Bryan Corporation, an S corporation since its organization, is owned entirely by Mr. Bryan. The corporation uses calendar year as its taxable year. Mr. Bryan paid $120,000 for his Bryan stock when the corporation was formed o January 1 of this year. For this year, Bryan Corporation reported the following results: Distributions of $40,000 were made during the year. What is the basis of Mr. Bryan's stock on December 31?

Question

Bryan Corporation, an S corporation since its organization, is owned entirely by Mr. Bryan. The corporation uses calendar year as its taxable year. Mr. Bryan paid $120,000 for his Bryan stock when the corporation was formed o January 1 of this year. For this year, Bryan Corporation reported the following results:  Distributions of $40,000 were made during the year. What is the basis of Mr. Bryan's stock on December 31?

Quizplus · Accepted Answer

The Answer of Bryan Corporation, an S corporation since its organization, is owned entirely by Mr. Bryan. The corporation uses calendar year as its taxable year. Mr. Bryan paid $120,000 for his Bryan stock when the corporation was formed o January 1 of this year. For this year, Bryan Corporation reported the following results:  Distributions of $40,000 were made during the year. What is the basis of Mr. Bryan's stock on December 31?

Bryan Corporation, an S Corporation Since Its Organization, Is Owned