For the year ended June 30, 2016, the Rosaceae Corporation, a regular C corporation, has a long-term capital loss of $25,000.
a.
Assuming that in addition to the capital loss, the corporation has taxable income, before capital gains and losses, of $25,000 for 2016, calculate the corporation's tax liability before any credits.
b.

Assuming that in addition to the long-term capital loss of $25,000 the corporation has taxable income, before capital gains and losses, of $90,000 and a short-term capital gain of $10,000 for 2016, calculate the corporation's tax liability before any credits.

Question

For the year ended June 30, 2016, the Rosaceae Corporation, a regular C corporation, has a long-term capital loss of $25,000.
a.​
Assuming that in addition to the capital loss, the corporation has taxable income, before capital gains and losses, of $25,000 for 2016, calculate the corporation's tax liability before any credits.
b.​
​
Assuming that in addition to the long-term capital loss of $25,000 the corporation has taxable income, before capital gains and losses, of $90,000 and a short-term capital gain of $10,000 for 2016, calculate the corporation's tax liability before any credits.

Quizplus · Accepted Answer

The Answer of For the year ended June 30, 2016, the Rosaceae Corporation, a regular C corporation, has a long-term capital loss of $25,000.
a.​
Assuming that in addition to the capital loss, the corporation has taxable income, before capital gains and losses, of $25,000 for 2016, calculate the corporation's tax liability before any credits.
b.​
​
Assuming that in addition to the long-term capital loss of $25,000 the corporation has taxable income, before capital gains and losses, of $90,000 and a short-term capital gain of $10,000 for 2016, calculate the corporation's tax liability before any credits.

For the Year Ended June 30, 2016, the Rosaceae Corporation