Determine the deferred taxes to be reported


Question: Indigo Co. establishes a $132,000,000 liability at the end of 2017 for the estimated site-cleanup costs at two of its manufacturing facilities. All related closing costs will be paid and deducted on the tax return in 2018. Also, at the end of 2017, the company has $66,000,000 of temporary differences due to excess depreciation for tax purposes, $9,240,000 of which will reverse in 2018.

The enacted tax rate for all years is 40%, and the company pays taxes of $84,480,000 on $211,200,000 of taxable income in 2017. Indigo expects to have taxable income in 2018.

Determine the deferred taxes to be reported at the end of 2017.

You must avail our Deferred Taxes Assignment Help service, in order to get benefitted in the most precise and professional manner.

Tags: Deferred Taxes Assignment Help, Deferred Taxes Homework Help, Deferred Taxes Coursework, Deferred Taxes Solved Assignments

Request for Solution File

Ask an Expert for Answer!!
Taxation: Determine the deferred taxes to be reported
Reference No:- TGS03037071

Expected delivery within 24 Hours