For the current year, LNS corporation reported the following taxable income at the end of its...

For the current year, LNS corporation reported the following taxable income at the end of its first, second, and third quarters.

Quarter-End Cumulative Taxable Income

First $1,550,000

Second 2,560,000

Third 3,390,000

What are LNS’s minimum first, second, third, and fourth quarter estimated tax payments determined using the annualized income method? (Enter all amounts as positive values. Leave no answer blank. Enter zero if applicable. Round "Annualization Factor" for Fourth quarter to 7 places. Round other intermediate computations and final answers to the nearest whole dollar amount.)

Instalment	Taxable income	Annulazation factor	Annual Est. Taxable Income	Tax on estimated taxable income	% of tax required to be paid	%	Required cumulative Payment	Prior cumulative payments	Required estimated Tax payment
First quarter	1550000	4	6200000		25	%
Second quarter	1550000	4	6200000		50	%
Third Quarter	2560000	2	5120000		75	%
Fourth quarter	3390000	1.3333333	4520000		100	%

Please fill the blank columns?

Solutions

Expert Solution

Installment	Taxable Income	Annualization Factor	Annual Est. Taxable Income	Tax on estimated taxable income @ 21%	Percentage of Tax Required To Be Paid	Required Cumulative Payment	Prior Cumulative Payments	Required Estimated Tax Payment
First quarter	15,50,000	4	62,00,000	13,02,000	25%	3,25,500	-	3,25,500
Second quarter	15,50,000	4	62,00,000	13,02,000	50%	6,51,000	3,25,500	3,25,500
Third quarter	25,60,000	2	51,20,000	10,75,200	75%	8,06,400	6,51,000	1,55,400
Fourth quarter	33,90,000	1.3333333	45,20,000	9,49,200	100%	9,49,200	8,06,400	1,42,800

ekkarill92 answered 1 year ago

Next > < Previous

Related Solutions

Marathon Inc. (a C corporation) reported $1,350,000 of taxable income in the current year. During the...

Marathon Inc. (a C corporation) reported $1,350,000 of taxable income in the current year. During the year, it distributed $135,000 as dividends to its shareholders as follows: $6,750 to Guy, a 5 percent individual shareholder. $20,250 to Little Rock Corp., a 15 percent shareholder (C corporation). $108,000 to other shareholders. How much of the dividend payment did Marathon deduct in determining its taxable income? Assuming Guy’s marginal ordinary tax rate is 37 percent, how much tax will he pay on...

Marathon Inc. (a C corporation) reported $1,750,000 of taxable income in the current year. During the...

Marathon Inc. (a C corporation) reported $1,750,000 of taxable income in the current year. During the year, it distributed $175,000 as dividends to its shareholders as follows: (Leave no answer blank. Enter zero if applicable.) $8,750 to Guy, a 5 percent individual shareholder. $26,250 to Little Rock Corp., a 15 percent shareholder (C corporation). $140,000 to other shareholders. How much of the dividend payment did Marathon deduct in determining its taxable income? Assuming Guy’s marginal ordinary tax rate is 37...

1.In the current year, Apricot Corporation had taxable income of $120,000. Included in taxable income was...

1.In the current year, Apricot Corporation had taxable income of $120,000. Included in taxable income was a $10,000 capital gain. The $120,000 of taxable income does not include a $15,000 capital loss carryforward available from the previous year. What is Apricot Corporation's current year income tax liability before any tax credits? Group of answer choices $22.050 $21,000 $23,100 $25,200 None of these 2. An S corporation files a Form 1120S. Group of answer choices True False

Cranberry Corporation has $3,240,000 of current year taxable income. If the current year is a calendar...

Cranberry Corporation has $3,240,000 of current year taxable income. If the current year is a calendar year ending on December 31, 2017, calculate Cranberry's regular income tax liability. If the current year is a calendar year ending on December 31, 2018, calculate Cranberry’s regular income tax liability. If the current year is a fiscal year ending on April 30, 2018, calculate Cranberry's regular income tax liability. (Do not round intermediate calculations.)

Crocker and Company (CC) is a C corporation. For the year, CC reported taxable income of...

Crocker and Company (CC) is a C corporation. For the year, CC reported taxable income of $566,000. At the end of the year, CC distributed all its after-tax earnings to Jimmy, the company's sole shareholder. Jimmy's marginal ordinary tax rate is 37 percent and his marginal tax rate on dividends is 23.8 percent, including the net investment income tax. What is the overall tax rate on Crocker and Company's pre-tax income? A) 18.8% B) 23.8% C) 21 D) 39.8 E)...

Lanco Corporation, an accrual-method corporation, reported taxable income of $2,230,000 this year. Included in the computation...

Lanco Corporation, an accrual-method corporation, reported taxable income of $2,230,000 this year. Included in the computation of taxable income were the following items: MACRS depreciation of $289,500. Straight-line depreciation would have been $198,000. A net capital loss carryover of $16,100 from last year. A net operating loss carryover of $32,500 from last year. $75,000 capital gain from the distribution of land to the company’s sole shareholder (see below). Not included in the computation of taxable income were the following items:...

Lanco Corporation, an accrual-method corporation, reported taxable income of $1,460,000 this year. Included in the computation...

Lanco Corporation, an accrual-method corporation, reported taxable income of $1,460,000 this year. Included in the computation of taxable income were the following items: MACRS depreciation of $200,000. Straight-line depreciation would have been $120,000. A net capital loss carryover of $10,000 from last year. A net operating loss carryover of $25,000 from last year. $65,000 capital gain from the distribution of land to the company’s sole shareholder (see below). Not included in the computation of taxable income were the following items:...

Lanco Corporation, an accrual-method corporation, reported taxable income of $2,380,000 this year. Included in the computation...

Lanco Corporation, an accrual-method corporation, reported taxable income of $2,380,000 this year. Included in the computation of taxable income were the following items: MACRS depreciation of $232,500. Straight-line depreciation would have been $152,000. A net capital loss carryover of $12,000 from last year. A net operating loss carryover of $28,600 from last year. $65,850 capital gain from the distribution of land to the company’s sole shareholder (see below). Not included in the computation of taxable income were the following items:...

Volunteer Corporation reported taxable income of $435,000 from operations this year. During the year, the company...

Volunteer Corporation reported taxable income of $435,000 from operations this year. During the year, the company made a distribution of land to its sole shareholder, Rocky Topp. The land’s fair market value was $87,000 and its tax and E&P basis to Volunteer was $62,000. Rocky assumed a mortgage attached to the land of $17,400. The company had accumulated E&P of $792,000 at the beginning of the year. A) Compute Volunteer’s total taxable income and federal income tax. B) Compute Volunteer's...

Volunteer Corporation reported taxable income of $470,000 from operations this year. During the year, the company...

Volunteer Corporation reported taxable income of $470,000 from operations this year. During the year, the company made a distribution of land to its sole shareholder, Rocky Topp. The land’s fair market value was $85,000 and its tax and E&P basis to Volunteer was $58,500. Rocky assumed a mortgage attached to the land of $17,000. Any gain from the distribution will be taxed at 21 percent. The company had accumulated E&P of $780,000 at the beginning of the year. b. Compute...

Subjects