Why is the receipt of cash so rarely excluded from a taxpayer’s gross income? If an employer gave an employee a gift card to a particular store, should the employee be treated as having received cash for purposes of the income tax?

Q: f a business owner paid for the business expenses with their personal account, and those expenses…

A: Business expenses are the rightful expenses which can be deducted on tax return as these expenses…

Q: How does the cash basis method of accounting benefit small business owners, if at all?   Under…

A: "Since you have asked three independent questions, the first question was answered for you. If you…

Q: What are tax preparers asked to do to prevent filing returns with stolen identities?

A: Tax identity theft refers to the process of using someone's identity and personal information to…

Q: How is sales tax recorded? Is it considered an expense of a business? Why or why not?

A: Most states levy sales taxes on goods and services. Those states differ on what is taxed and for how…

Q: What is the goal of a tax audit? A. To make sure you paying your imposed fines  B. To make sure…

A: Tax audit means audit of the information provided in tax returns like income and expenditure are…

Q: can you help me how to Explain how an employer can receive a credit against the FUTA tax due.

A: FUTA stands for Federal Unemployment Tax Act under federal law of US. FUTA tax is paid by the…

Q: Which of the following is deductible from gross income? O Loss from a business receivable from a…

A: Gross income : It is the income which is taxable before allowing any deductions.   Deduction are…

Q: How would you go about detecting and preventing Payroll and Expense Reimbursement Schemes ?

A: Prevention of Payroll and Expenses Reimbursement Scheme There are many ways the frauds which are…

Q: at income be recognized when it is made available to the cash basis taxpayer even though there are…

A: The correct answer is  True    Explanation:  ruling is applicable only to the taxpayer who would…

Q: explain in detail regarding the following topics 1. Adoption Tax Credit   2. Non Business…

A: 1)  An adoption tax credit is a tax credit offered to adoptive parents to encourage adoption in the…

Q: deductions from gross income? *

A: Correct Answer :- C   discounts given to senior citizens on certain goods and services.

Q: Which of the following should not be claimed as deductions from gross income?   A. Interest payment…

A: “Since you have asked multiple question, we will solve the first question for you. If you want any…

Q: The maximum business expense deduction for gifts to customers and clients is?

A: The maximum business expense deduction allowed is $25 per person in case of gifts given to our…

Q: What is the purpose of the following control procedures (i.e., what threats is it designed to…

A: • The purpose of giving checks for the paychecks is used to detect the fraudulent employee in an…

Q: Which of the following is not deductible from gross income? Salaries and wages of employees…

A: There are expenses which are deductible from gross income to arrive at net income which is taxable.…

Q: As You Read QUESTION What could happen if your employer did not deduct federal income taxes from…

A: Introduction:- A paycheck, also known as a paycheck is a paper document issued by an employer as…

Q: Which of the following items of interest expense may be deducted from gross income? Interest…

A: Interest expense will be allowed as a deduction if such Expense is incurred in the ordinary course…

Q: Do income exclusions provide taxpayers “tangible” benefits Is the IRS appearing to be socially…

A: Net Income The net earnings a corporation receives from its business operations are known as net…

Q: Why is it critical for employers to properly arrange their employees' taxes

A: Introduction :  Withholding taxes are collected and sent to the Internal Revenue Service (IRS) by…

Q: A taxpayer’s tax-exempt status justifies the non-keeping of books of accounts and other accounting…

A: Exempted income means the income on which income tax is not levied or paid.

Q: What is a key requirement for filing individual income tax returns? a) Providing proof of employment…

A: The correct answer is:b) Reporting all sources of incomeExplanation:One key requirement for filing…

Q: Why is recordkeeping so important as a taxpayer and tax preparer?

A: Record keeping is the process of maintaining and keeping all the accounting records of the business…

Q: How are the electronic tax deposits transferred from the employer’s account to the IRS?

A: The employer is having two options for transferring the electronic tax deposit to the internal…

Q: What are the principal reasons for using a special payroll bank account?

A: Definition:

Q: Why should employee paychecks be drawn against a special checking account?

A:

Q: What are some of the issues the tax preparer should discuss with this client?

A:

Q: Income taxes are withheld from the​ employee's paycheck.   True   False

A: Income tax: Tax levied on income earned is called income tax.

Q: What happens to the money withheld from employees' paychecks by their employers?

A: The withheld money from the employees paycheck will be deposited as tax to the government officials…

Q: Tax preparers may be assessed a penalty for failing to give the taxpayer the preparer's workpapers.

A:

Filing Federal Income Tax Return

A tax is the amount of money paid to the government on the revenue earned by the individual or business organization. It acts as an income for the government and an expense for the individual or business organization. There are different regulations regarding filing an income tax return in other countries.