Delta Catfish Company has taken a position in its tax return to claim a tax credit of $$150$ million $($direct reduction in taxes payable$)$ and has determined that its sustainability is "more likely than not," based on its technical merits. Delta has developed the probability table shown below of all possible material outcomes:

Probability Table $($ $ in millions$)$

Amount of the tax benefit that management expects to receive

Delta's taxable income is $$652$ million for the year. Its effective tax rate is $25\%.$ The tax credit would be a direct reduction in current taxes payable.

Required:

At what amount would Delta measure the tax benefit in its income statement?

Prepare the appropriate journal entry for Delta to record its income taxes for the year.