Final answer:
The required disclosure for deferred tax assets and liabilities is a description of each asset and liability that makes up the total deferred taxes, including the tax effects of temporary differences.
Step-by-step explanation:
The required disclosure related to deferred tax assets and deferred tax liabilities is the description of each asset and liability making up the total deferred taxes. Accounting standards such as the International Financial Reporting Standards (IFRS) and U.S. Generally Accepted Accounting Principles (GAAP) require entities to disclose information that explains the significant components of deferred tax assets and liabilities. Disclosures typically include the nature and amount of deferred tax assets and liabilities, changes during the period, and the netting arrangements.
It is important to note that the approximate tax effect of each type of temporary difference must be disclosed, as these temporary differences will reverse in future periods and have an effect on taxable income. Permanent differences, on the other hand, are not relevant for deferred tax calculations since they do not reverse over time.