax rate and the government's statutory rate except
A)An investor can determine the actual taxes paid by the enterprise.
B)This reconciliation is important if the enterprise has substantial fluctuations in its effective tax rate caused by unusual or infrequent transactions.
C)This information is effective in identifying a favorable tax treatment that is not sustainable.
D)The reconciliation can identify past penalties levied by the IRS on the company.

Question

Quizplus · Accepted Answer

The reconciliation between the effective tax rate and the statutory rate does not specifically identify past penalties levied by the IRS; it focuses on differences between expected and actual tax rates.

All of the Following Are Benefits to the IASB Requiring