Questions from Individual Taxation

Q: Karane Enterprises, a calendar year manufacturer based in College Station,

Karane Enterprises, a calendar year manufacturer based in College Station, Texas began business in 2017. In the process of setting up the business, Karane has acquired various types of assets. Below i...

Q: You have been assigned to compute the income tax provision for Motown

You have been assigned to compute the income tax provision for Motown Memories, Inc. (MM) as of December 31, 2018. The Company’s Income Statement for 2018 is provided below: Motown Memories, Inc.  ...

Q: You have been assigned to compute the income tax provision for Tulip

You have been assigned to compute the income tax provision for Tulip City Flowers, Inc. (TCF) as of December 31, 2018. The company’s Income Statement for 2018 is provided below: Tulip City Flowers, I...

Q: Access the 2017 Annual Report for Facebook, Inc., and answer

Access the 2017 Annual Report for Facebook, Inc., and answer the following questions. a. Using information from the company’s Income Statement and Income Taxes footnote, what was the company’s effecti...

Q: Spartan Builders Corporation is a builder of high-end housing with

Spartan Builders Corporation is a builder of high-end housing with locations in major metropolitan areas throughout the Midwest. At June 30, 2018, the company has deferred tax assets totaling $10 mill...

Q: Desmond is 25 years old and he participates in his employer’s 401

Desmond is 25 years old and he participates in his employer’s 401(k) plan. During the year, he contributed $3,000 to his 401(k) account. What is Desmond’s saver’s credit in each of the following alter...

Q: For purposes of determining a taxpayer's deductible home mortgage interest, does

For purposes of determining a taxpayer's deductible home mortgage interest, does it matter when the taxpayer incurred the debt to acquire the home? Explain.

Q: Penny is 57 years old and she participates in her employer’s 401

Penny is 57 years old and she participates in her employer’s 401(k) plan. During the year, she contributed $2,000 to her 401(k) account. Penny’s AGI is $29,000 after deducting her 401(k) contribution....

Q: Jacquiline is unmarried and age 32. Even though she participates in

Jacquiline is unmarried and age 32. Even though she participates in an employer-sponsored retirement plan, Jacquiline contributed $3,000 to a traditional IRA during the year. Jacquiline files as a hea...

Q: Ian retired in June of 2017 at the age of 69 (

Ian retired in June of 2017 at the age of 69 (he turned 70 in August of 2017). Ian’s retirement account was valued at $490,000 at the end of 2016 and $500,000 at the end of 2017. He has had all of his...