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Solutions for McGraw-Hill's Taxation of Individuals 2024 Edition, 15th Edition Spilker (All Chapters included) $14.99   Add to cart

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Solutions for McGraw-Hill's Taxation of Individuals 2024 Edition, 15th Edition Spilker (All Chapters included)

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Complete Solutions Manual for McGraw-Hill's Taxation of Individuals 2024 Edition, 15th Edition by Brian Spilker, Benjamin Ayers, John Barrick, John Robinson, Troy Lewis, Connie Weaver, Ronald Worsham and Edmund Outslay ; ISBN13: 9781265364816. (Full Chapters included Chapter 1 to 14). Tax Return Pr...

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  • October 23, 2024
  • 558
  • 2024/2025
  • Exam (elaborations)
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  • Taxation
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Solution Manual
McGraw-Hill's Taxation of Individuals 2024 Edition,
15th Edition by Spilker, Ayers, All Chapters 1 - 14

,TABLE OF CONTENTS
b b b



PartbI:bIntroductionbtobTaxation

Chapterb1:bAnbIntroductionbtobTax

Chapterb2:bTaxbCompliance,bthebIRS,bandbTaxbAuthorities

Chapterb3:bTaxbPlanningbStrategiesbandbRelatedbLimitations



PartbII:bBasicbIndividualbTaxation

Chapterb4:bIndividualbIncomebTaxbOverview,bDependents,bandbFilingbStatus

Chapterb5:bGrossbIncomebandbExclusions

Chapterb6:bIndividualbDeductions

Chapterb7:bInvestments

Chapterb8:bIndividualbIncomebTaxbComputationbandbTaxbCredits



PartbIII:bBusiness-RelatedbTransactions

Chapterb9:bBusinessbIncome,bDeductions,bandbAccountingbMethods

Chapterb10:bPropertybAcquisitionbandbCostbRecovery

Chapterb11:bPropertybDispositions



PartbIV:bSpecializedbTopics

Chapterb12:bCompensation

Chapterb13:bRetirementbSavingsbandbDeferredbCompensation

Chapterb14:bTaxbConsequencesbofbHomebOwnership

,Chapterb1
AnbIntroductionbtobTax


DiscussionbQuestions

(1) [LOb1]bJessica’sbfriendbZacharyboncebstatedbthatbhebcouldn’tbunderstandbwhy
someonebwouldbtakebabtaxbcourse.bWhybisbthisbabratherbnaïvebview?

Taxesbarebabpartbofbeverydayblifebandbhavebabfinancialbeffectbonbmanybofbthebmajorb pe
rsonalbdecisionsbthatbindividualsbfaceb(e.g.,binvestmentbdecisions,bevaluatingb alternativ
ebjobboffers,bsavingbforbeducationbexpenses,bgiftborbestatebplanning,betc.).

(2) [LOb1]bWhatbarebsomebaspectsbofbbusinessbthatbrequirebknowledgebofbtaxation?b W
hatbarebsomebaspectsbofbpersonalbfinancebthatbrequirebknowledgebofbtaxation?

Taxesbplaybanbimportantbrolebinbfundamentalbbusinessbdecisionsbsuchbasbtheb followin
g:
• Whatborganizationalbformbshouldbabbusinessbuse?
• Wherebshouldbthebbusinessblocate?
• Howbshouldbbusinessbacquisitionsbbebstructured?
• Howbshouldbthebbusinessbcompensatebemployees?
• Whatbisbthebappropriatebmixbofbdebtbandbequitybforbthebbusiness?
• Shouldbthebbusinessbrentborbownbitsbequipmentbandbproperty?
• Howbshouldbthebbusinessbdistributebprofitsbtobitsbowners?
Onebmustbconsiderballbtransactionbcostsb(includingbtaxes)btobevaluatebthebmeritsbofb abt
ransaction.

Commonbpersonalbfinancialbdecisionsbthatbtaxesbinfluencebinclude:bchoosingb investm
ents,bretirementbplanning,bchoosingbtobrentborbbuybabhome,bevaluatingb alternativebjobb
offers,bsavingbforbeducationbexpenses,bandbdoingbgiftborbestateb planning.


