Please help me to fill out the Schedule G
Note: This problem is for the 2018 tax year. On February 12, 2005, Nancy Trout and Delores Lake formed Kingfisher Corporation to sell fishing tackle. Pertinent information regarding Kingfisher 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 kingfisher@kf.com The employer identification number is 11-1111113, and the principal business activity code is 451110 Nancy owns 50% of the common stock and is president of the company, and Delores owns 50% 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 employees of Kingfisher. Nancy's Social Security number is 123-45-6788, and Delores's Social Security number is 123-45-6787. 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 (MACRS) for tax purposes During 2018, the corporation distributed cash dividends of $80,000. Kingfisher's financial statements for 2018 are shown below and on the next page Income Statement Income Gross sales $2,408,000 Sales returns and allowances (80,000) Net sales $2,328,000 Cost of goods sold (920,000) Gross profit $1,408,000 Dividends received from stock investments in less-than-20%- owned U.S. corporations 12,000 Interest income: State bonds $14,000 Certificates of deposit 10,000 24,000 Total income $1,444,000 Expenses Salaries-officers Nancy Trout $160,000 Delores Lake $320,000 160,000 Salaries-clerical and sales 290,000 Taxes (state, local, and payroll) 85,000 Repairs and maintenance 56,000 Interest expense: Business loans $12,000 8,000 Loan to purchase state bonds 20,000 Advertising 6,000 Rental expense 68,000 Depreciation* 40,000 Charitable contributions 15,000 Employee benefit programs 24,000 Premiums on term life insurance policies on lives of Janet Morton and Kim Wong; Pet Kingdom is the designated beneficiary 16,000 Total expenses (940,000) Net income before taxes $504,000 Federal income tax (106,680) Net income per books $397,320 You are not provided enough detailed information to complete a Form 4562 (depreciation). If you solve this problem using Intuit ProConnect, enter the amount of deprecation on line 20 of Form 1120 Balance Sheet January 1, 2018 December 31, 2018 Assets Cash $380,000 $337,300 Trade notes and accounts receivable 308,400 480,280 Inventories 900,000 1,012,000 State bonds 160,000 160,000 Federal income tax refund 1,320 -0- Certificates of deposit 140,000 140,000 Stock investments 300,000 300,000 Buildings and other depreciable assets 240,000 240,000 Accumulated depreciation (88,000) (128,800) Land 20,000 20,000 Other assets 3,600 2,000 $2,363,200 $2,564,100 Total assets Liabilities and Equity December 31, 2018 January 1, 2018 Accounts payable $300,000 $233,880 Other current liabilities 80,300 40,000 Mortgages 210,000 200,000 Capital stock 500,000 500,000 Retained earnings 1,272,900 1,590,220 Total liabilities and equity $2,363,200 $2,564,100 Required: During 2018, Kingfisher made estimated tax payments of $27,000 each quarter to the IRS. Prepare a Form 1120 for Kingfisher for tax year 2018 If an amount box does not require an entry or the answer is zero, enter "O" Enter all amounts as positive numbers, unless otherwise instructed. If required, round amounts to the nearest dollar. Make realistic assumptions about any missing data. Complete Kingfisher Corporation's Schedule G for tax year 2018. SCHEDULE G Information on Certain Persons Owning the (Form 1120) Corporation's Voting Stock Attach to Form 1120. OMB No. 1545-0123 (Rev. December 2011) Department of the Treasury See instructions on page 2. Internal Revenue Service Employer identification number (EIN) Name Kingfisher Corporation 11-1111113 Certain Entities Owning the Corporation's Voting Stock. (Form 1120 Schedule K, Question 4a). Complete columns (i) Part I through (v) below for any foreign or domestic corporation, partnership (including any entity treated as a partnership), trust, or tax-exempt organization that owns directly 20% or more, or owns, directly or indirectly, 50% or more of the total voting power of all classes of the corporation's stock entitled to vote (see instructions) (ii) Employer Identification (iv) Country of (v) Percentage Owned in Voting (i) Name of Entity (iii) Type of Entity Number (if any) Organization Stock Certain Individuals and Estates Owning the Corporation's Voting Stock.