Tax Question: What are all the possible filing statuses?

2. What are all the possible filing statuses? What characteristics distinguish each of the filing statuses?

Tax return filing requirements; consequences of failure to file.

3. When is a taxpayer required to file a federal income tax return? What are the consequences of failing to file a tax return that you were otherwise required to file? When would a taxpayer with no income tax liability and no withholding want to file a tax return?

How is basis determined? What events increase or decrease basis? How does tax basis differ from GAAP accounting basis?

10. How is basis determined? What events can adjust basis up or down? How does tax basis differ from GAAP accounting basis?

Nonliquidating Distributions

1. What is the difference between debt and equity? (5 points) 2. What is the difference between common and preferred stock? (5 points) 3. What are the tax consequences to a corporation that distributes property to stockholders if the property distributed is less than the corporation’s basis in the property? (5 points) ...continues

Nonliquidating Distribution

1.Deficit in accumulated E&P is $(20,000) Current E&P is $15,000 On 12/31/x1, the Corp distributed $50,000 to its sole SH How much is considered to be dividend? 2. Accumulated E&P is $15,000 Deficit in current E&P $(20,000) On 12/31/x1, the Corp distributed $50,000 to its sole SH How much is considered to ...continues

NonLiquidating Distributions

MikeCO made the following distributions during the year: *5/1/x1 $60,000 *9/1/x1 40,000 Determined the tax treatment of each distribution under each of the following independent circumstances: Accum E&P Curr E&P a)$10,000 $50,000 b)(70,000) 50,000 c) 95,000 ...continues

NonLiquidating Distributions

Corp has $(25,000) deficit in accumulated E&P and $5,000 in current E&P. The balance in current E&P only reflects the results of operations(i.e., current E&P does not reflect any effect (direct or indirect)of distributions) The Corporation made the following distributions: * 4/25/x1 $15000 Cash * ...continues

Taxation sample questions: 501(c)

1. Which of the following entity types cannot NOT become a 501(c)(3)? a. A Delaware LLC b. A Partnership c. An Illinois Corporation d. A Charitable Trust 2. Which of the following is most likely true about an Unincorporated Association that was a 501(c)(3)? a. It was formed by filing its Charter with the applicable S ...continues

Advanced Federal Taxation

Monroe, a 1/3 partner with a basis in the interest of $60,000 at the beginning of the year, received a guaranteed payment in the current year of $40,000. Partnership income before consideration of the guaranteed payment was $25,000. Monroe must report a $5,000 ordinary loss from partnership operations, and the $40,000 guaranteed ...continues

Non-Taxable Exchanges

Question 1. A building located in Virginia (used in business) exchanged for a building located in France (used in business) cannot qualify for like-kind exchange treatment. a) True b) False Question 2. If a loss occurs on an involuntary conversion, the holding period of the replacement property does not include the hold ...continues