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Logan, a 5 0 - percent active shareholder in Military Gear Incorporated ( MG ) , is comparing the tax consequences of losses from C
Logan, a percent active shareholder in Military Gear Incorporated MG is comparing the tax consequences of losses from C corporations with losses from S corporations. Assume MG has a $ tax loss for the year, Logan's tax basis in his MG stock was $ at the beginning of the year, and he received $ ordinary income from other sources during the year. Assuming Logan's marginal tax rate is percent, how much more tax will Logan pay currently if MG is a C corporation compared to the tax he would pay if it were an S corporation?
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$
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$
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