Questions from Individual Taxation

Q: What is the difference between the tentative minimum tax (TMT)

What is the difference between the tentative minimum tax (TMT) and the AMT?

Q: How are tax credits and tax deductions similar? How are they

How are tax credits and tax deductions similar? How are they dissimilar?

Q: What are the two basic timing strategies? What is the intent

What are the two basic timing strategies? What is the intent of each?

Q: The amount of the child and dependent care credit is based on

The amount of the child and dependent care credit is based on the amount of the taxpayer’s expenditures to provide care for one or more qualifying persons. Who is considered to be a qualifying person...

Q: Describe the order in which different types of tax credits are applied

Describe the order in which different types of tax credits are applied to reduce a taxpayer’s tax liability.

Q: Brooklyn files as a head of household for 2016 and claims a

Brooklyn files as a head of household for 2016 and claims a total of three exemptions (3 × 4,050 = $12,150). She claimed the standard deduction of $9,300 for regular tax purposes. Her regular...

Q: This year Luke has calculated his gross tax liability at $1

This year Luke has calculated his gross tax liability at $1,800. Luke is entitled to a $2,400 nonrefundable personal tax credit, a $1,500 business tax credit, and a $600 refundable personal tax credit...

Q: Describe the record-keeping requirements for business deductions expenses including mixed

Describe the record-keeping requirements for business deductions expenses including mixed-motive expenditures.

Q: Compare and contrast the different year ends available to sole proprietorships,

Compare and contrast the different year ends available to sole proprietorships, flow-through entities, and C corporations.

Q: Fred is considering using the accrual method for his next business venture

Fred is considering using the accrual method for his next business venture. Explain to Fred the conditions for recognizing income for tax purposes under the accrual method.