Tax Questions

51. Jermaine and Kesha are married, file a joint tax return, have AGI of $75,000, and have two children. Devona is beginning her freshman year at State University during Fall 2005, and Arethia is beginning her senior year at Northeast University during Fall 2005 after having completed her junior year during the spring of that y ...continues

What is the definition of being self-employed? What distinguishes a self-employed individual from an employee? Why is this distinction important?

What is the definition of being self-employed? What distinguishes a self-employed individual from an employee? Why is this distinction important?

Accounting Periods & Methods - Moss Company

#2 Moss Company is a computer consulting firm. The company also sells equipment to its clients. The sales of equipment account for approximately 40% of the company’s gross receipts. The company has consistently used the cash method to report its income from services and the accrual method to report its income from the sale o ...continues

Accounting Periods & Methods - Kelly

#3 On June 30, 2007, Kelly sold property for $250,000 cash on the date of sale and a $750,000 note due on September 30, 2008. No interest was stated in the contract. The present value of the mote (using 6.5%, which was the Federal rate) was $692,625. Kelly’s basis in the property was $400,000, and $40,000 of the gain was sub ...continues

I2-59 Andrea, who is in the 35% tax bracket, is interested in reducing her taxes.

I2-59 Andrea, who is in the 35% tax bracket, is interested in reducing her taxes. She is considering several alternatives. For each alternative listed below, indicate how much tax, if any, she would save? a. Give $2,000 to a charity. Assume she itemizes. b. Give $2,000 to a charity. Assume she does not itemize. c. Make a gif ...continues

Partnerships: basis, gain/loss, interest

#1 Tom and Liz form an equal partnership with a cash contribution of $60,000 from Tom and a property contribution (adjusted basis of $75,000, fair market value of $60,000) from Liz a) How much gain or loss, if any does Liz realize on the transfer? May Liz recognize any gain or loss? b) What is Tom’s basis in his partnershi ...continues

partnerships/practice problem: separately stated items of income and expense plus basis calculations

#8 #4 The RB Partnership is owned equally by Rob and Bob, Bob’s basis is $14,000 at the beginning of the tax year. Rob’s basis is $9,000 at the beginning of the year. RB reported the following income and expenses for the current tax year: Sales revenue $130,000 Cost of sale 45,000 Guaranteed payment to Rob ...continues

An important provision is that each person can give $12,000 per year per donee free of gift tax.

Please see attached. This problem is about the gift tax. An important provision is that each person can give $12,000 per year per donee free of gift tax. (It was $10,000 for years before 2002.) Mark & his wife owned all of the units (like shares of stock) in a limited liability company (LLC). Mark is the LLC manager (like ...continues

Tax advantages and disadvantages of business types

We have elected the S corporation form of business. Now we are not sure this was the best business structure for us from a taxing perspective, and we would like a written comparison discussing the tax advantages and disadvantages of the C corporation, S corporation, and partnership forms of business. Also we would like a recomm ...continues

How to calculate state payroll withholding taxes based on the chart provided.

Tax Table BIWEEKLY PAYROLLS Single If wages are Vermont withholding is over but not over $0 $102 $0 of amount over 102 1,289 0 + 3.60% $102 1, ...continues