Collins, Inc., a domestic corporation, operates a manufacturing branch in Singapore. During the current year, the manufacturing

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Collins, Inc., a domestic corporation, operates a manufacturing branch in Singapore. During the current year, the manufacturing branch produces a loss of $300,000. Collins also earns interest income from investments in Europe, where it earns $800,000 in passive income. Collins paid no foreign income taxes related to the Singapore branch, but it paid $64,000 in foreign income taxes related to the passive income. Collins pays U.S. income taxes at the 34% tax rate. What is Collins's allowable FTC for the current year?

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South Western Federal Taxation 2016 Corporations Partnerships Estates And Trusts

ISBN: 9781305399884

39th Edition

Authors: James Boyd, William Hoffman, Raabe, David Maloney, Young

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