Topic:"Income Tax" in M03154

02 Preferred dividends are accrued monthly based on an estimate using financial details of the series (dividend rate): DR 1-785 Dividends – Preferred XXX CR 1-610 Dividends – Payable XXX 03 An adjustment for Part VI.1 tax at 40% of the pre...

AI summary The text discusses the monthly accrual of preferred dividends based on an estimated dividend rate and the recording of Part VI.1 tax at 40% of the preferred share dividend. Accounting entries are provided for both the dividend and the associated tax.

September 24, 2010 Nancy McNeil Regulatory Affairs Officer/Clerk Nova Scotia Utility and Review Board 1601 Lower Water Street 3 rd Floor Halifax, NS B3J 3S3 Re: NSPI Accounting Policy and Procedures Manual Dear Ms. McNeil, Further to NSPI'...

AI summary NSPI has submitted its third and final filing of revisions to its Accounting Policy and Procedures Manual for harmonization with US GAAP. Key changes include updates to policies on Regulated Return on Equity and Purchase Price Discrepancy, as well as the removal of an outdated section and the inclusion of new policies related to Income Taxes and Employee Future Benefits.

900 Income Taxes results in the benefit of investment tax credits being immediately credited to income tax expense in the year earned to the extent realization of such benefit is more likely than not. In addition, income taxes computed und...

AI summary The document discusses changes to income tax accounting policies, including the use of enacted tax rates and the impact on retained earnings due to the transition to US GAAP. NSPI requests the Board to review the amended policies and offers to provide further assistance.

Appendix A: 1530 ofEquity Regulated Return 2400 Employee Future Benefits 4200 Other Revenue 5300 Depreciation Expense 5800 Interest 5900 Income Taxes 6230 of Application Administrative and Vehicle Overhead (Self-constructed Assets) 6235 of...

AI summary The text presents a table with various financial and accounting-related categories, including equity, employee benefits, revenue, depreciation, interest, taxes, and asset retirement obligations. It also includes a heading for 'GENERAL INFORMATION' indicating additional content may follow.

Deleted: (Account 078) Page 2: [1] Deleted AI141 8/30/2010 1:41:00 PM 05 Interest expense should be recorded on an accrual basis. 06 the related debt. Debt issue costs should be deferred and amortized on a straight-line basis over the term...

AI summary The text discusses accounting practices related to interest expense, debt issue costs, and the defeasance of long-term debt, including the deferral and amortization of these costs. It also references Canadian dollar denominated long-term debt accounts and income taxes under category 5900.

PROCEDURES - A monthly income tax provision is recorded by multiplying the Company's effective combined federal and provincial income tax rate forecasted for the year (calculated without inclusion of the forecasted FAM adjustment) by the n...

AI summary The document outlines procedures for recording income tax provisions, including the use of effective combined federal and provincial tax rates, the calculation of PCT expense based on taxable capital forecasts, and the treatment of Part VI.1 tax as an additional cost of preferred share dividends. It also describes the recording of taxes in specific general ledger accounts.

Deleted: December 1, 2009 Deleted: December 31, 2009 Deleted: March 24, 2009 Page 1: [1] Deleted Renee Boudreau 9/8/2010 10:45:00 PM 01 The taxes payable method should be used to record income tax expense except as outlined in paragraph 02...

AI summary The text discusses the accounting treatment of income tax expense and the Fuel Adjustment Mechanism (FAM) related to deferred regulatory assets and liabilities. It outlines how future income tax expenses and assets are recognized based on statutory income tax rates when the FAM reverses. The text also references the application of administrative and vehicle overhead for self-constructed assets.

September 24, 2010 Nancy McNeil Regulatory Affairs Officer/Clerk Nova Scotia Utility and Review Board 1601 Lower Water Street 3 rd Floor Halifax, NS B3J 3S3 Re: NSPI Accounting Policy and Procedures Manual Dear Ms. McNeil, Further to NSPI'...

