Suppose Clampett, Inc., terminated its S election on August 28, 2019. At the end of the S corporation's short tax year ending on August 28, J.D.'s stock basis and at-risk amounts were both zero (he has never had debt basis), and he had a suspended loss of $20,000. In 2020, J.D. made additional capital contributions of $5,000 on March 15 and $12,000 on September 20. How much loss may J.D. deduct in 2020?
A. $5,000.
B. $17,000.
C. $0.
D. $20,000.
E. None of the choices are correct.
Answer: A
You might also like to view...
With respect to the workplace, what does “empowerment” mean?
a. employee belief in the mission of the organization b. giving employees a say in their training c. making employees feel appreciated d. giving employees decision-making authority
The federal government's power to tax has no limitations
a. True b. False Indicate whether the statement is true or false
________ is the set of energetic forces that originates both within and outside an employee; initiates work-related effort; and determines its direction, intensity, and persistence.
A. Motivation B. Leadership C. Job satisfaction D. Job performance E. Organizational commitment
Briefly describe the four different ways of knowing things. Give an example of each. Which way do you believe provides the soundest explanation and most compelling support?
What will be an ideal response?