Molly has generated general business credits over the years that have not been utilized
Question # 00220198
Posted By:
Updated on: 03/13/2016 03:27 AM Due on: 04/12/2016
Molly has generated general business credits over the years that have not been utilized. The amounts generated and not utilized follow:
2011 $2,500
2012 7,500
2013 5,000
2014 4,000
In the current year, 2015, her business generates an additional $15,000 general business credit. In 2015, based on her tax liability before credits, she can utilize a general business credit of up to $20,000. After utilizing the carryforwards and the current year credits, how much of the general business credit generated in 2015 is available for future years?
a. $0.
b. $1,000.
c. $14,000.
d. $15,000.
e. None of the above.
Please include an explanation and show work for the answer as well.
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Rating:
/5
Solution: Molly has generated general business credits over the years that have not been utilized