Tax4001 Study guides, Class notes & Summaries

Individual Income Tax Formula - Gross income (-) Deductions for AGI = AGI (-) 1) Deductions from AGI (greater of itemized or standard deduction) and 2) The deduction for QBI = Taxable Income x Tax rate = Gross tax liability (-) Tax credits and prepayments = Tax due or refund Gross Income (section 61) - all income from whatever source derived, whether money, property, or services Taxpayers recongize income when: - 1) receiving economic benefit 2) realizing income 3) there is n...

TAX4001 - Exam 3 (FINAL) Questions with Complete Solutions

TAX4001 - Exam 3 (FINAL) Questions with Complete Solutions

True or false? An individual who is married on December 31st can elect to file a joint return. - True. Two individuals got married on January 1st and divorced on December 30th. What is their filing status? - Single. A married couple has 1 dependent child. The husband passed away this year. What is the filing status for the wife for this year? What about the year afterwards? - Married filing jointly for this year and next year. =====Explanation======= Surviving spouse for the first two ...

A property tax is assessed based on the value of the property at a point in time. How does this compare to how income taxes are assessed? - Income taxes are assessed based on income *over a period of time* rather than at a point in time. Think income statement verses balance sheet. What period of time will we use when determining federal individual income tax in this class? - One calendar year What method of accounting is used for individual income taxes and why? - Individuals use cash bas...

TAX4001 Exam 1 With Complete Questions and Answers ...

Which of the following statements are NOT true about taxes? A. Taxes generate revenue for the federal government. B. Income taxes are due to the IRS on at least an annual basis. C. All people pay the same amount of tax on the same amount of gross income. D. You must comply with tax laws. - ANSWER C - All above are true, except C because marital status, dependents, deductions, credits, etc. all impact the amount of tax paid as you will learn about in this class.

TAX4001 - Exam 1 (CH 1 & 2) Quiz Questions with Complete Solutions Graded A+

TAX4001 Laursen Fall2021 Exam II (1)

TAX4001 Laursen Fall2021 Exam II