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  3. the following figures are reported by payne incorp

The following figures are reported by Payne Incorporated and its 80% owned subsidiary, Shelley Company,...

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Accounting

The following figures are reported by Payne Incorporated and its 80% owned subsidiary, Shelley Company, for the year ended December 31 of the current year. ShelIey paid dividends of $25,000 during the current year.
Items Payne Incorporated Shelley Company
Sales $ 200,000 $ 150,000
Cost of Goods Sold (100,000)(100,000)
Operating Expenses (50,000)(25,000)
Dividend Income 10,0000
Net Income $ 60,000 $ 25,000
A goodwill impairment loss relating to Paynes takeover of Shelley is $2,500 per year. In the previous year, unrealized gains of $10,000 on upstream transfers were deferred to the current year. In the current year, unrealized gains of $5,000 on upstream sales were deferred to next year.
Assuming a 30% income tax rate, what is the amount of income tax currently payable?

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