Research Project ACCY 171 Fall 2013 Alternative A FACTS Both Larry and Wendy are calendar-year, cash method taxpayers. The lease requires an annual rental of $2,000 due in arrears on December 31. Wendy mailed the check on December 30, and Larry received it on January 2. ISSUE In what year should each of the cash method taxpayers include the transaction as an increase or decrease in their gross income? And what are the tax consequences?
Federal Taxes Class Week 1 Assignment 1 Problems 3-31. Tom and Linda’s taxable income for 2011 is follows. First we have to subtract itemized deductions from AGI. So, $40000-$11950=$28050. Then we have to subtract 4 exemptions from $28050.
You still have a chance to reduce that amount, often significantly, by taking advantage of any allowable tax credits. 7. When would a person use a third party designess? If the taxpayer wants to allow a friend, family member, or other selected person to discuss the tax return with the IRS, the taxpayer should: • Check the Yes box in the Third Party Designee section of the return • Enter the designee's name, phone number, and any five numbers the designee chooses as his or her personal identification number (PIN) Visit W-2 Wage and Tax Form at http://www.irs.gov/pub/irs-pdf/fw2.pdf. 8.
Date: December 9, 2013 To: Michelle From Olajide Jaji RE: Taxation of stock option benefits. Dear Michelle, You have requested our office consider the below questions categorized in sessions. Part (A) What amounts need to be reported in her 2012 income tax return relating to the 1,000 Netcrawler share acquired in April 2012 and the 2000 shares sold in 2012. Answer to question Facts and Assumptions * Michelle is an employee of Netcrawler Software Limited in 2012. * June 2011, Netcrawler granted Michelle an employee stock option, valid until 2013 to acquire up to 1,000 common shares of Netcrawler at $20 per share.
Economics 203: Intermediate Microeconomics I Instructor: Dr. Donna Feir University of Victoria Fall 2013 Problem Set #3 Coverage: Chapter 5 “Applications of Rational Choice and Demand Theories,” and Chapter 16.1 ”General Equilibrium.” All page and question references refer to the Frank and Parker text. Recommended Completion Date: October 15, 2013. Question 1: Page 159 in Old Text and Page 172 in New Text, Problem 2. Question 2: A consumer is originally buying bundle C on the diagram below. Suppose that the government places a tax on the purchases of gasoline, but also give out a lump sum rebate.
Thus, $1,500 + $1,200 ‒ $1,500 = $1,200 taxable income. 112.Meg, age 23, is a full-time law student and is claimed by her parents as a dependent. During 2012, she received $1,400 interest income from a bank savings account and $5,800 from a part-time job. What is Meg’s taxable income for 2012? $1,250.
[ X ] I do not know of any other case that could affect our children. c. [ X ] Other than the parents, no one claims custody or visitation rights with our
Law and Analysis The taxpayer relief act of 1997 exempted from taxation the profits on the sale of a personal residence of up to $500,000 for married couples filing jointly and $250,000 for singles. This exemption applies to residences the taxpayer(s) lived in for at least two years over the last five. Taxpayers can only claim the exemption once every two years Under § 1.121-1 Exclusion of gain from sale of principle residence of the Internal Revenue Code, the sale of the home of Mr. Junkiewicz and his wife in 2013 is not a taxable transaction as
c. After purchasing a personal residence, Paul probably will no longer claim the standard deduction on the income tax return. Due to mortgage interest and property tax deductions he will itemize his deductions on Schedule A. 5. For wage earners, the tax system requires employers to withhold for taxes a specified portion of an employee’s wages. Persons with income form other than wages have to make quarterly payments to the IRS for estimated taxes due for the year.
What You Need to Know • What is included in the 2012 and 2013 Federal Tax Credit? • How do I apply for my Federal Tax Credit? What is included in the 2012 and 2013 Federal Tax Credit? The following applies to the 6 product categories below: Tax Credit: 10% of cost up to $500 or a specific amount from $50–$300 Expires: December 31, 2013 Details: Must be an existing home & your principal residence. New construction and rentals do not qualify.