Jenna paid foreign income tax of $2,997 on foreign income of $14,986. Her worldwide taxable income was $120,800, and her U.S. tax liability was $30,000. Required: a. What is the amount of the foreign tax credit (FTC) allowed? b. What would be the allowed FTC if Jenna had paid foreign income tax of $5,900 instead? Note: Do not round intermediate calculations. Round your final answer to the nearest whole dollar amount. a. Foreign tax credit allowed b. Foreign tax credit allowed. wwwwwwwww Amounts

Jenna paid foreign income tax of $2,997 on foreign income of $14,986. Her worldwide taxable income was $120,800, and her U.S. tax liability was $30,000. Required: a. What is the amount of the foreign tax credit (FTC) allowed? b. What would be the allowed FTC if Jenna had paid foreign income tax of $5,900 instead? Note: Do not round intermediate calculations. Round your final answer to the nearest whole dollar amount. a. Foreign tax credit allowed b. Foreign tax credit allowed. wwwwwwwww Amounts

SWFT Essntl Tax Individ/Bus Entities 2020

23rd Edition

ISBN:9780357391266

Author:Nellen

Publisher:Nellen

Chapter16: Multijurisdictional Taxation

Section: Chapter Questions

Problem 20P

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Taxpayer Q has net taxable income of $30,000 from Country Y which imposes a 40 percent income tax. Inaddition to the income from Country Y, taxpayer Q has net taxable income from US sources of $120,000, and UStax liability, before the foreign tax credit, of $30,290. What is the amount of Q's foreign tax credit?a. $6,058b. $8,350c. $12,000d. $30,290e. None of the above
Jenna paid foreign income tax of $4,961 on foreign income of $24,806. Her worldwide taxable income was $162,800, and her U.S. tax liability was $40,000. Required: What is the amount of the foreign tax credit (FTC) allowed? What would be the allowed FTC if Jenna had paid foreign income tax of $10,900 instead?
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11. Jacques is an alien assigned in the Philippines to manage the regional area headquarters of Deli France, a multinational company Juan is Jacques counterpart in the said office and receives the same salary as Jacques. Juan's salary for the year 2022 is: Group of answer choices tax at 10% on gross income tax at 15% on gross income tax at 0% - 35% on taxable income exempted from tax like Jacques
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