Questions from Individual Taxation

Q: Why is it a nontax advantage for corporations to be able to

Why is it a nontax advantage for corporations to be able to trade their stock on the stock market?

Q: Can unincorporated legal entities ever be treated as corporations for tax purposes

Can unincorporated legal entities ever be treated as corporations for tax purposes? Can corporations ever be treated as flow-through entities for tax purposes? Explain.

Q: What types of business entities does the U.S. tax

What types of business entities does the U.S. tax system recognize?

Q: Assume Congress increases individual tax rates on ordinary income while leaving all

Assume Congress increases individual tax rates on ordinary income while leaving all other tax rates unchanged. How would this change affect the overall tax rate on corporate taxable income? How would...

Q: Assume Congress increases the dividend tax rate to the ordinary tax rate

Assume Congress increases the dividend tax rate to the ordinary tax rate while leaving all other tax rates unchanged. How would this change affect the overall tax rate on corporate taxable income?

Q: List four basic tax planning strategies that corporations and shareholders can use

List four basic tax planning strategies that corporations and shareholders can use to mitigate double taxation of a C corporation’s taxable income.

Q: Visit your state’s official Web site and review the information there related

Visit your state’s official Web site and review the information there related to forming and operating business entities in your state. Write a short report explaining the steps for organizing a busin...

Q: What is the tax base for the Social Security and Medicare taxes

What is the tax base for the Social Security and Medicare taxes for an employee or employer? What is the tax base for Social Security and Medicare taxes for a self-employed individual? Is the self-emp...

Q: Alice, the sole shareholder of QLP, decided that she would

Alice, the sole shareholder of QLP, decided that she would purchase a building and then lease it to QLP. She leased the building to QLP for $1,850 per month. However, the IRS determined that the fair...

Q: In its first year of existence (year 1), Willow Corp

In its first year of existence (year 1), Willow Corp. (a C corporation) reported a loss for tax purposes of $30,000. In year 2 it reports a $40,000 loss. For year 3, it reports taxable income from o...