Expenses and Deductions Salaries and wages-officers: Salaries and wages-employees: $ 150,000 Office rent: 32) Part IV (Total 20 points) Using the below Income Statement and Balance Sheet of I Think Corporation to answer the questions: Income: Gross receipts-NYS $ 450,000 Gross receipts-NJ $ 400,000 Gross receipts-CT $ 220,000 $ 300,000 $ 40,000 $ 1,000,000 Advertisement: $ 8,000 Cost of goods sold: $ (350,000) State/local income tax paid: $ 250 Gross profit: $ 650,000 Payroll tax-employer portion: $ 39,780 Other Income: Capital gain $ 3,800 Federal depreciation expense: Other deductions: $ 8,000 (note NYS allowable depreciation expense is $12,000) Total Income: $ 653,800 Total expenses/deductions: $ 150,000 $ 766.030 Balance Sheet: Assets: Cash Other Investment Other Assets (* Other investment and other assets are not related to any real property or marketable securities) Liability and Shareholder's Equity: Accounts Payable Other Current Liability. Common Stock Additional Paid-in Capital Beginning of Tax Year End of Tax Year Average $ 650,000 $ 600,000 125,400 $ 200,000 $ 250,000 $ 350,000 $ 650,000 $ 1,200,000 $ 1,500,000 1350,000 100,000 $. 190000 50,000 $ 800,000 $ $150,0000 $ $ $ 150,000 40,000/ 800,000 510,000 250,000 $ 1,200,000 $ 1,500,000 170,000 Additional information: Business income base tax rate is 6.5%. Capital base tax rate is 0.15%. NYS business apportionment factor is 45%. Fixed dollar minimum tax table is below: Not more than $100,000: More than $100,000 but not over $250,000: More than $250,000 but not over $500,000: More than $500,000 but not over $1,000,000: More than $1,000,000 but not over $5,000,000: More than $5,000,000 but not over $25,000,000: More than $25,000,000 but not over $50,000,000: More than $50,000,000 but not over $100,000,000: More than $100,000,000 but not over $250,000,000: More than $250,000,000 but not over $500,000,000: More than $500,000,000 but not over $1,000,000,000: Over $1,000,000,000 but 25 75 $ 175 $ 500 $ 1,500 $ 3,500 $ 5,000 $ 10,000 $ 20,000 $ 50,000 $ 100,000 $ 200,000 01.02 P Am O 9 O P t J I a) What is the Federal taxable Income (CT-3, Page 4, Part 3 Computation of tax on business income base Line 1)? Total Gross recupts Cost of Goods ald $1000,000. (350,000) Gruss profit 650,000 Total deduction 746,030 Gross recepts love, 00 COGS 350,000 Gross profit 750,000 where is $753,800 3800 Main? Taxable income ($116,630) other man 3800 b) What is the Business Income -(CT-3, Page 4, Part 3 Computation of tax on business income base Line 11)? TAX on Net Income base (146,030) state Local income paid 250.00 TAX on not income/lass (11,380) Base c) What is the Business Income base tax -(CT-3, Page 4, Part 3 Computation of tax on business income base Line 20)? NY Busnes Income/Loss (11,380) y NY Business allocation % 0.45% Busines Income Base (8512.101 d) What is the Capital base tax -(CT-3, Page 5, Part 4 Computation of tax on capital base Line 15)? Business Income Base (512.10) 6.107 Thix rate (51.21) x .015% = 0.768 e) What is the tax due for ABC Corporation for 2020 (CT-3, Page 3, Part 3 Computation of balance due or overpayment Line 2)? 1. Law unal etit. uns Su ch 1 Total assets Best Average 1350,000 Total Capital al Liability 170,000 Totu In task Bussics cont 1180,000 Fixed dollar minimum Tax total pys Gross recupts 450,000 Fixed dollar minimum 175,50 1180.000