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Beta C-Corp, a had gross sales of $880,000, cost of sales of $540,000. The company also paid salaries to employees in the amount of $145,000
Beta C-Corp, a had gross sales of $880,000, cost of sales of $540,000. The company also paid salaries to employees in the amount of $145,000 (not included in cost of sales) for the current calendar year. Dividends of $95,000 were paid at the end of the year.
What is the total income tax paid by the company? Use the 2020 rates for C-Corp.
Explain your answer with work and also if you take into account executive salaries and dividends recipient taxes, why you do so.
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