Questions from Federal Taxation

Q: Puce is a corporation that buys and sells financial assets. It

Puce is a corporation that buys and sells financial assets. It purchases notes receivable from manufacturers that need cash immediately and cannot wait to collect the notes. Puce pays about 88% of the...

Q: Your client, Alternate Fuel, Inc. (a regular corporation

Your client, Alternate Fuel, Inc. (a regular corporation), owns three sandwich shops in the Philadelphia area. In 2014, the year Alternate Fuel incorporated, it acquired land on the outskirts of Phila...

Q: Perform a Google search to find information about capital gains tax rates

Perform a Google search to find information about capital gains tax rates worldwide (and across U.S. states). Try searching for “capital gains rate by country (state).” What jurisdiction has the highe...

Q: Search for the phrase “mortgage and real estate fraud” on

Search for the phrase “mortgage and real estate fraud” on the IRS’s website (www.irs.gov). Read the articles you find, and explain why this type of fraud is often unearthed by the IRS.

Q: Siva Nathaniel owns various plots of land in Fulton County, Georgia

Siva Nathaniel owns various plots of land in Fulton County, Georgia. He acquired the land at various times during the last 20 years. About every fourth year, Siva subdivides into lots one of the prope...

Q: Nadia donates $4,000 to Eastern University’s athletic department.

Nadia donates $4,000 to Eastern University’s athletic department. The payment guarantees that Nadia will have preferred seating near the 50-yard line. a. Assume that Nadia subsequently buys four $100...

Q: Clyde had worked for many years as the chief executive of Red

Clyde had worked for many years as the chief executive of Red Industries, Inc., and had been a major shareholder. Clyde and the company had a falling out, and Clyde was terminated. Clyde and Red execu...

Q: Polly and her husband, Leo, file a joint return and

Polly and her husband, Leo, file a joint return and expect to report 2017 AGI of $75,000. Polly’s employer offers a child and dependent care reimbursement plan that allows up to $5,000 of qualifying e...

Q: Under what circumstances are losses disallowed to a corporation in liquidation?

Under what circumstances are losses disallowed to a corporation in liquidation?

Q: Explain why a private letter ruling from the IRS is like an

Explain why a private letter ruling from the IRS is like an insurance policy for a corporate reorganization.