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Interest income is taxed at a lower rate than dividends. True or false
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- When DTA reverses, income tax payable is reduced, while when DTL reverses, income tax payable is increased. TRUE OR FALSEProperty and income taxes are more popular than sales taxes and user charges? True or Falsethe process of reducing the allowable deduction of interest expense by a certain percentage is called? a) tax arbitrage b) tax minimization c) tax avoidance d) tax limitation
- why are the operating taxes in the FCF analysis calculating without taking into account the tax shield on interest?Tax deductions differ from tax credits because: A. deductions affect relative prices, credits do not B. credits cost more to the federal treasury than deductions. C. credits are designed to help the wealthiest tax payers. D. All of the aboveNet income after tax is: The difference of financial income and total deferred income tax expense. The difference of taxable income and current income tax expense. The financial income less any current income tax expense add any income tax benefit. Cannot be determined.
- Excise taxes are a form of sales tax. True FalseBecause income from fixed income assets is taxed at a higher income tax rate than capital gains and dividends from equities, there is no reason that one would have fixed income assets in a taxable account over a tax deferred account (True or false)EBITD is equivalent to profits after taxes. true or false?
- Who is responsible for collecting sales and excise taxes? Who actually pays the tax?What are FUTA and SUTA taxes? Is there any possible reduction in the FUTA tax rate? If so, what is the reduction, and how is this determined?Can any nonrefundable credits, other than the foreign tax credit, reduce the regular income tax liability below the amount of the TMT? Explain.