Question: Draw the entry for the current tax expense if the tax loss for 2018 was $600,000 and that the recognition criteria was satisfied in 2018.

Draw the entry for the current tax expense if the tax loss for 2018 was $600,000 and that the recognition criteria was satisfied in 2018. The tax rate is 30%. Assume the tax profit for 2019 is 2,000,000. Prepare a journal entry to record the recoupment of the tax loss and the current tax payable for 2019.

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