In pushing for comprehensive allocation of income taxes, FASB argued that

A) income tax expense should be based on all permanent differences
B) income tax expense should be based on all temporary differences
C) income tax rates expected to be enacted should be taken into consideration when valuing permanent differences
D) income tax rates expected to be enacted should be taken into consideration when valuing temporary differences

Comprehensive Allocation

The process of distributing costs across multiple departments, projects, or activities in a thorough and extensive manner.

Income Tax Expense

The cost to a company for the taxes it owes on its income, reflecting the financial effect of taxes on its profits.

Temporary Differences

Differences between the tax basis of an asset or liability and its carrying amount in the financial statements, which will result in taxable or deductible amounts in the future.