For the year ended December 31, 20x1, An entity reported pretax financial statement income of P750,000. Its taxable income was P650,000. The difference is due to accelerated depreciation for income tax purposes. An entity's effective income tax rate is 30%, and an entity made estimated tax payments during 20x1 of P90,000. What amount should the entity report as current income tax expense for 20x1? *

Q: Alvis Corporation reports pretax accounting income of $320,000, but due to a single temporary…

A:

Q: For the year ended 30 June 20X4, Margorie Corp generated taxable operating income of CU 1,200,000 of…

A: Deferred Tax Liability: it records the fact that the company will pay more income tax in future due…

Q: An entity reported pretax financial income of P8,000,000 for the current year. The taxable income…

A: Total tax payable = taxable income x income tax rate = P7,000,000 x 30% = P2,100,000

Q: P3,000,000. Of this total, P500,000 relates to current items. The entity also had deductible…

A: Tax expenses for a particular year is reported as :   CURRENT TAX DEFERRED TAX

Q: An entity computed its pre-tax income in its GAAP compliant books at P2,450,000 while its income per…

A: The tax owed and unpaid for the current tax year is defined as the deferred tax liability. Deferred…

Q: Eight independent situations are described below. Each involves future deductible amounts and/or…

A: Temporary difference refers to the difference between the carrying amount and tax base of an asset…

Q: A. At the end of the first year of operations, an entity had taxable temporary differences totaling…

A: Net temporary differences = deductible temporary differences - taxable temporary differences =…

Q: Alvis Corporation reports pretax accounting income of $400,000, but due to a single temporary…

A: Calculate the net income of Company Alvis’s:

Q: During the year 20x4, the Altomonte company presented a financial income before contributions of $…

A: Income tax payable  = Taxable income  × tax rate

Q: A domestic corporation, in its third year of operations, had:

A: Corporates can deduct state taxes , excise and fuel taxes , federal…

Q: For its first year of operations, Tringali Corporation's reconciliation of pretax accounting income…

A: Deferred tax liability means liability calculated by finding difference between the comapany taxable…

Q: For the year ended December 31, 2021, Irene Company reported pretax accounting income of P6,000,000.…

A: Total income tax expense for the current year = Pretax accounting income x tax rate

Q: Dario Corp. is a publicly accountable entity with a December 31 year end. The deferred income tax…

A: Deferred tax expense occurs when there is temporary difference.   Calculation of temporary…

Q: The information below pertains to Mondavi Corporation: (a.) For the current year temporary…

A: Journal Entry: Journal entry is the act of keeping records of transactions in an accounting journal.…

Q: xable income is only $115,000. At the beginning of the year, no temporary differences existed.…

A: Explanation of Concept Deferred Tax Assets / Deferred tax Liability : are to be calculated when…

Q: An entity reported taxable income of P 8,000,000 during 2019. Its first year of operations. The…

A: Deferred Tax The purpose of creating deferred tax which is any kind of excess amount which are…

Q: An entity reported pretax accounting income of P5,000,000 for the current year. The taxable income…

A: Solution: Total income tax expense for the current year = pretax accounting income * tax rate

Q: An entity reported pretax financial income of P8.000,000 for the current year. The taxable income…

A: Income tax is paid on the taxable income. Taxable income is calculated after making the adjustments…

Q: Lanzones Corp. began operations at the beginning of the current year. At the end of the first year…

A: Solution 1:  Accounting or financial income subject to tax =  Income before income taxes - Permanent…

Q: The following data are available for X Corp, a Domestic Corporation, with Total Assets of P40…

A: In the context of the given question, we are required to compute the income tax payable in Quarter…

Q: 4. For the year ended December 31, 20x1, Tyre Co. reported pretax financial statement income of…

A: The question is related to the Accounting for taxes on income. Current tax expenses  is the amount…

Q: On its year 1 financial statements, Seatax Corporation, an accrual-method taxpayer, reported federal…

A: As per the given information: Amount reported as federal income tax expense in financial statements…

Q: An entity reported pretax accounting income of P5,000,000 for the current year. The taxable income…

A: The tax expense is calculated on the taxable income instead of accounting income. The tax expense is…

Q: Woody Corp. had taxable income of $8,000 in the current year. The amount of depreciation reported in…

A: Temporary difference = depreciation as per tax return - depreciation as per income statement = 3000…

Q: At the end of the first year of operations. an entity had taxable temporary differences totaling…

A: Calculation of Deferred tax expense / Deferred tax benefit :- Deferred tax expense =  taxable…

