Mr. and Mrs. Schrute filed a joint tax return last year. The couple divorced this year. The IRS audited their last year’s return and determined that the Schrute’s had underpaid their tax by $38,200. Which of the following statements is true? a. The IRS can assess either Mr. Schrute or Mrs. Schrute for the entire deficiency b. The IRS must assess whichever spouse actually prepared the return for the entire deficiency c. Because the couple is divorced, the IRS must assess Mr. Schrute with a $19,100 deficiency and Mrs. Schrute with a $19,100 deficiency d. Because the couple is divorced, the IRS must apportion the deficiency between Mr. and Mrs. Schrute based on their relative contribution to taxable income
Mr. and Mrs. Schrute filed a joint tax return last year. The couple divorced this year. The IRS audited their last year’s return and determined that the Schrute’s had underpaid their tax by $38,200. Which of the following statements is true? a. The IRS can assess either Mr. Schrute or Mrs. Schrute for the entire deficiency b. The IRS must assess whichever spouse actually prepared the return for the entire deficiency c. Because the couple is divorced, the IRS must assess Mr. Schrute with a $19,100 deficiency and Mrs. Schrute with a $19,100 deficiency d. Because the couple is divorced, the IRS must apportion the deficiency between Mr. and Mrs. Schrute based on their relative contribution to taxable income
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
Mr. and Mrs. Schrute filed a joint tax return last year. The couple divorced this year. The IRS audited their last year’s return and determined that the Schrute’s had underpaid their tax by $38,200. Which of the following statements is true?
a.
The IRS can assess either Mr. Schrute or Mrs. Schrute for the entire deficiency
b.
The IRS must assess whichever spouse actually prepared the return for the entire deficiency
c.
Because the couple is divorced, the IRS must assess Mr. Schrute with a $19,100 deficiency and Mrs. Schrute with a $19,100 deficiency
d.
Because the couple is divorced, the IRS must apportion the deficiency between Mr. and Mrs. Schrute based on their relative contribution to taxable income
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