TR17-4 Loss Carryback/Carryforward, Temporary Differences (LO 17-2) Lin Ltd, reported the following Earnings (less) Depreciation (assets have a cost of $150,000) CCA Non-deductible expenses Tax rate 20x7(First year of operations) $91,000 $10,000 $25,000 $11,000 20 $(152,000) $ 10,00 $ 35,000 $ 11,000 1. What is the amount of the taxable income or loss in each year? (Negative amounts and deductible amounts should be indicated by a minus sign.) 20x7 20x8 Taxable income Accounting earnings Permanent difference Accounting income subject to tax Temporary difference Taxable income 2. How much is the tax refund to be claimed in 20x8? Rofund Tax 3. How much is tax expense (recovery) in 20x8, assuming that use of the loss carryforward is not probable? Tax expense