Can you show deferred tax on revalued/unrevalued investment properties in your financial statements?

Answer 1

Yes, provided that you've ascertained that investment properties can give rise to temporary differences under your tax jurisdiction.

Recognition of Deferred Tax Liabilities
The general principle in IAS 12 is that deferred tax liabilities should be recognised for all taxable temporary differences. There are 3 exceptions to the requirement to recognise a deferred tax liability, as follows: [IAS 12.15]

* liabilities arising from goodwill for which amortisation is not deductible for tax purposes;
* liabilities arising from the initial recognition of an asset/liability other than in a business combination which, at the time of the transaction, does not affect either the accounting or the taxable profit; and
* liabilities arising from undistributed profits from investments where the enterprise is able to control the timing of the reversal of the difference and it is probable that the reversal will not occur in the foreseeable future.

Recognition of Deferred Tax Assets
A deferred tax asset should be recognised for deductible temporary differences, unused tax losses and unused tax credits to the extent that it is probable that taxable profit will be available against which the deductible temporary differences can be utilised, unless the deferred tax asset arises from: [IAS 12.24]

* negative goodwill which was treated as deferred income under IAS 22 Business Combinations; or
* the initial recognition of an asset/liability other than in a business combination which, at the time of the transaction, does not affect the accounting or the taxable profit.

i.e. if the co. is not expected to make a profit in the near future, you're not supposed to recognise a deferred tax asset. The co. needs to make profits in order to be able to make use of the deferred tax benefits.

Answer 2

If it rather is in basic terms tax-deferred and you anticipate to nevertheless be interior the 30% bracket whilst the tax is due, then you rather'll would desire to pay taxes on it on the top, so won't save a great purchase - so the 9% may well be extra appropriate. If the 7% is tax-EXEMPT, which appreciation in a Roth IRA may well be, then it would be extra appropriate than the 9% on your tax bracket.