, Lapwing Corp. reported a tax loss in 2022 of $2,130,000. If the enacted tax rate for 2020 and2021 was 20%; 25% for 2022; and 24% for 2023 and thereafter, how much should Lapwing Corp. record asa tax receivable if they were able to use all of their NOL as a carryback? (O $532,500O $426,000O $106,500O $639,000A

Carryback is a practice of treating the current period's profit or loss as if it occurred in the…

Answered: Lapwing Corp. reported a tax loss in…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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GGS Corp. reports a net operating loss for 2023 of $1,343,000. Last year the company reported taxable income of $604,000 and in 2021 the company reported taxable income of $672,000. If the tax team has decided to use the carryback provision, what will be the company's tax refund in 2023, assuming the tax rate for all three years is 25%? O $151,000 O $335,750 O $168,000 O $319,000 K
Use this information for parts A and B. In 2026, Goodfellas Company reported pretax GAAP income of $400,000. During 2026, Goodfellas had the following differences between GAAP and tax: Recognized $100,000 installment sale revenue under GAAP in 2026. This revenue will be recognized for tax purposes in equal amounts over the next four years. Recognized $50,000 of depreciation in 2026 for tax. Starting in 2027, GAAP depreciation is $10,000 per year for the next five years. Received $100,000 in unearned rent revenue in 2026. Rent will be earned in equal amounts in 2027 and 2028. The tax rate for 2026 is 30 percent and 20 percent thereafter. A) What journal entry does Goodfellas record for taxes in 2026?
A company reports the following pretax income (loss) for both financial reporting purposes and tax purposes. Year Pretax Income (Loss) Tax Rate 2018 $142,000 17% 2019 94,000 17 2020 (208,800) 22 2021 318,500 22 In 2021, what amount of income tax payable should be reported for the company, assuming the loss can carry forward?
Four Square Services Corporation estimates that its 2021 taxable income will be $1,000,000. Thus, it incurs a $210,000 liability. For the following independent cases, compute Four Square's minimum quarterly estimated tax payments that will avoid an underpayment penalty. a. For 2020, taxable income was $800,000, and tax liability was $168,000. b. For 2019, taxable income was $2 million, and tax liability was $680,000. For 2020, taxable income was $100,000, and tax liability was $21,000.
Drew Company has a deferred tax asset of $54,000 before recording an allowance of $7000 for estimating it is more likely than not that this amount will not be realized in the future. The result of recording this allowance is The deferred tax asset will now be a net amount of $47,000 Income tax expense will be reduced by $7000 x the tax rate. Income tax expense will be increased by $7000 x the tax rate. Net income will be increased by $7000.
Please answer it in good accounting form. Thankyou
Greene Co. has pretax book income for the year ended December 31, 2022 in the amount of $315,000 and has a tax rate of 30%. Depreciation for tax purposes exceeded book depreciation by $10,500.What should Greene Co. record as its deferred tax liability for 2022? Group of answer choices $94,500 $0 $91,350 $3150
Now assume that Syer does account for its NOL under the CARES Act. Prepare the appropriate journal entry to record Syer’s 2020 income taxes, and indicate Syer’s 2020 net income(loss). Syer Company reports net operating income (loss) for financial reporting and tax purposes in each year as follows ($ in millions): 2016 2017 2018 2019 2020 $ 330) $ 130 $ 0 $0 $ (660) Syer’s 2020 NOL is driven by an unfortunate obsolescence of its primary product. Given great uncertainty in Syer’s future profitability, Syer’s management does not believe it is more likely than not that it will be able to realize deferred tax assets in future years. Syer’s federal tax rate decreased from 35% to 21% starting in 2018.
Violet Corporation reported a loss in 2022 of $610,000 and carried back the loss to the extent allowed. The company reported taxable income of $215,000 in 2020 and $245,000 in 2021. It has no permanent or temporary differences and its tax rate is 30%.Violet reported taxable income of $345,000 in 2023. What is the necessary journal entry for 2023? Group of answer choices Income Tax Expense 183,000 Income Tax Payable 138,000 Deferred Tax Asset 45,000 Income Tax Expense 103,500 Income Tax Payable 58,500 Deferred Tax Asset 45,000 Income Tax Refund Receivable 138,000 Deferred Tax Asset 45,000 Income Tax Benefit 183,000 Income Tax Refund Receivable 58,500 Deferred Tax Asset 45,000 Income Tax Benefit 103,500
Brandon Inc. reported the following pre-tax accounting incomes (losses): Accounting (loss)/income Tax rates* 2021 $10,000 25% 2022 55,000 20% 2023 (112,000) 20% 2024 21,000 19% -for 2024 and beyond All enacted in 2021 The only timing difference was in 2023 when warranty expense was $40,000 and warranties paid out in cash was $30,000. For any losses, it is probable that 80% of them will be applicable against any future taxable income. Required: Prepare journal entries to record the tax implications for 2023.
4.
1. Dunder Mifflin Inc. had one temporary difference in 2022 because their tax depreciation deduction exceeded their book depreciation expense by $74. Dunder Mifflin's pretax financial income is $1204 in 2022 and its tax rate is 20%. The company had no prior deferred tax balance. Dunder Mifflin's journal entry at the end of 2022 will involve: a. A credit to Income Tax Expense of $240.80 b. A debit to Deferred Tax Asset of $14.80 c. A credit to Deferred Tax Liability of $14.80 d. A credit to Income Tax Payable of $240.80

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