Taxation

There was a credit balance of $6200 on this year’s trial balance on the current tax account and a balance on the provision for deferred tax account of $31,600.

The company has estimated the tax liability on this year’s results to be $22,200 and wishes to increae the provision to $40,000. Of the increase, one third is attributable to the revaluation increase of tangible non current assets and should be treated accordingly .

What amount should be debited to the statement of profit or loss for this year’s tax charge if the corporate income tax rate is 30% ?