The Alto-Baxter Affiliated Group Filed a Consolidated Return for the First

question 57

Multiple Choice

The Alto-Baxter affiliated group filed a consolidated return for the first time last year. The group does not come under the "large" corporation rules. For last year, the group reports a tax liability of $60,000. Cooper Corporation has a $30,000 tax liability last year. This year, the Alto-Baxter affiliated group purchased all of the Cooper stock. This year, the Alto-Baxter-Cooper group reports a $110,000 consolidated tax liability. To avoid penalties for the current year, the group must make timely estimated tax payments of how much during the year?

• A)$60,000
• B)$90,000
• C)$110,000
• D)No estimated tax payments are required.

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Definitions:

Greater Risk

Increased chance of encountering a negative event, loss, or threat, often considered in decision-making processes.

Forethought

The thoughtful consideration and planning of actions in advance, often to achieve a desired outcome or avoid negative consequences.

Original Equipment Manufacturer

An entity that produces parts and equipment that may be marketed by another manufacturer.

Producer

An individual, group, or organization that creates goods or provides services, typically for sale.