Deferred tax treatment clarified: deferred tax debits deducted and credits added; income tax widened to include cess and related tax items. Amendment redesignates the Explanation as Explanation 1, prescribes that deferred tax debited to profit and loss be deducted and deferred tax credited be added back in computing book profit, and introduces Explanation 2 defining 'amount of income tax' to include tax on distributed profits or income, interest, surcharge, Education Cess, and Secondary and Higher Education Cess for purposes of section 115JB.