Management regarding tax implications of contribution


Salem realizes the importance of being a good corporate citizen and makes general contributions to worldwide charitable organizations. For 2009, Salem wants to contribute $1,500,000 to various charities. Based on 2008 tax laws, if Salem's taxable income before charitable contributions is $11,500,000 in 2009, calculate the charitable contribution allowance for 2009. Provide a recommendation to Salem management regarding tax implications of this contribution.

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Accounting Basics: Management regarding tax implications of contribution
Reference No:- TGS076774

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