Wgu c237 taxation 1 - Study guides, Class notes & Summaries

Define each component of the individual income tax formula - -income from whatever source derived exclusions=any item of income that the tax laws says is not taxable gross income=all income received in cash, property, and services from whatever source derived and from which the taxpayer derives a direct economic benefit deductions for AGI=expense one would see on an income statement (wages, repairs, depreciation) and some nonbusiness deductions (alimony, moving expenses, IRA contributions)...

Taxation 1 C237 WGU, Exam Review Questions and answers, rated A+ 5 Characteristics of 'good' tax structure - -1. Convenience - Easily accessed 2. Certainty - Ensure government stable revenue, taxpayers have some degree of knowledge of their tax liability 3. Economy - Minimal compliance/admin costs 4. Equity - Fairness of tax to the taxpayers 5. Simplicity - Tax system easily understood/comply with 5 characteristics towards federal income tax - -Equity, Certainty, Convenience, Economy...

The largest source of revenues for the federal government comes from - -individual income taxes. Arthur pays tax of $5,000 on taxable income of $50,000 while taxpayer Barbara pays tax of $12,000 on $120,000. The tax is a - -proportional tax. Which of the following taxes is regressive? - -Federal Insurance Contributions Act (FICA) Sarah contributes $25,000 to a church. Sarah's marginal tax rate is 35% while her average tax rate is 25%. After considering her tax savings, Sarah's contributio...

Tax. (CHAPTER 1) a payment required by a government that is unrelated to any specific benefit or service received from the government 3 Criteria Payment must be *Required (not INVOLUNTARY) *Imposed by a government agency (federal, state, local) *Not tied directly to the benefit received by the taxpayer - Continuous debate whom to tax, what to tax, how much to tax Sin Tax taxes imposed on the purchase of goods -e.g., alcohol, tobacco products - that are considered socially less desirab...

(Summary) WGU - C237 - TAXATION 1, With Complete Verified Solution 2024, Updated. 30 Number of days that are initially given to an audited individual or business to either request a conference with an appeals officer or agree to the proposed adjustment. (Ch 2-6) 90 Number of days that are given to an audited individual or business after the appeals conference to either pay the proposed deficiency or file a petition in the US Tax Court to hear the case. (Ch 2-6) 12 Month Rule A regulation t...

- correct answer Second-highest level of legislative authority of tax? - correct answer Internal Revenue Code In which publication does the IRS provide info on tax consequences of specific transactions? - correct answer Revenue rulings - correct answer - correct answer ...

(Summary) WGU - C237 - TAXATION 1, With Complete Verified Solution 2024, Updated. 30 Number of days that are initially given to an audited individual or business to either request a conference with an appeals officer or agree to the proposed adjustment. (Ch 2-6) 90 Number of days that are given to an audited individual or business after the appeals conference to either pay the proposed deficiency or file a petition in the US Tax Court to hear the case. (Ch 2-6) 12 Month Rule A regulation t...

(Summary) WGU - C237 - TAXATION 1, With Complete Verified Solution 2024, Updated. 30 Number of days that are initially given to an audited individual or business to either request a conference with an appeals officer or agree to the proposed adjustment. (Ch 2-6) 90 Number of days that are given to an audited individual or business after the appeals conference to either pay the proposed deficiency or file a petition in the US Tax Court to hear the case. (Ch 2-6) 12 Month Rule A regulation t...

Describe the history of taxation in the US - -unconstitutional 1895 Sources of Tax Law-Legislative Branch - -- Internal Revenue Code (Top) - Congressional Committee Reports Describe the criteria of an equitable tax structure Equity - -Is it Fair Simplicity - -understandability Economy - -minimal compliance and administrative costs - Convenience - -no burden of records and compliance Certainty - -Stability and certainty of amount of taxes Regressive - -decreases as tax base increases Pr...