West Corporation leased a building and received the $36,000 annual rental payment on July 15, 20X1. The beginning of the lease period was August 1, 20X1. Rental income is taxable when received. West had no other permanent or temporary differences. West’s tax rate is 21%. It determined that no valuation allowance was needed.

Required:

What amount of deferred tax asset should West report in its December 31, 20X1, balance sheet?