Income tax payable - translation of foreign amounts due

Question

Where a corporation tax amount is payable in a foreign currency, is it correct to translate the amount due at rate prevailing at the balance sheet date?

The balance would include the liability less any advance payments made during the year.

Many thanks

K

Answer 1

As Per IAS 21 all asset and liability should be translates at closing rate. sine the corporate tax is a liability so it should be translated using closing rate only.