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The ( mathrm{S} ) corporation has always been taxed as an ( mathrm{S} ) corporation and has no AEP - For the tax year, the
The \\( \\mathrm{S} \\) corporation has always been taxed as an \\( \\mathrm{S} \\) corporation and has no AEP - For the tax year, the \\( \\mathbf{S} \\) corporation allocated \\( \\$ 15,000 \\) of ordinary business income to the shareholder - At the end of the tax year, the \\( S \\) corporation made a \\( \\$ 5,000 \\) non-liquidating distribution to the shareholder - The shareholder has a \\( \\$ 20,000 \\) stock basis as of the beginning of the tax year Based on these facts, (a) how much taxable income does the shareholder report and (2) what is the shareholder's ending stock basis? \\( \\$ 0 \\) of taxable income and a \\( \\$ 15,000 \\) ending stock basis \\( \\$ 5,000 \\) of taxable income and a \\( \\$ 15,000 \\) ending stock basis \\( \\$ 5,000 \\) of taxable income and a \\( \\$ 30,000 \\) ending stock basis \\( \\$ 0 \\) of taxable income and a \\( \\$ 30,000 \\) ending stock basis
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