Taxes: Distributions from a Corporation

Question 1

Taxes:
Distributions from a Corporation
Earnings & Profits

Answer 1

Earnings & Profits
Additions to TI
\+ Municipal Interest & life insurance proceeds
\+ DRD
\+ deductions for carryovers from previous years
\+ domestic production activity deduction
- proceeds from corporate life insurance (less cash surrender value)
New Expenditures
- federal income tax
- related party losses
- penalties, fines, lobbying expenses
Modifications
- deferred part of gain on installment sale
- depreciation > straightline
- section 179 expense
- net capital loss
-