NFRA says auditors and audit committees must strengthen communication on income tax estimates
CFO News
MARCH 9, 2025
The National Financial Reporting Authority (NFRA) has called for enhanced communication between auditors and audit committees regarding complex tax estimates under Ind AS 12, particularly Deferred Tax Assets (DTAs) and Liabilities (DTLs). Highlighting the importance of standards like SA 540, NFRA emphasises the need for rigorous scrutiny of managements tax assumptions.
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