How might differences in income tax accounting between U.S. GAAP and IFRS lead to differences in effective tax rates between U.S. GAAP and IFRS companies? Please emphasize how differences affect the effective tax rate, don't just state the differences. 

Answer rating: 100% (QA)

GAAP is based on the principle of conservatism which prevents companies from overstating profits and asset values This runs contrary to what the IRS e... View the full answer