In year 1, GSL Corp.s alternative minimum tax base was $2,000,000 and its regular tax liability is

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In year 1, GSL Corp.’s alternative minimum tax base was $2,000,000 and its regular tax liability is $350,000.

a. What is GSL’s total tax liability for years 1, 2, 3, and 4 (by year) assuming the following?

Year 2: AMT base $600,000; Regular tax liability $100,000.
Year 3: AMT base $500,000; Regular tax liability $160,000.
Year 4: AMT base $1,000,000; Regular tax liability $150,000.

b. What, if any, minimum tax credit does GSL have at the end of year 4?

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Taxation Of Business Entities 2018 Edition

ISBN: 9781260174441

9th Edition

Authors: Brian C. Spilker, Benjamin C. Ayers, John A. Barrick, Edmund Outslay, John Robinson, Connie Weaver Ronald G. Worsham

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Question Posted: May 29, 2018 06:52 AM

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In year 1, GSL Corp.s alternative minimum tax base was $2,000,000 and its regular tax liability is

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a Year 1 GSL will owe 400000 in taxes 50000 of AMT and 350000 of regular tax liability TMT 400000 20...View the full answer

Taxation Of Business Entities 2018 Edition

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