(3) [LOb1]bDescribebsomebwaysbinbwhichbtaxesbaffectbthebpoliticalbprocessbinbtheb U
nitedbStates.

U.S.bpresidentialbcandidatesboftenbdistinguishbthemselvesbfrombtheirbopponents

, basedbuponbtheirbtaxbrhetoric.bLikewise,bthebmajorbpoliticalbpartiesbgenerallybhaveb ver
ybdiversebviewsbofbthebappropriatebwaybtobtaxbthebpublic.bDeterminingbwhobisb taxed,b
whatbisbtaxed,bandbhowbmuchbisbtaxedbarebdifficultbquestions.bVotersbmustb havebabbas
icbunderstandingbofbtaxesbtobevaluatebthebmeritsbofbalternativebtaxb proposalsbofferedb
bybopposingbpoliticalbcandidatesbandbtheirbpoliticalbparties.

(4) [LOb2]bCourtneybrecentlybreceivedbabspeedingbticketbonbherbwaybtobthebuniversity.b H
erbfinebwasb$200.bIsbthisbconsideredbabtax?bWhyborbwhybnot?

Theb$200bspeedingbticketbisbnotbconsideredbabtax.bInstead,bitbisbconsideredbabfineb or
bpenalty.bTaxesbdifferbfrombfinesbandbpenaltiesbbecausebtaxesbarebnotbintendedb tobp

unishborbpreventbillegalbbehavior.

(5) [LOb2]bMarlonbandbLatoyabrecentlybstartedbbuildingbabhouse.bTheybhadbtobpay
$300btobthebcountybgovernmentbforbabbuildingbpermit.bIsbtheb$300bpaymentbabtax?b W
hyborbwhybnot?

Thebbuildingbpermitbisbnotbconsideredbabtaxbbecauseb$300bpaymentbisbdirectlyb linkedbt
obabbenefitbthatbtheybreceivedb(i.e.,bthebabilitybtobbuildbabhouse).

(6) [LOb2]bTobhelpbpaybforbthebcity’sbnewbstadium,bthebcitybofbBirminghambrecentlyb en
actedbab1bpercentbsurchargebonbhotelbrooms.bIsbthisbabtax?bWhyborbwhybnot?

Theb1bpercentbsurchargebisbabtax.bTheb1bpercentbsurchargebisbanbearmarkedbtaxb–
b i.e.,bcollectedbforbabspecificbpurpose.bThebsurchargebisbconsideredbabtaxbbecauseb thebt

axbpaymentsbmadebbybtaxpayersbdobnotbdirectlybrelatebtobthebspecificbbenefitb received
bbybthebtaxpayers.



(7) [LOb2]bAsbnotedbinbExampleb1-
2,btolls,bparkingbmeterbfees,bandbannualblicensingb feesbarebnotbconsideredbtaxes.bCa
nbyoubidentifybotherbfeesbthatbarebsimilar?

Therebarebseveralbpossiblebanswersbtobthisbquestion.bSomebcommonbexamplesb inclu
debentrancebfeesbtobnationalbparks,btagbfeesbpaidbtoblocal/statebgovernmentb forbauto
mobiles,bboats,betc.

(8) [LOb2]bIfbthebgeneralbobjectivebofbourbtaxbsystembisbtobraisebrevenue,bwhybdoesbtheb in
comebtaxballowbdeductionsbforbcharitablebcontributionsbandbretirementbplanb contribu
tions?

Inbadditionbtobthebgeneralbobjectivebofbraisingbrevenue,bCongressbusesbthebfederalb taxb
systembtobencouragebcertainbbehaviorbandbdiscouragebotherbbehavior.bTheb charitableb
contributionbdeductionbisbintendedbtobencouragebtaxpayersbtobsupportb thebinitiativesb
ofbcharitableborganizations,bwhereasbdeductionsbforbretirementb contributionsbarebinte
ndedbtobencouragebretirementbsavings.bAnotherbobjectivebofb thebtaxbsystembisbtobredi
stributebwealth.

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