The change in the balance in the Deferred Tax Liability account from the end of Year 1 to the end of Year 2 is $5,120 (= $6,720 – $1,600). Income tax payable for Year 2 is $18,480 (= .30 ⋅ $61,600). Thus, income tax expense is $23,600 (= $18,480 + $5,120). Multiply the average tax rate by the temporary difference to get the deferred tax liability or asset. For instance, at tax rate of 30 percent, a deferred tax liability or benefit for a $2,100 would generate a deferred tax of 30/100 x $2,100 = $630. Accordingly, the legislation will need to be amended post-election to maintain the rate at 19 percent for FY20. The deferred tax accounting implications of the announcement will also need to be considered by businesses with 30 November and 31 December year-ends.