mpus Connect Perent Twitter Facebook Campus Connect Connect C Chegg Linden Woods Ped tumn #246 Saved Help Save & Exit Submit Windmill Corporation manufactures products in its plants in lowa, Canada, Ireland, and Australia Windmill conducts its operations in Canada through a 50 percent-owned joint venture, CanCo. CanCo is treated as a corporation for US. and Canadian tax purposes. An unrelated Canadian investor owns the remaining 50 percent. Windmill conducts its operations in Ireland through a wholly owned subsidiary, IrishCo IrishCo is a controlled foreign corporation for US tax purposes. Windmill conducts its operations in Australia through a wholly owned hybrid entity, KiwiCo. KiwiCo is treated as a branch for US tax purposes and a corporation for Australian tax purposes Windmill also owns a 5 percent interest in a Dutch corporation, TulipCo During 2021, Windmill reported the following foreign source income from its international operations and investments. Check my work -006 Dividend Income Amount withholding tax Interest incone Amount withholding tax Branch income Taxable income AUS Income taxes Cance Iris KIMICH 104,200 3,210 5 46,000 $72,800 3,640 $117,000 $30,000 4 Tulipce 532,800 4,920 Note CanCo and KiwiCo derive all of their earnings from active business operations Requirement: a. Classify the income received by Windmill into the appropriate FTC baskets b. Windmill has $1,282.000 of US source gross income. Windmill also incurred SG&A of $332,000 that is apportioned between US and foreign source income based on the gross income in each basket. Assume KiwiCo's gross income is $307,200 Compute the FTC limitation for each basket of foreign source income