Questions from Individual Taxation

Q: Which of the four sources of taxable income are considered objective and

Which of the four sources of taxable income are considered objective and which are considered subjective? Which of these sources generally receives the most weight in analyzing whether a valuation all...

Q: How does a corporation compute its minimum tax credit? How does

How does a corporation compute its minimum tax credit? How does a minimum tax credit benefit a corporation?

Q: What basic tax planning strategies might a corporation that is expected to

What basic tax planning strategies might a corporation that is expected to owe AMT this year but not next year engage in? How would those strategies change if the corporation expected to be in AMT nex...

Q: In general terms, identify the similarities and differences between the corporate

In general terms, identify the similarities and differences between the corporate taxable income formula and the individual taxable income formula.

Q: Can taxable corporations use the cash method of accounting? Explain.

Can taxable corporations use the cash method of accounting? Explain.

Q: Briefly describe the process of computing a corporation’s taxable income assuming the

Briefly describe the process of computing a corporation’s taxable income assuming the corporation must use GAAP to determine its book income. How might the process differ for corporations not required...

Q: What is the difference between favorable and unfavorable book-tax differences

What is the difference between favorable and unfavorable book-tax differences?

Q: What is the difference between permanent and temporary book-tax differences

What is the difference between permanent and temporary book-tax differences?

Q: Why is it important to be able to determine whether a particular

Why is it important to be able to determine whether a particular book-tax difference is permanent or temporary?

Q: Describe the relation between the book-tax differences associated with depreciation

Describe the relation between the book-tax differences associated with depreciation expense and with gain or loss on disposition of depreciable assets.