Pretax financial statement income for the year ended December 31, 2021, was $25 million for Scott Pen Company Scott's taxable income was $30 million. This was a result of differences between depreciation for financial reporting purposes and tax purposes. The enacted tax rate is 30% for 2021 and 40% thereafter. What amount should Scott report as the current portion of income tax expense for 2021?

Pretax financial statement income for the year ended December 31, 2021, was $25 million for Scott Pen Company Scott's taxable income was $30 million. This was a result of differences between depreciation for financial reporting purposes and tax purposes. The enacted tax rate is 30% for 2021 and 40% thereafter. What amount should Scott report as the current portion of income tax expense for 2021?

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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