Note: This problem is for the 2023 tax year.

On February 12, 2009, Nancy Trout and Delores Lake formed Kingfisher Corporation to sell fishing tackle. Pertinent information regarding Kingfisher is summarized as follows:

• The employer identification number is 11-1111113, and the principal business activity code is 451110.
• Nancy owns 50% of the common stock and is president of the company, and Delores owns 50% of the common stock and is vice president of the company. No other class of stock is authorized.
• Both Nancy and Delores are full-time employees of Kingfisher. Nancy's Social Security number is 123-45-6788, and Delores's Social Security number is 123-45-6787.
• Kingfisher is an accrual method, calendar year taxpayer. Inventories are determined using FIFO and the lower of cost or market method. Kingfisher uses the straight-line method of depreciation for book purposes and accelerated depreciation (MACRS) for tax purposes.
• During 2023, the corporation distributed cash dividends of $90,000.
• The corporation did not own or use any digital assets during the year.

Kingfisher's financial statements for 2023 are shown below.

Income Statement Income Gross sales Sales returns and allowances Net sales Cast of goods sald Gross profit Dividends received from stock investments in less-than-20%- owned U.S. corporations Interest income: State bonds $14,000 Certificates of deposit 10,000 Total income Expenses Salariesofficers: Nancy Trout $160,000 Delores Lake 160,000 Salariesclerical and sales Taxes (state, local, and payroll) Repairs and maintenance Interest expense: Business loans $12,000 Loan to purchase state bonds Advertising Rental expense Depreciation* Charitable contributions (cash) Employee benefit programs Premiums on term life insurance policies on lives of Nancy Trout and Delores Lake; Kingfisher is the designated beneficiary Total expenses Net income before taxes Federal income tax Net income per books 8,000 $2,408,000 (80,000) $2,328,000 (920,000) $1,408,000 12,000 24,000 $1,444,000 $320,000 290,000 85,000 56,000 20,000 6,000 68,000 30,000 15,000 24,000 16,000 (930,000) $514,000 (106,680) $407,320 * Depreciation for tax purposes is $40,000. You are not provided enough detailed information to complete a Form 4562 (depreciation). If you solve this problem using Intuit ProConnect, enter the amount of depreciation on line 20 of Form 1120. Balance Sheet Assets January 1, 2023 December 31, 2023 Cash $380,000 $337,300 Trade notes and accounts receivable 308,400 480,280 Inventories 900,000 1,012,000 State bonds 160,000 160,000 Federal income tax refund -0- 1,320 Certificates of deposit 140,000 140,000 Stock investments 300,000 300,000 Buildings and other depreciable assets 240,000 240,000 Accumulated depreciation (88,800) (128,800) Land 20,000 20,000 Other assets 3,600 2,000 Total assets $2,363,200 $2,564,100 Liabilities and Equity January 1, 2023 December 31, 2023 Accounts payable $300,000 $233,880 Other current liabilities 80,300 40,000 Mortgages 210,000 200,000 Capital stack 500,000 500,000 Retained earnings 1,272,900 1,590,220 Total liabilities and equity $2,363,200 $2,564,100 Required: During 2023, Kingfisher made estimated tax payments of $27,000 each quarter to the IRS. Prepare Kingfisher's corporate tax return for tax year 2023 using Form 1120 (and any other appropriate forms and schedules). If an amount box does not require an entry or the answer is zero, enter "O". * Enter all amounts as positive numbers, unless otherwise instructed. If required, round amounts to the nearest dollar. * Make realistic assumptions about any missing data. Complete Form 1120, pages 1, 2, and 3 for Kingfisher Corporation. Form 1120 OMB NO. 1545-0123 U.S. Corporation Income Tax Return Department of the For calendar year 2023 or tax year beginning Treasury Internal -, 2023, ending _ Go to www.irs.gov/Form1120 for Instructions and the latest Information. 2023 Revenue Service A Check If: B Employer identification number la Consolidated return 11-1111113 [attach Form 851) . . b Lifeonlife TYPE Date Incorporated consolidated return . . 0 Kingfisher Corporation OR 1717 Main Street 2 Personal holding co. PRINT Ely, MN 55731 02/12/2009 (attach Sch. PH) . . . . 0 Personal service corp. D Total assets (see Instructions) (see Instrs) . . . 