On December 28,2012,the Board of Directors of Taupe Corporation,a Calendar

Essay

On December 28,2012,the board of directors of Taupe Corporation,a calendar year,accrual method C corporation,authorized a contribution of land to a qualified charitable organization.The land (basis of $75,000,fair market value of $125,000)was acquired five years ago and held as an investment.For purposes of the taxable income limitation applicable to charitable deductions,Taupe has taxable income of $800,000 and $950,000 for 2012 and 2013,respectively.Describe the tax consequences to Taupe Corporation under the following independent situations.