Answer:
D : George will have to pay $7,500, which is the 50% tax on the amount that he should have taken for his required minimum distribution.
Explanation:
Currently, Required Minimum Distributions (RMDs) have been suspended for the entire 2020 due to CARES Act. But under normal circumstances, Roger would be penalized and 50% of the RMD not retired would be withheld by the IRS. That is why people generally withdraw the RMDs even if they do not need them.
In team assignments, make sure you speak first and act on your own.
You should invest your money to save for future projects or maybe you need it for a life emergency.
Book value on the date of disposal
Cost of the equipment - accumulated depreciation
45000-20000=25000
Gain on disposal of the equipment
Proceeds from sales - book value on the date of disposal
30000-25000=5000
The amount of gain on disposal (5000) is reported under “Other revenues and
gains” section of the income statement which increase the profit which transferred into shareholders equity. Also, the account of the equipment will be zero
So the answer is d
Hope it helps!
Answer:
$8,000
Explanation:
Income distribution deductions apply only to an estate or trust's distributable net income (DNI). In this context, the beneficiaries of an estate or a trust are taxed directly based on the money distributed to them. That means that the estate or trust can deduct distributions when calculating taxes. This is done to avoid double taxation, since the beneficiaries are taxed, then the estate or trust is not.
