In comparing C corporations with individuals, which of the following, if any, relate only to individuals?

a.Estimated income tax payments may have to be made.

b.Excess charitable contributions can be carried back.

c.Excess charitable contributions can be carried forward.

d.Excess long-term capital losses are carried forward as long-term capital losses.

e.None of these choices are correct.

Madison, a calendar year individual taxpayer, has the following results for 2019: profit from operations of $200,000 and long-term capital loss from investments of $20,000. As to the capital loss, Madison may:

a.Carry back the loss for three years to offset any capital gains.

b.Deduct $3,000 and carry forward $17,000 indefinitely as a short-term capital loss.

c.Deduct $3,000 and carry forward $17,000 indefinitely as a long-term capital loss.

d.Deduct $3,000 and carry forward $17,000 for five years as a long-term capital loss.

e.None of these choices are correct.

Gray is a calendar year taxpayer. In early December 2019, Gray's Board of Directors authorizes a pledge of an $80,000 donation to the Red Cross to help provide food and shelter to victims of natural disasters. The donation is paid as follows: $10,000 in late December 2019, $40,000 in February 2020, and $30,000 in early May 2020. Disregarding percentage limitations, the maximum deduction for 2019 is:

a.$80,000 if Gray is an accrual basis individual.

b.$50,000 if Gray is a cash basis corporation.

c.$50,000 if Gray is an accrual basis corporation.

d.$50,000 if Gray is an accrual basis individual.

e.None of these choices are correct.