Crow Corporation, an S corporation from the date of its incorporation, is in the process of liquidating.

Question:

Crow an S from the date of its incorporation, is in the process of liquidating. During the current year, it reports gross receipts of only $40,000; it has passive investment income of $25,000 from the money it invested after the sale of a large portion of its operating assets. It has expenses related to this income of $1,000. Is the liable for the passive investment income tax?
Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may...