First- even though I have years of experience- I surely do appreciate to check with another preparer that I'm correct. I have a C corporation exclusively rental with some interest income. The gross rent is $ 16000 with rental deductions of 9000 ( depreciation, real estate taxes , mortgage interest ) Interest income is $ 800. There were no dividends paid form the corporation. First I believe that rents are not phc income since they are more than 50% of adjusted gross income. Secondly I believe there is no PHC on the interest income since it does not exceed 10% of ordinary gross income. With the PHC tax isn't it true that a rental c corporation can have some interest income and not pay dividends---it just can't be a large amount.
Appreciate this board----Thanks in advance
Appreciate this board----Thanks in advance
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