Michael owns all of the stock of Johnson, Inc. a calendar-year S corporation. Michaels stock basis at
Fantastic news! We've Found the answer you've been seeking!
Question:
Michael owns all of the stock of Johnson, Inc. a calendar-year S corporation. Michael’s stock basis at the beginning of the current year is $10,000. Michael has no loans with Johnson. Johnson reports the following for the current year:
Ordinary Income $ 75,000
Dividend Income 5,000
Capital Loss (25,000)
Charitable Contribution (30,000)
No distributions or other items of income or loss are reported. Michael is able to deduct all items of loss or expense passed through to him.
What is Michael’s stock basis at the end of the year?
Related Book For
Federal Taxation 2021 Corporations, Partnerships, Estates & Trusts
ISBN: 9780135919460
34th Edition
Authors: Timothy J. Rupert, Kenneth E. Anderson, David S. Hulse
Posted Date: