Los Pollos Hermanos, LLC is owned equally by WW Corp (March 31st taxable year) and Gustavo Corp (April 30th taxable year). What is the required taxable year of Los Pollos Hermanos?
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Los Pollos Hermanos, LLC is owned equally by WW Corp (March 31st taxable year) and Gustavo Corp (April 30th taxable year). What is the required taxable year of Los Pollos Hermanos?
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- Burgundy, Inc., and Violet are equal partners in the calendar year BV LLC. Burgundy uses a fiscal year ending April 30, and Violet uses a calendar year. Burgundy receives an annual guaranteed payment of $100,000 for use of capital contributed by Burgundy. BV’s taxable income (after deducting the payment to Burgundy, Inc.) is $80,000 for 2020 and $90,000 for 2021. a. What is the amount of income from the LLC that Burgundy must report for its tax year ending April 30, 2021? b. What is the amount of income from the LLC that Violet must report for her tax year ending December 31, 2021?Burgundy, Inc., and Violet are equal partners in the calendar year BV LLC. Burgundy uses a fiscal year ending April 30, and Violet uses a calendar year. Burgundy receives an annual guaranteed payment of $100,000 for use of capital contributed by Burgundy. BV’s taxable income (after deducting the payment to Burgundy, Inc.) is $80,000 for 2020 and $90,000 for 2021. a. Now assume that Burgundy, Inc.’s annual guaranteed payment is increased to $120,000 starting on January 1, 2021, and the LLC’s taxable income for 2020 and 2021 (after deducting Burgundy’s guaranteed payment) is the same (i.e., $80,000 and $90,000, respectively). What is the amount of income from the LLC that Burgundy, Inc., must report for its tax year ending April 30, 2021?C Corporation converts to S Corporation when the fair market value of its assets was $100,000 and its basis of those assets was $60,000. Three years later, S Corporation sells those assets for $120,000. What amount of built in gain is subject to S corporation tax at the date of sale?
- The Keppners file a joint income tax return. Assume the taxable year is 2022. Required: a. Compute their standard deduction assuming that Mr. Keppner is age 68, and Ms. Keppner is age 60. b. Compute their standard deduction assuming that Mr. Keppner is age 70, and Ms. Keppner is age 68. c. Compute their standard deduction assuming that Mr. Keppner is age 70, and Ms. Keppner is age 68 and legally blind.The Parent consolidated group reports the following results for the 2021 tax year. Entity Income or Loss Parent $13,600 Sub1 (1,360) Sub2 5,440 Sub3 2,720 Do not round any division in your computations. If required, round your answers to nearest whole dollar. If an amount is zero, enter "0". a. What is the group's consolidated taxable income and consolidated tax liability? If the relative taxable income method, the consolidated taxable income is $fill in the blank 1 and the total consolidated tax liability is $fill in the blank 2 . b. If the Parent group has consented to the relative taxable income method, how will the consolidated tax liability be allocated among the Parent and Subsidiaries 1, 2, and 3? Entity Income or Loss Parent $fill in the blank 3 Sub1 $fill in the blank 4 Sub2 $fill in the blank 5 Sub3 $fill in the blank 6Jokan contributes a nondepreciable asset to the Mahall LLC in exchange for a one-fourth (25%) interest in the LLC's capital and profits and a 30% interest in the LLC's losses. The asset has an adjusted tax basis to Jokan and the LLC of $117,500 and a fair market value and § 704(b) "book" basis on the contribution date of $211,500. The asset is encumbered by a nonrecourse note of $70,500 that has not been guaranteed by any of the LLC members. How much of the nonrecourse debt is allocated to Jokan? What is the amount of Jokan's basis in the LLC interest following the contribution?
- Help me pleaseam. 112.Jokan contributes a nondepreciable asset to the Mahali LLC in exchange for a one-fourth (25%) interest in the capital, profits, and losses of the LLC. The asset has an adjusted tax basis to Jokan and the LLC of $60,000 and a fair market value and § 704(b) "book" basis on the contribution date of $150,000. The asset is encumbered by a nonrecourse note of $40,000 that has not been guaranteed by any of the LLC members. How much of the nonrecourse debt is allocated to Jokan?$fill in the blank 1 What is the amount of Jokan's basis in the LLC interest following the contribution?$fill in the blank 2.
- Lola owns a one-half interest in the Lenax LLC. Her basis in this ownership interest is $174,500 at the end of the year, after accounting for the calendar year LLC's current operations. On that date, the LLC distributes $191,950 cash to Lola in a proportionate current distribution. What is the amount of any gain or loss Lola recognizes as a result of this distribution? What is her basis in the LLC interest? if an amount is zero, enter "0". She recognizes a $fill in the blank ____________ from this distribution. Her basis is reduced to $fill in the blank _______________ ?Hh3.On January 1, 2022, Madison contributed $100,000 cash in exchange for a 25% interest in AABC LLC. During 2022, the LLC generated $140,000 ordinary taxable income and no separately stated income or expenses. On December 31, 2022, the LLC distributed to Madison $15,000 cash. What is Madison's basis in the LLC interest on January 1, 2022?
