Giada Foods reported S1.000 million in income before income taxes for 2016, its first year of operations. Tax depreciation exceeded depreciation for financial reporting purposes by $130 million. The company also had non-tax-deductible expenses of $104 million relating to permanent differences. The income tax rate for 2016 was 35%, but the enacted rate for years after 2016 is 40%. The balance in the deferred tax liability in the December 31, 2016. balance sheet is: $21 million. $46 million. $52 million. $73 million