Questions from General Taxation

Q: Respond to the following independent situations: a. Masa and

Respond to the following independent situations: a. Masa and Haiming, husband and wife, filing jointly, earn $275,000 in salaries and do not have any net investment income. (1). How much in surtax wil...

Q: Brantley owns an automobile for personal use. The adjusted basis is

Brantley owns an automobile for personal use. The adjusted basis is $19,500, and the FMV is $16,000. Assume Brantley has owned the automobile for two years. a. Respond to the following if Brantley...

Q: Antoine sold the following stock in 2017. ABC, Inc.,

Antoine sold the following stock in 2017. ABC, Inc., is a §1202 qualified small business (QSB). Asset Cost Acquired Sale Price Sale Date  ABC, Inc. 200 shares $148,000 1/10/09 $200,00...

Q: Ricardo acquired a warehouse for business purposes on August 30, 1998

Ricardo acquired a warehouse for business purposes on August 30, 1998. The building cost $420,000. He took $227,600 of depreciation on the building, and then sold it for $500,000 on July 1, 2017. W...

Q: Dominique and Terrell are joint owners of a bookstore. The business

Dominique and Terrell are joint owners of a bookstore. The business operates as an S corporation. Dominique owns 65%, and Terrell owns 35%. The business has the following results in the current yea...

Q: What is a §1231 asset? How are gains and losses

What is a §1231 asset? How are gains and losses from the sale of §1231 assets treated? On what tax form are gains and losses from the sale of §1231 assets reported?

Q: Shirelle and Newman are each 50% partners of a business that

Shirelle and Newman are each 50% partners of a business that operates as a partnership. The business reports the following results: Revenue…………………………….………………..$95,000 Business expenses………………….……………....

Q: Kelvin owns and lives in a duplex. He rents the other

Kelvin owns and lives in a duplex. He rents the other unit for $750 per month. He incurs the following expenses during the current year for the entire property: Mortgage interest………………...…………………. $...

Q: In the current year, Sandra rented her vacation home for

In the current year, Sandra rented her vacation home for 75 days, used it for personal use for 22 days, and left it vacant for the remainder of the year. Her income and expenses before allocation ar...

Q: David is a college professor who does some consulting work on the

David is a college professor who does some consulting work on the side. He uses 25% of his home exclusively for the consulting practice. He is single and 63 years old. His AGI (without consideratio...