Questions from Federal Taxation

Q: In 2018, your client, Clear Corporation, changed from the

In 2018, your client, Clear Corporation, changed from the cash to the accrual method of accounting for its radio station. The company had a positive 481 adjustment of $2.4 million as a result of the c...

Q: More than one president and others have called for repeal of the

More than one president and others have called for repeal of the LIFO method for tax purposes. Conduct an internet search to find arguments for and against this proposal. Prepare a summary of these ar...

Q: John Curran and his wife own a construction company, and they

John Curran and his wife own a construction company, and they want to set up two new corporations that will be owned by their Roth IRAs. The two Roth-owned corporations will then enter into contract t...

Q: Jim Raby transfers one-half of his compensatory stock options (

Jim Raby transfers one-half of his compensatory stock options (ISOs and nonqualified stock options) to his ex-wife as part of a divorce settlement. Discuss the tax aspects of this transfer

Q: Before Lemon Corporation was taken private in a transaction engineered by its

Before Lemon Corporation was taken private in a transaction engineered by its largest stockholder, some of Lemon's employees had unexercised options to purchase stock of Lemon. Under an employee agree...

Q: In July 2016, the IRS issued regulations on longevity annuities that

In July 2016, the IRS issued regulations on longevity annuities that can help people prolong their retirement savings, easing their concern of outliving their savings. Conduct research on this topic,...

Q: An individual taxpayer has $25,000 § 1231 gain from

An individual taxpayer has $25,000 § 1231 gain from the disposition nonresidentia1 real estate. Straight-line depreciation of $43,000 was deducted on the real estate. The taxpayer also has a § 1231 lo...

Q: Some corporations offer their employees restricted stock, whereas other corporations offer

Some corporations offer their employees restricted stock, whereas other corporations offer restricted stock units. Search the internet to find the differences between these two types of restricted sto...

Q: Jacob Patterson is limited from making a fully deductible $5,

Jacob Patterson is limited from making a fully deductible $5,500 IRA contribution because of his income limitation. Instead, he makes a $3,500 nondeductible IRA contribution to his traditional IRA. Fi...

Q: Using newspapers, magazine articles, and other resources, prepare a

Using newspapers, magazine articles, and other resources, prepare a report on stock appreciation rights to present to your class.