2,564,100 4 Schedule M-3 attached O E Check If: (1) a Initial return (2) @ Final return (3) . Name change (4) 0 Address change la Gross receipts or sales . . . 1a 2,408,000 b Returns and allowances . . 1h 80,000 c Balance. Subtract line 1b from line la . 10 2,328,000 2 Cost of goods sold (attach Form 1125-A) . . . . .. 920,000 3 Gross profit. Subtract line 2 from line Ic . . 3 1,408,000 Dividends and Inclusions (Schedule C, line 23) . . 12,000 V 5 Interest . . . . . 10,000 6 Gross rents . . . . . Gross royalties . Capital gain net Income (attach Schedule D (Form 1120)) . . . 8 9 Net gain or (loss) from Form 4797, Part II, line 17 (attach Form 4797) . . . .. 9 10 Other Income (see Instructions - attach statement) . 10 11 Total Income. Add lines 3 through 10 . . . . 11 1,430,000 12 Compensation of officers (see instructions - attach Form 1125-E) . . . . . . . . . . . . . . . . . . . 12 320,000 13 Salaries and wages (less employment credits) . . . . . 13 290,000 14 Repairs and maintenance . . 14 56,000 15 Bad debts . . . 15 16 Rents . . . . 16 68,000 17 Taxes and licenses . . 17 85,000 18 Interest (see Instructions) . . 18 12,000 19 Charitable contributions . . . 19 15,000 20 Depreciation from Form 4562 not dalmed on Form 1125-A or elsewhere on return (attach Form 4562). 20 10,000 Mzo--nceme 20 030--24-8-F 207 420-unCD-42- mma 420--income 21 Depletion . . . . . . 21 22 Advertising 22 6,000 23 Pension, profit-sharing, etc., plans . . 23 24 Employee benefit programs . . . 24 24,000 25 Energy efficient commercial buildings deduction (attach Form 7205) . . . . . . . . . 25 26 Other deductions (attach statement) . . . 26 Total deductions. Add lines 12 through 26 . 27 916,000 28 Taxable Income before net operating loss deduction and special deductions. Subtract line 27 from line 11 28 514,000 29a Net operating loss deduction (see Instructions) . . . . . 29a b Special deductions (Schedule C, line 24) . . . 291 12,000 Add lines 293 and 29b . . . ....... .. . . .4 290C Add lines 29a and 290 . . . 29c 30 Taxable Income. Subtract line 29c from line 28. See Instructions . . . . . . . . 30 31 Total tax (Schedule ], Part I, line 11) . . 31 32 Reserved for future use . . 32 33 Total payments and credits (Schedule ], Part II, line 23) . . 33 34 Estimated tax penalty. See Instructions. Check If Form 2220 Is attached . . 34 35 Amount owed. If line 33 Is smaller than the total of lines 31 and 34, enter amount owed . . . . 35 36 Overpayment. If line 33 Is larger than the total of lines 31 and 34, enter amount overpaid . . . . 36 37 Enter amount from line 36 you want: Credited to 2024 estimated tax Refunded 37 Under penalties of perjury, I declare that I have examined this retum, Including accompanying schedules and statements, and to the best of my knowledge and bellef, It is true, correct, and complete. Declaration of preparer (other than taxpayer) Sign Is based on all Information of which preparer has any knowledge. Here May the IRS discuss this return with the preparer shown below? Signature of officer Date Title See Instructions. O Yes O No Print/Type preparer's name Preparer's signature Date Check O If self- |PTIN Paid Self-Prepared employed Preparer Firm's name Firm's EIN Use Only Firm's address Phone no. BAA For Paperwork Reduction Act Notice, see separate Instructions. Form 1120 (2023)Form 1120 (2023) Kingfisher Corporation 11-1111113 Page 2 Schedule C Dividends, Inclusions, and Special Deductions (a) Dividends and (b) Percentage (c) Special deductions (see Instructions) Inclusions (a) x (b) 1 Dividends from less-than-20%-owned domestic corporations (other than debt-financed stock) . . 12,000 . . . 50 Dividends from 20%-or-more-owned domestic corporations (other than debt-financed stock) . . .. 3 Dividends on certain debt-financed stock of domestic and foreign See corporations . Instructions Dividends on certain preferred stock of less-than-20%-owned public utilities 23.3 5 Dividends on certain preferred stock of 20%-or-more-owned public utilities 26.7 6 Dividends from less-than-20%-owned foreign corporations and certain FSCs 50 7 Dividends from 20%-or-more-owned foreign corporations and certain FSCs 65 Dividends from wholly owned foreign subsidiaries . . .. 