Exam 15: Corporate Taxation

Pricilla formed a corporation and owns all of the stock.She contributed property with a FMV of $60,000 and a basis of $55,000 and she received $10,000 cash from the corporation.Pricilla's taxable gain is:

(Multiple Choice)

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Question 21

Once a corporation properly elects to be a Subchapter S corporation,it cannot terminate its election for five years.

(True/False)

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Question 22

Corporate distributions to shareholders from earnings and profits are called dividends.

(True/False)

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Question 23

A parent-subsidiary group is one in which a common parent corporation owns,directly or indirectly,at least 80% of one or more other corporations.

(True/False)

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Question 24

A corporation has a fiscal year-end of May.If the corporation receives an automatic extension to file its return,the return will be due on the 15^thof:

(Multiple Choice)

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Question 25

A corporation subject to AMT has AMT income of $270,000.What is the amount of alternative minimum tax?

(Multiple Choice)

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Question 26

Schedule M-1 reconciles from taxable income to book income.

(True/False)

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Question 27

Keisha owns 100% of DEF Company and has a basis of $10,000 in its stock.DEF has earnings and profits of $9,000 and distributes a cash dividend to Keisha of $12,000.Keisha has a:

(Multiple Choice)

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Question 28

A corporation subject to AMT has AMT income of $190,000.What is the amount of alternative minimum tax?

(Multiple Choice)

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Question 29

A Subchapter S corporation is a corporation that is taxed in a manner similar to a partnership.

(True/False)

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Question 30

Corporate distributions in excess of earnings and profits are a capital gain to a stockholder.

(True/False)

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Question 31

A corporation makes a pro rata distribution of property to its shareholders as part of its normal operations.The FMV of the property is less than its basis.The corporation will record a loss on the distribution.

(True/False)

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Question 32

Schedule M-1 reconciles from net income per books to net income per the tax law.

(True/False)

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Question 33

The corporate AMT exemption amount is:

(Multiple Choice)

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Question 34

Valarie owns 100% of Green Company.Green has earnings and profits of $10,000.The corporation distributes property with a basis of $9,000 and a FMV of $12,000 to Valarie.She must report dividend income of:

(Multiple Choice)

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Question 35

Orange Corporation was formed in 2014.In that year it had a net capital loss of $2,000.In 2015,it had a net capital gain of $5,000.In 2016,the company reported a net capital loss of $9,000.What is the amount of capital loss carryforward to 2017,if any?

(Multiple Choice)

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Question 36

MMM Company has taxable income of $300,000.The company received a dividend of $50,000 from a domestic corporation in which it holds a 60% ownership interest.It also has tax depreciation that is $20,000 greater than financial statement depreciation.These items were properly accounted for in determining taxable income.Without regard to tax expense,what is financial statement income of MMM Company?

(Multiple Choice)

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Question 37

Which of the following statements is incorrect?

(Multiple Choice)

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Question 38

Which of the following statements is true?

(Multiple Choice)

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Question 39

A corporation has taxable income of $400,000.What is its tax liability?

(Multiple Choice)

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Question 40

Showing 21 - 40 of 127

Pricilla formed a corporation and owns all of the stock.She contributed property with a FMV of $60,000 and a basis of $55,000 and she received $10,000 cash from the corporation.Pricilla's taxable gain is:

Once a corporation properly elects to be a Subchapter S corporation,it cannot terminate its election for five years.

Corporate distributions to shareholders from earnings and profits are called dividends.

A parent-subsidiary group is one in which a common parent corporation owns,directly or indirectly,at least 80% of one or more other corporations.

A corporation has a fiscal year-end of May.If the corporation receives an automatic extension to file its return,the return will be due on the 15^thof:

A corporation subject to AMT has AMT income of $270,000.What is the amount of alternative minimum tax?

Schedule M-1 reconciles from taxable income to book income.

Keisha owns 100% of DEF Company and has a basis of $10,000 in its stock.DEF has earnings and profits of $9,000 and distributes a cash dividend to Keisha of $12,000.Keisha has a:

A corporation subject to AMT has AMT income of $190,000.What is the amount of alternative minimum tax?

A Subchapter S corporation is a corporation that is taxed in a manner similar to a partnership.

Corporate distributions in excess of earnings and profits are a capital gain to a stockholder.

A corporation makes a pro rata distribution of property to its shareholders as part of its normal operations.The FMV of the property is less than its basis.The corporation will record a loss on the distribution.

