Which of the following statements is true regarding minimum corporate income tax? Minimum corporate income tax may be imposed on a proprietary educational institution but not on non-stock non-profit educational institution. The excess of minimum corporate income tax over the regular corporate income tax may be carried over for a period of three years. O Upon determination of force majeure or prolonged labor dispute, the Commissioner of Internal Revenue may suspend the imposition of the minimum corporate income tax. One person corporations are exempt from the imposition of the minimum corporate income tax.

Q: What are the special tax features of (a) Treasury securities, (b) agency issues, and (c) municipal…

A: (a): Treasury securities - Interest paid on all types of treasury securities will be fully taxable…

Q: Various Income Taxes: Should all types of income be taxed at the same rate? First, relate the…

A: Taxable Income: It is a part of a person's gross income that should be taxed. It is also referred to…

Q: what are the advantages and disadvantages of the payroll tax deferral?

A: Highlights of the payroll tax deferral scheme:- It applies to all those employees whose before tax…

Q: Are there differences between financial reporting standards and income tax rules thatwill not cause…

A: Normally, business follow GAAP in preparing their financial statements in order to arrive at their…

Q: What are interest received and dividends received in accounting (tax)? Also, please describe…

A: Interest received and dividends received in accounting and taxation refer to two different types of…

Q: Define the term Corporate taxable income?

A: Definition: A corporate tax is a type of direct tax that is levied by the state on the income of a…

Q: corporations

A: An alternative minimum tax (AMT) is a type of tax that a taxpayer pays .The taxpayer has to pay…

Q: What is the main principle of tax-effect accounting as outlined in AASB 112/IAS

A: Answer: According to data - This report discusses the main principle of tax effect accounting and…

Q: For federal income tax purposes, the difference between the total income and total expenses reported…

A: The term income is often used as a synonym for revenues, as both indicate a positive cash flow.…

Q: How do the tax laws and financial accounting standards differ?

A: Financial Reporting:   Financial reporting is the process of disclosing the financial results of the…

Q: Which of the following is an example of a regressive tax? a) Income tax b) Sales tax c) Property tax…

A: Regressive tax is tax system in which low-income earners have to pay a significantly higher portion…

Q: Discuss the major features of the federal income tax system

A: In USA federal income tax is collected by the federal government.

Q: Which of the following types of income is typically subject to capital gains tax instead of ordinary…

A: Capital gains tax is applied to the difference between the purchase price and the sale price of an…

Q: What is an unrecognized tax benefit and how does it affect a company's current income tax expense?

A: The Meaning of Income Tax: FASB defines income tax as a tax on earnings. It is measured in terms of…

Q: analyze disclosures relating to deferred tax items and the eff ective tax rate reconciliation,and…

A: Disclosures relating to deferred tax items can provide valuable information to the analysts. But the…

Q: What’s the difference? Explain to Laura how differences between financial reportingstandards and…

A: Accounting income reported in accordance with financial reporting standards and taxable income under…

Q: What problems might create from payroll tax deferral?

A: Highlights of the payroll tax deferral scheme:- It applies to all those employees whose before tax…

Q: What is the tax base for each of the following taxes? Income Tax GST FBT

A: Taxes are the amount of dues that is being payable to the government on account of income earned,…

Q: What types of organizations qualify for section 199a of the 2018 tax law

A: QBI stands for Qualified business income which is defined as the net amount of the qualified items…

Q: Which of the following is NOT a reason why timing is significant in tax? Group of answer choices…

A: Tax: When any assesse is earned the income from any sources of income which are mentioned in the tax…

Q: What are the benefits or advantages of filing a consolidated income tax return?

A: The consolidated tax return represents the single tax return of the affiliated group of companies.…

Capital Gain

Any capital asset when sold can give the seller a higher or lower price from its purchase price leading to a capital gain or capital loss. The time period of holding an asset is decided based on if it is a long term or short-term capital gain. On that basis, the rate of taxation is decided if it is 20%, 15% or according to the tax brackets. The rate of taxation differs in the case of equity or debt, whether long or short term. The capital gain can be adjusted from capital loss to arrive at a net capital gain. The amount of gains and the exemption has to be reported in the tax return filed in the financial year in which the asset was transferred. The tax return can be filed quarterly, monthly, semi-annually or annually.