ax Drill-Allocation of Deductions han, Inc. a domestic corporation, reports $650,000 of gross income and an $80,000 expense, all related to real estate activities. Determine the expense allocation and apportionment using gross income as a basis. When required, round any division to three decimal places. Use rounded amounts in subsequent computations. Feedback 1 Check My Work The United States levies a tax on taxable income. Deductions and losses, therefore, must be allocated and apportioned betwe foreign-source gross income to determine U.S. and foreign-source taxable income