Sam owns all of the stock in a newly formed corporation. During 2014, the first year of

Question:

Sam owns all of the stock in a newly formed During 2014, the first year of operation, the realized current earnings and profits of $10,000. Sam received a $12,000 from the How much, if any, of the is taxable to Sam? Why?
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... Distribution
The word "distribution" has several meanings in the financial world, most of them pertaining to the payment of assets from a fund, account, or individual security to an investor or beneficiary. Retirement account distributions are among the most...