On Fcbruary 12, 2007, Nancy Trout and Delores Lake formed Kingisher Corporation to sell fishing tackle. Pertinent infomation regarding Kingisher is summarized as follows: - Kingfisher's business address is 1717 Main Street, Ely. MN 55731; its telephone number is (218) 555-2211; and its e-mail address is kingfisherlekf.com. - The employer identification number is 11-1111113, and the principal business activity code is 451110 . - Nancy owns 50 N of the common stock and is president of the company, and Delones owns 5006 of the common stock and is vice president of the company. No other class of stock is authorized. - Both Nancy and Delores are full-time employeees of Kingfisher. Nancy/s Soctal Security number is 123-45-6788, and Deloresis Social Security number is 123-15-6787. - Kingfisher is an accrual method, calendar year taxpayer. Inventories are determined using FIFO and the lower of cost or market method. Kingfisher uses the straight-line method of deprecation for book purposes and accelerated depreciation (ALACRS) for tax purposes. - During 2021, the corporition distributed cash dividends of $80,000. Kingfisher's financial statements for 2021 are shown below and on the next page. Premiums on term life insurance policies on lives of Nancy Trout and Delores Lake Kingfisher is the designated beneficiary Total expenses Net income before taxes Federal income tax Net income per bools 5.504,0001940.000)16.000 IRS. Prepare Kingfisher's corporate tax rutum for tax year 2021 using form 1120 and any other appropriate forms and schedules). Sugsested yoftware Procannect Tax: if is Chartable contributions. 19 Deprociation from Form 4562 not clalmed on Form 1125-A or olsowhere on retum (attach Form 4562) 21 Deplation 22 Advertising 23 Pension, proft-sharing, otc, plans 25 Peserved for future use 20 Other deductions (attach statement) b. Own directy an interest of 20% or more, or own, dieactly or indrectly, an interest of 50% of more in any foreign or domestic parinership (ncluding an entty treated as a partherahlpy or in the beneticial intertet of a trust? For niles of constructive ownership, see instructions. b Own dinectly an interest of 20% o more, or own, directly or ind hectly, an interest of 50% of more in any forelgn or domestic partressnp (including an entity treated as a parthership) or in the benefcial Interest of a trust? For rules of constructive ownership, see instructions. 6. During this tax year, did the corporation pay dividends (other than stock dividends and distrlbutions in axehange ror stocki m oxcess of the corporation's current and nccumulated eamings and peofits? See sections 301 and 316 If "Yos," flle Form 5452, Corporate Repot of Nondividend Distributions. See the instructions for Form 5452 . It this is a coneolidated meturn, answer here for the parent corporation and on Form 851 for each subsidiary. 7 At any time during the tax year, did one foreign person own, directly of indirectly, at least 25% of the total voting power of all classes of the copporation's stock entitled to vote or at least 25% of the total value of all classes of the corporation's ntock? For nules of atiribution, sea nection 318. If "Yes." enter: (a) Percentinge owned and (b) Owner's country (c) The corponation may have to fie Form 5472, infomation Return of a 25% Foreign-Owned U.S. Comoration or a Foreign Corporation Engaged In a U.S. Trade or Business, Enter the number of Forms 5472 attached 8 Check this box it the corporation issued publicly offered debt instruments with original issue discount If checked, the corporation may have to fle Form Bse1, Information Peturn for Publlcly Otfered Original lesue Discount instruments. 9 Enter the amount of tax-exempt interest recelved or accrued during the tax yoar =t 10. Enter the number of shareholders at the end of the tax year of 100 of fewer) . 11 If the corporation has an NOL for the tax year and is electing to torego the carryback period, check here (eee instinuctions) - If the corporation is fling a coreolidated retum, the statement recuired by Regulations section 1,1502-21(b)(7) must be attached or the dection will not be valik. 