Schedule M-1 reconciles from net income per books to net income per the tax law.

The corporate AMT exemption amount is:

Valarie owns 100% of Green Company.Green has earnings and profits of $10,000.The corporation distributes property with a basis of $9,000 and a FMV of $12,000 to Valarie.She must report dividend income of:

Orange Corporation was formed in 2014.In that year it had a net capital loss of $2,000.In 2015,it had a net capital gain of $5,000.In 2016,the company reported a net capital loss of $9,000.What is the amount of capital loss carryforward to 2017,if any?

Which of the following statements is incorrect?

Which of the following statements is true?

A corporation has taxable income of $400,000.What is its tax liability?

Introduction to Taxation, the Income Tax Formula, and Form 1040ez

Expanded Tax Formula, forms 1040a and 1040, and Basic Concepts

Gross Income: Inclusions and Exclusions

Adjustments for Adjusted Gross Income

Itemized Deductions

Self-Employed Business Income Line 12 of Form 1040 and Schedule C

Capital Gains and Other Sales of Property Schedule D and Form 4797

Rental Property, royalties, and Income From Flow-Through Entities Line 17, form 1040, and Schedule E

Tax Credits Form 1040, lines 46 Through 54 and Lines 66a Through 73

Payroll Taxes

Retirement and Other Tax-Deferred Plans and Annuities

Special Property Transactions

At-Riskpassive Activity Loss Rules and the Individual Alternative Minimum Tax

Partnership Taxation

Filters

Exam 15: Corporate Taxation

Pricilla formed a corporation and owns all of the stock.She contributed property with a FMV of $60,000 and a basis of $55,000 and she received $10,000 cash from the corporation.Pricilla's taxable gain is:

Once a corporation properly elects to be a Subchapter S corporation,it cannot terminate its election for five years.

Corporate distributions to shareholders from earnings and profits are called dividends.

A parent-subsidiary group is one in which a common parent corporation owns,directly or indirectly,at least 80% of one or more other corporations.

A corporation has a fiscal year-end of May.If the corporation receives an automatic extension to file its return,the return will be due on the 15th of:

A corporation subject to AMT has AMT income of $270,000.What is the amount of alternative minimum tax?

Schedule M-1 reconciles from taxable income to book income.

Keisha owns 100% of DEF Company and has a basis of $10,000 in its stock.DEF has earnings and profits of $9,000 and distributes a cash dividend to Keisha of $12,000.Keisha has a:

A corporation subject to AMT has AMT income of $190,000.What is the amount of alternative minimum tax?

A Subchapter S corporation is a corporation that is taxed in a manner similar to a partnership.

Corporate distributions in excess of earnings and profits are a capital gain to a stockholder.

A corporation makes a pro rata distribution of property to its shareholders as part of its normal operations.The FMV of the property is less than its basis.The corporation will record a loss on the distribution.

Schedule M-1 reconciles from net income per books to net income per the tax law.

The corporate AMT exemption amount is:

Valarie owns 100% of Green Company.Green has earnings and profits of $10,000.The corporation distributes property with a basis of $9,000 and a FMV of $12,000 to Valarie.She must report dividend income of:

Orange Corporation was formed in 2014.In that year it had a net capital loss of $2,000.In 2015,it had a net capital gain of $5,000.In 2016,the company reported a net capital loss of $9,000.What is the amount of capital loss carryforward to 2017,if any?

Which of the following statements is incorrect?

Which of the following statements is true?

A corporation has taxable income of $400,000.What is its tax liability?

Introduction to Taxation, the Income Tax Formula, and Form 1040ez

Expanded Tax Formula, forms 1040a and 1040, and Basic Concepts

Gross Income: Inclusions and Exclusions

Adjustments for Adjusted Gross Income

Itemized Deductions

Self-Employed Business Income Line 12 of Form 1040 and Schedule C

Capital Gains and Other Sales of Property Schedule D and Form 4797

Rental Property, royalties, and Income From Flow-Through Entities Line 17, form 1040, and Schedule E

Tax Credits Form 1040, lines 46 Through 54 and Lines 66a Through 73

Payroll Taxes

Retirement and Other Tax-Deferred Plans and Annuities

Special Property Transactions

At-Riskpassive Activity Loss Rules and the Individual Alternative Minimum Tax

Partnership Taxation

Filters

A corporation has a fiscal year-end of May.If the corporation receives an automatic extension to file its return,the return will be due on the 15^thof: