During 2018, John was the chief executive officer and a shareholder of .Maze, Inc. He owned 60%
Question:
During 2018, John was the chief executive officer and a shareholder of .Maze, Inc. He owned 60% of the outstanding stock of Maze. In 2015, John and Maze, as co-borrowers, obtained a $100,000 loan from United National Bank. This loan was secured by John’s personal residence. Although Maze was listed as a co-borrower, John repaid the loan in full in 2018. On Maze s Form 1120 tax returns, no loans from shareholders were reported. Discuss whether John is entitled to a bad debt deduction for the amount of the payment on the loan.
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Related Book For
South-Western Federal Taxation 2019 Comprehensive
ISBN: 9781337703017
42th Edition
Authors: David M. Maloney, William A. Raabe, William H. Hoffman, James C. Young
Question Posted: