All Related Questions of Tax Refund

Q: Indicate where the following items would ordinarily appear on the financial statements

Indicate where the following items would ordinarily appear on the financial statements of Boleyn, Inc. for the year 2014. (a) The service life of certain equipment was changed from 8 to 5 years. If...

Q: The following are situations that may violate the Code of Professional Conduct

The following are situations that may violate the Code of Professional Conduct. Assume, in each case, that the CPA is a partner. 1. Contel, CPA, advertises in the local paper that his firm does the au...

Q: D’Leon Inc., a regional snack foods producer, after an expansion

D’Leon Inc., a regional snack foods producer, after an expansion program. D’Leon had increased plant capacity and undertaken a major marketing campaign in an attemp...

Q: Donna Jamison, a 2003 graduate of the University of Florida with

Donna Jamison, a 2003 graduate of the University of Florida with 4 years of banking experience, was recently brought in as assistant to the chairperson of the board of D’Leon Inc., a...

Q: Doug Jones timely submitted his 2016 tax return and elected married filing

Doug Jones timely submitted his 2016 tax return and elected married filing jointly status with his wife, Darlene. Doug and Darlene did not request an extension for their 2016 tax return. Doug and Darl...

Q: David and Lilly Fernandez have determined their tax liability on their joint

David and Lilly Fernandez have determined their tax liability on their joint tax return to be $1,700. They have made prepayments of $1,500 and also have a child tax credit of $1,000. What is the amoun...

Q: In 2016, Nadia has $100,000 of regular taxable

In 2016, Nadia has $100,000 of regular taxable income. She itemizes her deductions as follows: real property taxes of $1,500, state income taxes of $2,000, and mortgage interest expense of $10,000 (no...

Q: Lanco Corporation, an accrual-method corporation, reported taxable income

Lanco Corporation, an accrual-method corporation, reported taxable income of $1,460,000 this year. Included in the computation of taxable income were the following items: • MACRS depreciation of $200,...

Q: Happy Hippos (HH) is a manufacturer and retailer of New

Happy Hippos (HH) is a manufacturer and retailer of New England crafts headquartered in Camden, Maine. HH provides services has sales, employees, property, and commercial domicile as follows: Happy Hi...

Q: Lance H. and Wanda B. Dean are married and live

Lance H. and Wanda B. Dean are married and live at 431 Yucca Drive, Santa Fe, NM 87501. Lance works for the convention bureau of the local Chamber of Commerce, while Wanda is employed part-time as a p...

Q: Logan B. Taylor is a widower whose wife, Sara,

Logan B. Taylor is a widower whose wife, Sara, died on June 6, 2014. He lives at 4680 Dogwood Lane, Springfield, MO 65801. He is employed as a paralegal by a local law firm. For 2016, he reported the...

Q: Myrna and Geoffrey filed a joint tax return in 2016. Their

Myrna and Geoffrey filed a joint tax return in 2016. Their AGI was $85,000, and itemized deductions were $13,700, which included $4,000 in state income tax. In 2017, they received a $1,800 refund of t...

Q: During the year, Addison is involved in the following transactions.

During the year, Addison is involved in the following transactions. What are the possible Federal income tax effects of these transactions? a. Lost money gambling on a trip to a casino. b. Helped pay...

Q: Gary earned $57,000 as an executive. Gary,

Gary earned $57,000 as an executive. Gary, who is single, supported his half sister, who lives in a nursing home. Gary received the following interest: $400 on City of Los Angeles bonds, $200 on a mon...

Q: If a taxpayer files his or her tax return and receives a

If a taxpayer files his or her tax return and receives a tax refund from the IRS, does this mean that the IRS feels that the return is correct and will not be subject to a future audit.

Q: Beth R. Jordan lives at 2322 Skyview Road, Mesa,

Beth R. Jordan lives at 2322 Skyview Road, Mesa, AZ 85201. She is a tax accountant with Mesa Manufacturing Company, 1203 Western Avenue, Mesa, AZ 85201 (employer identification number 11-1111111). She...

Q: In determining Blue Corporation’s current E & P for 2017, how

In determining Blue Corporation’s current E & P for 2017, how should taxable income be adjusted as a result of the following transactions? a. A capital loss carryover from 2016, fully used in 2017. b....

Q: Assume the same facts as in Problem 38 with the following modifications

Assume the same facts as in Problem 38 with the following modifications. What amount is included in Alicia’s gross estate? • Mitch is killed in a rock slide while mountain climbing in November, and th...

Q: Classify each of the following activities as proper or prohibited under the

Classify each of the following activities as proper or prohibited under the various consumer statutes you have studied. a. Calling a hospital room to talk to a debtor who is a patient there. b. Calli...

