Questions from Individual Taxation

Q: Winkin, Blinkin, and Nod are equal shareholders in SleepEZ,

Winkin, Blinkin, and Nod are equal shareholders in SleepEZ, an S corporation. In the conditions listed below, how much income should each report from SleepEZ for 2016 under both the daily allocation a...

Q: Suppose Vince dies this year with a gross estate of $15

Suppose Vince dies this year with a gross estate of $15 million and no adjusted prior gifts. Calculate the amount of estate tax due (if any) under the following alternative conditions. a. Vince leaves...

Q: Hank is a single individual who possesses a life insurance policy worth

Hank is a single individual who possesses a life insurance policy worth $300,000 that will pay his two children a total of $800,000 upon his death. This year Hank transferred the policy and all incide...

Q: IBM incurs $250 million of research and experimental expenditures (R

IBM incurs $250 million of research and experimental expenditures (R&E) in the United States. How does the “exclusive apportionment” of this deduction differ depending on the R&E apportionment method...

Q: Describe the requirements for a complete gift, and contrast a gift

Describe the requirements for a complete gift, and contrast a gift of a present interest with a gift of a future interest.

Q: Describe a property transfer or payment that is not, by definition

Describe a property transfer or payment that is not, by definition, a transfer for inadequate consideration.

Q: Describe a situation in which a transfer of cash to a trust

Describe a situation in which a transfer of cash to a trust might be considered an incomplete gift.

Q: Identify two types of transfers for inadequate consideration that are specifically excluded

Identify two types of transfers for inadequate consideration that are specifically excluded from imposition of the gift tax.

Q: Freon Corporation, a U.S. corporation, manufactures air

Freon Corporation, a U.S. corporation, manufactures air-conditioning and warm air heating equipment. Freon reported gross sales from this product group of $50,000,000, of which $10,000,000 were foreig...

Q: Renée operates Scandinavian Imports, a furniture shop in Olney, Maryland

Renée operates Scandinavian Imports, a furniture shop in Olney, Maryland that ships goods to customers in all 50 states. Scandinavian Imports also appraises antique furniture and has recently conducte...