Calendar year for tax purposes


Task: Complete the following schedule for each case. Assume the shareholders have ample basis in the stock investment.

Accumulated Current Cash Distributions Dividend Return of
E&P Beginning E&P All on last day Income Capital
Of Year of Year

a) $150,000 $70,000 $130,000 $_________ $________

b) 200,000 (60,000) 210,000 __________ ________

c) 130,000 50,000 150,000 __________ _________

d) 120,000 (40,000) 130,000 __________ _________

e) Same as (d) except the distribution of $130,000 is made on June 30, and the corporation uses the calendar year for tax purposes. ___________ ________

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Accounting Basics: Calendar year for tax purposes
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