Questions from General Taxation

Q: Can travel expenses to and from rental property be deducted? If

Can travel expenses to and from rental property be deducted? If so, what are the rules concerning the deductibility of travel, and how is the deduction calculated?

Q: When we determine whether an asset is a §1231 asset,

When we determine whether an asset is a §1231 asset, does the length of time the asset is held affect the classification? Explain.

Q: What are the different classifications of capital assets? List each

What are the different classifications of capital assets? List each classification and the rate at which the gains are taxed.

Q: What is a capital asset? What factors affect the determination of

What is a capital asset? What factors affect the determination of whether an asset is classified as a capital asset?

Q: Discuss the concept of ordinary income property and give some examples.

Discuss the concept of ordinary income property and give some examples.

Q: Umair sold some equipment he used in his business on August 29

Umair sold some equipment he used in his business on August 29, 2017, that was originally purchased for $70,000 on November 21, 2016. The equipment was depreciated using the 7-year MACRS method for a...

Q: Michael is the sole proprietor of a small business. In June

Michael is the sole proprietor of a small business. In June 2017 his business income is $12,000 before consideration of any §179 deduction. He spends $245,000 on furniture and equipment in 2017. If...

Q: On June 10, 2017, Huron purchased equipment (7-

On June 10, 2017, Huron purchased equipment (7-year class property) for $75,000. Determine Huron’s cost recovery deduction for computing 2017 taxable income. Assume Huron does not make the §179 elect...

Q: Brittany purchased a building for $500,000 on January 1

Brittany purchased a building for $500,000 on January 1, 2009. The purchase price does not include land. Calculate the cost recovery for 2009 and 2017 if the real property is: a. Residential real pro...

Q: Walt purchased a computer for $5,000. He could

Walt purchased a computer for $5,000. He could use the computer exclusively for his business, or he could allow his family to use the computer 60% of the time and 40% would be for business use. Dete...