Questions from Individual Taxation

Q: True or False: A taxpayer will always prefer deducting an expense

True or False: A taxpayer will always prefer deducting an expense against U.S. source income and not foreign source income when filing a tax return in the United States. Explain.

Q: True or False: A foreign corporation owned equally by 11 U

True or False: A foreign corporation owned equally by 11 U.S. individuals can never be a controlled foreign corporation? Explain.

Q: What is foreign base company sales income? Why does the United

What is foreign base company sales income? Why does the United States include this income in its definition of subpart F income?

Q: Discuss why restaurant meals, rental cars, and hotel receipts are

Discuss why restaurant meals, rental cars, and hotel receipts are often taxed at a higher-than-average sales tax rate.

Q: True or False: Subpart F income is always treated as a

True or False: Subpart F income is always treated as a deemed dividend to the U.S. shareholders of a controlled foreign corporation. Explain.

Q: What are the major U.S. tax issues that apply

What are the major U.S. tax issues that apply to an inbound transaction?

Q: What are the major U.S. tax issues that apply

What are the major U.S. tax issues that apply to an outbound transaction?

Q: Cathy, Heathcliff, and Isabelle are equal shareholders in Wuthering Heights

Cathy, Heathcliff, and Isabelle are equal shareholders in Wuthering Heights (WH), an S corporation. Heathcliff has decided he would like to terminate the S election. In the following alternative scena...

Q: What are the two categories of income that can be taxed by

What are the two categories of income that can be taxed by the United States when earned by a nonresident? How does the United States tax each category of income?

Q: Maria is not a citizen of the United States, but she

Maria is not a citizen of the United States, but she spends 180 days per year in the United States on business-related activities. Under what conditions will Maria be considered a resident of the Unit...