Kathy(is taking/takes) her dog for a walk at the moment.

Comple wish the present simple or the present cont:Tom is a farmer and he's got lots of work to do every day.He(1)........(get up) at 5 o'clock every morning and(2)..........(have) a big breakfast.Then,he(3)............(feed) all the animals on the farm. At the moment,Tom(4).............(not do) any work.He's in his bedroom.He(5).......(wear) his pyjamas and he(6).............(read) a newspaper.Tom(7).........(love) living on the farm,but he(8).........(not like) getting up early in the morning.

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Kathy is taking her dog for a walk at the moment.Is taking, потому что at the moment - указывает на настоящее время !

Kathy(is taking) her dog for a walk at the moment.