Question
In 2018, a company is considering alternative organizational forms. The gross business earnings are $100,000. The owner is single and has $3,000 of income from
In 2018, a company is considering alternative organizational forms. The gross business earnings are $100,000. The owner is single and has $3,000 of income from other sources,itemized deductions of $11,000, and a standard deduction of $12,000. Compensation for services is $50,000. Business charitable contributions are $4,000. The owner's dividends from the corporation are $15,000.
What will be the individual's adjusted gross income (AGI) if the business is operated as a C Corporation?
The answer is $68,000 but I am unsure how to arrive at this answer.
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Income Tax Fundamentals 2013
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill
31st Edition
1111972516, 978-1285586618, 1285586611, 978-1285613109, 978-1111972516
