Property Transactions: Determination of Gain
PROPERTY TRANSACTIONS: DETERMINATION OF GAIN
OR LOSS, BASIS CONSIDERATIONS, AND NONTAXABLE EXCHANGES
Tyler borrowed $3,500 to purchase a machine. He later borrowed $1,50
Property Transactions: Capital Gains and Losses
PROPERTY TRANSACTIONS: CAPITAL GAINS AND LOSSES,
1231, AND RECAPTURE PROVISIONS
On December 10, 2013, an investor purchased 1,000 shares of Sequoia Corporation for
Deductions and Losses: Certain Business Expenses and Losses
DEDUCTIONS AND LOSSES:
CERTAIN BUSINESS EXPENSES AND LOSSES
The nonbusiness bad debt provisions are applicable to individuals and corporations.
Corporations: Distributions Not in Complete Liquidation
CORPORATIONS: DISTRIBUTIONS NOT IN
Assume taxable income is the starting point for computing E & P. During 2012, Gold
Corporation had exc
Corporations: Introductions and Operating Rules
CORPORATIONS: INTRODUCTION AND OPERATING RULES
Chestnut Corporation had $300,000 operating income and $150,000 operating expenses
during the year. In addition, Chestn
Tax Practice and Ethics
TAX PRACTICE AND ETHICS
Which of the following statements properly characterizes letter rulings?
They are different from determination letters.
They can be relied upon only by the taxp
In the current year, Anderson formed an equal partnership with Camilla. Anderson
contributed land with an adjusted basis of $50,000 and a fair market value of $225,000.
Anderson also contr
Corporations: Organization and Capital Structure
CORPORATIONS: ORGANIZATION AND CAPITAL STRUCTURE
Cannon and Bruno form Lemon Corporation. Cannon transfers property (basis of
$365,000 and fair market value of $300,
Computing The Tax
COMPUTING THE TAX
In 2013, Kyle is a widower and maintains a household in which he and his unmarried
daughter, Edith, live. Edith need not be Kyles dependent for Kyle to claim head of
During 2013, an S corporation incurs the following transactions.
Net income from operations
Interest income from savings account
Long-term capital gain from sale of securities
Multistate Corporate Taxation
MULTISTATE CORPORATE TAXATION
Citrine Corporation is subject to a corporate income tax only in State X. The starting
point in computing X taxable income is Federal taxable income. Citr
Corporations: Distributions in Complete Liquidation
CORPORATIONS: DISTRIBUTIONS IN COMPLETE
LIQUIDATION AND AN OVERVIEW OF REORGANIZATIONS
The stock in Rose Corporation is held equally by two sisters. One year befo
Which of the following are organizations exempt under 501(c)(3)?
University of Richmond.
Chamber of Commerce.
Only a. and b. are 501(c)(3) organizations.
Accounting Periods and Methods
ACCOUNTING PERIODS AND METHODS
Generally the all-events test does not require the matching of revenue from a sale with
the estimated future costs of servicing goods under a warranty.
The Federal Gift and Estate Taxes
THE FEDERAL GIFT AND ESTATE TAXES
At the time of his death, Ruark owned stock as follows.
Date of Death
Stock in Walnut Corporation
Stock in Hazel Corp
Income Taxation of Trusts and Estates
INCOME TAXATION OF TRUSTS AND ESTATES
The trustee of the Fillmore Trust must distribute current-year annual accounting income
to its sole beneficiary, Annie. The trust's perso
Taxation of International Transactions
TAXATION OF INTERNATIONAL TRANSACTIONS
Benjamin, a U.S. resident, receives $120,000 of foreign-source passive category income
on which foreign taxes of $30,000 are withheld. H
Tax Credits and Payments
TAX CREDITS AND PAYMENTS
The work opportunity tax credit is available for up to $8,000 of wages paid to
employees in their first year of employment.
A small employer incurs $4,000 for
Wallace owns five activities. He elects not to group them together as a single activity
under the "appropriate economic unit" standard. He participates for 110 hours in
Activity A, 1
Alternative Minimum Tax
ALTERNATIVE MINIMUM TAX
Sherise, who is single and age 33, provides you with the following information from her
financial records for 2013.
Regular income tax liability
Deductions: Employee and Self-Employed-Related Expenses
DEDUCTIONS: EMPLOYEE AND SELF-EMPLOYED-RELATED EXPENSES
Employed individuals must use Form 2106 to report their business-related expenses.
Charley is the c
Depreciation, Cost Recovery, Amortization, and Depletion
DEPRECIATION, COST RECOVERY,
AMORTIZATION, AND DEPLETION
On June 14, 2012, Jamie purchased a used automobile that cost $18,000. The car is
used 70% for busines
Deductions and Losses: In General
DEDUCTIONS AND LOSSES: IN GENERAL
Elizabeth sells land to her adult son, Bradley, for its $50,000 appraised value. Her
adjusted basis for the land is $55,000. Elizabeths recognized
Gross Income: Exclusions
GROSS INCOME: EXCLUSIONS
Michael, age 19, is a full-time student at Central College and a candidate for a
bachelor's degree. During 2013, he received the following payments:
Gross Income: Concepts and Inclusions
GROSS INCOME: CONCEPTS AND INCLUSIONS
In 2007, Randi purchased land for $80,000. In 2013, Randi received $10,000 from a
local cable television company in exchange for Randi a
Deductions and Losses: Certain Itemized Deductions
DEDUCTIONS AND LOSSES:
CERTAIN ITEMIZED DEDUCTIONS
Diego and Katelyn, both age 66, are married and together have AGI of $30,000. They
have two dependents and file
Working with the Tax Law
WORKING WITH THE TAX LAW
Proposed regulations are usually issued where immediate guidance is important.
The IRS is required to make a determination letter public.
Which statement is true
An Introduction to Taxation
AN INTRODUCTION TO TAXATION
AND UNDERSTANDING THE FEDERAL TAX LAW
Lawrence buys a parsonage from a local church which he converts into a rental
property. This change should increase the
ASSIGNMENT 1 MAX SCORE = 5
College of Business Administration: Peg Henderson is an assistant dean at the College of Business
Administration (CBA). She uses Excel daily for a variety of tasks, including tracking student internships
and alumni. For this pro