Question Missed Flashcards
What is the order of calculation of corporate AMTI?
Adjustments - preferences - ACE adjustment
Is loss from operations IN THE CURRENT YEAR netted with dividends income in calculating net taxable income for dividends received deduction?
Yes! It’s the carryover that doesn’t. Current year is OK
To what extent is nonliquidating property distribution to shareholder taxable as a dividend?
Current E&P
Accumulated E&P
PLUS any gain recognized by corporation on the distribution
What is the usual result to the shareholder of a distribution in complete liquidation of a corporation?
Capital gain or loss
To what extent does a shareholder recognize gain if incorporation qualifies as a taxable event?
The lesser of cash received or REALIZED gain
Who is entitled to an NOL?
Individuals
C corps
Estates and trusts
If a corporation distributes a note receivable in a complete liquidation, is the gain calculated using the face amount of the note?
NO! use FMV
What is failure to pay penalty rate?
0.5% per month or part of it
What is MACRS % for farm property?
150 only
