Julio, Inc. earns pretax book net income of $312,000 in 2018. For that year, Jolio deducted $8,300 in bad debt expense for book purposes. This expense is not yet deductible for tax purposes. Julio records $206,000 of pretax book net income in 2019. Julio did not deduct any bad debt expense for book purposes but did deduct $6,100 in bad debt expense for tax purposes. Julio has no other temporary or permanent differences. Assume the U.S. tax rate is 21%.

For 2019, compute the following for Julio, Inc.

a. Current income tax expense $

b.Deferred income tax benefit $

c. Total income tax expense $

Feedback The deferred component of the book tax expense is called the deferred tax expense or deferred tax benefit. This component represents the future tax cost (or savings) connected with income reported in the current-period financial statement.