Facts: In April of 2015, Elizabeth filed a joint tax return with her husband Gary. Both spouses are 67 years old and have no dependents. After filing their tax return, Elizabeth realized that Gary has 500,000 of embezzled funds in a bank account that she was unaware of. Although the embezzled funds earned $25,000 of interest, they were not reported on the couple’s 2014 tax return. The following income and deductions were reported on the tax return. Gross Income $295,000 Deductions for
Words: 1047 - Pages: 5
authority of law. B) Courts are bound to follow Treasury Regulations when they are in conflict with the law. C) The legal citation for a Treasury Regulation refers to the associated Internal Revenue Code section. D) Regulations are published in the Federal Register 3. The following statements about cash and accrual basis taxpayers are all false, except: A) Both cash and accrual basis taxpayers include prepaid rent in gross income. B) Both cash and accrual basis taxpayers are taxed on rent paid late
Words: 536 - Pages: 3
Legalizing marijuana means Billions of Tax Dollars and Federal Savings On average, Americans spends about US$5 billions on marijuana every year or equivalent to 1% of the GDP, it is almost the same amount that alcohol contributes to the country’s GDP (Daryal). The only problem is that the marijuana revenue mostly goes into the pocket of drug syndicates and mafias because they comprise the largest portion of distribution in marijuana market. On the other hand, the federal government admits that the war on
Words: 589 - Pages: 3
Exercises & Problems Week 4 Exercise E10-6 Payroll Tax Expense 352.16 FICA Payable 198.40 Federal Unemployment Taxes Payable 19.84 State Unemployment Taxes Payable 133.92 (To record Payable Taxes for the week) Exercise E 10-8 1. True 2. True 3. False 4. True 5. False 6. False 7. True 8. True 9. True
Words: 460 - Pages: 2
NewCorp Scenarios Legal Brief Many organizations in the United States of America do not have the budget for staff counsel within their company. NewCorp is a business that has found themselves in legal matters and is seeking an assessment on ways to handle these circumstances from a consultant in the organization before refering matters to an attorney and incur costs. This assignment reviews three scenarios involving NewCorp. We will examine liabilities the organization and complainant are subject
Words: 1294 - Pages: 6
Taxation A. An income tax on individuals was used to provide financing for the Civil War. ألغى then the war ended, the tax was repealed . In 1894, a new individual income tax was enacted سنت but the Supreme Court held the tax to be unconstitutional. After a constitutional challenge to the taxation of income, the Sixteenth Amendment, this sanctioned both the federal individual and corporate income taxes, عقوبات was ratified in 1913. The present income tax on individuals was enacted
Words: 2384 - Pages: 10
Common Sense Approach to Reforming the Federal Tax System On February 3, 2013 marked the 100th birthday of the 16th Amendment. The 16th Amendment paved the way for the creation of the federal income tax that continues to this day to have far reaching repercussions on the American tax payer. Before the ratification of the 16th Amendment, the birth of the federal income tax dates back to the Civil War. In order to finance the Civil War, President Abraham Lincoln signed into law Revenue Act of
Words: 3688 - Pages: 15
Chapter C:1 Tax Research Learning Objectives After studying this chapter, the student should be able to: 1. Distinguish between closed fact and open fact tax situations. 2. Describe the steps in the tax research process. 3. Explain how the facts influence tax consequences. 4. Identify the sources of tax law and assess the authoritative value of each. 5. Consult tax services to research an issue. 6. Apply the basics of Internet-based
Words: 5320 - Pages: 22
Federal Tax Law Effect on Individual Taxpayers Regarding Earned Income Tax Credit Federal Tax Law Effect on Individual Taxpayers Regarding Earned Income Tax Credit Jaree Chambers DeVry University / Keller Graduate School of Management Abstract Federal tax law effects each taxpayer differently and can prove difficult to interpret. The differences very due to income, family size or family situations i.e. single, married, divorced, childless, etc., and allowable credits or deductions. During
Words: 2417 - Pages: 10
The Nigerian tax system has undergone several reforms geared at enhancing tax collection and administration with minimal enforcement cost. The recent reforms include the introduction of TIN, (unique Taxpayer’s Identification Number which became effective since February 2008), automated tax system that facilitates tracking of tax positions and issues by individual taxpayers, e-payment system which enhances smooth payment procedure and reduces the incidence of tax touts, enforcement scheme (Special
Words: 6516 - Pages: 27
