Smith, Harmelink & Hasselback. Federal Taxation: Comprehensive Topics. CCH, 2013. Pg 14-18-19 states that the corporation should issue long-term debt because debt has certain advantages over equity. Interest payments on the debt are deductible by the corporation while dividends are not deductible.
Federal Tax Return 1 Federal Tax Return 2 Federal Tax Return We should all be familiar with filing a tax return. What is an income tax return and how is it used to by each individual taxpayer? “An income tax is a tax levied on the income of individuals or businesses (corporations or other legal entities)” cited in Fundamental of Taxation. An income tax return is the documents that are given to the tax collector regarding information about the taxpayer's tax liability. If you are a U.S. citizen or resident alien, whether you must file a federal income tax return depends on your gross income, your filing status, your age, and whether you are a dependent.
Calculate the PAYG instalment income and the instalment due to the ATO. Complete the BAS Summary boxes below. Using a general journal format, explain how the payment transaction would be recorded in the accounting system. Supplies you have made Total sales & income & other supplies including capital (GST inclusive) G1 Exports Other GST-free supplies Input taxed sales & income & other supplies ADD G2 + G3 + G4 G1 minus G5 G6 Adjustments (must be total transaction value, i.e. GST inclusive) ADD G6 + G7 Divide G8 by eleven G9 66 191 728 100 G2 G3 Acquisitions you have made Capital acquisitions (GST inclusive) All other acquisitions (GST inclusive) ADD G10 + G11 Acquisitions for making input taxed sales & income & other supplies Acquisitions with no GST in the price Total estimated private use of acquisitions + non-income tax deductible acquisitions ADD G13 + G14 + G15 G7 G8 0 728 100 G12 minus G16 Adjustments (must be total transaction value, i.e.
Normally, a reconciliation is required between the proprietary fund financial statements and the business-type activities column in the government-wide financial statements. C. Statements include the Statement of Net Assets (Balance Sheet); Statement of Revenues, Expenses and Changes in Fund Net Assets: and Statement of Cash Flows. D. The Statement of Cash Flows may be prepared using either the direct or indirect methods. 7. Which of the following choices regarding the fiduciary fund financial statements is true?
Comprehensive Problem 83 (Ch. 15) a. Identify significant tax and nontax issues or concerns that may differ across entity types. CCS will encounter several tax and nontax issues related to different entity types (LLC, Partnership, Corporation, or Sole Proprietorship). Nontax issues include Responsibility for Liabilities, and Rights, Responsibilities, and Legal Arrangement among Owners.
3a. What is the shortest loan (36 months, 48 months, 60 months or 72 months) that has a monthly payment within your $500 budget that will allow you to buy the $45,000 car? Answer: Through Bank of America, I found a rate of 2.99% for the 36, 48 and 60 month loans. We are able to put down 20% and will need to finance $36,000. There is no loan period for the $45,000 car that would be under our $500
MEMORANDUM TO: Outside Certified Public Accountants FROM: CPA DATE: April 8, 2013 Re: CPA Report In response to the examination of the subsidiary that has been set up as a corporation, the explanations to the deferred tax methods, procedures for accounting changes and corrections, and the reasoning for setting up the corporation as a subsidiary will be addressed. Deferred Tax Methodology Financial and tax reporting creates temporary differences between the amounts reported for income taxes and on the financial statements because an accrual basis is used for financial reporting and a modified cash basis is used for tax reporting. Deferred taxes reported contain a temporary difference between the tax basis of a liability or
The excess of nonbusiness capital losses over nonbusiness capital gains must be added to taxable income to compute the net operating loss of an individual. ANS: T PTS: 1 REF: p. 7-21 49. An individual taxpayer who does not itemize deductions uses the standard deduction to compute the excess of nonbusiness deductions over the sum of nonbusiness income and net nonbusiness capital gains for purposes of computing net operating loss. ANS: T PTS: 1 REF: p. 7-22 50. When a net operating loss is carried back to a non-loss year, the net operating loss is a miscellaneous itemized deduction.
Chapter 07 - The Revenue and Collection Cycle Chapter 07 The Revenue and Collection Cycle Multiple Choice Questions 1. To be recognized, revenues must also be realized or realizable and A. Foreseeable B. Collected C. Earned D. Shipped 2. The SEC requires all of the following for revenue to be recognized except A.
Spouse’s Virginia withholding (filing status 2 only) ...........................................................18b 19. Estimated Tax Paid for tax year 2010 (from Form 760ES) ...........................................................19 (include overpayment credited from tax year 2009) 20. Extension Payments (from Form 760IP) ......................................................................................20 21. Tax Credit for Low Income Individuals or Earned Income Credit from attached Sch. ADJ, Line 17.....21 22. Credit for Tax Paid to Another State from attached Sch.