User Account

All Pages

Describe federal income tax consequences to x corporation

Assignment Help Accounting Basics
Reference no: EM133153328

Question - In each of the situations described in (a) through (d), assume that X Corporation has only one shareholder, A (an individual) for 20X1.

X Corporation makes a single distribution to A of property on April 1, 20X1. The fair market value of the property is $6,000 and its adjusted basis is $2,000. Assume, for purposes of this question, that the corporate tax rate is 50% and there is other taxable income for the year of $1,000. A has basis in X Corporation stock of $1000.

Describe the federal income tax consequences to X Corporation and A under each of the following situations:

a. Accumulated E&P are $0.

b. Accumulated E&P are <$8,000>.

c. Accumulated E&P are $4,000.

d. Accumulated E&P are $4,000 and the property distributed has an adjusted basis of $8,000 instead of $2,000.

Reference no: EM133153328

Questions Cloud

Course of employment : Watch video and provide an explanation. Discussion Board: A hotel may be held liable for the acts of its employees acting within the course of employment.
How managers can utilize three listed strategies : Q1: According to the Harvard Business Review reading, why do people lose motivation?
How do average annual vehicle insurance rates : How do average annual vehicle insurance rates (costs per vehicle) in Tennessee compare Washington state?
Dynamic capabilities of the topcoder and metropia : What are the core capabilities, Dynamic capabilities of the Topcoder and Metropia business models?
Describe federal income tax consequences to x corporation : Describe the federal income tax consequences to X Corporation and A under each of the following situations: Accumulated E&P are $0
Scope of interest and variables : You are about to design a research method that can find out the reasons why physicians in these 36 clinics made no effort to put quality data into electronic me
What is their return on assets : Question - If their Total Assets are $60,000, and their after-tax operating income is again $2,000 (same as above), what is their Return on Assets (ROA)
What is their economic value added or residual income : If the company's after-tax operating income is $2,000 (Net Income plus after-tax interest expense) What is their Economic Value Added or Residual Income
What are the main concerns of an hr manager : This week, we will meet one of the human resource experts at SIGA - Sheldon Poitras. Sheldon is a member of Starblanket Cree Nation and a former First Nations

Reviews

Write a Review

Accounting Basics Questions & Answers

  What is tee gross profit percentage

Tee Company had a $24,000 beginning inventory and a $31,000 ending inventory. What is Tee's gross profit percentage

  What the net income attributable to equity holders

ABC's net income is P560,000 from its own operations. DEF had net income of P140,000. What the 2023 net income attributable to equity holders of ABC

  Explain the major components of data warehouse architecture

Explain the major components of a data warehouse architecture, including the various forms of data transformations needed to prepare data for a data warehouse.

  What transactions increase or decrease owners equity

What transactions increase or decrease owner's equity? How does net income or loss affect owner's equity? Please give an example of a transaction, applied to the accounting equation.

  Standard absorption cost per unit a cost analyst for

standard absorption cost per unit a cost analyst for stamper manufacturing co. has assembled the following data about

  Prepare journal entries to record the lease transaction

The Police Department of Ramser Falls signed a noncancellable lease for computer equipment on January 1, 2012. The lease was for 5 years, the economic life.

  Use the following information to prepare a statement of

1. use the following information to prepare a statement of cash flows for reynolds inc. for 2011 using the

  Determine the consolidated cost of sales

On the date of acquisition, Subsidiary Company reported Ordinary Shares of P800,000. Determine the consolidated COST OF SALES

  Johns account was credited by the supplier

John's returned some of the merchandise purchased in (1). The cost of the merchandise was $600 and John's account was credited by the supplier.

  When is a company allowed to initially recognize

When is a company allowed to initially recognize the financial statement effects of a tax position?

  Compute the fair price for ibms pc business

Using the above analyst forecasts and estimates, compute the "fair price" for IBM's PC business at the time of acquisition

  Calculate the taxable amount of tier railroad retirement

Tom's Tier II Railroad Retirement benefits are reported.Calculate the taxable amount of Tier II Railroad Retirement benefits using the Simplified Method, except

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd