Question: Which Treasury Regulation provides rules for

> What are the advantages and disadvantages of using a new emerging legal database?

> What does the Nexis Uni™ database include and how does it compare to the Lexis Advance® database?

> Identify what types of cases are provided in AFTR and USTC.

> Besides Revenue Rulings and Revenue Procedures, identify two other administrative sources from the IRS.

> What does the Guidestar database provide?

> Explain how one might conduct international business research.

> When would a researcher use ABI/lnform Business Source Premier?

> How is Hoover’s Online distinguishable from other databases providing corporate information?

> When would one use the Factiva database?

> Identify the primary goal(s) for tax research.

> The Oakland County Hospital performs lots of work for Medicare and Medicaid patients. This results in both reimbursement of certain operating costs and some profit. “Transfers” among related subsidiaries within the Hospital also contain some Medicare an

> What especially valuable information has the Thomson ONE database historically included?

> When would a researcher use Mergent Online?

> What are the advantages of using S&P Capital IQ?

> Explain the differences among tax evasion, tax avoidance, and abusive tax avoidance.

> Apply your knowledge of tax law to other areas of the United States Code, given that sometimes an accountant might need to access other parts of the United States law: a. 15 U.S.C., chapter 2B, section 78j-1(b)(1) b. 26 U.S.C., subtitle f, chapter 73,

> Identify the topic of the following Treasury Regulations, Revenue Rulings or Revenue Procedures: a. 26 C.F.R. sec. 601.601(d)(2)(iii). b. Reg. § 301.6333-1 c. 26 CFR Part 514.5 d. Treas. Reg. 1.482-7(b)(1)(iii). e. 1.956-1T(e)(5). f. Rev. Proc. 89–

> Discuss the topic of the following federal tax forms: a. 990 b. 1040A c. 1065 d. 1099-OID e. 1120EZ f. Schedule SE g. Form W-2

> List the following topics for IRS Publications a. Pub 15 b. Pub 225 c. Pub 504 d. Pub 535 e. Pub 901 f. Pub 925 g. Pub 946

> List the major Code sections for the following topics: a. Estate taxes b. Capital gains c. Stock dividends d. Business energy credits e. Passive losses f. Depreciation g. Substantial understatement penalty

> Identify the general content and topic of each of the following subchapters and parts of the Code: a. Subtitle A b. Subtitle A, Chapter 2 c. Subtitle A, Chapter 1, Subchapter C d. Subtitle A, Chapter 1, Subchapter K, part 1 e. Subtitle A, Chapter 1,

> Mount Pleasant Epilepsy Association is a not-for-profit agency. Joseph Howard is the Chair of its Voluntary Board of Director. He is also the owner of Howard Insurance Company. The Association rents its facilities from Howard Insurance Company. The Compa

> Identify the general content and topic of each of the following Internal Revenue Code sections: a. §62(a)(2) b. §162(e)(4) c. §262(b) d. §482 e. §501(c)(7) f. §751(a)(flush language) g. §6702(a)

> Access the U.S. Department of Justice website, and briefly explain the characteristics of identity theft. Give two examples of ways to commit identify theft.

> Midwest Realty, Inc. is a regional real estate firm. Andrea Midwest incorporated the firm 11 years ago. She is the founder, president, and the majority stockholder. Recently, Midwest decided to expand her successful local real estate firm into a regional

> Major research problem 1: An audit partner of a CPA firm invested in a computer side business with a member of the board of directors of a public company that sells insurance and is an audit client of that CPA firm. Identify any potential problems. Condu

> Describe and assess the effectiveness of the FASB’s disclosure project. Identify and Explain what areas of accounting were effected by the project. Assess whether there are other areas that the Disclosure project should study and explain why

> Identify competitor companies to Sony Music and how they rank. Identify your sources.

> Locate SEC Accounting and Auditing Enforcement Release No. 3834. Write at least two paragraphs explaining what that SEC release discussed.

> You are performing the audit of XCO, a public company. Bubba Smith, the inventor who founded XCO is still the majority shareholder. Bubba and his two daughters comprise the majority of senior management for the company and hold three of the seven seats o

> Examine 17 CFR part 229.306, and explain the legal requirements for an audit committee. (Hint: Either use a legal database or search Title 17 of the Code of Federal Regulations.)

> Utilizing the AICPA.org website, conduct research to answer the following questions: a. In addition to completing the audit of Jack’s Manufacturing, Inc. for the coming year, your firm has been requested to review the interim financial statements for the

> On April 15, the City of Old Putz invests its “available” excess cash with an investment broker. The investment broker then purchases 90-day commercial paper from a set of “blue chip” companies. On June 30, the last day of the City’s fiscal year, the Cit

> Utilizing Figure 2-3 from chapter 2, identify the eight elements for the following: A prospective client has requested a report on the reliability of its electronic commerce activities on the Internet. You are trying to decide the type of assurance servi

> You loaned your roommate$4,500 for next semester’s tuition. Your roommate promised to pay you back next summer from his summer employment. However, next summer, you realized that your roommate never found a job but vacationed all summer in Europe. He e-m

> Research what are the top ten major federal tax expenditures. Hint: For 2016, you can go to the Taxpayer Advocate Service Annual Report to Congress and find a table with the estimated cost of providing that tax benefit.

> Central Michigan Medical Association (CMMA) is planning on hiring a new cardiologist who currently lives in Dallas, Texas. The cardiologist owns a home in Dallas. Due to the depressed housing market, he would incur a loss of $80,000 if it were sold. For

> Find the Code section that explains the amount of the penalty for failure to include reportable transaction information with the return. How much is that penalty.

> What were the issue(s) involved in Brinks Gilson & Leone, T.C. Memo 2016-20? What was the court’s holding in this case?

> Use a tax research database and answer the following questions. Then repeat answering the problem using either a different tax research database or an Internet search, and compare their ease of use and success in finding relevant sources for a comprehens

> Assume that your older sister agrees to tutor you for a month in math. She normally charges clients $500 for similar services. In return, you agree to write a brief memo explaining the tax consequences to both you and your sister. You would normally char

> Assume that your best friend has a full scholarship offer for playing football at the University of Colorado at Boulder. The scholarship covers tuition, dorm room, and meal costs at the university. Write a brief memo explaining the tax consequences of th

> Assume that the taxpayer has a tax issue in which the only authorities on point are the following:(a) an article written by a famous tax lawyer that supports taxpayer’s position and (b) a Revenue Ruling that does not support taxpayer’s position. What doe

> On January 1, the Hawaii Cancer Institute has received a promise from the Obama Foundation to receive a building that the Foundation recently appraised at $200,000—but cost it only $125,000. The Institute promised to keep the building “permanently restr

> Locate Revenue Procedures 2016-11 and 2017-3, identify the topics, and find the dates of these revenue procedures. What arethe3-5mostapplicableCodesectionsforeachone? What IRS tax forms (if any) address the same topics?

> Locate Revenue Rulings 2016-15 and 2017-2, identify the topics, and find the dates of the Revenue Ruling. What are the applicable Code sections for each revenue ruling? Give the proper citations for these revenue rulings in the Internal Revenue Bulletin.

> What tax case by the Supreme Court recognized same-sex marriage?

> Use a tax research database to answer the following questions: a. Paraphrase Code Section 61(a)(4). b. Identify the topic of Code Section 166(d). c. Find the precise authority within the Code section that defines net long-term capital gains. d. Find th

> Find and read a Tax Court regular decision that discusses whether hair transplants are deductible medical expenses. Give the official citation to the case. What did the Tax Court hold? If a case with similar facts were decided today, would the Tax Court

> Assume Sally is a professor who has a PhD in accounting and teaches tax courses. She decides that it would help her teaching to earn a law degree with a heavy emphasis on tax classes. Can she deduct the cost of the tax courses offered as part of her law

> Examine Treas. Reg. §1.183-2. What Code section and language within that Code section does the Treasury Regulation interpret? What does the Treasury Regulation state are the nine relevant factors?

> Find each of the following documents on the web: a. A copy of your state’s individual income tax form, similar to the federal 1040 tax form (if your state is one of the seven not having an income tax, find the form in a neighboring state). b. A copy of

> Determine the number of Treasury Regulations issued for each of the following Code sections. Provide a citation to the last Regulation for sections 101, 183, and 385.

> On January 1, the Hawaii Cancer Institute has received a promise from the Obama Foundation to receive a building that the Foundation recently appraised at $200,000. However, the building cost only $125,000. The Cancer Institute promised to keep the build

> Rosie Corporation has 70% of the outstanding voting stock of Smith Corporation and 10% of the voting stock of Tommy Corporation. Smith also just spent $10,000 to acquire 20% of Tommy’s voting stock. Smith has issued irrevocable letters of credit to guar

> John Forsythe (SSN 555-55-5555) began a custom cabinet manufacturing business, John’s Cabinets (EIN 86-1122334 and Business Code 321000), four years ago as of July 1 of the current tax year. John incorporated the business, and the corporation mad

