Dependency Exemptions, filing requirements, and installment sale

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Taxation questions for S Corporations

Are these true or false. I think I have a pretty good idea of what constitutes as S corporation but these questions I'm not sure of. Thanks for your advice. (1) An S corporation election allows shareholders to realize tax benefits from losses immediately. (2) A NOL carryover from a C year can be used in an S corporation ye ...continues

Tax Questions about corporations and partnerships

All should be answered true or false. (1) An S corporation shareholder's stock basis is increased by that shareholder's share of corporate profits, but not by a share of increases in corporate liabilities. (2) The general objective of the tax on unrelated business income is to tax such income as if the entity were a corp ...continues

Tax Questions

Are these true or false? (1) A state cannot levy a tax on a business unless the business was incorporated in the state. (2) A person who died on December 31, 2005, may pay more estate tax than one, similarly situated, who died on January 1, 2006. (3) Even if no gift tax is due, a Federal gift tax return may need to be ...continues

Business Taxation Questions.

For a limited liability company with four owners, A. An election can be made to be taxed as an S corporation. B. The entity is taxed as a corporation. C. An election can be made to be taxed as a partnership. D. None of the above. E. All of the above. I know that they would normally be taxed as a partnership so that ...continues

Taxation- Gift

In which, if any, of the following independent situations has Geraldine made a gift? A. Geraldine gives her 19-year old son $20,000 to be used by him for his college expenses. B. Geraldine buys her grandfather a new Jaguar for his birthday. C. Geraldine sends $20,000 to Duke University to cover her nephew's tuition. The ne ...continues

Taxation - PL 86-272

Which of the following is not immune from state income taxation, even if P.L. 86-272 is in effect? A. Sale of a factory building. B. Sale of office equipment that constitutes inventory to the purchaser. C. Sale of office equipment to be used in the taxpayer's business. D. All of the above are protected by P.L. 86-272 immu ...continues

Taxation - IRS Letter Ruling Process

Which statement appearing below does not correctly describe the IRS letter ruling process? A. In certain situations, the IRS will not issue a ruling. B. Some letter rulings are of such importance and general interest that they are later published (in anonymous form) as Revenue Rulings. C. Letter rulings benefit both taxp ...continues

Tax Questions

An S corporation has a lesser degree of limited liability than a C corporation. True or False? A limited partner in a limited partnership has limited liability whereas a general partner in a limited partnership has unlimited liability. True or False?

Taxation - Apportionment

In most states, a taxpayer's income is apportioned on the basis of a formula measuring the extent of business contact, and allocated according to the location of property owned or used. True or False?