Q: Veronica plans to open a checking account with her $1,

Veronica plans to open a checking account with her $1,200 tax refund check. She believes she can maintain a $500 minimum balance. Also, she estimates that she will write 10 checks per month and will u...

Q: Kirk can take his $1,000 income tax refund and

Kirk can take his $1,000 income tax refund and invest it in a 36-month certificate of deposit at 7%, compounded monthly, or he can use the money to purchase a home entertainment system and put $30 a m...

Q: Determine Hazel’s Federal gross income from the following receipts for the year

Determine Hazel’s Federal gross income from the following receipts for the year. Gain on sale of Augusta County bonds ……………………. $800 Interest on U.S. government savings bonds ………………. 400 Interest on...

Q: In 2017, Ace Corporation reports gross income of $200,

In 2017, Ace Corporation reports gross income of $200,000 (including $150,000 of profit from its operations and $50,000 in dividends from less-than-20%-owned domestic corporations) and $220,000 of ope...

Q: During the year, Addison is involved in the following transactions:

During the year, Addison is involved in the following transactions: • Lost money gambling on a recent trip to a casino. • Helped pay for her neighbor’s dental bills. The neighbor is a good friend wh...

Q: Determine Hazel’s Federal gross income from the following receipts for the year

Determine Hazel’s Federal gross income from the following receipts for the year. Gain on sale of Augusta County bonds …………………… $800 Interest on U.S. government savings bonds ……………… 400 Interest on st...

Q: In determining Blue Corporation’s current E & P for this tax year

In determining Blue Corporation’s current E & P for this tax year, how should taxable income be adjusted as a result of the following transactions? a. A capital loss carryover from two years ago, full...

Q: Simon is single and a stockbroker for a large investment bank.

Simon is single and a stockbroker for a large investment bank. During 2017, he has withheld from his paycheck $2,250 for state taxes and $400 for city taxes. In June 2018, Simon receives a state tax...

Q: Frank and Liz are married. During 2017, Frank has $

Frank and Liz are married. During 2017, Frank has $2,800 in state income taxes withheld from his paycheck, and Liz makes estimated tax payments totaling $2,200. In May 2018, they receive a state tax...

Q: Each of the following taxpayers received a state income tax refund in

Each of the following taxpayers received a state income tax refund in 2017. In all cases, the taxpayer has a filing status of married filing jointly. What amount of the refund is properly included in...

Q: Under what circumstances is a state or local income tax refund included

Under what circumstances is a state or local income tax refund included in the taxable income of a taxpayer?

Q: Indicate where the following items would ordinarily appear on the financial statements

Indicate where the following items would ordinarily appear on the financial statements of Boleyn, Inc. for the year 2012. (a) The service life of certain equipment was changed from 8 to 5 years. If a...

Q: Following is a list of account titles and balances for Pennington Investment

Following is a list of account titles and balances for Pennington Investment Corporation as of January 31, 2013. Accounts Payable . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ....

Q: Classify each of the following items as: (A)

Classify each of the following items as: (A) Accounts Receivable, (B) Notes Receivable, (C) Trade Receivables, (D) Nontrade Receivables, or (E) Other (indicate nature of item). Because the classif...

Q: Plush Textiles Inc. shows a retained earnings balance on January 1

Plush Textiles Inc. shows a retained earnings balance on January 1, 2013, of $580,000. For 2013, the income from continuing operations was $240,000 before income tax. Following is a list of special it...

Q: The following information is taken from the financial statements of Aruban Enterprises

The following information is taken from the financial statements of Aruban Enterprises. The company elects to use the carryback provisions of the tax law. Instructions: 1. Given the information fro...

Q: The financial history below shows the income and losses for Irontree Company

The financial history below shows the income and losses for Irontree Company for the 10-year period 2004–2013. Assume that no adjustments to taxable income are necessary for purposes...

Q: Victoria Clothing reported the following amounts related to income taxes on its

Victoria Clothing reported the following amounts related to income taxes on its 2013 income statement. Income tax benefit from NOL carryback . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ....

Q: The FTC brings a deceptive trade practice action against Beneficial Finance Company

The FTC brings a deceptive trade practice action against Beneficial Finance Company based on Beneficial’s use of its “instant tax refund” slogan. The FTC argues that Beneficial’s advertising a tax ref...

Q: Rebecca and Gregory, a married couple filing a joint return,

Rebecca and Gregory, a married couple filing a joint return, reported adjusted gross income of $70,000 and total allowable itemized deductions of $13,000, including $3,100 for state income taxes, in 2...

Q: On January 1, 2017, Dave Coates, a 23-

On January 1, 2017, Dave Coates, a 23-year-old mathematics teacher at Xavier High School, received a tax refund of $1,100. Because Dave didn’t need this money for his current living...

Q: For each of the following situations, indicate the amount of the

For each of the following situations, indicate the amount of the penalty that could be imposed on the tax return preparer: a. A tax return preparer understates the taxpayer’s tax liability with a friv...

