If Margo and Bruce purchase and operate an ice cream store, for tax purposes they have formed a partnership. True or False
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If Margo and Bruce purchase and operate an ice cream store, for tax purposes they have formed a
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- 1 Required information [The following information applies to the questions displayed below.] Jasper and Crewella Dahvill were married in year O. They filed joint tax returns in years 1 and 2. In year 3, their relationship was strained and Jasper insisted on filing a separate tax return. In year 4, the couple divorced. Both Jasper and Crewella filed single tax returns in year 4. In year 5, the IRS audited the couple's joint year 2 tax return and each spouse's separate year 3 tax returns. The IRS determined that the year 2 joint return and Crewella's separate year 3 tax return understated Crewella's self-employment income, causing the joint return year 2 tax liability to be understated by $9,000 and Crewella's year 3 separate return tax liability to be understated by $6,950. The IRS also assessed penalties and interest on both of these tax returns. Try as it might, the IRS has not been able to locate Crewella, but they have been able to find Jasper. Note: Leave no answer blank. Enter O…Which of the following is a condition a taxpayer must meet to claim injuries spouse? The spouse: A. Didn't claim a refundable tax credit on the joint return. B. Is required to pay the past-due amount. C. Must file married filing separately. D. Received and reported income on a joint return.Christian wants to transfer as much as possible to his 4 adult married children (including spouses) and 13 minor grandchildren without using any unified transfer tax credit. a. What amount should Christian transfer to accomplish his tax goal without using any unified transfer tax credit? b. What if Christian's spouse, Mia, joins in the gifts? They can gift $__--- without using any unified transfer tax credit. c. Express your computations for parts (a) and (b) as a Microsoft Excel formula.
- As a tax return preparer for The Fernando Rodriguez Tax & Accounting Service, you have been asked to calculate the missing information for one of the firm's tax clients. The following table gives the standard deduction for various filing statuses. Standard Deductions Single or married filing separately Married filing jointly or surviving spouse Head of household 65 or older and/or blind and/or someone else can claim you (or your spouse if filing jointly) as a dependent: Warfield Name Filing Status single Using the standard deduction table above, complete the following table (in $). Income $12,000 $3,340 $24,000 $18,000 Varies (See www.irs.gov for information.) When finding your client's taxable income, which deduction did you use? standard deduction itemized deductions Adjustments to Adjusted Gross Income Income $49,160 Standard Deduction ---Select--- Itemized Deductions $13,160 tA Taxable IncomeWhich one of the following statements describes the consequences of using the filing status 'married filing jointly'? A spouse may not be held responsible for tax if that spouse had no income. The tax rates are generally more favorable than that of two single individuals if one has high income and the other has low income. If it is elected on an original return, it may be changed on an amended return.The following Data relates to Stephanie Garner, a resident taxpayer. Stephanie derives income from a public relations business and is also a partner in a marketing business Assessable business Income 2019/20 2020/21 2021/22 $93,400. $126,000 $133,400 General Business Deductions Share of Partnership Net Income (Loss). Superannuation and Gifts Net Exempt income 80,000 129,000 119,200 (21,800) 14,900 (5,600) 11,000 8,000 3,000 2,000 4,000 1,500 General Business deductions are separate from personal superannuation, gifts, partnership lossess and losses of previous years. For each year, determine Stephanie's Taxable Income and any losses that may be carried forward
- Julia and Maria are registered domestic partners filing jointly for California tax purposes. Their combined Form 540, line 19, taxable income is $73,721. What is their tax to be entered on line 31 if using the tax table? $4,108 $2,060 $2,578 $2,154 Julia and Maria are registered domestic partners filing jointly for California tax purposes. Their combined Form 540, line 19, taxable income is $73,721. What is their tax to be entered on line 31 if using the tax rate schedule? (round your answer) $3,528 $2,061 $2,398 $2,155Maria and Javier are the equal partners in MarJa, a partnership that is a qualified trade or business. In the current year, Marja had $328,200 of ordinary income after reporting $393,840 in guaranteed payments to Maria and Javier for their services to MarJa ($196,920 each). a. What is Maria's and Javier's qualified business income? b. What is Maria's and Javier's qualified business income if MarJa had $459,480 of ordinary income after reporting $196,920 in guaranteed payments to Maria and Javier ($98,460 each)?Which of the following is true with respect to the related party rules? a.A disallowed loss on a related party transaction can be used to offset any future gain when the property is sold to an unrelated party. b.Bill sells stock to his sister for a $3,000 loss. Bill can deduct the loss on his tax return. c.A taxpayer's uncle is a related party for purposes of Section 267. d.Under the constructive ownership rules of Section 267, a shareholder owns 10 percent of the stock owned by a corporation in which he or she is a shareholder. e.None of these choices are correct.
- One of the following statements is correct. Which is it? In the preparation of the donor’s tax return: Dowries are shown as deductions from the gross gifts. Dowries are not shown any more as gross gifts and as deductions. Spouses making donations of conjugal community property prepare one donor’s tax return. Donor’s tax on donations to strangers and to non-strangers are computed and shown in separate returns.Is this statement True or False? Pat and Shane are a married couple (filing jointly) and operate a small restaurant together as an unincorporated business. They have never filed any formal paperwork with the state as a business entity. Pat and Shane’s business is a partnership for Federal tax purposes.Taxpayer X and Taxpayer Y each agree to pay their tax preparer, Randy, from the refund they receive from the IRS. Upon presenting their refund checks to Randy, Randy pays them the difference in cash. Randy then endorses both checks and deposits them into his account. Randy has a Power of Attorney for Taxpayer X, but no Power of Attorney for Taxpayer Y. Randy can negotiate and endorse the refund check of Taxpayer X, but not that of Taxpayer YRandy can negotiate and endorse the refund check of Taxpayer Y, but not that of Taxpayer XRandy cannot negotiate or endorse either refundcheckRandy can negotiate and endorse both refund checksNEXT
