for the year ended december 31 2007 beck had 81 000 in ordinary business income and 626832
Beck Corp. has been a calendar-year S corporation since its inception on January 2, 2003. On January 1, 2007, Lazur and Lyle each owned 50% of the Beck stock, in which their respective tax bases were $12,000 and $9,000. For the year ended December 31, 2007, Beck had $81,000 in ordinary business income and $10,000 in tax-exempt income. Beck made a $51,000 cash distribution to each shareholder on December 31, 2007. What was Lazur’s tax basis in Beck after the distribution?
- $ 1,500
- $ 6,500
- $52,500
- $57,500