6. Suppose that during 2025, tax legislation was passed that will lower Arndt's effective tax rate...

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6. Suppose that during 2025, tax legislation was passed that will lower Arndt's effective tax rate to 15% beginning in 2026. Prepare a schedule that reconciles the difference between pretax accounting income and taxable income. Using the schedule, prepare the necessary journal entry to record income taxes for 2025. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Suppose that during 2025, tax legislation was passed that will lower Arndt's effective tax rate to 15% beginning in 2026. Prepare a schedule that reconciles the difference between pretax accounting income and taxable income. Note: Amounts to be deducted should be indicated with a minus sign. Enter your answers in millions rounded to 1 decimal place (i.e., 5,500,000 should be entered as 5.5). ($ in millions) Pretax accounting income Permanent difference: Life insurance premiums Temporary differences: Casualty insurance (reversing) Subscriptions-2024 Subscriptions-2025 Unrealized loss (reversing) Taxable income (income tax return) Enacted tax rate (%) Tax payable currently Deferred tax liability Deferred tax asset Current Year 2025 Future Taxable Amounts [2026] Future Deductible Amounts [2026] 0.0 Show less 6. Suppose that during 2025, tax legislation was passed that will lower Arndt's effective tax rate to 15% beginning in 2026. Prepare a schedule that reconciles the difference between pretax accounting income and taxable income. Using the schedule, prepare the necessary journal entry to record income taxes for 2025. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Suppose that during 2025, tax legislation was passed that will lower Arndt's effective tax rate to 15% beginning in 2026. Prepare a schedule that reconciles the difference between pretax accounting income and taxable income. Note: Amounts to be deducted should be indicated with a minus sign. Enter your answers in millions rounded to 1 decimal place (i.e., 5,500,000 should be entered as 5.5). ($ in millions) Pretax accounting income Permanent difference: Life insurance premiums Temporary differences: Casualty insurance (reversing) Subscriptions-2024 Subscriptions-2025 Unrealized loss (reversing) Taxable income (income tax return) Enacted tax rate (%) Tax payable currently Deferred tax liability Deferred tax asset Current Year 2025 Future Taxable Amounts [2026] Future Deductible Amounts [2026] 0.0 Show less

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