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Burkhalter Corporation has a deficit in Current E & P of $117,000 and a positive balance in Accumulated E & P of $182,000. On December
Burkhalter Corporation has a deficit in Current E & P of $117,000 and a positive balance in Accumulated E & P of $182,000. On December 31 of the current year, the corporation distributed $144,600 to its sole shareholder, Albert:
Albert has a stock basis of $24,200. The amount of the distribution that is a dividend amounts to:
$144,600
$65,000
$182,000
some other amount
How much of Albert's distribution is a not taxable return of capital?
$65,000
$24,200
$55,400
some other amount
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