Income tax expense on income statements for ____ companies and the amount of income tax actually paid are two different numbers.
A) publicly traded
B) private
C) large
D) small

Question

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Publicly traded companies are required to disclose their income tax expense on their financial statements, which may differ from the amount of income tax actually paid due to various factors, such as tax exemptions, deferred taxes, or tax credits. Private, large, and small companies may also have differences between their income tax expense and the actual amount paid, but they do not have the same level of reporting requirements as publicly traded companies.

Income Tax Expense on Income Statements for ____ Companies and the Amount