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  1. business
  2. accounting
  3. in each of the situation described in (a) through

In each of the situation described in (a) through (e), assume that: ...

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Accounting

In each of the situation described in (a) through (e), assume that:
X corporation only has one shareholder for 2023, A (an individual) having a $1,000 stock basis.
X Corporation makes a single distribution to A of property on April 1,2023. The market value of the property is $6,000 and its adjusted basis is $2,000.
Assume: The corporate tax rate is 50% and there is other taxable income for the year of $1,000.
Describe the federal income tax consequence to X Corporation and A under each of the following situation in 2023, aka (Calculate the tax conseuqences for each scenario listed below):
Accumulated E&P are 0
Accumulated E&P are 8,000(negative 8 thousand)
Accumulated E&P are 4,000
Accumulated E&P are 4,000 and the property distributed has an adjusted basis of 8,000 instead of 2,000
In general term, explain how your answer would change for sub questions a through d if A were a corporation

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