Q: Victor and Maria Hernandez Victor and Maria, both in their

Victor and Maria Hernandez Victor and Maria, both in their late 30s, have two children: John, age 13, and Joseph, age 15. Victor has had a long sales career with a retail appliance store. Maria works...

Q: Review the financial statements of Victor and Maria Hernandez (Table 3

Review the financial statements of Victor and Maria Hernandez (Table 3-2 and Table 3-3) and the financial ratios on page 87 and respond to the following questions: (a) How would you interpret their i...

Q: Chad Livingston is preparing his balance sheet and income and expense statement

Chad Livingston is preparing his balance sheet and income and expense statement for the year ending June 30, 2016. He is having difficulty classifying six items and asks for your help. Which, if any,...

Q: Mary Watson is 24 years old and single, lives in an

Mary Watson is 24 years old and single, lives in an apartment, and has no dependents. Last year she earned $45,000 as a sales assistant for Focused Business Analytics; $3,910 of her wages were withhel...

Q: Alto Corporation sold two capital assets this year. The first sale

Alto Corporation sold two capital assets this year. The first sale resulted in a $13,000 capital gain, and the second sale resulted in a $41,000 capital loss. Alto was incorporated five years ago. Fou...

Q: Doug Jones submitted his 2018 tax return on time and elected to

Doug Jones submitted his 2018 tax return on time and elected to file a joint tax return with his wife, Darlene. Doug and Darlene did not request an extension for their 2018 tax return. Doug and Darlen...

Q: Jeremy earned $100,000 in salary and $6,

Jeremy earned $100,000 in salary and $6,000 in interest income during the year. Jeremy’s employer withheld $11,200 of federal income taxes from Jeremy’s paychecks during the year. Jeremy has one qual...

Q: David and Lilly Fernandez have determined their tax liability on their joint

David and Lilly Fernandez have determined their tax liability on their joint tax return to be $1,700. They have made prepayments of $1,500 and also have a child tax credit of $2,000. What is the amoun...

Q: In 2018, Nadia has $100,000 of regular taxable

In 2018, Nadia has $100,000 of regular taxable income. She itemizes her deductions as follows: real property taxes of $1,500, state income taxes of $2,000, and mortgage interest expense of $10,000 (ac...

Q: A survey conducted by CBS News asked 1,026 respondents:

A survey conducted by CBS News asked 1,026 respondents: “What would you do with an unexpected tax refund?” The responses are summarized in the following table. Response ………………………………………………………………………………...

Q: Determine Hazel's Federal gross income from the following receipts for the year

Determine Hazel's Federal gross income from the following receipts for the year.

Q: In determining Blue Corporation's current E & P for the current tax

In determining Blue Corporation's current E & P for the current tax year, how should taxable income be adjusted as a result of the following transactions? a. A capital loss carryover from one year ago...

Q: Lance H. and Wanda B. Dean are married and live

Lance H. and Wanda B. Dean are married and live at 431 Yucca Drive, Santa Fe, NM 87501. Lance works for the convention bureau of the local Chamber of Commerce, while Wanda is employed part-time as a p...

Q: Tony is paying off a car loan. The monthly payment is

Tony is paying off a car loan. The monthly payment is $211.28. He is hoping to receive an income tax refund that is large enough to make one monthly payment. His tax is $1,722 and his employer withhel...

Q: Wedding Planners Limited (WP), owned by Anne and Francois Tremblay

Wedding Planners Limited (WP), owned by Anne and Francois Tremblay, provides wedding planning and related services. WP owns a building (the Pavilion) that has been custom-made for hosting weddings. Us...

Q: Logan B. Taylor is a widower whose wife, Sara,

Logan B. Taylor is a widower whose wife, Sara, died on June 6, 2016. He lives at 4680 Dogwood Lane, Springfield， MO 65801. He is employed as a paralegal by a local law firm. During...

Q: Kurstie received a $800 state income tax refund this year.

Kurstie received a $800 state income tax refund this year. Kurstie deducted $3,000 of state income taxes paid in the prior year as part of her itemized deductions Which of the following statements reg...

Q: Beth R. Jordan lives at 2322 Sky view Road, Mesa

Beth R. Jordan lives at 2322 Sky view Road, Mesa, AZ 85201. She is a tax accountant with Mesa Manufacturing Company, 1203 Western Avenue, Mesa, AZ 85201 (employer identification number 11-1111111). Sh...

Q: David R. and Ella M. Cole (ages 39 and

David R. and Ella M. Cole (ages 39 and 弛， respectively) are husband and wife who live at 1820 Elk Avenue, Denver, CO 80202. David is a self-employed consultant s...

