Mako and Snufco Corporations are affiliated and have filed consolidated returns for the past three years.Mako acquired 100% of Zebco stock on January 1 of last year,the date of Zebco's formation.Mako,Snufco,and Zebco,who have filed consolidated returns for last year and the current year,report the following taxable incomes. The $15,000 consolidated NOL reported in the current year

Question

Mako and Snufco Corporations are affiliated and have filed consolidated returns for the past three years.Mako acquired 100% of Zebco stock on January 1 of last year,the date of Zebco's formation.Mako,Snufco,and Zebco,who have filed consolidated returns for last year and the current year,report the following taxable incomes.  The $15,000 consolidated NOL reported in the current year

Quizplus · Accepted Answer

According to the information provided, Mako, Snufco, and Zebco have filed consolidated returns for the past three years. Therefore, the consolidated NOL can be carried back to last year and the remainder, if any, carried forward to subsequent years under the current tax laws.

Mako and Snufco Corporations Are Affiliated and Have Filed Consolidated