What is Deffered Tax?

Dear Guhnadh,

There is a difference between the balance sheet we prepare for account and the one we prepare for taxation purpose. for eg. as U might be knowing there is a difference in the taxation rates as per income tax and as per accounts. So the amount of tax calculated will be different so diference in  the tax rates is adjusted in later years. As a result we have either deffered tax (asset or liability). for details read AS-22 DTA and DTL. All will be clear frnd.

sir... provision for deffered tax is appropriation or an expense ?? is it appplicable to all assseses ??