In the previous year, SAM Ltd had made a tax loss of $60,000 for which it had recognized a deferred tax asset. The taxable profit for the current year before recoupment of tax loss is $250,000. SAM Ltd had claimed exempt income of $40,000 in calculating its current taxable profit. Ignore all other temporary differences. Tax rate is 30%. What is the current tax liability of SAM Ltd after recoupment of the tax loss?

At 1 April 20X5, Winchester had a deferred tax liability of $7,000 in respect of accelerated depreciation. At 31 March 20X6, the carrying amount of property, plant and equipment was $240,000 and its tax base was $180,000. The income tax rate applicable to Winchester is 25%. What will be the expense to profit or loss for the year ended 31 March 20X6 in respect of deferred tax? A $22,000 B $15,000 C $13,250 D $8,000

Mel Ltd has reported an accounting/net profit before income tax for the year ended 30 June 2021 of $645,000. Included in this profit are entertainment expenses (non-deductible) of $10,000. Mel Ltd also has accumulated tax losses carried forward of $60,000.On the basis of the above information, what is the tax payable of Mel Ltd for the year ended 30 June 2021 in accordance with the requirements of AASB112 Income Taxes?

The following information is provided for Able Ltd:Taxable income for the year is $400,000There was an increase in deferred tax asset for the year of $80,000There was a decrease in deferred tax liability for the year of $30,000There was a gain on revaluation of plant (before tax) of $90,000Tax rate is 30%What is the income tax expense of Able Ltd for the year in accordance with the requirements of AASB112 Income Taxes?

For the year ended 30 June 2020, Marshall Ltd (Marshall) had an accounting profit of $200 000 and a taxable profit of $170 000. The tax expense of Marshall for the year ended 30 June 2020 was $60 000. At 30 June 2020 it was determined that the company had a deferred tax liability of $27 000. Assume that there was no deferred tax asset at the beginning or end of the period.The tax rate is 30 per cent.Which of the following statements is correct in accordance with AASB 112 Income Taxes?Group of answer choicesThe deferred tax expense for the year ended 30 June 2020 was $27,000.The current tax expense for the year ended 30 June 2020 was $33,000.The deferred tax liability as at 30 June 2019 was $18,000.The deferred tax liability as at 30 June 2019 was $0.

An entity has revalued its property and has recognized the increase in the revaluation reserve in its financial statements. The carrying value of the property was GHS8 million, and the revalued amount was GHS10 million. Tax base of the property was GHS6 million. In the country, the tax rate applicable to profits is 35% and the tax rate applicable to profits made on the sale of property is 30%. Where will the tax liability be recognized and at what amount?a.In statement of recognized income and expense at GHS1.4 million.b.In equity at GHS1.2 million.c.In the income statement at GHS600,000.d.In retained earnings at GHS700,000.