Tax on the profit earned in 2010 was provided for at 74,000, and was settled on 1

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Tax on the profit earned in 2010 was provided for at £74,000, and was settled on 1 September 2011 by a payment of £79,000. Current tax on the profits earned in 2011 has been estimated at £84,000. The Deferred tax account reported a balance of £28,000 as at 31 December 2010. As at 31 December 2011 the written-down value of non-current assets was £596,000, whereas the tax base was £456,000. The company pays tax at 25%.


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Identify the tax expense of the year 2011.

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Financial Accounting An Introduction

ISBN: 9780273737650

2nd Edition

Authors: Mr Barry Elliott, Mr Augustine Benedict

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