> The Rite-Way Plumbing Company began business three years ago as of March 1 of the current tax year in Sarasota. Its business address is 124 Division Lane, Sarasota, FL 33645. Its employer identification number is 69-3456789. Its principal business acti

> The operating results for Peep Corporation, an S corporation, for last year were as follows: Revenues Gross sales………………………………$2,000,000 Tax-exempt bond interest&hell

> The Snap-It-Open Corporation incorporated and began operations on January 15 of the current year. Its address is 3701 Commerce Drive, Baltimore, MD 23239. Its employer identification number is 69-7414447. It elects to file its initial tax return as a c

> Go to the IRS Web site (www.irs.gov), print the first page of Form 1120, and enter the following information. Then determine Chelsea Corporation’s tax owed or refund due if it made estimated tax payments of $15,000. Chelsea Corporation (34 Chelse

> Go to the IRS Web site (www.irs.gov) and print Form 4797: Sales of Business Property. Complete Form 4797 for the following sales of machinery on December 20, year 6:  

> Go to the IRS Web site (www.irs.gov) and print Schedule D for Form 1040 and Form 8949. Compute the net effect of the following asset sales on Gineen Tibeau’s taxable income using Form 8949 and Schedule D: a. 100 shares of ABC stock; original cos

> Maria Sanchez, the sole proprietor of a consulting business, has gross receipts of $720,000. Expenses paid by her business are: Advertising……………………………………

> Refer to the information in problems 25 and 35. a. Go to the IRS Web site (www.irs.gov) and print out the first page and Schedule K for Form 1065. Use the information in problem 25 to complete these two forms to the extent possible with the informatio

> Comprehensive Individual Return Problem. Cletus and Josepha Mayor have been married for twelve years and currently live at 2907 Seven Oaks Lane, Columbia, SC 29210. Their Social Security numbers are 223-34-4444 and 322-32-2222, respectively. They have

> Locate and print Form 4684 (Casualties and Thefts). Enter the following information and complete the form to the extent possible: Howser Corporation, a calendar-year corporation, discovered in January that its bookkeeper (who was fired late last year)

> Go to the IRS Web site (www.irs.gov) and print out copies of Schedule C for Form 1040, Schedule SE, Form 4562, Form 4797, and the first page of Form 1040. Using the information in comprehensive problem 53, complete these schedules and forms to the exte

> Go to the IRS Web site at www.irs.gov and print Form 4562. Using the following information, complete this form to the extent possible. Barclays Corporation, a calendar-year taxpayer, had taxable income of $2,000,000 for the year before computing its de

> Corgill Corporation sold land that it used for storing old equipment. Corgill owned the land for seven years and it had a basis of $234,000. Corgill received $50,000 cash and a note for $100,000 and the purchaser assumed Corgill’s $150,000 mortgage on th

> Allan received $5,000 cash and an auto worth $15,000 in exchange for land encumbered by a $13,000 liability that the buyer assumed. a. What is the amount realized on this sale? b. If Allan had a basis of $34,000 in the land, what is his realized gain o

> Charlie sold Whiteacre for $40,000 cash and the buyer assumed Charlie’s $19,000 mortgage on the property. Charlie paid realtor commission of $2,000 on the sale. What is his realized gain or loss if Whiteacre’s adjusted basis is a. $47,000? b. $67,000?

> The Crane Corporation issues $1,500,000 in bonds with a 7.5 percent interest rate. If its marginal tax rate is 35 percent, what is its after-tax cost of the debt?

> Go to the IRS Web site at www.irs.gov and locate Publication 946: How to Depreciate Property. Locate the section on where amortization is reported. On what form is amortization reported? On which part of that form is amortization reported if this is the

> Go to the IRS Web site at www.irs.gov and locate Publication 946: How to Depreciate Property. Locate the depreciation tables at the end of the publication and calculate the first-year depreciation for a $60,000 bus using ADS.

> Go to the IRS Web site at www.irs.gov and locate Publication 946: How to Depreciate Property. Locate the depreciation tables at the end of the publication and calculate the regular first-year depreciation for the following assets, all placed in service i

> A corporation has operating income of $75,000. What is its taxable income if it receives a $20,000 dividend from another corporation in which it has the following ownership: a. 10% b. 65% c. 90%

> Walter Williams, a travel writer, has worked for a well-known publication for a number of years as a private contractor. Last year a friend suggested he become an S corporation, but he failed to make the election. During the current year, the business ha

> Crow Corporation, an S corporation from the date of its incorporation, is in the process of liquidating. During the current year, it reports gross receipts of only $40,000; it has passive investment income of $25,000 from the money it invested after the

