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5. mike is the sole shareholder of Led Corporation. The basis of his stock is $65,000. mike distributes $150,000 to Rob in 20X1. Eamings and
5. mike is the sole shareholder of Led Corporation. The basis of his stock is $65,000. mike distributes $150,000 to Rob in 20X1. Eamings and profits for mike are $45,000. What are the tax consequences of the distribution? Taxable Dividend a. $ 40,000 b. $ 45,000 c.$ 45,000 d. $150,000 e. all are incorrect
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Financial Accounting The Impact On Decision Makers
Authors: Curtis L. Norton, Gary A. Porter
6th Edition
9781439037119, 1439037116
