Red Hat Inc. has taken a position in its 2018 tax return and claims that it will save the company $10 million (direct reduction of current tax payment). Red Hat Inc. has determined that it is sustainability is more likely than not, based on the claims technical merits (i.e. probable to uphold some of its benefit position). Management's estimate of the likelihood of various amounts of benefit are:

Amount of tax benefit to be sustained	$10	$9	$8	$7
Percentage likelihood	10%	25%	20%	45%

Pretax accounting income is $60 million, and the tax rate is 40%.

In the resolution of the uncertainty, assume the firm experiences is the best case scenario. The Journal entry will include a:

A. Credit to Liability for Uncertain Tax Positions for $2.

B. Credit to income tax expense for $8.

C. Credit to income tax expense for $2.

D. Debit to income tax payable for $2.