AI summary NSPI has submitted its third and final filing of revisions to its Accounting Policy and Procedures Manual to align with US GAAP. Key changes include updates to policies on Regulated Return on Equity and Purchase Price Discrepancy, as well as the removal of an outdated section. Two new policies affecting earnings—Income Taxes and Employee Future Benefits—are also included.

900 Income Taxes results in the benefit of investment tax credits being immediately credited to income tax expense in the year earned to the extent realization of such benefit is more likely than not. In addition, income taxes computed und...

AI summary The document outlines changes to income tax accounting policies, including the immediate crediting of investment tax credits and the use of enacted tax rates under US GAAP. NSPI requests the Board to review the amended policies and offers to meet with the Board or its consultants during the review process.

Appendix A: 1530 ofEquity Regulated Return 2400 Employee Future Benefits 4200 Other Revenue 5300 Depreciation Expense 5800 Interest 5900 Income Taxes 6230 of Application Administrative and Vehicle Overhead (Self-constructed Assets) 6235 of...

AI summary This section presents a table of financial and accounting-related line items, including equity, employee benefits, revenue, depreciation, interest, taxes, administrative overhead, asset retirement obligations, and long-term debt. It does not include detailed discussion or arguments.

PROCEDURES - A monthly income tax provision is recorded by multiplying the Company's effective combined federal and provincial income tax rate forecasted for the year (calculated without inclusion of the forecasted FAM adjustment) by the n...

AI summary The text outlines the procedures for recording income tax provisions, including the use of effective tax rates, taxable capital forecasts, and the treatment of Part VI.1 tax. It also describes the accounting treatment of various tax-related expenses and their classification in general ledger accounts.

Deleted: December 1, 2009 Deleted: December 31, 2009 Deleted: March 24, 2009 Page 1: [1] Deleted Renee Boudreau 9/8/2010 10:45:00 PM 01 The taxes payable method should be used to record income tax expense except as outlined in paragraph 02...

AI summary The text discusses the accounting treatment of income tax expense related to the Fuel Adjustment Mechanism (FAM) and the recognition of deferred regulatory assets or liabilities. It also references the recording of tax costs and recoveries, including the net Part VI.1 tax as an additional cost of preferred share dividends.

The following table summarizes the proposed changes to NSPI's Accounting Manual within Submission 3 by section: SECTION COMMENTS 5900: Income Taxes NSPI will use enacted rates under US GAAP versus substantively enacted under CGAAP to recog...

AI summary The text outlines proposed changes to NSPI's Accounting Manual under Submission 3, focusing on differences between US GAAP and CGAAP in the treatment of income taxes and asset retirement obligations. These changes may lead to timing differences in financial reporting and the treatment of Investment Tax Credits.

- 6230: Application of Administrative and Vehicle Overhead - 6235: Application of Administrative Overhead - 6250: Purchase Price Discrepancy - 7300: Preferred Reserves - 7320: Preferred Dividends - 8100: Long-term Debt and Matching Notes -...

AI summary The document lists various financial items and refers to the submission of NSPI's accounting manual. It includes entries related to administrative overhead, purchase price discrepancies, reserves, dividends, long-term debt, and income taxes payable.

- 10 A monthly income tax provision is recorded by multiplying the Company's effective combined federal and provincial income tax rate forecasted for the year (calculated without inclusion of the forecasted FAM adjustment) by the net earni...

AI summary The text outlines the methods used by the Company for recording income tax provisions, including calculations based on effective tax rates, taxable capital estimates, and proration of tax expenses. It also describes the treatment of Part VI.1 tax and the use of capital cost allowance and cumulative eligible capital to manage taxable income.

POLICY 01 Dividends to preferred shareholders and the associated income tax expense (benefit) are accrued as declared and the dividends are paid based on approved Board of Directors' resolutions. - 02 Preferred dividends are accrued as dec...

AI summary The text outlines the accounting treatment for preferred shareholder dividends, including accruals based on declared dividends and adjustments for income tax expenses and benefits related to these dividends.