Tax question

How would you explain the difference in retained earnings and E & P to a client who questions your preparation of a tax return?

Multiple choice in depreciation, cost recovery, amortization and depletion

Hazel purchased a new business asset (five-year property) on November 30, 2007, at a cost of $100,000. This was the only asset acquired by Hazel during 2007. On January 7, 2008, Hazel placed the asset in service. She did not elect to expense any of the asset cost under § 179, nor did she elect straight-line cost recovery. On Oct ...continues

Taxation Problems

Please help with attached Taxation Problems. If someone can complete I will make them the only OTA.

Taxation Problems

Please help with attached Taxation Problems. If someone can complete I will make them the only OTA.

Taxation Problems

Please help with attached Taxation Problems. If someone can complete I will make them the only OTA.

Comprehensive Problems: Categorize Betty's capital gain items; Capital gains is considered a voluntary tax with high-income taxpayers receiving the most benefit.

1. Betty incurs the following transactions during the current year. Without considering the transactions, her 2006 AGI is $40,000. Analyze the transactions and answer the following questions: • On March 10, 2006, she sells a painting for $2,000. Betty is the artist, and she completed the painting in 2001. Her basis for the ...continues

Sale of Assests Received as a Gift and Inherited

Daniel receives 400 shares of A&M Corporation stock from his aunt on May 20,2007, as a gift when the stock has a $60,000 FMV. His aunt purchased the stock in 2000 for $42,000. The taxable gift is $60,000 paid a gift tax of $9,300 on the gift of A&M stock to Daniel. Daniel also inherited 300 shares of Longhorn Corporation pre ...continues

Sec. 179 Expensing Election and MACRS Depreciation. Calculate depreciation for Ted's real estate business and for his rental property.

Ted is in the real estate business and owns rental property. On May 12, 2007, Ted purchased a small apartment building for $200,000 ($180,000 for the building and $20,000 for the land). In addition, Ted purchased equipment (5-year recovery) costing $60,000 on April 10,2007, and machinery (7-year recovery) costing $80,000 on Nove ...continues

Taxes

Deliverable Length: 2-3 page memo (include Excel spreadsheet) A friend, Sal, wnats to knowhow much he would save in taxes by contributing to his 401(K) plan. He can invest up to 10% of his income into the plan. His curretn income is US$50,000 per year, and he is in the 25% tax bracket. In a memo to your friend that outl ...continues

Tax and Ethical Consideration of Taxable Gifts

Could you please explain and help me understand the tax and ethical considerations (with supporting authority where possible) regarding whether I should prepare a gift tax return that reports the taxable gifts in the following situation. A client transferred his corporation stock to 14 donees in December 2007. Each donee rece ...continues