For the year ended December 31, 2008, Tyre Company reported pre-tax financial statement income of \($750,000\). Its taxable income was \($650,000\). The difference is due to accelerated depreciation for income tax purposes. Tyre’s income tax rate is 30%, and it made estimated tax payments of \($90,000\) during 2008.
Required:
1. What amount should Tyre report as the current portion of income tax expense for 2008?
2. What amount should Tyre report as the deferred portion of income tax expense for 2008?
3. Give the journal entry Tyre would make to record 2008 taxes.