The amount of income taxes payable/ recoverable that correspond to the taxable profit/ loss for a given financial period. For taxable profits, it represents the tax that an entity expects to pay/ recover for a period. Current tax for current period (and prior periods) is recognized as a liability (to the extent that it remains unpaid). For taxable losses, current tax is recognized as an asset. Also, overpayment of current tax is recognized as an asset.

Current tax liabilities (current tax assets) for the current and prior periods are measured at the amount payable/ recoverable, applying the tax rates that are current in the respective period.