Q: Elizabeth received the following sources of income in the current year:

Elizabeth received the following sources of income in the current year: What amount must Elizabeth include in gross income on her Federa1 income tax return? a. $650 b. $1,150 c. $1,350 d. $1,700

Q: Myrna and Geoffrey filed a joint tax return in 2017. Their

Myrna and Geoffrey filed a joint tax return in 2017. Their AGI was $85,000, and itemized deductions were $13,700, which included $4,000 in state income tax. In 2018, they received a $1,800 refund of t...

Q: The following are situations that may violate the AICPA Code of Professional

The following are situations that may violate the AICPA Code of Professional Conduct. Assume, in each case, that the CPA is a partner, unless stated otherwise. 1. Elbert is a staff accountant at a CPA...

Q: In detern1ining Blue Corporation's current E & P for 2018, how

In detern1ining Blue Corporation's current E & P for 2018, how should taxable income be adjusted as a result of the following transactions? a. A capital loss carryover from 2017, fully used in 2018. b...

Q: Zeno Inc. sold two capital assets in 2019. The first

Zeno Inc. sold two capital assets in 2019. The first sale resulted in a $53,000 capital loss, and the second sale resulted in a $25,600 capital gain. Zeno was incorporated in 2015, and its tax records...

Q: Each of the following taxpayers received a state income tax refund in

Each of the following taxpayers received a state income tax refund in 2019. In all cases, the taxpayer has a filing status of married filing jointly. What amount of the refund is properly included in...

Q: Apply the tax benefit rule to determine the amount of the state

Apply the tax benefit rule to determine the amount of the state income tax refund included in gross income in 2021. a. Myrna and Geoffrey filed a joint tax return in 2020. Their AGI was $85,000, and i...

Q: David R. and Ella M. Cole (ages 39 and

David R. and Ella M. Cole (ages 39 and 38, respectively) are husband and wife who live at 1820 Elk Avenue, Denver, CO 80202. David is a self-employed consultant specializing in retail management, and...

Q: Beth R. Jordan lives at 2322 Skyview Road, Mesa,

Beth R. Jordan lives at 2322 Skyview Road, Mesa, AZ 85201. She is a tax accountant with Mesa Manufacturing Company, 1203 Western Avenue, Mesa, AZ 85201 (employer identification number 11-1111111). She...

Q: 21. In April 2019, Fred paid $60 of state

21. In April 2019, Fred paid $60 of state income tax that was due when he filed his 2018 income tax return. During 2019, Fred’s employer withheld $1,500 of state income tax from his pay. In April 2020...

Q: Richard McCarthy (born 2/14/1965; Social Security

Richard McCarthy (born 2/14/1965; Social Security number 100-10-9090) and Christine McCarthy (born 6/1/1967; Social Security number 101-21-3434) have a 19-year-old son (born 10/2/2000 Social Security...

Q: Future Value of Annuity. Kirk can take his $1,

Future Value of Annuity. Kirk can take his $1,000 income tax refund and invest it in a 36-month certificate of deposit at 3%, compounded monthly, or he can use the money to purchase a home entertainme...

Q: Survey friends and relatives about their tax planning strategies. Do most

Survey friends and relatives about their tax planning strategies. Do most people get a federal tax refund or owe taxes each year? Is their situation (refund or payment) planned?

Q: An August 11, 2020 article from World Oil Magazine had the

An August 11, 2020 article from World Oil Magazine had the following headline: “Marathon Sets Up for $1.1 Billion Tax Refund via Coronavirus Aid Law.” * The article goes on to indicate, “That measure...

Q: On January 1, 2020, Dave Coates, a 23-

On January 1, 2020, Dave Coates, a 23-year-old mathematics teacher at Xavier High School, received a tax refund of $1,100. Because Dave didn’t need this money for his current living...

Q: Your tax client, Steve Michaels, told you that his former

Your tax client, Steve Michaels, told you that his former accountant who prepared his annual tax returns made errors that resulted in him suffering more than $100,000 in losses. Apparently, the errors...

Q: An income tax preparation service discounts income tax refunds at the statutory

An income tax preparation service discounts income tax refunds at the statutory maximum amount of 15% on the first $300. For example, a taxpayer eligible for a $200 tax refund can sell the refund to t...

Q: Benjamin has a $20,000 personal line of credit at

Benjamin has a $20,000 personal line of credit at prime plus 2% with his credit union. His minimum end-of-month payment is the greater of $100 or 3% of the combined principal and accrued interest. Aft...

Q: Answering this question occupies dozens of financial commentaries as the March 1

Answering this question occupies dozens of financial commentaries as the March 1 RRSP contribution deadline approaches each year. Many financial institutions and mutual fund companies promote the idea...

Q: After being in business for only two years, Your 1040 Return

After being in business for only two years, Your 1040 Return.com has quickly become a leading provider of online income tax preparation and filing services for individual taxpayers. Steven Chicago fou...