How does the amortization of tax-deductible goodwill affect the computation of a parent companys income taxes? a.
Question:
How does the amortization of tax-deductible goodwill affect the computation of a parent company’s income taxes?
a. It is a deductible expense only if the parent owns at least 80 percent of subsidiary’s voting stock.
b. It is deductible only as impairments are recognized.
c. It is a deductible item over a 15-year period.
d. It is deductible only if a consolidated tax return is filed.
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The correct answer is c It is a deductible item over a 15year period The amortization of taxdeductib...View the full answer
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Related Book For
Advanced Accounting
ISBN: 978-1259444951
13th edition
Authors: Joe Ben Hoyle, Thomas Schaefer, Timothy Doupni
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