The tax authorities of Country A implemented several tax reforms with the main objective of achieving simplicity in the tax process. All of the following will help Country A in achieving their objective except: A.Reducing the number of lines on the tax form so that taxpayers don’t have to spend as much time filling out forms. B.Reducing the number of pages in the tax law so that it is easier to understand. C.Eliminating loopholes that some taxpayers use to avoid paying taxes. D.Using fewer forms and more user friendly instructions so that there is less hassle, less agony, and more free time.

The tax authorities of Country A implemented several tax reforms with the main objective of achieving simplicity in the tax process. All of the following will help Country A in achieving their objective except: A.Reducing the number of lines on the tax form so that taxpayers don’t have to spend as much time filling out forms. B.Reducing the number of pages in the tax law so that it is easier to understand. C.Eliminating loopholes that some taxpayers use to avoid paying taxes. D.Using fewer forms and more user friendly instructions so that there is less hassle, less agony, and more free time.

Individual Income Taxes

43rd Edition

ISBN:9780357109731

Author:Hoffman

Publisher:Hoffman

Chapter1: An Introduction To Taxation And Understanding The Federal Tax Law

Section: Chapter Questions

Problem 34DQ

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Similar questions

Which of the following is not a goal of the tax law? a.Economic goals such as reduction in unemployment. b.Raise adequate revenue to operate the government. c.Social goals such as lowering the cost of adoption. d.Ensuring that all persons pay the same amount of tax.
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Examine the income source rules discussed in the textbook and suggest at least two current tax rules that can prevent the manipulation of the source rules to eliminate taxes.
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Tax Planning (LO 12.7) Select either "True" or "False" for each of the following statements. Item Description Answer a. Decreasing one's tax liability through legal methods is called tax - planning, while illegally reducing taxes is called tax evasion. b. In a "closed" transaction, all tax - significant events have been completed. c. The marginal tax rate is computed as the total tax paid divided by the total income of the taxpayer. d. The marginal tax rate is the most important rate for decision making in tax - planning situations. e. A timing tax - planning technique usually has the objective of deferring the payment of tax until a later year.
When a government lowers taxes it is employing ________. A) fiscal policy B) monetary policy C) domestic policy D) the law of one price
Note:- Do not provide handwritten solution. Maintain accuracy and quality in your answer. Take care of plagiarism. Answer completely. You will get up vote for sure.
We know that there exists both provincial tax and surtax in Ontario. The provincial taxbrackets and the surtax rates are provided below:Part A: How much income results in paying $5,315 as provincial tax? How much incomeleads to a $6,802 provincial tax?Part B: Since the presence of surtax makes the tax system unnecessarily complicated,we decide to eliminate it. However, we don’t want to reduce the amount of tax that theprovincial government collects. Using the two thresholds in Part A, as a result ofeliminating surtax, how would you change the provincial tax table such that eachindividual pays the same amount of tax as before elimination of surtax? Note that numberof tax brackets and the tax rate in each bracket would be modified. Assume there is notax credit.
We know that there exists both provincial tax and surtax in Ontario. The provincial taxbrackets and the surtax rates are provided below:Part A: How much income results in paying $5,315 as provincial tax? How much incomeleads to a $6,802 provincial tax?Part B: Since the presence of surtax makes the tax system unnecessarily complicated,we decide to eliminate it. However, we don’t want to reduce the amount of tax that theprovincial government collects. Using the two thresholds in Part A, as a result ofeliminating surtax, how would you change the provincial tax table such that eachindividual pays the same amount of tax as before elimination of surtax? Note that numberof tax brackets and the tax rate in each bracket would be modified. Assume there is notax credit.
Which of the following is the best definition of tax planning? Oa. Planning taxpayers' financial affairs to find the best way to avoid tax by successfully bending tax law Ob. Planning taxpayers' financial affairs in an effort to minimize tax liability Oc. Researching complex tax issues Od. Preparing a client's tax return Oe. None of these choices are considered tax planning.