. In the current year, Redondo Corporation collected rent of $3,600,000. For income tax reporting, the rent is taxed when collected. For financial reporting, the rent is recognized as income in the period earned. At the end of the current year, the unearned portion of the rent collected in the current year amounted to $300,000. Redondo had no temporary differences at the beginning of the current year. Assume an income tax rate of 30%.

Required: The current year's income tax liability from the tax return is $800,000. Prepare the journal entry to record income taxes for the year. You must show how you calculated each number. Hint: The $800,000 is part of the required entry. Solve for and prepare the journal entry to record income taxes for the year that includes this amount and two other amounts. Use the date of Dec 31.