RAZ Corporation was formed as a calendar-year S corporation with Rob, Adam, and Zoe as equal...
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RAZ Corporation was formed as a calendar-year S corporation with Rob, Adam, and Zoe as equal shareholders. On April 1, 2022, RAZ's S election was terminated after Zoe sold his RAZ shares (one- quarter of all shares) to a Partnership, Zoe &Associates. RAZ reported business income for 2022 as follows: Period January 1 through March 31 (90 days) April 1 through December 31 (275 days) January 1 through December 31 Income $300,000 840,000 $1,140,000 If RAZ uses the daily method of allocating income between the S corporation short tax year (January 1-March 31) and the C corporation short tax year (April 1-December 31), how much income will it report on its S corporation short tax year return and its C corporation short tax year return for 2022? RAZ Corporation was formed as a calendar-year S corporation with Rob, Adam, and Zoe as equal shareholders. On April 1, 2022, RAZ's S election was terminated after Zoe sold his RAZ shares (one- quarter of all shares) to a Partnership, Zoe &Associates. RAZ reported business income for 2022 as follows: Period January 1 through March 31 (90 days) April 1 through December 31 (275 days) January 1 through December 31 Income $300,000 840,000 $1,140,000 If RAZ uses the daily method of allocating income between the S corporation short tax year (January 1-March 31) and the C corporation short tax year (April 1-December 31), how much income will it report on its S corporation short tax year return and its C corporation short tax year return for 2022?
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To determine the income that RAZ will report on its S corporation short tax year return and its C co... View the full answer
Related Book For
South Western Federal Taxation 2017 Essentials Of Taxation Individuals And Business Entities
ISBN: 9780357109144
20th Edition
Authors: William A. Raabe, David M. Maloney, James C. Young, Annette Nellen
Posted Date:
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