Adam Inc. is a taxable Canadian corporation. In 2018, the corporation contributed $180,000 to a registered amateur athletic association. In 2017,  the corporation was unable to deduct $63,000 of similar donations. In 2018, the income of the corporation for tax purposes consisted of $310,000 of active business income and $10,000 of property income. The maximum charitable donation deduction for Adam Inc. in 2018 is:

• A. $243,000
• B. $240,000
• C. $232,500
• D. $180,000

Answer rating: 100% (QA)

A corporate can only deduct the contribution equal to 75 of the net income of the corporation T... View the full answer