Initiate, Inc., a 501(c)(3) organization, receives the following revenues and incurs the following expenses....
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Accounting
Initiate, Inc., a 501(c)(3) organization, receives the following revenues and incurs the following expenses.
Grant from Bill and Melinda Gates Foundation
$70,000
Charitable contributions received
625,000
Expenses in carrying out its exempt mission
500,000
Net income before taxes of Landscaping, Inc., a wholly owned for-profit subsidiary
400,000
Landscaping, Inc., remits all of its after-tax profits each year to Initiate.Calculate the amount of the Federal income tax, if any, for Initiate and for Landscaping.
Assume a 21% tax rate. If an amount is zero, enter "0".
The Federal income tax liability is $ for Initiate and $ for Landscaping.
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