...ACA1 Tax Treatments for Individual Returns (Task 302.2.3) A. Recommended Tax Filing Status From the two filing statuses that the couple can use, the most advantageous for them would be married filing jointly and not married filing separately. A1. Explain your recommendation based on current, applicable tax laws. The reason that using the married filing jointly status is more advantageous for the couple is that taxes will be lower than if they filed as married filing separately. Filing jointly provides more tax benefits and the tax rate is generally lower. They will qualify for five exemptions, one for each of the dependent children, all under the age of 19 and that they provide over half the support for, and one personal exemption for each spouse. Since the couple has calculated the rent, food and other family contribution for Spouse B’s mother support at $7,000 per year, and she contributes $7,920 per year, they cannot claim her as a dependent. This being that they did not provide over half the support for her. In addition, filing jointly would also benefit them as they can claim credits, deductions and exclusions which they would not be able to if filing separately. The couple can claim $3,000 in capital losses as opposed to only $1,500 if filing separately, and exclude up to $500,000 on the sale of their primary residence as opposed to only $250,000 if filing separately. A2a. Taxable and Non-Taxable Income Most types of income are taxable, but some...
Words: 2377 - Pages: 10
...it will allow them to stay at a lower tax bracket and also qualify to take a higher standard deduction and higher deduction on the sale of their home than they would as individuals. The family can claim 5 exemptions: 1. Spouse A can take a personal exemption 2. Spouse B can take a personal exemption 3. The 10 year old is classified as a qualifying child and can be claimed as a dependent because they under 19 years of age and lived with the parents for the full year 4. The high school junior is classified as a qualifying child because he is under 19 years old and although Spouse B receives child support, she is the custodial parent and can claim the child as a dependent. 5. The college freshman is also a qualifying child because he is under 19 years of age, stills lives at home for more than half of the year, and did not provide more than half of their own support during the year. *Spouse B’s mother cannot be claimed as a dependant because her income is higher than her personal exemption of $3900, and also provides more than half of the cost to support herself. A2a. Spouse B’s $8,000/month for 11 months of income from work Spouse A’s partnership share of income of $142,000 Spouse A’s $2,000 W-2 from the city park district Dividends received from Spouse A’s investment into Company E Capital Gains from the sale of their rental property. Interest earned from Municipal Bond Capital gain/loss from Spouse B’s day-trading Gain/Loss from Rental real estate...
Words: 1905 - Pages: 8
...ACA1 Task 2 Write an essay in which you recommend the most advantageous tax filing status for Spouse A and Spouse B on their federal tax return. The filing statuses available to the taxpayer couple are married filing jointly, and married filing separately. The best filing status for Spouse A and B is married; filing jointly. Both spouse A and B have separate income for the year and so could file separate returns but they would also have to file at a higher tax rate schedule because their income is not combined. They would be required to claim any exemptions, deductions, and credits available separately. The couple is also precluded from filing a dependent twice so if A were to file for one of their 3 dependents then B could not claim the same dependent. The couple will qualify for 5 exemptions if filing together: 1 for spouse A, 1 for spouse B, 2 for the minor children, and 1 for the student adult child. Spouse B’s mother (whom lives with the couple) receives social security benefits in the amount of $750 per month she contributes all but $90 a month to the household. Since this amounts to $7920 and the couple contributed $7000 to the mother, they provided less than half of her support and so cannot claim her as an exemption. (Hoffman, et al, 2011). When addressing taxable and non-taxable income, it is mandatory that all income be reported on the return but only the portions subject to tax will be tax assessed. Spouse A has a K-1 from the partnership which shows $142,000...
Words: 3310 - Pages: 14
...A Project Case Analysis Of Dell Corporation A Case Analysis Project Submitted to the Faculty of the University of Perpetual Help System – Jonelta City of Biñan, Laguna In Partial Fulfilment Of the Requirements for the Degree of Bachelor of Science in Business Administration Major in Marketing Management JOHN PHILIPP M. PE March 2015 CASE TITLE: DELL INCORPORATION INTRODUCTION: In 1984, Michael Dell invested $1,000 in start-up capital to register his business as Dell Computer Corporation, which was known as PC's limited. The company becomes the first in the industry to sell directly to end-users by passing the dominant system of using computers resellers to sell mass-produced computers. Dell Computer also pioneers the industry first thirty-day money back guarantee. It became the cornerstone of Dell's commitment to expand its service offerings, superior customer satisfaction, and the industry’s first on-site service program. It also established its first international subsidiary in the United Kingdom, and raised $30 million in its initial public offering. STATEMENT OF THE PROBLEM:The problem with Dell Inc. was the rapid growth within the company in their beginning stages. STATEMENT OF THE OBJECTIVES: The objective of this study is to know how Dell Corporation solve the problem of rapid growth within the company in their beginning stages and how they win over their competitors. TIME FRAME: 24 Months POINT OF VIEW: Business leaders such as Dell constantly...
