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Timpanogos Incorporated is an accrual-method, calendar-year corporation. For 2021, it reported financial statement income after taxes of $1,449,360. Timpanogos provided the following information relating to
Timpanogos Incorporated is an accrual-method, calendar-year corporation. For 2021, it reported financial statement income after taxes of $1,449,360. Timpanogos provided the following information relating to its 2021 activities:
Life insurance proceeds as a result of CEOs death | $ 216,000 |
---|---|
Revenue from sales (for both book and tax purposes) | 2,160,000 |
Premiums paid on the key-person life insurance policies. The policies have no cash surrender value. | 22,680 |
Qualified charitable contributions | 194,400 |
Cost of goods sold for book and tax purposes | 324,000 |
Interest income on tax-exempt bonds | 43,200 |
Interest paid on loan obtained to purchase tax-exempt bonds | 48,600 |
Rental income payments received and earned in 2021 | 16,200 |
Rental income payments received in 2020 but earned in 2021 | 10,800 |
Rental income payments received in 2021 but not earned by year-end | 32,400 |
Tax depreciation | 59,400 |
Book Depreciation | 27,000 |
Net capital loss | 45,360 |
Federal income tax expense for books in 2021 | 334,800 |
- Complete Schedule M-1 for Timpanogos. #4 and #10
- Compute Timpanogos Incorporateds tax liability for 2021.
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Total Tax Liability _________?
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