Determine call reportable taxable income

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Put owned all of the stock of Call when the two corporations were formed a decade ago. The group immediately elected to file on a consolidated basis. Now, Call's management team has purchased the company from the parent and intends to carry on and expand the business into new markets.

When Call left the Put consolidated group, the group held a post-2017 NOL carryforward of $14,660,000, of which $5,864,000 was attributable to Call's operations under formulas approved by all of the parties. Call will generate $2,345,600 in taxable income on each of its first five years' worth of separate returns.

Problem 1: Determine Call's reportable taxable income for on its first five separate Form 1120.

Reference no: EM132827782

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