Q: uring the 20x4 year, the Altomonte company presented a financial income before contributions of $…

A: Taxable Income refers to the amount of income or revenue earned by an entity or an individual in a…

Q: Corning-Howell reported taxable income in 2021 of $156 million. At December 31, 2021, the reported…

A: 1. Computation of Total Deferred Tax Asset and Liability as on 31 Dec 2021 ($ in Million)…

Q: The following information has been obtained for Tamarisk Corporation. 1.   Prior to 2020, taxable…

A: The bottom income statement starts with income before tax and it is adjusted by some additional…

Q: The following information has been obtained for Sheridan Corporation. 1. Prior to 2020, taxable…

A: Introduction:- Individuals or enterprises (taxpayers) pay an income tax depending on their earnings…

Q: For the year ended December 31, 20x1, An entity reported pretax financial statement income of…

A: Income Tax Expenses are reported in two components: 1. Current Portion 2. Deferred Portion

Q: 2. For the year ended December 31, 20x1, Mont Co.'s books showed income of P600,000 before provision…

A: Tax is the charge on the taxable income of a person that person is known as taxpayer. Taxable income…

Q: . Compute BDI’s tax expense for financial statement purposes. b. Compute BDI’s tax payable to the…

A: "Since you have posted a question with multiple sub-parts, we will solve the first 3-sub parts for…

Q: EZ, Inc., reports pretax accounting income of $427,000, but due to a single temporary difference,…

A: Deferred Tax: Deferred tax is an amount i.e. computed on the basis of tax liability on the income as…

Q: As of December 31, 2022, its first year of operations, Batangas Company had taxable temporary…

A: Deferred Tax A deferred tax liability is described under IAS 12 as the amount of income tax due in…

Q: An entity computed its pre-tax income in its GAAP compliant books at P2,450,000 while its income per…

A: Deferred tax liability is the tax on temporary taxable difference and temporary difference is the…

Q: 2. For the year ended December 31, 20x1, Mont Co.’s books showed income of P600,000 before provision…

A: Solution:- Calculation of the amount should Mont report at December 31, 20x1 as its income tax…

Q: Alvis Corporation reports pretax accounting income of $300,000, but due to a single temporary…

A: Since taxable income is less than pre tax income, a future taxable amount will occur once the…

Q: In the current year, Nighthawk Corporation, a calendar year C corporation, has $3,700,000 of…

A: In financial accounting, interest income indicates the income received against the debt provided to…

Q: For its first year of operations, Tringali Corporation's reconciliation of pretax accounting income…

A: Deferred tax liability: The deferred tax liability is the excess, over received, or received in…

Q: At year-end of the first year of operations, Liezl Company had taxable temporary differences…

A: Taxable income for the year = Pretax financial income + taxable temporary difference - deductible…

Q: . For the year ended December 31, 20x1, Mont Co's books showed income of P600,000 before provision…

A: Tax is a charge which is to be paid by the taxpayer on the taxable income which has been earned by…

Q: An entity was organized on January 1, 2021. The entity had pretax accounting income of P5,000,000…

A: >Most of the time, there exist a difference between Pretax financial income and taxable income as…

Q: Pecorino Company had pretax financial income of P2,500,000 in the current year. The entity made…

A: Tax expense is calculated by multiplying the taxable income by the tax rate.

Q: An entity computed its pre-tax income in its GAAP compliant books at P2,450,000 while its income per…

A: Step 1 Deferred tax liability is the tax on temporary taxable difference and temporary difference is…

Q: The following information has been obtained for Sheridan Corporation. 1. Prior to 2020, taxable…

A: Solution Income statement is a financial statement thats shows you the company's income and…

Q: P8.000,000 for the current year. The taxable income was P7,000,000 for the current year. The…

A: Tax expenses for a particular year is reported as :   CURRENT TAX DEFERRED TAX

Q: What amount shall be reported as current tax liability?

A: An entity makes tax payments after availing all the deduction or benefits provided by the act and…

Q: indicate wheth-er a special adjustment must be made in computing R Corporation’s current E&P. Answer…

A: E & P is Earnings and Profit. It is the measure of the ability of the corporation to make…

Fringe Benefit Tax

Fringe benefits are in addition to the compensation that companies give to their employees. It is an additional benefit above the stated salary. It helps to keep the employees of the firm motivated as sometimes the only salary is not enough to retain the quality employees of the firm. There are different types of fringe benefits. Fringe benefits are given in both private as well as public enterprises.