What was georgia corp taxable income

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Question - Florida Corp. acquired 100 percent of Georgia Corp.'s outstanding stock on December 31, 2017 in exchange for $5,000,000 worth of Florida's voting stock (this represented 10% of Florida's outstanding stock). At the time of acquisition (which qualified as a Type B reorganization), Georgia Corp. had a $600,000 NOL carry forward. For 2018, the two corporations filed separate tax returns and Georgia Corp. reported taxable income of $700,000 (before NOL deduction). Assuming the long-term tax-exempt rate for the period including the acquisition date was 3%, what was Georgia Corp.'s taxable income for 2018?

Reference no: EM132994017

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