Questions from Individual Taxation


Q: Stephen transferred $17,500 to an irrevocable trust for Graham

Stephen transferred $17,500 to an irrevocable trust for Graham. The trustee has the discretion to distribute income or corpus for Graham’s benefit, but is required to distribute all assets to Graham (...

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Q: Lewis and Laurie are married and jointly own a home valued at

Lewis and Laurie are married and jointly own a home valued at $240,000. They recently paid off the mortgage on their home. The couple borrowed money from the local credit union in January of 2018. How...

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Q: Which of the following items is not a permanent book-tax

Which of the following items is not a permanent book-tax difference? a. Tax-exempt interest income. b. Tax-exempt insurance proceeds. c. Domestic production activities deduction. d. Meal expenses. e....

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Q: What are the carryback and carryover periods for a net operating loss

What are the carryback and carryover periods for a net operating loss? Does it depend on the size of the corporation? Explain.

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Q: Why might a business elect to claim a reduced §179 expense

Why might a business elect to claim a reduced §179 expense amount in the current year rather than claiming the maximum amount?

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Q: Describe the like-kind property requirements for real property for purposes

Describe the like-kind property requirements for real property for purposes of qualifying for a like-kind exchange. Explain whether land held for investment by a corporation will qualify as like-kind...

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Q: Are taxpayers allowed to claim depreciation on assets they use for both

Are taxpayers allowed to claim depreciation on assets they use for both business and personal purposes? What are the tax consequences if the business use drops from above 50 percent in one year to bel...

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Q: Why might it be a good tax planning strategy for an S

Why might it be a good tax planning strategy for an S corporation with one shareholder to pay a salary to the shareholder on the low end of what the services are potentially worth?

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Q: For tax purposes, how is the compensation paid to an S

For tax purposes, how is the compensation paid to an S corporation shareholder similar to compensation paid to an owner of an entity taxed as a partnership? How is it different?

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Q: What is the due date for a calendar year corporation tax return

What is the due date for a calendar year corporation tax return Form 1120 for 2018? Is it possible to extend the due date? Explain.

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