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Business, 29.04.2021 18:50 shaheedbrown06

Determine the tax treatment of each distribution above as either a dividend distribution, an exchange, or return of capital. Explain the tax rule that justifies and supports the determination made for each distribution. Calculate Thunder Inc.'s accumulated Earnings Profits at December 31, 2018. Isaac is planning to retire and would like to sell all his shares to the corporation for $200,000 and a 10-year note with a fair market value of $600,000. Explain what Isaac and the corporation must do and consider to be sure that the sale or redemption of his shares is treated as an exchange. Could Joe become or stay as a consultant to the company

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