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Mini Corporation brought a $7,000,000 NOL carryforward into the Mucho Group of corporations that elected to file on a consolidated basis as of the beginning
Mini Corporation brought a $7,000,000 NOL carryforward into the Mucho Group of corporations that elected to file on a consolidated basis as of the beginning of this year. Combined results for the year generated $15,000,000 taxable income, $2,000,000 of which was attributable to Mini's activities for the year. Assume that 382 limitations do not apply.
Complete the following sentence to explain why Mini probably has not been a good consolidation partner.
Due to the SRLY rules, only $___of Mini's NOL carryforward can be used in the first tax year.
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