Week 5 : C Corporations Concluded - Homework ES
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1. (TCO E) For federal tax purposes, royalty income not derived in the ordinary course of a business is classified as: (Points : 5) |
portfolio income. (ans)******
None of the above
2. (TCO F) When comparing corporate and individual taxation, the following statements ...view middle of the document...
Both types of taxpayers have percentage limitations on the charitable contribution deduction, coupled with a carryover of the excess contribution.
All taxpayers may carry net operating losses back two years, forward 20 years.
Both corporate and individual taxpayers may have a long-term capital loss carryforward. (ans)******
3. (TCO H) Al and Amy file a joint return for the 2012 tax year. Their adjusted gross income is $80,000. They had a net investment income of $8,000. In 2012, they had the following interest expenses:
Personal credit card interest: $4,000
Home mortgage interest: $8,000
Investment interest (on loans used to buy stocks): $10,000
What is the interest deduction for Al and Amy for the 2012 tax year? (Points : 5) |
4. (TCO B) Charitable contribution deductions for capital gains property made by individuals without a reduction for long-term capital gains to public charities are limited to: (Points : 5) |
50% of AGI.
40% of AGI.
30% of AGI. (ans)*****
20% of AGI.
5. (TCO A) The following taxes were paid by Tim:
Real estate taxes on his home: $3,000
State income taxes: $900
State gasoline tax (personal use of automobile): $150