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During the current year, Harrison Corp., a U.S. corporation and accrual method taxpayer, engages in both domestic and foreign business activities. All of its foreign activities are conducted through a branch in Singapore. The results of the current years’ operations are: U.S. source taxable income $3,500,000

During the current year, Harrison Corp., a U.S. corporation and accrual method taxpayer, engages in both domestic and foreign business activities. All of its foreign activities are conducted through a branch in Singapore. The results of the current years’ operations are:
U.S. source taxable income $3,500,000
Foreign source taxable income $2,000,000
Accrued Singapore income taxes $750,000
What is Harrison’s foreign tax credit for the current year (assuming the corporate tax rate is 34% and income from all foreign activities fall into a single basket)? Are any FTC carryovers or carrybacks available? If so, in what years could they potentially be used?

During the current year, Harrison Corp., a U.S. corporation and accrual method taxpayer, engages in both domestic and foreign business activities. All of its foreign activities are conducted through a branch in Singapore. The results of the current years’ operations are: U.S. source taxable income $3,500,000
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