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28. The KLM Corp. is a subchapter S corporation. Ken, who is the K in KLM owns 40% of the outstanding common stock of the
28. The KLM Corp. is a subchapter "S corporation. Ken, who is the "K" in "KLM owns 40% of the outstanding common stock of the corporation. During 2020, the KLM reported $300,000 of income that is subject to income taxes on some basis. Also, during 2020, the corporation declared and paid total cash dividends of $225,000. (a) How much taxable income will this subchapter "S" corporation report and pay taxes on? (b) How much taxable income from this corporate investment will Ken include on his 2020 individual tax return
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