What is current deferred income taxes?

In the below example "Current deferred income taxes" term being used. I assume it is nothing but Deferred tax asset - this term being used in your Taxes video. Is this correct?

Current assets:
Cash and equivalents $ 2,698
Receivables (less allowance for bad debts of $137 and $91) 5,084
Inventories 2,570
Investments in marketable securities 150
Current deferred income taxes 321

1 Answer(s)


Deferred income taxes occur when there is a difference in depreciation policy used by the tax department and the company. Hence there might be a period in which the company paid less taxes that what it was supposed to. That amount is recorded as deferred income tax which has to be paid later.