If an individual taxpayer contributes capital gain

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College Accounting, Chapters 1-27
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106. If an individual taxpayer contributes capital gain property to a qualified public charity and wants to deduct fair market value, the deduction would be subject to which of the following limits? a. 20 percent of the taxpayer's AGI. b. 30 percent of the taxpayer's AGI. c. 40 percent of the taxpayer's AGI. d. 50 percent of the taxpayer's AGI.
107. If an individual taxpayer contributes ordinary income property to a qualified public charity, the deduction would be subject to which of the following limits?
108. A business machine valued at $800 was contributed to a charitable organization during the year. The machine cost $1,000 but was depreciated down to $600 before the ©2015 CCH Incorporated. All Rights Reserved. Chapter 6
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College Accounting, Chapters 1-27
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Chapter 3 / Exercise 1
College Accounting, Chapters 1-27
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29 Testbank donation was made. Indicate the correct income tax treatment with respect to the donation.
109. Stock in the ABC Corporation was contributed to a public charitable organization. The basis in the stock was $1,000, but its fair market value was $1,500 at the time of the donation. Indicate the correct income tax treatment as a result of the donation. The stock was held long term.
110. Albert Allgood has adjusted gross income in the current year of $30,000. He gave $5,000 cash and a capital gain asset (held long term) costing $10,000, worth $12,000, to a public charity, and an $8,000 cash contribution to a 20 percent charity. What is the amount of his maximum allowable current charitable contribution deduction, assuming no elections are made? (Assume any carryovers will be used in the future.) a. $25,000 b. $20,000 c. $15,000 d. $14,000 e. $23,000
111. Determine the amount of charitable contribution allowed for the current year assuming Guy Gallworthy has adjusted gross income of $30,000 and gave inventory costing $2,000 but worth $2,500 to a public charity.
©2015 CCH Incorporated. All Rights Reserved. Chapter 6
30 CCH Federal Taxation—Comprehensive Topics b. $2,300 c. $2,000 d. $0 e. None of the above

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