Question: Lily Enterprises acquires another corporation This acquisition created 30 million
Lily Enterprises acquires another corporation. This acquisition created $30 million of goodwill for both book and tax purposes. The $30 million in goodwill is amortized over 15 years for tax purposes but is not deductible for book purposes unless impaired. Will this book-tax difference create a permanent or temporary book-tax difference for Lily?
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