Problem 17-42 (LO. 1, 2) During the current year, Swallow Corporation, a calendar year C corporation, has the following transactions: Income from operations $660,000 Expenses from operations 760,000 Dividends received from Brown Corporation 240,000 Click here to view the dividend received deduction table. a. swallow Corporation owns 12% of Brown Corporation's stock. Swallow's taxable income after deducting the dividends received deduction is Feedback Check My Work b. Assume instead that Swallow Corporation owns 26% of Brown Corporation's stock. Swallows NOL after deducting the dividends received deduction is $ EXHIBIT 17.2 Dividends Received Deduction Percentage of Ownership by Corporate Shareholder Deduction Percentage Less than 20% 50% 20% or more (but less than 80%) 65% 80% or more" 100% The payor corporation must be a member of an affiliated group with the recipient corporation