You are almost there; but your assumption is not correct. Let me try to put it this way; Imagine, a company has 100Cr as PBT (Profit before Tax), in the Financial statement (FS), and assuming a 20% tax rate, they show 20Cr as taxes paid (in FS). Note: this 100cr also include a 50cr from a marketable security or some other investment which has ‘unrealized gain’ of 50Cr.
However, their Tax reporting statement shows total Profit for the period as 50 Cr (for tax purposes, the gain is not recognized until the investment is sold and the gain is realized). Here then the tax actually paid is 10 Cr (20% of 50Cr).
So, company will create a tax liability of 10Cr (since your cash a/c still holds a 10Cr, which has to be paid to the tax authorities in a future date).
The scenario here, has an impact of entry in P&L (entered 20Cr as tax in FS), while in reality not paid to authorities…, and surely it will hit in future.
Hope i havent confused you further here… 
PS: One take away point i would add here is, one has to pay bit more attention when we see a significant amount hits P&L under deferred tax Asset/liability. Lets say as a % of PBT.
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