Reference no: EM132673453
Problem - During 2019, Siskin Corporation (a C corporation) entered into the following transactions.
Income from operations $500,000
Expenses from operations 425,000
Dividends from domestic corporations (less than 20% ownership) 45,000
Dividends received deduction (50% 3 $45,000) 22,500
Unused short-term capital loss from 2017 (there are no capital gains in 2018 and 2019) 2,500
NOL carryover from 2018 40,000
In June 2019, Siskin made a contribution to a qualified charitable organization of $10,500 in cash (not included in any of the items listed above).
Required -
a. How much, if any, of the contribution can be claimed as a deduction for 2019?
b. What happens to any portion not deductible for 2019?