Impact of the CARES Act on Measurement of Deferred Tax Assets and Net Operating Losses
To minimize significant financial damages caused by the Coronavirus (COVID-19) pandemic, the U.S. Federal Government passed the Coronavirus Aid, Relief, and Economic Security (CARES) Act (P.L.116-136). This legislation was a mixture of direct relief, loans, aid for public transit, and supplemental relief totaling over $2T dollars. The purpose of this topic will be to identify the impact this legislation has for tax provision purposes under US GAAP ASC 740 - income taxes.
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