On December 31, 2004, Fisher Bakery reported a deferred tax liability of $2,025, based on the following schedule of future taxable amounts and enacted tax rates:
Year Taxable Amounts Enacted Tax Rate
2005 $3,000 30%
2006 2,000 30%
2007 1,500 35%
On February 7, 2005, Congress amended a previously passed tax law. The amendment changed the tax to 35% for 2004 and all future years.
Required: Prepare the income tax journal entry for Fisher Bakery necessary on February 7, 2005.