Current and Deferred Taxes

Accounting principles require us to recognize taxes when they are incurred. However, there is a difference in accounting between standard accounting principles and tax accounting. Its critical for an analyst to understand the difference. Which of the following is a correct statement?

Select ALL that apply.

( ) Deferred taxes are non-cash taxes in the current period.

( )Deferred taxes are beneficial for governments as they increase near-term tax revenue.

( )Deferred taxes are taxes that will be deferred to a later period due to tax rules.

( ) Current taxes are cash taxes to be paid in the near term.