Individual Income Taxes
43rd Edition
ISBN: 9780357109731
Author: Hoffman
Publisher: CENGAGE LEARNING - CONSIGNMENT
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Chapter 20, Problem 44P
a.
To determine
Determine each corporation’s federal income tax liability.
b.
To determine
Construct an excel formula, which will directly produce the answer for all of the entities.
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Requirements
a. What is Sigma Corporation's income tax liability assuming its taxable income is (a) $82,000, (b) $123,000, and (c) $55 million.
b. How would your answers change if Sigma were a personal service corporation?
Requirement a. (a) What is Sigma Corporation's income tax liability assuming its taxable income is $82,000.
ma Corporation's income tax liability =
Requirement a. (b) What is Sigma Corporation's income tax liability assuming its taxable income is $123,000.
pted
Sigma Corporation's income tax liability
Requirement a. (c) What is Sigma Corporation's income tax liability assuming its taxable income is $55 million. (Enter your answer in dollars, not millions.)
=
Sigma Corporation's income tax liability:
=
Requirement b. How would your answers change if Sigma were a personal service corporation?
(a) Assume its taxable income is $82,000.
Sigma Corporation's income tax liability as a personal service corporation : =
(b) Assume its taxable income is $123,000.
Using the 2019 corporate tax rate: a. What are the tax liability, the marginal tax rate, and the average tax
rate for a corporation with $248, 300 taxable income? b. What are the tax liability, the marginal tax rate,
and the average tax rate for a corporation with $39,253,000 taxable income? (Create a problem similar to
the one above and give multiple choice answer)
Select the best answer to the tax credit and corporate and partnership income tax issues.
Mamey, Inc. had taxable income of $138,500 in 2020. What is the income tax expense for the year 2020?
a. $29,085
b. $25,623
c. $34,625
d. $27,700
Which of the following items might not generally appear on the Schedule M-1 reconciliation
a. Exempt interest income
b. Meal expenses
c. Office material expenses
d. Federal income tax expense
Cubey Industries, Inc. has a net book income of $76,100. For the year it had an income tax expense of $18,900. During the year Cubey received pandemic exempt income of $5,000 and had total food expense of $1,000 on books. What is the result of the Schedule M-1 reconciliation per Schedule line 10.
a. $81,600
b. $90,500
c. $95,500
d. $95,000
The net operating losses (NOLs) that a corporation has available to be used against taxable income for the year 2020 are subject to
a. A limitation of 90% of taxable income
b.…
Chapter 20 Solutions
Individual Income Taxes
Ch. 20 - Prob. 1DQCh. 20 - LO.1 Sylvia and Trang want to enter into business...Ch. 20 - Prob. 3DQCh. 20 - Prob. 4DQCh. 20 - Prob. 5DQCh. 20 - LO.3, 4, 5 Contrast the income taxation of...Ch. 20 - LO.3, 8, 9 The taxpayer has generated excess...Ch. 20 - Prob. 8DQCh. 20 - Prob. 9DQCh. 20 - Prob. 10DQ
Ch. 20 - Prob. 11DQCh. 20 - Prob. 12DQCh. 20 - Prob. 13DQCh. 20 - Prob. 14DQCh. 20 - LO.5 Beige Corporation has a fiscal year ending...Ch. 20 - Prob. 16DQCh. 20 - Prob. 17DQCh. 20 - Prob. 18DQCh. 20 - Prob. 19DQCh. 20 - Prob. 20DQCh. 20 - Prob. 21DQCh. 20 - Blaine, Cassie, and Kirstin are equal partners in...Ch. 20 - LO.3 Green Corporation, a calendar year taxpayer,...Ch. 20 - Prob. 24CECh. 20 - Prob. 25CECh. 20 - LO.4 Gold and Silver are two unrelated calendar...Ch. 20 - Prob. 27CECh. 20 - Prob. 28CECh. 20 - Prob. 29CECh. 20 - Prob. 30CECh. 20 - Prob. 31CECh. 20 - Prob. 32CECh. 20 - Prob. 33CECh. 20 - LO.3, 4, 5 Using the legend provided below,...Ch. 20 - LO.3 Garnet incurs the following capital asset...Ch. 20 - Prob. 36PCh. 20 - LO.3 Taupe, a calendar year taxpayer, has a...Ch. 20 - LO.3, 8 Robin incurred the following capital...Ch. 20 - Prob. 39PCh. 20 - Prob. 40PCh. 20 - Prob. 41PCh. 20 - Prob. 42PCh. 20 - Prob. 43PCh. 20 - Prob. 44PCh. 20 - Prob. 45PCh. 20 - Prob. 46PCh. 20 - Prob. 47PCh. 20 - Prob. 48PCh. 20 - Prob. 49PCh. 20 - Prob. 50PCh. 20 - During the current year, Thrasher (a calendar...Ch. 20 - Prob. 52PCh. 20 - Prob. 53PCh. 20 - Prob. 54PCh. 20 - Prob. 55PCh. 20 - LO.9 The Pheasant Partnership reported the...Ch. 20 - Prob. 57PCh. 20 - Prob. 58PCh. 20 - Prob. 59PCh. 20 - Prob. 1RPCh. 20 - Prob. 2RPCh. 20 - Prob. 3RPCh. 20 - Prob. 5RPCh. 20 - On January 1, year 5, Olinto Corp., an accrual...Ch. 20 - Prob. 2CPACh. 20 - Prob. 3CPACh. 20 - Prob. 4CPACh. 20 - Prob. 5CPACh. 20 - Prob. 6CPACh. 20 - Prob. 7CPA
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