Questions from Federal Taxation

Q: Adrian was awarded an academic scholarship to State University for the 2017

Adrian was awarded an academic scholarship to State University for the 2017–2018 academic year. He received $6,500 in August and $7,200 in December 2017. Adrian had enough personal savings to pay all...

Q: Leigh sued an overzealous bill collector and received the following settlement:

Leigh sued an overzealous bill collector and received the following settlement: Damage to her automobile that the collector attempted to repossess……..$ 3,300 Physical damage to her arm caused by the...

Q: Determine the effect on gross income in each of the following cases

Determine the effect on gross income in each of the following cases: a. Eloise received $150,000 in settlement of a sex discrimination case against her former employer. b. Nell received $10,000 for da...

Q: The UVW Union and HON Corporation are negotiating contract terms. Assume

The UVW Union and HON Corporation are negotiating contract terms. Assume that the union members are in the 25% marginal tax bracket and that all benefits are provided on a nondiscriminatory basis. Wri...

Q: Mauve Corporation has a group hospitalization insurance plan that has a $

Mauve Corporation has a group hospitalization insurance plan that has a $200 deductible amount for hospital visits and a $15 deductible for doctor visits and prescriptions. The deductible portion paid...

Q: Tim is the vice president of western operations for Maroon Oil Company

Tim is the vice president of western operations for Maroon Oil Company and is stationed in San Francisco. He is required to live in an employer-owned home, which is three blocks from his company offic...

Q: Does the taxpayer recognize gross income in the following situations?

Does the taxpayer recognize gross income in the following situations? a. Ava is a filing clerk at a large insurance company. She is permitted to leave the premises for lunch, but she usually eats in t...

Q: Eddy Falls is considering litigating a tax deficiency of approximately $229

Eddy Falls is considering litigating a tax deficiency of approximately $229,030 in the court system. He asks you to provide himwith a short description of his alternatives, indicating the advantages a...

Q: Bertha is considering taking an early retirement offered by her employer.

Bertha is considering taking an early retirement offered by her employer. She would receive $3,000 per month, indexed for inflation. However, she would no longer be able to use the company’s health fa...

Q: Finch Construction Company provides the carpenters it employs with all of the

Finch Construction Company provides the carpenters it employs with all of the required tools. However, the company believes that this practice has led to some employees not taking care of the tools an...