Questions from General Taxation

Q: Jose purchased a vehicle for business and personal use. In 2017

Jose purchased a vehicle for business and personal use. In 2017 he used the vehicle 18,000 miles (80%) for business and calculated his vehicle expenses using the standard mileage rate (mileage was inc...

Q: Ramon received a gift of stock from his uncle. The basis

Ramon received a gift of stock from his uncle. The basis of the stock to his uncle was $25,000, and it had a FMV of $18,000 at the date of the gift. The donor held the property for more than one yea...

Q: Derrick owns a farm in eastern North Carolina. A hurricane hit

Derrick owns a farm in eastern North Carolina. A hurricane hit the area and destroyed a farm building and some farm equipment and damaged a barn. Item Adjusted Basis FMV before Damage FMV after D...

Q: Rebecca is a doctor with an AGI of $125,000

Rebecca is a doctor with an AGI of $125,000 before consideration of income or loss from her dog breeding business. Her home is on 15 acres, 10 of which she uses to house the animals and provide them...

Q: Eric, who is single, participates in an activity that is

Eric, who is single, participates in an activity that is appropriately classified as a hobby. The activity produces the following revenue and expenses: Revenue………………………………………………………..$12,000 Property...

Q: Niles and Marsha adopted an infant boy (a U.S

Niles and Marsha adopted an infant boy (a U.S. citizen). They paid $14,500 in 2016 for adoption-related expenses. The adoption was finalized in early 2017. Marsha received $3,000 of employer-provide...

Q: Casper used the following assets in his Schedule C trade or business

Casper used the following assets in his Schedule C trade or business in the tax year 2017: Asset Date Purchased Date Sold Business Use Percentage Cost  Computer 1 03/12/14  100% $3,000 ...

Q: Adrienne is a single mother with a 6-year-old

Adrienne is a single mother with a 6-year-old daughter who lived with her during the entire year. Adrienne paid $2,900 in child care expenses so that she would be able to work. Of this amount, $500...

Q: Assuming that an AGI limitation does not apply, what amounts of

Assuming that an AGI limitation does not apply, what amounts of credit for the elderly or the disabled would be permitted in each of the instances in Problem 48? Data from Question 48: What is the...

Q: In each of the following cases, certain qualifying education expenses were

In each of the following cases, certain qualifying education expenses were paid during the tax year for individuals who were the taxpayer, spouse, or dependent. The taxpayer has a tax liability and n...