Guys, I am having trouble with DTA and DTL. Anyone could help me understand this. I just hate taxes ( paying and solving).

In a nutshell DTA: you have paid tax in cash, but it has not shown on your income statement. DTL is your opposite. you have shown on your income statement this tax, but has not done so to the IRS (not paid tax in cash) so you expect to do so in the future --> liability. As I wrote in another post, think IRS like your vendor. If you have shown what your owe the vendor on your income statement as an expense, and has not paid the cash, it is your liability. If you have paid what you owe, but has not shown on the income statement, it is your asset

for me…on top my head… DTA - warranty DTL - depreciation Change in tax rate increase both…Valuation allowance increase DTA decrease there will be permanent difference from tax exempt bond… that’s all i know LOL but sometimes stil not enough to answer the Qs on the mock…