Kisco Corp.’s taxable income for 2006 before taking the dividends received deduction was $70,000. This includes $10,000 in dividends from a 15%-owned taxable domestic corporation. Given the following tax rates, what would Kisco’s income tax be before any credits?
|
Taxable income partial rate table |
Tax rate |
|
Up to $50,000 |
15% |
|
Over $50,000 but not over $75,000 |
25% |
- $10,000
- $10,750
- $12,500
- $15,750