12 Enter the avalable NOL carryover from prior tax yearn (do not reduce it by any deduction reported on pape 1, the 29a.) Schedule K Other Information (continued from page 4) 13 Are the corporation's total recelpts (page 1, Ine 1a, plus lines 4 through 10) for the tax yoar and its total assets at the end of the tax year less than $250,000 ? If "Yes," the copporation is not required to complete Schectules L4 M-1, and M2. Instand, enter the total amount of cash distributions and the book value of property distributions (other than cash) made during the tax year $ 14 Is the corporation required to file Schedule UTP (Form 1120). Uncertain Tax Position Statement? See instructions If "Yos, "complete and attach schedule UTP. 16a Did the corporation make any payments in 2021 that would require it to fie Form(s) 1099 ? b If "Yes," did or will the corporation file required Form(s) 1099 ? . 16 During this tax year, did the corporation have an 80N-or-more change in ownership, including a change due to redemption of its own stock? 17 During or subeequent to this tax year, but before the filing of this rotum, did the corporation dispose of more than 65% (by value) of its assets in a taxablo, non-tacable, or tax delerred transaction? 18 Did the corporation recolve aseets in a section 351 transfer in which any of the transferred assets had a falr market basis or talr market value of more than $1 million? 19 During the comoration's tax year, did the corponation make any payments that would require it to fle Forms 1042 and 10425 under chapter 3 (sections 1441 through 1464) or chapter 4 (sections 1471 through 1474) of the Code? 20 is the corporation operating on a cooperative basis? 21 During the tax year, did the coporation pay or acorve any interest or royalty for which the dectuction is not allowed under section 207A? See instructions If "Yes," enter the total amount of the disallowed deductions - $ 22 Does the corporation have oross recelpts of at least $500 million in ary of the 3 preceding tax years? (See sections 59M/e)(Z) and (3)) If "Yes," complete and attach form 8991. 23 Did the corporation have an election under section 1030 for any real property trade or business or any faming business in effect during the tax year? See instructions 24 Does the copporation eatisty one or more of the following? See instructions a The corporation owns a pass-through entity with current, or prior yoar carryover, axcess business interest expense. b. The corporation's aggregate average annual gross receipts (determined under section 448(c) for the 3 tax years preceding the current tax year ace more than $96 malion and the corporation has business interest expense. c. The corporation is a tax shetter and the corpontion has business interest expense. If "Yos," complete and antach Fom 8990. 25 Is the corporation attaching Form 8996 to certity as a Cualified Oppontunity Fund? If "Yos," enter amount from Form 8996 , line 15 21 During the tex yaar, dio 207A ? See instructions If "Yes," enter the total amount of the dieallowed deductions $ 22 Does the corporation have gross recelpts of at least 3500 milion in any of the 3 preceding tax yaars? (See sections 594(0) ) and (B)). If "Yes," complete and atach Fom 8991 . 23 Did the corponation have an election under section 1630 for any real property trade or buniness or any faming business in effect during the tax year? See instructions 24 Does the corponation satisty one or more of the following? See instructions . a The corporation owns a pass-through entity with current, or prior year carryover, excess business interest expense. b The corporation's aggregate average annual gross receipts (determined under section 448(C)) for the 3 tax years preceding the current tax year are more than 320 miltion and the corporation has bualness interest expense. - The corporation is a tax sheiter and the corporation has business interest expense. If "Yes," complete and attach Form 6990. 25 Is the corporation attaching Foem 8996 to certity as a Oualified Opportunity Fund?. If "Yes," enter amount from Fom 8996 , line 15 26- Since December 22,2017 , did a foreign corporation directly or indirectly acquire substantially all of the properties held directly or Indirectly by the corporation, and was the ownership percentage (oy vote or value) for purposes of section 7874 graater than 50\% (for example, the shayeholden held more than 50% of the stock of the foreign corporationi? If "Yes," list the ownership percentage by vote and by value. See instructions Percentage By Vote By Value Schedule M-1 Reconciliation of Income (Loss) per Books With Income per Retum Note: The corporation may be required to tite Schedule M-3. See instructions. Schedule M-1 Reconciliation of Income (Loss) per Books With Income per Retum Note: The corporation may be required to fie Schedule M-3. See intetructions. On