Compute the Federal income tax liability for the Valerio Trust. The entity reports the following transactions for the 2012 tax year. The trustee accumulates all accounting income for the year.
|
Operating income from a business |
$ 400,000 |
|
Dividend income, all from U.S. corporations |
30,000 |
|
Interest income, City of San Antonio bonds |
40,000 |
|
Fiduciary fees, deductible portion |
10,000 |
|
Net rental losses, passive activity |
(100,000) |