> During the current year, Biggie, Inc., a delivery company operating as an S corporation, reported the following results from operations: Revenue………………………………………………$280,000 Salaries…………………………………………………..130,000 Truck expense………………………………………….30,000 Taxes…………

> Capital Partnership makes a proportionate liquidating distribution to one of its partners of $5,000 cash, $6,000 inventory (FMV = $10,000), and land with a $20,000 basis and an $11,000 fair market value. What are the tax consequences to the partner of th

> National Partnership makes a proportionate nonliquidating distribution to one of its partners of two Section 1231 assets. Asset X has a basis of $40,000 and a fair market value of $15,000; Asset B has a basis of $20,000 and a fair market value of $10,000

> The ABC Partnership makes a proportionate nonliquidating distribution to one of its partners of two Section 1231 assets. Asset A has a basis of $40,000 and a fair market value of $15,000; Asset B has a basis of $30,000 and a fair market value of $20,000.

> Jo received one stock right for each share of the 10 shares of stock that she owns in Bill Corporation, which she purchased three years ago for $5 a share. Each stock right allows her to purchase one share of stock for $10. The stock is currently selling

> The Caribe Corporation has $668,000 of taxable income for the current year. In determining this income the accountant listed the following items: $45,000 in dividends from a 30 percent owned corporation $40,000 net operating loss carryover from the pri

> General Corporation has $900,000 of service revenue, a $15,000 capital loss, a $20,000 casualty loss, operating expenses of $685,000, and a charitable contribution of $25,000. a. Determine General’s separate taxable income. b. What items must be determ

> Palmdale Corporation has a regular tax liability of $94,000. It is eligible for a $54,000 general business credit for the current year and has a $30,000 general business credit carryover from the prior year. What is Palmdale’s allowable general business

> David received a gift of stock from Ted this year when it was worth $24,000. Ted purchased the stock for $18,000 five years ago and paid $2,000 of gift taxes on the gift. What is David’s basis for the stock?

> Donut Corporation has $400,000 of taxable income. What is its net tax liability if it has a $120,000 general business credit available?

> What is the tax on WW Corporation’s taxable income of $825,000 if: a. it is a regular corporation? b. it is a personal service corporation?

> What is a corporation’s income tax if its income is: a. $70,000? b. $280,000? c. $900,000? d. $2,250,000? e. $14,000,000?

> The Jingle Corporation has income from operations of $459,000. It has dividend income of $68,000 from a corporation in which it owns 5 percent. a. What is the corporation’s taxable income? b. How would your answer change if Jingle owns 35 percent of th

> A corporation has gross sales revenue of $289,000, cost of sales of $98,000, a Section 179 deduction of $20,000 (financial depreciation = $5,000), operating expenses of $122,000, and a Section 1231 gain of $21,000 on the sale of some machinery (the gain

> P Corporation owns 90 percent of the stock of S1 Corporation. S1 Corporation owns 45 percent of S2 Corporation and 86 percent of S3 Corporation. S3 Corporation owns 40 percent of S2 Corporation and 70 percent of S4. S4 owns 100 percent of S5. Identify th

> The Prosperity Corporation has accumulated $200,000 of earnings beyond the reasonable needs of the business. The corporation’s regular taxable income is $165,000. Its adjusted taxable income for determining the accumulated earnings tax is $178,000. What

> Zenon Corporation (a calendar-year corporation) began work on a new experimental project in year 1. It incurred $8,000 in qualifying research expenses in year 1 and $11,000 in year 2. The benefits from the project will be realized beginning in February y

> Orange Corporation acquired all of the assets of Lemon Company for $10,000,000. The fair market value of the tangible assets totaled $8,000,000. The $2,000,000 difference is considered goodwill. Orange Corporation expects to continue its business operati

> Paul purchased a royalty interest in an oil well for $125,000. Paul’s share of gross income from oil sales for the year is $40,000 and his share of expenses for the oil production is $13,000. What is Paul’s percentage depletion deduction for the year? Wh

> Six years ago, Sharon purchased her principal residence for $500,000. In the current year, she converts the property to rental use because she has been unable to sell it due to the depressed real estate market. The property’s current fair market value is

> A corporation has taxable income is $1,500,000. If it distributes its after-tax income to its shareholders whose dividend tax rate is 15 percent, what are the total tax and the combined effective tax rate on corporate income?

> Tina and Tony, a married couple, have owned and lived in their house for 20 years. They want to sell it now and move to a smaller place. They purchased the home for $56,000 and put $30,000 of improvements into the home over the years. If they sell the ho