Question
Determine the amount of taxable income and separately stated items in each case, assuming the corporation is a Subchapter S Corporation. a. Book Income of
Determine the amount of taxable income and separately stated items in each case, assuming the corporation is a Subchapter S Corporation. a. Book Income of $50,000 including capital gains of $2000, a charitable contribution of $1000 and meals expenses of $3000. b. Book income of $92,000 including capital losses of $3000, a charitable contribution of $12,000 and meal expenses of $3000. c. Book income of $76,000 including municipal bond interest of $2000, a charitable contribution of $5000, and dividends of $3000 from a 10% owned domestic corporation. The corporation also has an $8000 charitable contribution carryover. d. Book income of $129,000 including municipal bond interest of $2000, a charitable contribution of $5000, and dividends of $7000 from a 70% owned domestic corporation. The corporation has a capital loss carryover of $6000 and a capital gain of $2500 in the current year.
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