Questions from Federal Taxation

Q: Anita, a single taxpayer, reports the following items for 2017

Anita, a single taxpayer, reports the following items for 2017: Salary……………………………………………………………………………………………….$20,000 Income for serving on the Board of Directors for XYZ Corporation………….11,000 Consulti...

Q: During the current year, Becky has personal credits (P)

During the current year, Becky has personal credits (P) as well as business credits (B) related to her sole proprietorship. Her tentative tax credits for the current year include the following: Child...

Q: Explain how Treasury Department Circular 230 differs from the AICPA’s Statements on

Explain how Treasury Department Circular 230 differs from the AICPA’s Statements on Standards for Tax Services.

Q: In each of the following independent situations, determine the amount of

In each of the following independent situations, determine the amount of the child and dependent care tax credit. (Assume that both taxpayers are employed and the year is 2017.) a. Brad and Bonnie ar...

Q: Brad and Valerie decided to adopt a child and contacted an adoption

Brad and Valerie decided to adopt a child and contacted an adoption agency in August 2016. After extensive interviews and other requirements (such as financial status, etc.), Brad and Valerie were app...

Q: Lou and Stella North are married, file a joint return,

Lou and Stella North are married, file a joint return, and have two dependent children in college, Phil and Jaci. Phil attends a State University in a neighboring state, and Jaci attends a State Unive...

Q: Caroline, age 66 and filing single as a dependent of another

Caroline, age 66 and filing single as a dependent of another, received the following income items for the current year: Social Security benefits (nontaxable) $ 3,000 Pension benefits...

Q: During the current year, Joule Company, a sole proprietorship,

During the current year, Joule Company, a sole proprietorship, earned general business tax credits of $30,000 for energy conservation and rehabilitation expenditures. The owner, Mark Joule, knows that...

Q: Randall and Dianne Wall live in St. Louis, Missouri.

Randall and Dianne Wall live in St. Louis, Missouri. Randall and Dianne are each 30 years old, neither smokes, and they have no children or other dependents. Randall is attending law school full time...

Q: Bob acquired a certified historic structure and placed it in service August

Bob acquired a certified historic structure and placed it in service August of the current year, as an office for his business. He paid $20,000 for the building (exclusive of the land) and spent $40,0...