Fcbruary 12, 2007, Nancy Trout and Delores Lake formed Kingisher Corporation to sell fishing tackle. Pertinent infomation regarding Kingisher is summarized as follows: - Kingfisher's business address is 1717 Main Street, Ely. MN 55731; its telephone number is (218) 555-2211; and its e-mail address is kingfisherlekf.com. - The employer identification number is 11-1111113, and the principal business activity code is 451110 . - Nancy owns 50 N of the common stock and is president of the company, and Delones owns 5006 of the common stock and is vice president of the company. No other class of stock is authorized. - Both Nancy and Delores are full-time employeees of Kingfisher. Nancy/s Soctal Security number is 123-45-6788, and Deloresis Social Security number is 123-15-6787. - Kingfisher is an accrual method, calendar year taxpayer. Inventories are determined using FIFO and the lower of cost or market method. Kingfisher uses the straight-line method of deprecation for book purposes and accelerated depreciation (ALACRS) for tax purposes. - During 2021, the corporition distributed cash dividends of $80,000. Kingfisher's financial statements for 2021 are shown below and on the next page. Premiums on term life insurance policies on lives of Nancy Trout and Delores Lake Kingfisher is the designated beneficiary Total expenses Net income before taxes Federal income tax Net income per bools 5.504,0001940.000)16.000 IRS. Prepare Kingfisher's corporate tax rutum for tax year 2021 using form 1120 and any other appropriate forms and schedules). Sugsested yoftware Procannect Tax: if is Chartable contributions. 19 Deprociation from Form 4562 not clalmed on Form 1125-A or olsowhere on retum (attach Form 4562) 21 Deplation 22 Advertising 23 Pension, proft-sharing, otc, plans 25 Peserved for future use 20 Other deductions (attach statement) b. Own directy an interest of 20% or more, or own, dieactly or indrectly, an interest of 50% of more in any foreign or domestic parinership (ncluding an entty treated as a partherahlpy or in the beneticial intertet of a trust? For niles of constructive ownership, see instructions. b Own dinectly an interest of 20% o more, or own, directly or ind hectly, an interest of 50% of more in any forelgn or domestic partressnp (including an entity treated as a parthership) or in the benefcial Interest of a trust? For rules of constructive ownership, see instructions. 6. During this tax year, did the corporation pay dividends (other than stock dividends and distrlbutions in axehange ror stocki m oxcess of the corporation's current and nccumulated eamings and peofits? See sections 301 and 316 If "Yos," flle Form 5452, Corporate Repot of Nondividend Distributions. See the instructions for Form 5452 . It this is a coneolidated meturn, answer here for the parent corporation and on Form 851 for each subsidiary. 7 At any time during the tax year, did one foreign person own, directly of indirectly, at least 25% of the total voting power of all classes of the copporation's stock entitled to vote or at least 25% of the total value of all classes of the corporation's ntock? For nules of atiribution, sea nection 318. If "Yes." enter: (a) Percentinge owned and (b) Owner's country (c) The corponation may have to fie Form 5472, infomation Return of a 25% Foreign-Owned U.S. Comoration or a Foreign Corporation Engaged In a U.S. Trade or Business, Enter the number of Forms 5472 attached 8 Check this box it the corporation issued publicly offered debt instruments with original issue discount If checked, the corporation may have to fle Form Bse1, Information Peturn for Publlcly Otfered Original lesue Discount instruments. 9 Enter the amount of tax-exempt interest recelved or accrued during the tax yoar =t 10. Enter the number of shareholders at the end of the tax year of 100 of fewer) . 11 If the corporation has an NOL for the tax year and is electing to torego the carryback period, check here (eee instinuctions) - If the corporation is fling a coreolidated retum, the statement recuired by Regulations section 1,1502-21(b)(7) must be attached or the dection will not be valik. 