Study Group: Accounting for Income Taxes - Basics

Jun 11, 2015 02:00pm -
Jun 11, 2015 03:00pm

Event Description



Accounting for Income Taxes - Basics

June 11, 2015 at 2pm EST


Presented by Clinton N. McGrath, Esq. & CPA



Registration Fees


CPE/CLE* Credit

AAA-CPA Members: $15.00

Non-Members: $30.00


Non CPE/CLE Credit



 Non-Members: $25.00 



Dial-in number and passcode are emailed once registration is received. Materials for the program will be sent via email one day prior to the program.




Accounting Standards Codification (ASC) 740 Income Taxes provides a conceptual and practical framework of accounting for income taxes. This Study Group session will serve to introduce and illustrate the basic rules and computations associated with applying ASC 740.  


In brief, ASC 740 addresses how companies should account for and report the effects of taxes based on income. In general, when a tax is based on income, most items that enter into pre-tax accounting income also enter into taxable income in the same year, and vice versa. Some events, however, are recognized for book purposes and for tax purposes in different periods. Over time, as these basis differences reverse, they eventually offset each other. The tax effects of these basis differences, referred to as deferred taxes, should be accounted for in the intervening periods.


Temporary differences are the basis of the deferred tax calculation. A temporary difference exists when any difference between the tax basis of an asset or a liability and its reported amount in financial statements will result in taxable income or deductions upon the reversal of the difference. If a basis difference will not affect future taxable income, it is not a temporary difference. Whatever the event or circumstance, a temporary difference will arise when a basis difference is expected to result in taxable or deductible amounts when the reported amount of an asset or liability in the financial statements is recovered or settled, respectively.


In order to achieve the objectives stated in ASC 740, entities must compute deferred taxes to account for the expected future tax consequences of events that have been recognized in the financial statements or tax returns.  

Clinton N. McGrath, Esq. & CPA

 Tax Lawyer and Certified Public Accountant with over 15 years' professional tax experience within the "Big 4" and regional firms, including the Washington National Tax Office of one "Big 4" firm and the New York  M&A-Transactions practice of another "Big 4" firm, having significant Director/Senior Manager-level experience.  Throughout his career, Clinton has assisted various public and private U.S. and foreign companies with their income tax accounting and reporting obligations under U.S. GAAP. He is dually-licensed as both an attorney (DC) and CPA (DC, LA) and is the Founder & Managing Member of CNM-MDP, LLC (Website: Clinton earned his LLM in Taxation from Loyola Law School in Los Angeles, CA, as well as his JD, MACCT, and BS degrees from Tulane University in New Orleans, LA. 




AAA-CPA continuing education programs are designed to meet the needs of Attorneys and CPAs and to qualify for credit both as CPE and CLE. Of course, the decisions of various state authorities determine the actual credit granted. There are no prerequisites or advance preparation requirements for this course.

Accounting CPE/Legal CLE/MCLE

The American Association of Attorney-CPAs is registered with the National Association of State Boards of Accountancy (NASBA) as a sponsor of continuing professional education on the National Registry of CPE Sponsors. State boards of accountancy have final authority on the acceptance of individual courses for CPE credit. Complaints regarding registered sponsors may be submitted to the National Registry of CPE Sponsors through its website These programs meet the NASBA standards of 1 (50 minute) hour of instruction. 

*CLE varies by state. Though we are accredited for CLE in both TX and PA they will not accept Study Groups for credit. We are currently working on arranging for provider status for these programs through those states. If you require CLE in a specific state, please send a request to and we will do our best to arrange for CLE credit. Please note that most state bars will accept our Certificates of Attendance sent in by the attorney and NOT charge a fee.



Event Type:Study Group
Category:Study Group
Early registration ends on Dec 25, 2014.
Regular registration starts on Dec 26, 2014 and ends on Jun 11, 2015.
Late registration starts on Jun 12, 2015.
(GMT-05:00) Eastern Time (US & Canada)