The trustee of the James trust makes a $30,000 charitable contribution to the United Way. The trust
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The trustee of the James trust makes a $30,000 charitable contribution to the United Way. The trust had $20,000 of taxable income and $30,000 of tax-exempt income during the year. The trust agreement states that all charitable contributions, to the extent possible, should be paid out of taxable income. How much of the $30,000 charitable contribution is deductible on the trust’s federal income tax return?
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Related Book For
CCH Federal Taxation Basic Principles 2020
ISBN: 9780808051787
2020 Edition
Authors: Ephraim P. Smith, Philip J. Harmelink, James R. Hasselback
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