Questions from General Taxation

Q: Mountain Company owns 25% of Valley Company. Both are domestic

Mountain Company owns 25% of Valley Company. Both are domestic corporations. Valley pays a $60,000 dividend to Mountain. What amount of dividend income will be included in the taxable income of Mounta...

Q: For Subchapter C corporations, which of the following statements is true

For Subchapter C corporations, which of the following statements is true? a. Capital losses can be carried back three years and then carried forward five years. b. Corporations can elect to forgo the...

Q: Which of the following statements is false? a.

Which of the following statements is false? a. A corporation with average sales in excess of $26,000,000 must use the accrual method of accounting. b. The charitable contributions of a corporation ma...

Q: A calendar-year corporate taxpayer must make its final estimated tax

A calendar-year corporate taxpayer must make its final estimated tax payment on the 15th of which month? a. November. b. December. c. January. d. February.

Q: Which, if any, of the following statements concerning the shareholders

Which, if any, of the following statements concerning the shareholders of a Subchapter C corporation is correct? a. Shareholders are taxed on their proportionate share of earnings and profits as they...

Q: Parker Company has earnings and profits of $8,000.

Parker Company has earnings and profits of $8,000. It distributes capital gain property with a basis of $2,000 and FMV of $9,000 to Gertrude Parker, its sole shareholder. Gertrude has a basis of $10,0...

Q: Which of the following is a negative adjustment on Schedule M-

Which of the following is a negative adjustment on Schedule M-1? a. Federal income tax. b. Charitable contributions in excess of the 10% limit. c. Depreciation for books in excess of depreciation for...

Q: Explain the rules associated with the carryback and carryforward of net operating

Explain the rules associated with the carryback and carryforward of net operating losses created in 2017.

Q: Which of the following is a positive adjustment on Schedule M-

Which of the following is a positive adjustment on Schedule M-1? a. Excess of capital losses over capital gains. b. Excess of capital gains over capital losses. c. Charitable contribution carryover t...

Q: Banana Company is widely held. It owns 85% of Strawberry

Banana Company is widely held. It owns 85% of Strawberry Corporation. Two individuals hold the remaining 15%. Which of the following statements is true? a. Banana and Strawberry must file a consolida...