PUIS LLUITEME receivable for income tax to be refunded. Future taxable amounts result in deferred tax assets Differences between accounting income and taxable income can be temporary or permanent Interest received from investments in municipal bonds creates a temporary difference between accounting and tax income Advance payments on an operating lease that are tax deductible when paid creates a deferred tax asset Intraperiod tax allocation: Individual tax consequences of financial statement components Valuation allowance: Uses "more likely than not" test Permanent differences sometimes will be reversed Loss carryback: Allowed for 2 years for eligible companies