12 Enter the avalable NOL carryover from prior tax yearn (do not reduce it by any deduction reported on pape 1, the 29a.) Schedule K Other Information (continued from page 4) 13 Are the corporation's total recelpts (page 1, Ine 1a, plus lines 4 through 10) for the tax yoar and its total assets at the end of the tax year less than $250,000 ? If "Yes," the copporation is not required to complete Schectules L4 M-1, and M2. Instand, enter the total amount of cash distributions and the book value of property distributions (other than cash) made during the tax year $ 14 Is the corporation required to file Schedule UTP (Form 1120). Uncertain Tax Position Statement? See instructions If "Yos, "complete and attach schedule UTP. 16a Did the corporation make any payments in 2021 that would require it to fie Form(s) 1099 ? b If "Yes," did or will the corporation file required Form(s) 1099 ? . 16 During this tax year, did the corporation have an 80N-or-more change in ownership, including a change due to redemption of its own stock? 17 During or subeequent to this tax year, but before the filing of this rotum, did the corporation dispose of more than 65% (by value) of its assets in a taxablo, non-tacable, or tax delerred transaction? 18 Did the corporation recolve aseets in a section 351 transfer in which any of the transferred assets had a falr market basis or talr market value of more than $1 million? 19 During the comoration's tax year, did the corponation make any payments that would require it to fle Forms 1042 and 10425 under chapter 3 (sections 1441 through 1464) or chapter 4 (sections 1471 through 1474) of the Code? 20 is the corporation operating on a cooperative basis? 21 During the tax year, did the coporation pay or acorve any interest or royalty for which the dectuction is not allowed under section 207A? See instructions If "Yes," enter the total amount of the disallowed deductions - $ 22 Does the corporation have oross recelpts of at least $500 million in ary of the 3 preceding tax years? (See sections 59M/e)(Z) and (3)) If "Yes," complete and attach form 8991. 23 Did the corporation have an election under section 1030 for any real property trade or business or any faming business in effect during the tax year? See instructions 24 Does the copporation eatisty one or more of the following? See instructions a The corporation owns a pass-through entity with current, or prior yoar carryover, axcess business interest expense. b. The corporation's aggregate average annual gross receipts (determined under section 448(c) for the 3 tax years preceding the current tax year ace more than $96 malion and the corporation has business interest expense. c. The corporation is a tax shetter and the corpontion has business interest expense. If "Yos," complete and antach Fom 8990. 25 Is the corporation attaching Form 8996 to certity as a Cualified Oppontunity Fund? If "Yos," enter amount from Form 8996 , line 15 21 During the tex yaar, dio 207A ? See instructions If "Yes," enter the total amount of the dieallowed deductions $ 22 Does the corporation have gross recelpts of at least 3500 milion in any of the 3 preceding tax yaars? (See sections 594(0) ) and (B)). If "Yes," complete and atach Fom 8991 . 23 Did the corponation have an election under section 1630 for any real property trade or buniness or any faming business in effect during the tax year? See instructions 24 Does the corponation satisty one or more of the following? See instructions . a The corporation owns a pass-through entity with current, or prior year carryover, excess business interest expense. b The corporation's aggregate average annual gross receipts (determined under section 448(C)) for the 3 tax years preceding the current tax year are more than 320 miltion and the corporation has bualness interest expense. - The corporation is a tax sheiter and the corporation has business interest expense. If "Yes," complete and attach Form 6990. 25 Is the corporation attaching Foem 8996 to certity as a Oualified Opportunity Fund?. If "Yes," enter amount from Fom 8996 , line 15 26- Since December 22,2017 , did a foreign corporation directly or indirectly acquire substantially all of the properties held directly or Indirectly by the corporation, and was the ownership percentage (oy vote or value) for purposes of section 7874 graater than 50\% (for example, the shayeholden held more than 50% of the stock of the foreign corporationi? If "Yes," list the ownership percentage by vote and by value. See instructions Percentage By Vote By Value Schedule M-1 Reconciliation of Income (Loss) per Books With Income per Retum Note: The corporation may be required to tite Schedule M-3. See instructions. Schedule M-1 Reconciliation of Income (Loss) per Books With Income per Retum Note: The corporation may be required to fie Schedule M-3. See intetructions