Maple Corporation has taxable income of $275,000 for 2018. Calculate the corporation's tax liabil...
Maple Corporation has taxable income of $275,000 for 2018.
Calculate the corporation's tax liability, before tax
credits.
Tax liability $_______________
Tammy has a business which she decides to incorporate. She transfers to the new C corporation real estate with a basis of $75,000 and subject to a $34,000 mortgage in exchange for all of its stock. The stock is worth $125,000.
Compute the following amounts. If an amount is none or zero, enter "0".
1. What is Tammy's realized gain?
$______________
2. What is Tammy's recognized gain?
$______________
3. What is Tammy's basis in her stock?
$______________
4. What is the corporation's basis in the real
estate?
$______________
Homework Answers
Dear Student,
These are two different questions. As per the HOMEWORKLIB POLICY, only the first question should be answered completely. Kindly take note of it.
Maple Corporation's tax liability = taxable income * tax rate = 275000*21% = $57750
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Maple Corporation has taxable income of $275,000 for 2018. Calculate the corporation's tax liabil...
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