Questions from Federal Taxation

Q: a. Who is liable for additional taxes on a joint return

a. Who is liable for additional taxes on a joint return? b. Why is this so important?

Q: Howard Gartman is a 40% partner in the Horton &Gartman

Howard Gartman is a 40% partner in the Horton &Gartman Partnership. During 2017, the partnership reported the total items below (100%) on its Form 1065: Ordinary income ………………………………. $180,000 Qualif...

Q: In 2016, Paul, who is single, has a comfortable

In 2016, Paul, who is single, has a comfortable salary from his job as well as income from his investment portfolio. However, he is habitually late in filing his federal income tax return. He did not...

Q: Sometimes taxpayers may not be able to file their tax returns by

Sometimes taxpayers may not be able to file their tax returns by the normal due date. Are extensions available? How long are the extensions? Do extensions enable taxpayers to delay paying the tax they...

Q: Which of the following individuals is most likely to be audited?

Which of the following individuals is most likely to be audited? a.Connie has a $20,000 net loss from her unincorporated business (a cattle ranch). She also received a $200,000 salary as an executive...

Q: Explain how a computer can assist a tax practitioner in tax planning

Explain how a computer can assist a tax practitioner in tax planning activities and making complex tax calculations.

Q: In April 2017, Dan is audited by the IRS for the

In April 2017, Dan is audited by the IRS for the year 2015. During the course of the audit, the agent discovers that Dan’s deductions for business travel and entertainment are unsubstantiated and a $6...

Q: What are the criteria for distinguishing between a deductible expense and a

What are the criteria for distinguishing between a deductible expense and a capital expenditure?

Q: a. What assets are excluded from capital asset status?

a. What assets are excluded from capital asset status? b. Are capital gains given favorable tax treatment? c. What is the significance of an asset being classified as a capital asset? d. Are capital l...

Q: The Bruin Corporation, a C corporation, is owned 100%

The Bruin Corporation, a C corporation, is owned 100% by John Bean and had taxable income in 2017 of $500,000. John is also an employee of the corporation. In December 2017, the corporation has decide...