12. Clinton corp operates in an industry for which NOL carrybacks is not allowed, and had...

 

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12. Clinton corp operates in an industry for which NOL carrybacks is not allowed, and had the following pretax income (loss) over its first four years of operations. 2018: 50,000 2019: 120,000 2020: (900,000) 2021: 1,500,000 For each year there were no deferred income taxes and the tax rate was 25%. No valuation account was deemed necessary for the DTA as of december 31, 2020. What amount should clinton report as current income tax payable in 2021? 12. Clinton corp operates in an industry for which NOL carrybacks is not allowed, and had the following pretax income (loss) over its first four years of operations. 2018: 50,000 2019: 120,000 2020: (900,000) 2021: 1,500,000 For each year there were no deferred income taxes and the tax rate was 25%. No valuation account was deemed necessary for the DTA as of december 31, 2020. What amount should clinton report as current income tax payable in 2021?

Answer rating: 100% (QA)

To solve this problem we need to calculate the income tax payable for Clinton Corp in 2... View the full answer