Section 1(g)(1): tax imposed by this section without regard to this subsection, $10,000; tax which would be imposed by this section if the taxable income of such child for the taxable year were reduced by the net unearned income of such child, $3,000; child's share of the allocable parental tax, $8,000. What is the tax imposed by this section? 

2. Section 163(d)(4)(A): investment income, $50,000; investment expenses, $3,000. What is net investment income? 

3. Section 1212(b)(1)(B): net long-term capital loss for the year, $15,000; net short-term capital gain for the year, $8,000. What is the long-term capital loss in the next year? 

4. Section 170(b)(1)(B): contribution base, $200,000; charitable contributions allowable under subparagraph (A), $30,000. What is the maximum allowable charitable contribution other than a charitable contribution to which subparagraph (A) applies?

 5. Section 72(b)(1): annuity received during the year, $40,000; investment in the contract, $700,000; expected return under the contract $1,000,000. How much of the annuity is excluded from gross income? 

6. Section 1011(b): adjusted basis of property, $6,000; amount realized, $10,000; fair market value of the property, $16,000. What is the adjusted basis for determining the gain from sale to a charitable organization?

The purpose of this worksheet is to help you learn how the Internal Revenue Code describes mathematical operations. Although there are many calculations required by the Code, mathematical symbols are not used. (Treasury Regulations do use symbols on occasion.) For each of the problems, consult the appropriate Code section and use the information that you find there to perform the calculation.

Answer rating: 100% (QA)

To answer these questions we will perform the calculations based on the provided information in the respective sections of the Internal Revenue Code S... View the full answer