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nge) Information: A company spent $2,000,000 for developing a project and recognised this amount as a development asset on balance date. The Inland Revenue allows

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nge) Information: A company spent $2,000,000 for developing a project and recognised this amount as a development asset on balance date. The Inland Revenue allows for a tax deduction when the development cost is paid for. Statement: Therefore, the tax base of the development asset is $2,000,000. 91(1) Statement: If the accounting carrying amount of a liability is greater than its tax base, there is a taxable temporary difference

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