(Form 1120, Schedule K, Question 4b). Complete Part II columns (i) through (iv) below for any individual or estate that owns directly 20% or more, or owns, directly or indirectly, 50% or more of the total voting power of all classes of the corporation's stock entitled to vote (see instructions). (ii) Identifying Number (ii) Country of Citizenship (iv) Percentage Owned (i) Name of Individual or Estate (if any) (see instructions) in Voting Stock Nancy Trout United States 123-45-6788 % Delores Lake United States 123-45-6787 % For Paperwork Reduction Act Notice, Schedule G (Form 1120) (Rev. 12-2011) BAA see the instructions for Form 1120. Note: This problem is for the 2018 tax year. On February 12, 2005, Nancy Trout and Delores Lake formed Kingfisher Corporation to sell fishing tackle. Pertinent information regarding Kingfisher 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 kingfisher@kf.com The employer identification number is 11-1111113, and the principal business activity code is 451110 Nancy owns 50% of the common stock and is president of the company, and Delores owns 50% 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 employees of Kingfisher. Nancy's Social Security number is 123-45-6788, and Delores's Social Security number is 123-45-6787. 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 (MACRS) for tax purposes During 2018, the corporation distributed cash dividends of $80,000. Kingfisher's financial statements for 2018 are shown below and on the next page Income Statement Income Gross sales $2,408,000 Sales returns and allowances (80,000) Net sales $2,328,000 Cost of goods sold (920,000) Gross profit $1,408,000 Dividends received from stock investments in less-than-20%- owned U.S. corporations 12,000 Interest income: State bonds $14,000 Certificates of deposit 10,000 24,000 Total income $1,444,000 Expenses Salaries-officers Nancy Trout $160,000 Delores Lake $320,000 160,000 Salaries-clerical and sales 290,000 Taxes (state, local, and payroll) 85,000 Repairs and maintenance 56,000 Interest expense: Business loans $12,000 8,000 Loan to purchase state bonds 20,000 Advertising 6,000 Rental expense 68,000 Depreciation* 40,000 Charitable contributions 15,000 Employee benefit programs 24,000 Premiums on term life insurance policies on lives of Janet Morton and Kim Wong; Pet Kingdom is the designated beneficiary 16,000 Total expenses (940,000) Net income before taxes $504,000 Federal income tax (106,680) Net income per books $397,320 You are not provided enough detailed information to complete a Form 4562 (depreciation). If you solve this problem using Intuit ProConnect, enter the amount of deprecation on line 20 of Form 1120 Balance Sheet January 1, 2018 December 31, 2018 Assets Cash $380,000 $337,300 Trade notes and accounts receivable 308,400 480,280 Inventories 900,000 1,012,000 State bonds 160,000 160,000 Federal income tax refund 1,320 -0- Certificates of deposit 140,000 140,000 Stock investments 300,000 300,000 Buildings and other depreciable assets 240,000 240,000 Accumulated depreciation (88,000) (128,800) Land 20,000 20,000 Other assets 3,600 2,000 $2,363,200 $2,564,100 Total assets Liabilities and Equity December 31, 2018 January 1, 2018 Accounts payable $300,000 $233,880 Other current liabilities 80,300 40,000 Mortgages 210,000 200,000 Capital stock 500,000 500,000 Retained earnings 1,272,900 1,590,220 Total liabilities and equity $2,363,200 $2,564,100 Required: During 2018, Kingfisher made estimated tax payments of $27,000 each quarter to the IRS. Prepare a Form 1120 for Kingfisher for tax year 2018 If an amount box does not require an entry or the answer is zero, enter "O" Enter all amounts as positive numbers, unless otherwise instructed. If required, round amounts to the nearest dollar. Make realistic assumptions about any missing data. Complete Kingfisher Corporation's Schedule G for tax year 2018. SCHEDULE G Information on Certain Persons Owning the (Form 1120) Corporation's Voting Stock Attach to Form 1120. OMB No. 1545-0123 (Rev. December 2011) Department of the Treasury See instructions on page 2. Internal Revenue Service Employer identification number (EIN) Name Kingfisher Corporation 11-1111113 Certain Entities Owning the Corporation's Voting Stock. (Form 1120 Schedule K, Question 4a). Complete columns (i) Part I through (v) below for any foreign or domestic corporation, partnership (including any entity treated as a partnership), trust, or tax-exempt organization that owns directly 20% or more, or owns, directly or indirectly, 50% or more of the total voting power of all classes of the corporation's stock entitled to vote (see instructions) (ii) Employer Identification (iv) Country of (v) Percentage Owned in Voting (i) Name of Entity (iii) Type of Entity Number (if any) Organization Stock Certain Individuals and Estates Owning the Corporation's Voting Stock.(Form 1120, Schedule K, Question 4b). Complete Part II columns (i) through (iv) below for any individual or estate that owns directly 20% or more, or owns, directly or indirectly, 50% or more of the total voting power of all classes of the corporation's stock entitled to vote (see instructions). (ii) Identifying Number (ii) Country of Citizenship (iv) Percentage Owned (i) Name of Individual or Estate (if any) (see instructions) in Voting Stock Nancy Trout United States 123-45-6788 % Delores Lake United States 123-45-6787 % For Paperwork Reduction Act Notice, Schedule G (Form 1120) (Rev. 12-2011) BAA see the instructions for Form 1120
