A and B Are Equal Shareholders in AB, a Calendar-Year

question 98

Essay

A and B are equal shareholders in AB, a calendar-year S corporation. On June 30 (181 days into the year), A sells one-half of her stock to C. The corporation reports $30,000 of income for the year.
How much of this income is allocated to A, B, and C?

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Definitions:

Adoption

The act of starting to use, support, or incorporate something new, such as a technology, idea, or practice.

Awareness Stage

The initial phase of the marketing funnel where potential customers first become acquainted with a product or brand.

Adoption

The act of legally taking another's child and bringing it up as one's own or embracing ideas, methods, or innovations.

Internalization

The process of integrating or absorbing knowledge, beliefs, values, or behaviors into one's own perspective or organizational practices.