DTL charged directly to equity provision, directly, charged, equity, excess

hardwork24

CFAI text Vol 3. P468, 2nd last paragraph, it is stated :
The revaluation surplus is reduced by the tax provision associated with the excess of the fair value over the carry value and it affects retained earnings (300,000 x 40% = 120,000).
Is it that a tax expense of 120,000 shall be recorded on the income statement and paid to tax authority in the year of the revaluation ?  Can anyone help ? Thanks !