Questions from General Taxation

Q: What are the ownership requirements for a group of corporations to file

What are the ownership requirements for a group of corporations to file a consolidated return? Illustrate.

Q: What is the dividend received deduction? What are the percentages and

What is the dividend received deduction? What are the percentages and when do they apply? When is the dividend received deduction limited to a percentage of taxable income?

Q: List three items that increase book income and three items that reduce

List three items that increase book income and three items that reduce book income when reconciling book to taxable income.

Q: What is the purpose of the alternative minimum tax? What is

What is the purpose of the alternative minimum tax? What is the alternative minimum tax rate for corporations?

Q: What is the purpose of corporate earnings and profits? Why isn’t

What is the purpose of corporate earnings and profits? Why isn’t taxable income used to determine if a distribution is a dividend?

Q: What limits are placed on the amount and type of property that

What limits are placed on the amount and type of property that can be expensed under Section 179?

Q: Compare an owner’s personal liability for debts of a business organized as

Compare an owner’s personal liability for debts of a business organized as a sole proprietorship, general partnership, limited partnership, LLP, LLC, and S corporation.

Q: Why are partnerships and S corporations required to separately state certain items

Why are partnerships and S corporations required to separately state certain items on the Schedule K rather than combining these items with the organization’s operating profit or loss? Provide example...

Q: How is income allocated to S corporation shareholders? Develop an example

How is income allocated to S corporation shareholders? Develop an example to illustrate this procedure.

Q: What are the corporate and shareholder restrictions on making an S corporation

What are the corporate and shareholder restrictions on making an S corporation election?