On December 30, 2011, the board of directors of Gull Corporation, a calendar year, accrual method C corporation, authorized a contribution of $50,000 to a qualified charitable organization. For purposes of the taxable income limitation applicable to charitable deductions, Gull has taxable income of $420,000 and $370,000 for 2011 and 2012, respectively. Describe the tax consequences to Gull Corporation under the following independent situations.

Question

Quizplus · Accepted Answer

The Answer of On December 30, 2011, the board of directors of Gull Corporation, a calendar year, accrual method C corporation, authorized a contribution of $50,000 to a qualified charitable organization. For purposes of the taxable income limitation applicable to charitable deductions, Gull has taxable income of $420,000 and $370,000 for 2011 and 2012, respectively. Describe the tax consequences to Gull Corporation under the following independent situations.

On December 30, 2011, the Board of Directors of Gull