100 12,000 Y See 9 Subtotal. Add lines 1 through 8. See Instructions for limitations . Instructions 10 Dividends from domestic corporations received by a small business Investment company operating under the Small Business Investment Act of 1958 . . 100 Dividends from affiliated group members . 11 100 Dividends from certain FSCs . . . 12 100 13 Foreign-source portion of dividends received from a specified 10%-owned foreign corporation (excluding hybrid dividends) (see Instructions) . . 100 14 Dividends from foreign corporations not Included on line 3, 6, 7, 8, 11, 12, or 13 (Including any hybrid dividends) . . . 15 Reserved for future use . . . . 16a Subpart F Inclusions derived from the sale by a controlled foreign corporation (CFC) of the stock of a lower-tler foreign corporation treated as a dividend (attach Form(s) 5471) (see Instructions) . . . . . . . . . . . 100 b Subpart F Inclusions derived from hybrid dividends of tiered corporations (attach Form(5) 5471) (see Instructions) . . . . - . . . . c Other Inclusions from CFCs under subpart F not Included on line 16a, 16b, or 17 (attach Form(5) 5471) (see Instructions) . . . 17 Global Intangible Low-Taxed Income (GILTI) (attach Form(5) 5471 and Form 8992) . . . . . . . . . . . . 18 Gross-up for foreign taxes deemed pald . . . . . . . . . . 19 IC-DISC and former DISC dividends not Included on line 1, 2, or 3 . . . . .. 20 Other dividends . . 21 Deduction for dividends pald on certain preferred stock of public utilities . . 22 Section 250 deduction (attach Form 8993) . . . . . . . . 23 Total dividends and Inclusions. Add column (a), lines 9 through 20. Enter here and on page 1, line 4 . . . . . . . . . . 12,000 24 Total special deductions. Add column (c) lines 9 through 22. Enter here and on page 1, line 29b . . . . . . . . . . Form 1120 (2023)Form 1120 (2023) Kingfisher Corporation 11-1111113 Page 3 Schedule ] Tax Computation and Payment (see Instructions) Part I - Tax Computation Income tax. See Instructions . . . . . . = - . . . . . . . 2 Base erosion minimum tax amount (attach Form 8991) . . 2 3 Corporate alternative minimum tax from Form 4626, Part II, line 13 (attach Form 4626) . . . . . 4 Add lines 1, 2, and 3 . . . . . . 5a Foreign tax credit (attach Form 1118) 58 b Credit from Form 8834 (see Instructions) . . . . . 5b c General business credit (see Instructions - attach Form 3800) . . . 5c d Credit for prior year minimum tax (attach Form 8827) . . . . 5d e Bond credits from Form 8912 . Se 6 Total credits. Add lines 5a through 5e . . . . . . . . . . . . 6 Subtract line 6 from line 4 . . . . . . . . . . . . . . . . . . . 8 Personal holding company tax (attach Schedule PH (Form 1120)) . . . . . . . . . . . . . . . . . . . . . . .. . . a Recapture of Investment credit (attach Form 4255) . . . . . . . . . 9a b Recapture of low-Income housing credit (attach Form 8611) . . . . . . . 9b Interest due under the look-back method - completed long-term contracts (attach Form 8697) . . 9c d Interest due under the look-back method - Income forecast method (attach Form 8866) . . . . . . . . . 9d e Alternative tax on qualifying shipping activities (attach Form 8902) . . . . ge Interest/tax due under section 453A(c) . . . . g Interest/tax due under section 453(1) . . . 9g z Other (see instructions = attach statement) 92 10 Total. Add lines 9a through 97 . . . . . . . . . . . . . . . . . . . . . 10 i1 Total tax. Add lines 7, 8, and 10. Enter here and on page 1, line 31 . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11 Part II - Payments and Refundable Credits 12 Reserved for future use . . 12 13 Preceding year's overpayment credited to the current year 13 14 Current year's estimated tax payments . . 14 15 Current year's refund applied for on Form 4466 . 15 16 Combine lines 13, 14, and 15 . 16 17 Tax deposited with Form 7004. 17 18 Withholding (see Instructions) . . . . 18 19 Total payments. Add lines 16, 17, and 18 . . . - . . . . . . . 19 20 Refundable credits from: a Form 2439 . . .. 20a b Form 4136 . . - 20b c Reserved for future use . . . . 20c Other (attach statement - see Instructions) . . . 20z 21 Total credits. Add lines 20a through 202 . . - . . . . . . . . . . . . . 21 22 Elective payment election amount from Form 3800 . . 22 23 Total payments and credits. Add lines 19, 21, and 22. Enter here and on page 1, line 33 . . . . . . . . . . . . . . 23 Form 1120 (2023)