Homestake Mining Company is a 120-year-old international gold mining company with substantial gold mining operations and exploration in the United States, Canada, and Australia. At year-end, Homestake reported the following items related to income taxes (thousands of dollars).

Total current taxes		$	26,349
Total deferred taxes			(39,436	)
Total income and mining taxes (the provision for taxes per its income statement)			$(13,087	)
Deferred tax liabilities		$	303,050
Deferred tax assets, net of valuation allowance of $207,175			95,275
Net deferred tax liability		$	207,775

Note 6: The classification of deferred tax assets and liabilities is based on the related asset or liability creating the deferred tax. Deferred taxes not related to a specific asset or liability are classified based on the estimated period of reversal.

Tax loss carryforwards (U.S., Canada, Australia, and Chile)		$71,151
Tax credit carryforwards		$12,007

Answer each of the following questions:

1. What is the significance of Homestakes disclosure of Current taxes of $26,349 and Deferred taxes of $(39,436)?
2. Explain the concept behind Homestakes disclosure of gross deferred tax liabilities (future taxable amounts) and gross deferred tax assets (future deductible amounts).
3. Homestake reported tax loss carryforwards of $71,151 and tax credit carryforwards of $12,007. How do the carryforward provisions affect the reporting of deferred tax assets and deferred tax liabilities?