C Corps Taxible income and deductions formula

Question 1

Deductions

Answer 1

anything that is not
Charitable contribution deduction
Dividends received deduction
Capital loss carryback

Question 1

Gross income

Answer 1

Includes everything (even Dividend income)

Question 2

Charitable contribution deduction

Answer 2

Gifts are limited to $25 per person
No political contribution
The maximum allowed is 10% of (Gross income - deduction)
The accrued amount is included if paid within 3 1/2 months after year-end.

Question 3

DRD

Answer 3

Requirements
1. Owned 45 days before or after
2. First corp is taxed

Dividends income
0>20 50%
20>80 65%
80>100 100%
Limited to 50% or 65% of the (Gross income - deductions-charitable contributions deductions)

Question 4

Taxable income or loss

Answer 4

NOL
Carryback five years forward indefinitely (2018-202)
No indefinite carry back or forward, limited to 80% of taxable income (2021 and beyond)