Words: 696 - Pages: 3
...Title: “Who Will Take Over” View Point: The Heiress (Charlene de Carvalho) Time Content: Current I. Problem Statement Who will take over of the business operations of Heineken, which is the world’s 3rd largest brewer considering that the owner and founder has only one legitimate heir who has no experience in handling such business? II. Statement of the Objective Be able to identify who will take over the operation of Heineken within the most reasonable time and who can be effective in ensuring that the company will remain profitable and competitive in the market maintaining the legacy and brand name built by the founder of the company. III. Areas of Consideration Strengths * Heineken is a well- established company and its product is well known to the market. It’s the world’s 3rd largest brewer. * The company has a strong business penetration in the Americas and Europe markets. * The company has Jean Francios van Boxmeer as the company’s CEO who was considered to be one of the top CEO’s of the world. He has a strong and reputable experience in improving the company’s financial statement. Weaknesses * The death of the owner/founder of the company, Freddie had made the company’s management and its shareholders worried about the future of the company. * Charlene who is the only legitimate heiress has no experience neither an exposure to the actual operation of the company. She also does not have...
Words: 1575 - Pages: 7
...ACA1 Task 2 Pamela Kelly Western Governors University ACA1 Task 2 References Department of the Treasury, Internal Revenue Service (2016 February) https://www.irs.gov/taxtopics/tc429.html day trading losse Department of the Treasury, Internal Revenue Service (2015 January) https://www.irs.gov/taxtopics/tc452.html Alimony payments Department of Treasury, Internal Revenue Service, (January 2015 ) https://www.irs.gov/publications/p523/ar02.html#en_US_2015_publink1000200611 Department of the Treasury, Internal Revenue Service, (2015 January) 1040 instructions, Retrieved from https://www.irs.gov/pub/irs-pdf/i1040gi.pdf Department of Treasury, Internal Revenue Service. (2015 January) Instruction for schedule A (form 1040). Retrieved from https://www.irs.gov/pub/irs-pdf/i1040sca.pdf real estate taxes Department of the Treasury, Internal Revenue Service (2015 January) Moving expense, https://www.irs.gov/pub/irs-pdf/p521.pdf Department of the Treasury, Internal Revenue Service (2015 January) Retirement plans for small business https://www.irs.gov/pub/irs-pdf/p560.pdf retirement contributions Department of the Treasury, Internal Revenue Service (2015 January) https://www.irs.gov/publications/p541/ar02.html#en_US_201601_publink1000104228 Herman, T. (2008, September 03). Think you're a trader? IRS may disagree. Retrieved March 03, 2015, from http://www.wsj.com/articles/SB122039907716592937 Day trading losses Investopdia staff (blog) (http://www.investopedia.com/ask/answers/05/stockcashdividend...
Words: 2475 - Pages: 10
...Statement of the Objectives: a. To identify the most efficient way to market the products. b. Improve the sales III. Areas of Considerations Strength Weakness Opportunities Threats 1. First international color cosmetics brand to be launched worldwide 2. Formed a collaboration with many firms which helped expand in India 3. Endorsed by popular artists in USA 4. Good quality products 5. A global brand name with association with many international celebrities 1. Many players in the market restrict market share 2. Brand penetration is mostly in the cities 1. Non-traditional promotional activities 2. Collaborate for the networking based model in India which might help increase reach in India • 1. Lots of local competitors 2. Changing preferences of customers IV. Assumption • They have been erroneously allotting big amount of money for the advertising expense. • They should modify the strategic marketing that they have. • Since they are already a established brand in the market. They should be able to penetrate all levels. • They have allotted a big amount for their social responsibility. V. Alternative Course of Action: 1. Cut down the amount allotted for their social responsibility. 2. Cut down the cost of their advertising expense. VI. Analysis 1. Review current company policies regarding Human Resources Management (this includes Job Descriptions, Quotas, and Benefits etc. and subject lead men, bay supervisors and employees into 5-day...
Words: 760 - Pages: 4
...MASTER IN BUSINESS ADMINISTRATION MASTER IN MANAGEMENT HUMAN BEHAVIOR IN ORGANIZATION REQUIREMENTS: 1. Identify a case problem related to Human Behavior in Business Organization; 2. Analyze the said case problem using the standard format in case analysis. 3. Submit your output on or before October 12, 2013. FORMAT IN WRITING CASE ANALYSIS I. Case Title THE WORK ASSIGNMENT Effie Pardini supervised eleven accounting clerks in the budget and planning department of a large computer manufacturer. None of the clerks had accounting degrees, but all were skilled in handling records and figures. They primarily prepared budgetary plans and analyses for operating departments. Data input were secured from the departments and from company records. Pardini assigned projects to the clerks on the basis of their interests and skills. Some projects were more desirable than others because of prestige, challenge, the contacts required, or other factors; so there were occasional conflict over which clerk was to receive a desirable project. One clerk who seemed especially sensitive and regularly complained about this issue was Sonia Prosser. On one occasion Pardini received desirable project and assigned it to a clerk by the name of Joe Madden. Prosser was particularly distressed because she felt she should have had the assignment. She was so distressed that she retaliated by gathering up her present assignment and putting it away in her desk. Then she took...
Words: 1169 - Pages: 5
