Assume that Josie forms JES as a C Corporation JES earns a taxable income of $300,000 JES will distribute 40 of its after tax earnings annually as a dividend Josies marginal ordinary tax rate is 37 and her dividend tax rate is 23 8 (including the net investment income tax) What is the overall tax r...

EARNINGS 300000 AFTER TAX EARNINGS 1890 ...

Assume that Josie forms JES as a C-Corporation. JES earns a taxable income of $300,000. JES will

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Assume that Josie forms JES as a C-Corporation.

JES earns a taxable income of $300,000.
JES will distribute 40% of its after-tax earnings annually as a dividend.
Josie’s marginal ordinary tax rate is 37% and her dividend tax rate is 23.8% (including the net investment income tax).

What is the overall tax rate on JES’s taxable income?

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Ethics in Accounting A Decision Making Approach

ISBN: 978-1118928332

1st edition

Authors: Gordon Klein

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Posted Date: Feb 28, 2020 01:57 AM

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Assume that Josie forms JES as a C-Corporation. JES earns a taxable income of $300,000. JES will

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Ethics in Accounting A Decision Making Approach

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