For 2022, Tar Heel Inc. has a pretax accounting income of $2 million. Included in Tar Heel’s pretax accounting income are:
Depreciation expense $200,000
Salary and wage expense 300,000
Maintenance expense 125,000
Goodwill impairment 50,000
Tax-exempt interest on municipal bonds 20,000
Tar Heel’s depreciation for tax purposes was $290,000 for 2022. Tar Heel received no dividends during the year, but paid $30,000 in dividends during the year.
What is Tar Heel’s 2022 taxable income?