Research Problem 3. Millie owns a large home on the East Coast. Her home is surrounded by large, mature oak trees that significantly increase the value of her home. In August 2014, a hurricane damaged many of the trees surrounding her home. In September 2014, Millie engaged a local arborist to evaluate and treat the trees, but five of the largest trees were seriously weakened by the storm. These trees died from disease in 2015. Millie has ascertained that the amount of the casualty loss from the
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Memorandum to the File Date: August 1, 20XX From: Carie Ford Re: Summarize the tax issue/purpose of the memo. Background Provide a concise yet complete overview of facts/background. Issue State the issue(s) in question format. Authoritative Guidance List all authoritative guidance used to form conclusion and analysis. Refer to p. 718 in your tax textbook for citation reference guidance. Analysis Discuss each issue separately. Describe the logical, defendable, legal alternatives
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MEMORANDUM To: Galadriel and John, owner of Marietta Horse Supplies From: Subject: Potential Liability for Accumulated Earnings Tax, and Level of Salaries FACTS Galadriel and John, under you, are owners of Marietta Horse Supplies, C Corp. The company has garnered enough earnings enabling the owners to pay reasonable salaries, although research revealed that the salary level is about one-half or two-thirds of salaries paid by other horse supply businesses with similar size. Owners
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contract for services with a third party in India, many companies establish their operations in India through incorporation of a subsidiary, a private limited company under the India Companies Act of 1956, as amended (the “Companies Act”). This memorandum summarizes certain of the legal and administrative issues that a U.S. company (the “U.S. company”) should consider in establishing an Indian subsidiary. Where to Locate the Subsidiary A key factor is the availability of a reliable employee pool
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accounting firm of BGW. On a recent audit engagement, Brett was assigned the task of evaluating the deferred tax accounting for Packer Inc. The company, founded in 1962, is a large heavy machinery manufacturer. Packer’s balance sheet at December 31, 1997 includes a deferred tax asset of approximately $22 million related to net future deductible temporary differences. However, realization of the deferred tax asset is dependent upon profitable operations in the U.S. and abroad, and future reversals of existing
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CHAPTER 12 S CORPORATIONS SOLUTIONS TO PROBLEM MATERIALS | | | | |Status: | | Q/P | |Question/ | | | |Present | |in Prior | |Problem | |Topic | |Edition | |Edition |
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Memorandum To: Professor From: XXX Date: December 14, 2011 Subject: Income tax treatment I appreciate that you choose me to deal with the questions for you, these are really good questions which we should pay attention to. In this memo, I would answer your questions about the specific treatment of your company’s income taxes according to my research in FASB Accounting Standard Codification and other sources. First, you ask about if the income taxes should be considered as an expense for financial
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NATIONAL SENIOR CERTIFICATE GRADE 12 BUSINESS STUDIES FEBRUARY/MARCH 2013 MEMORANDUM MARKS: 300 This memorandum consists of 28 pages. Copyright reserved Please turn over Business Studies 2 NSC – Memorandum DBE/Feb.–Mar. 2013 NOTES TO MARKERS 1. For marking and moderation purposes, the following colours are recommended: Marker: Senior Marker: Deputy Chief and Chief Marker: Internal Moderator: 2. Red Green Black/Brown/Pink Orange The numbering of Assessment Standards is in accordance with
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based on your tax research to explain why the client should choose your recommended business entity. Consider referencing appropriate tax code and regulations. 1. Defend your business entity recommendation by describing the accounting method. Consider the advantages and disadvantages of the business entity based on the following: 1. Cash basis vs. accrual 2. The cost to prep the returns 3. The tax benefits 4. The limited liability protection 5. Employee benefits C. Interpret the tax law pertaining
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based on your tax research to explain why the client should choose your recommended business entity. Consider referencing appropriate tax code and regulations. 1. Defend your business entity recommendation by describing the accounting method. Consider the advantages and disadvantages of the business entity based on the following: 1. Cash basis vs. accrual 2. The cost to prep the returns 3. The tax benefits 4. The limited liability protection 5. Employee benefits C. Interpret the tax law pertaining
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