There are no earnings and profits from c corporationn years


Question - Sonny, inc. an S corporation in Polly Beach, South Carolina, has a recognized built in gain of $95,000 and taxable income of $80,000. It holds a $7,000 NOL carryforward and a $9,000 business credit carryforward from a C corporation year. There are no earnings and profits from C corporationn years. Calculate Sonny's built-in gains tax liability.

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Accounting Basics: There are no earnings and profits from c corporationn years
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