19. LO.3 Night, Inc., a domestic corporation, earned $300,000 from foreign manufacturing activities on which it paid
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19. LO.3 Night, Inc., a domestic corporation, earned $300,000 from foreign manufacturing activities on which it paid $36,000 of foreign income taxes. Night’s foreign sales income is taxed at a 50% foreign tax rate. Both sales and manufacturing income are assigned to the general limitation basket. What amount of foreign sales income can Night earn without generating any excess FTCs for the current year? Assume a 21% U.S. rate.
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Related Book For
Essentials Of Taxation Individuals And Business Entities
ISBN: 233160
1st Edition
Authors: Nellen/Young/Raabe/Maloney
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