Are extensive disclosures required for deferred taxes? Explain. OA. Neither IFRS nor U.S. GAAP require extensive disclosures related to deferred taxes. They only require disclosures related to the current and deferred portions of tax expense and tax contingencies. OB. Under both IFRS and U.S. GAAP, companies are required to provide extensive disclosures related to deferred taxes including: 1) current and deferred portions of tax expense; 2) tax expense that is not included in income from continuing operations; 3) reconciliation of the effective tax rate to the federal statutory tax rate under U.S. GAAP (under IFRS, a firm can provide reconciliation between taxable income and the product of book income multiplied by the applicable tax rate(s)); any significant reconciling items must be disclosed, 4) individual components of deferred tax assets and liabilities; 5) amount of and any changes in the deferred tax asset valuation allowance; and 6) disclosures related to tax contingencies. OC. Only IFRS requires extensive disclosures related to deferred taxes including: 1) current and deferred portions of tax expense; 2) tax expense that is not included in income from continuing operations; 3) reconciliation of the effective tax rate to the federal statutory tax rate under U.S. GAAP (under IFRS, a firm can provide reconciliation between taxable income and the product of book income multiplied by the applicable tax rate(s)). any significant reconciling items must be disclosed; 4) individual components of deferred tax assets and liabilities; 5) amount of and any changes in the deferred tax asset valuation allowance; and 6) disclosures related to tax contingencies. OD. Only U.S. GAAP requires extensive disclosures related to deferred taxes including: 1) current and deferred portions of tax expense; 2) tax expense that is not included in income from continuing operations; 3) reconciliation of the effective tax rate to the federal statutory tax rate under U.S. GAAP (under IFRS, a firm can provide reconciliation between taxable income and the product of book income multiplied by the applicable tax rate(s)); any significant reconciling items must be disclosed; 4) individual components of deferred tax assets and liabilities; 5) amount of and any changes in the deferred tax asset valuation allowance; and 6) disclosures related to tax contingencies.