Willingham, Inc., an accrual basis C corporation, reports pretax book income of $1.6 million. At the beginning
Question:
Willingham’s book-tax differences include the following. Compute the entity’s current and deferred income tax expense for the year.
Addition to the book reserve for uncollectible receivables (no specific
write-offs occurred) ...................... $4,000,000
Tax depreciation in excess of book ............... 3,000,000
Book gain from installment sale of nonbusiness asset, deferred for tax.. 2,000,000
Interest income from school district bonds ............ 200,000
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Related Book For
South Western Federal Taxation 2018 Corporations Partnerships Estates And Trusts
ISBN: 1389
41st Edition
Authors: William H. Hoffman, William A. Raabe, James C. Young, Annette Nellen, David M. Maloney
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