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    Computing Regular Corporate Tax and Corporate AMT

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    Please help with the following accounting problem.

    What is Gigantic Corporation's net tax liability if its taxable income is $325,000 and it has a general business credit of $125,000?

    Margolin Corporation has regular taxable income of $120,000. It has positive adjustment of $90,000, preference items of $50,000 and negative adjustments of $40,000. What is its alternative minimum tax?

    Please use an Excel spreadsheet for the solution.

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    https://brainmass.com/business/accounting/computing-regular-corporate-tax-corporate-amt-440095

    Solution Preview

    Please see the attached Excel 97-2003 spreadsheet for format and formulas.

    What is Gigantic Corporation's net tax liability if its taxable income is $325,000 and it has a general business credit of $125,000?

    Taxable income $325,000

    Income tax:
    Bracket Income in Bracket Tax rate Tax
    $0-$50,000 $50,000 15% $7,500
    $50,000-$75,000 25,000 25% ...

    Solution Summary

    The following posting helps with an accounting problem. This solution illustrates how to compute a corporation's regular income tax and AMT. The explanation is given in an Excel spreadsheet.

    $2.19

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