Instructions Note This problem is for the 2021 tax year On February 12 2007 Nancy Trout and Delores Lake formed Kingfisher Corporation to sell fishing tackle Pertinent information regarding Kingfisher is summarized as follows Kingfisher s business address is 1717 Main Street Ely MN 55731 its telephone number is 218 555 2211 and its e mail address is kingfisher kf com The employer identification number is 11 1111113 and the principal business activity code is 451110 Nancy owns 50 of the common stock and is president of the company and Delores owns 50 of the common stock and is vice president of the company No other class of stock is authorized Both Nancy and Delores are full time employees of Kingfisher Nancy s Social Security number is 123 45 6788 and Delores s Social Security number is 123 45 6787 Kingfisher is an accrual method calendar year taxpayer Inventories are determined using FIFO and the lower of cost or market method Kingfisher uses the straight line method of deprecation for book purposes and accelerated depreciation MACRS for tax purposes During 2021 the corporation distributed cash dividends of 80 000 Kingfisher s financial statements for 2021 are shown below Income Income Statement Expenses Gross sales Sales returns and allowances Net sales Cost of goods sold Gross profit Dividends received from stock investments in less than 20 owned U S corporations Interest income State bonds Certificates of deposit Total income Salaries officers Nancy Trout Delores Lake Salaries clerical and sales Taxes state local and payroll Repairs and maintenance Interest expense Business loans Loan to purchase state bonds Advertising Rental expense Depreciation Charitable contributions cash Employee benefit programs Premiums on term life insurance policies on lives of Nancy Trout and Delores Lake Kingfisher is the designated beneficiary Total expenses Net income before taxes Federal income tax Net income per books 2 408 000 80 000 2 328 000 920 000 1 408 000 12 000 24 000 1 444 000 940 000 504 000 106 680 397 320 14 000 10 000 160 000 160 000 12 000 8 000 320 000 290 000 85 000 56 000 20 000 6 000 68 000 40 000 15 000 24 000 16 000 You are not provided enough detailed information to complete a Form 4562 depreciation If you solve the problem using Intuit ProConnnect enter the amount of depreciation on line 20 of Form 1120 Balance Sheet Assets Cash Trade notes and accounts receivable Inventories State bonds Federal income tax refund Certificates of deposit January 1 2021 December 31 2021 337 300 480 280 1 012 000 160 000 1 320 140 000 380 000 308 400 900 000 160 000 0 140 000 Stock investments Buildings and other depreciable assets Accumulated depreciation Land Other assets Total assets 300 000 240 000 88 800 20 000 3 600 2 363 200 300 000 240 000 128 800 20 000 2 000 2 564 100 Liabilities and Equity Accounts payable Other current liabilities Mortgages Capital stock Retained earnings Total liabilities and equity Required January 1 2021 December 31 2021 233 880 40 000 200 000 500 000 1 590 220 2 564 100 300 000 80 300 210 000 500 000 1 272 900 2 363 200 During 2021 Kingfisher made estimated tax payments of 27 000 each quarter to the IRS Prepare Kingfisher s corporate tax return for tax year 2021 using Form 1120 and any other appropriate forms and schedules If an amount box does not require an entry or the answer is zero enter 0 Enter all amounts as positive numbers unless otherwise instructed If required round amounts to the nearest dollar Make realistic assumptions about any missing data Form 1120 pages 1 2 and 3 Complete Form 1120 pages 1 2 and 3 for Kingfisher Corporation Form 1120 Department of the Treasury Internal Revenue Service A 1a Check if Consolidated return attach Form 851 b Life nonlife consolidated return 2 Personal holding co attach Sch PH 3 Personal service corp see instrs 4 Schedule M 3 attached U S Corporation Income Tax Return For calendar year 2021 or tax year beginning 2021 Go to www irs gov Form1120 for instructions and the latest ending information OMB No 1545 0123 2021 11 1111113 TYPE OR PRINT B Employer identification number Kingfisher Corporation 1717 Main Street Ely MN 55731 E Check if 1 Initial return 2 Final return 3 Name change 4 D Total assets see instructions C Date incorporated Address change 02 12 2007 2 564 100 1a Gross receipts or sales b Returns and allowances 1a 2 408 000 1b 80 000 c Balance Subtract line 1b from line 1a 2 Cost of goods sold attach Form 1125 A 3 Gross profit Subtract line 2 from line 1c 4 Dividends and inclusions Schedule C line 23 I N C O M E 5 Interest 5 6 6 Gross rents 7 Gross royalties 7 8 8 Capital gain net income attach Schedule D Form 1120 9 Net gain or loss from Form 4797 Part II line 17 attach Form 4797 9 10 Other income see instructions attach statement 10 1c 2 328 000 2 920 000 3 1 408 000 4 12 000 10 000 11 Total income Add lines 3 through 10 11 1 430 000 12 Compensation of officers see instructions attach Form 1125 E 13 Salaries and wages less employment credits 14 Repairs and maintenance 14 15 Bad debts 15 56 000 16 Rents 17 Taxes and licenses 18 Interest see instructions 19 Charitable contributions 20 Depreciation from Form 4562 not claimed on Form 1125 A or elsewhere on return attach Form 4562 21 Depletion 22 Advertising 22 23 Pension profit sharing etc plans 23 24 Employee benefit programs 25 Reserved for future use 26 Other deductions attach statement 27 Total deductions Add lines 12 through 26 28 Taxable income before net operating loss deduction and special deductions Subtract line 27 from line 11 29a Net operating loss deduction see instructions 29a b Special deductions Schedule C line 24 29b 6 000 c Add lines 29a and 29b 30 Taxable income Subtract line 29c from line 28 See instructions 31 Total tax Schedule J Part I line 11 32 Reserved for future use 33 Total payments credits Schedule J Part III line 23 34 Estimated tax penalty See instructions Check if Form 2220 is attached 34 33 35 Amount owed If line 33 is smaller than the total of lines 31 32 and 34 enter amount owed 36 Overpayment If line 33 is larger than the total of lines 31 32 and 34 enter amount overpaid 12 320 000 13 290 000 16 68 000 17 85 000 18 12 000 19 15 000 40 000 6 000 24 000 20 21 24 25 26 27 916 000 28 514 000 29c 6 000 30 508 000 31 32 35 36 106 680 108 000 1 320 37 Sign Here Enter amount from line 36 you want Credited to 2022 estimated tax Refunded 37 Under penalties of perjury I declare that I have examined this return including accompanying