Used with tax payable method and influence tax method to edit financial statement, deferred method and debt method as influence tax method often adopt singly, which lead to reflect income tax information partly, and get bad accounting result.

The new accounting norms with the adoption of liability method can adapt to the development of financial accounting and be in accordance with international accounting norms.

By reseaching into the area of the income tax accounting means: both the income a/c-debt method used now in China, and the balance sheet approach in international, the paper suggested some specific measures according to the actual situation of China, so as to give some advices to the formulating of the particular accountin.

The core of balance sheet liability method is discussed in the paper, namely, affirmation and measure of deferred income tax liabilities and deferred income tax assets.

The Corporation Accounting Rules-Income Tax clearly regulates that corporations should count their income taxes based on the Balance Sheet liability method,and it also standardizes the verification and calculation of the goodwill of merger.

The new standards eliminated the payable tax method and tax-effect-accounting method(deferral method and income statement liability method),and required adopting balance sheet liability method.