Assuming the income allocated to Kiyara is qualified business income, what is Kiyara's tion for qualified business come? Assume Kiyara's share of wages paid by Guardian Corporation is $60,000 and her share in the unadjusted basis alified property used by Guardian was $220,000.
Assuming the income allocated to Kiyara is qualified business income, what is Kiyara's tion for qualified business come? Assume Kiyara's share of wages paid by Guardian Corporation is $60,000 and her share in the unadjusted basis alified property used by Guardian was $220,000.
Chapter19: Corporations: Distributions Not In Complete Liquidation
Section: Chapter Questions
Problem 41P
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![Required information
[The following information applies to the questions displayed below.]
Kiyara (single) is a 50 percent shareholder of Guardian Corporation (an S Corporation). Kiyara does not do any
work for Guardian Corporation. Guardian Corporation reported $340,000 of business income for the year
(2023). Before considering her business income allocation from Guardian Corporation and the self-
employment tax deduction (if any), Kiyara's adjusted gross income was $290,000 (all employee salary). Kiyara
has $42,000 in itemized deductions. Answer the following questions for Kiyara.
Note: Leave no answer blank. Enter zero if applicable.
b. Assuming the income allocated to Kiyara is qualified business income, what is Kiyara's deduction for qualified business
income? Assume Kiyara's share of wages paid by Guardian Corporation is $60,000 and her share in the unadjusted basis of
qualified property used by Guardian was $220,000.
Deduction for qualified business income](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F23ecd0fb-2a0c-4679-ac8b-edbe9c455cd9%2F23f2f796-b633-4eb8-8255-8563c14a6710%2F5rf9fn_processed.png&w=3840&q=75)
Transcribed Image Text:Required information
[The following information applies to the questions displayed below.]
Kiyara (single) is a 50 percent shareholder of Guardian Corporation (an S Corporation). Kiyara does not do any
work for Guardian Corporation. Guardian Corporation reported $340,000 of business income for the year
(2023). Before considering her business income allocation from Guardian Corporation and the self-
employment tax deduction (if any), Kiyara's adjusted gross income was $290,000 (all employee salary). Kiyara
has $42,000 in itemized deductions. Answer the following questions for Kiyara.
Note: Leave no answer blank. Enter zero if applicable.
b. Assuming the income allocated to Kiyara is qualified business income, what is Kiyara's deduction for qualified business
income? Assume Kiyara's share of wages paid by Guardian Corporation is $60,000 and her share in the unadjusted basis of
qualified property used by Guardian was $220,000.
Deduction for qualified business income
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