In 2020, Amirante Corporation had pretax financial income of $168,000 and taxable ­income of $120,000. The difference is due to the use of different depreciation methods for tax and ­accounting purposes. The effective tax rate is 20%. Compute the amount to be reported as income taxes payable at December 31, 2020.

Q: Lee Company's current income taxes payable related to its taxable income for 2020 is $320,000. In…

A: Income Tax Expenses: The expenses which are related to the taxable income of the individuals and…

Q: At the end of 2020, Payne Industries had a deferred tax asset account with a balance of $40 million…

A: Deferred tax assets must be assessed each period in order to determine their recoverability. When…

Q: For the year ended December 31, 2020, Theodore Corporation reported a pretax financial income of…

A: Temporary difference =Rental received in advance = P8,000,000 - P6,000,000 = P2,000,000

Q: The ABC Company has determined that its taxable income for the year 2021 is P3,000,000. The…

A: Computation of Required balance and recognition of Deferred tax liability and Deferred tax Assets…

Q: On December 31, 2020, La Puendia Company reported the following: Income before tax for accounting…

A: Deferred tax: When accounting income is different from income under tax laws, it is called as…

Q: On its December 31, 2020 balance sheet, U Company had income tax payable of P520,000 and a current…

A: Deferred tax liability = Beganning deferred tax asset - Ending deferred tax asset balance = P800,000…

Q: ht Bay Resorts had the following deferred income tax items: Deferred tax asset of $54…

A: Answer:  Deferred tax liability of $120 million  related to a non current asset…

Q: At the end of 2020, Payne Industries had a deferred tax asset account with a balance of $50 million…

A: Deferred Tax plus and postponed liabilities. Postponed liabilities (DTL) or postponed Tax plus (DTA)…

Q: In its 2021 income statement, Crane Corp. reported depreciation of $3600000 and interest revenue on…

A: Deferred tax liability is the amount of liability that arises on account of differences in items as…

Q: At 30 June 2019, Beta Ltd had the following deferred tax balances: Deferred tax liability $18,000…

A: a. Determine the taxable income and income tax payable for the year to 30 June 2020.

Q: At the end of 2020, Payne Industries had a deferred tax asset account with a balance of $25 million…

A: Given information is: At the end of 2020, Payne Industries had a deferred tax asset account with a…

Q: The following facts relate to Duncan Corporation. 1.    Deferred tax liability, January 1, 2020,…

A:

Q: Larkspur Corporation began operations in 2020 and reported pretax financial income of $206,000 for…

A: Depreciation expense is a kind of operating expense that is reported at the end of the periodic…

Q: Oxford Corporation began operations in 2020 and reported pretax financial income of $225,000 for the…

A:

Q: Feagler Company's current income taxes payable related to its taxable income for 2020 is $460,000.…

A: Income Tax Expenses: The expenses which are related to the taxable income of the individuals and…

Q: At the beginning of 2021; Cullumber, Inc. had a deferred tax asset of $26000 and a deferred tax…

A: Taxable Income is Income as per Tax Laws . This Income can be different from accounting due to mainy…

Q: KL Corporation prepared the following reconciliation for its first year of operations: ·      Pretax…

A: Solution: Taxable income = Pretax financial income - Tax exempt interest - Taxable temporary…

Q: a) Determine the taxable income and income tax payable for the year to 30 June 2020.  b) Determine…

A: Income: Income includes all the income that belong to the taxpayer, both taxable and non-taxable.…

Q: At the end of 2020, Payne Industries had a deferred tax asset account with a balance of $65 million…

A: Introduction: Journal entries should not be used to record routine transactions such as customer…

Q: Sherrod, Inc., reported pretax accounting income of $100 million for 2021. The following information…

A: Compute the amounts to record income tax as follows: Result:

Q: herrod, Inc., reported pretax accounting income of $82 million for 2021. The following information…

A: What is Deferred tax? It is the difference between the asset and liability entries on the balance…

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

A: Formula: Current tax expense for 20x1 = Taxable income x tax rate

Q: Cris Company reported the following results for the year ended December 31, 2020, its first year of…

A: If Taxable income  is greater than  income  as per books of accounts then it will result  in…

Q: ary or permanent book-tax differences. The pertinent U.S. Federal corporate income tax rate is 21%,…

A: Deferred tax expense refers to the effect of income tax occured on the balance sheet of the company…

Q: On December 31, 2020, Landmark Company reported the following: Income before tax for accounting…

A:

Q: Sunland Corporation began operations in 2020 and reported pretax financial income of $212,000 for…

A: Solution: Introduction: Deferred tax is an item on the balance sheet of the entity, for excess…

Q: At the beginning of 2021; Cullumber, Inc. had a deferred tax asset of $26000 and a deferred tax…

A: Taxable income is also described as adjusted gross income which is derived by deducting deduction or…

Q: At the end of 2020, Payne Industries had a deferred tax asset account with a balance of $100 million…

A: When there is difference in income as per accounting records and as per tax laws, then it give rise…

Q: Determine the taxable income and income tax payable for the year to 30 June 2020? Prepare the…

A: Journal entry: Journal entry is a set of economic events which can be measured in monetary terms.…

Q: The ABC Company has determined that its taxable income for the year 2021 is P3,000,000.   The…

A: Net deferred tax assets on 12/31/2021 = (Taxable temporary differences - Deductible temporary…

Q: On December 31, 2020, Landmark Company reported the following: Income before tax for accounting…

A: Following are the answers to given questions

Q: At 30 June 2019, Beta Ltd had the following deferred tax balances: Deferred tax liability…

A: Deferred Tax for the Year Tax depreciation greater than depreciation expense Deferred tax liability…

Q: At December 31, 2020, Cascade Company had a net deferred tax liability of $450,000. An explanation…

A: Cascade Company should present deferred taxes on December 31, 2020, statement of financial position…

Q: For its current tax year, Ilex Corporation has ordinary income of $250,000, a short-term capital…

A: Tax is a liability that has to be paid to the government that acts as revenue for the government.…

Q: On December 31, 2020, Landmark Company reported the following: Income before tax for accounting…

A: AS per US federal corporate tax rate, the tax rate for year 2020 will be taken as 21% to solve the…

Q: Acer, Inc. reported a taxable income of P8,000,000 in its Form 1702 for its first year of…

A: Income tax actual paid and income tax expenses some time differ because of deferred income tax.…

Q: Sherrod, Inc., reported pretax accounting income of $70 million for 2021. The following information…

A: A deferred tax liability is a tax that is assessed or is due for the current period but has not yet…

Q: At 30 June 2019, Beta Ltd had the following deferred tax balances: Deferred tax liability $18,000…

A: a) Tax entries for 30th June 2020 are as follows: Date Particulars Debit Credit 30-06-2020…

Q: At the end of 2020, Payne Industries had a deferred tax asset account with a balance of $90 million…

A: In order to prepare journal entry to record income taxes of Payne for 2021, two entry will be…

Q: Jennifer Capriati Corp. has a deferred tax asset account with a balance of $75,000 at the end of…

A:

Q: What are the balances of the deferred tax liability and deferred tax asset at 30 June 2020?

A: Calculate the balances of the deferred tax liability and deferred tax asset at 30 June 2020.…

Q: At 30 June 2019, Beta Ltd had the following deferred tax balances: Deferred tax liability $18,000…

A:

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.