ghter, operate a local restaurant as an LLC. The MD LLC earned a pro quired by gift from Mona. Assume that capital is a material income-p s of the restaurant without any help from Denise. Reasonable compe ona is s income that can be allocated to Denise is s s old, has no other income, and is claimed as a dependent by Mona. and the remaining income is taxed

Which of the following taxpayers would be most likely to benefit from an installment sale?  (a) Allan. He sold a business-use car at a net gain that was less than the amount of depreciation claimed.  (b) Kayla. She sold business-use land for a gain.  (c) Marie. She sold property she had held in inventory in her business at a net gain.  (d) Robert. He sold a fishing boat at a net loss.

b. If Connie receives a 5 percent profits interest only, how much income must she report, and what is her tax basis in the LLC interest? c. If Connie receives a 5 percent capital and profits interest, how much income must she report, and what is her tax basis in the LLC interest?

Please dont use any AI. It's strictly prohibited. Help me please asap.

Mary is the sole shareholder of corporation ABCD. She would like to use some of the profit of the business for personal use. Each of the following describes a legal way for Mary to withdraw funds from ABCD except: (a) Mary pays her personal use from the corporation's funds, (b) Mary receives taxable wages from ABCD, (c) ABCD lends fund to Mary with reasonable interest rate and repayment schedule, (d) ABCD pays Mary a taxable dividend.

Hw.60.

Aruna, a sole proprietor, wants to sell two assets that she no longer needs for her business. Both assets qualify as §1231 assets. The first is machinery and will generate a $23,500 §1231 loss on the sale. The second is land that will generate a $13,900 §1231 gain on the sale. Aruna's ordinary marginal tax rate is 32 percent. Note: Input all amounts as positive values.   a. Assuming she sells both assets in December of year 1 (the current year), what effect will the sales have on Aruna's tax liability?   Aruna's tax will be ____ (increase or decrease) by ____

Problem 2.  Scott Taxpayer is an Attorney who operates his own law firm. As a single-member LLC, Scott reports his firm operations as a sole proprietor. Scott has QBI from his law firm of $450,000, he reports paying W–2 wages of $140,000, and the unadjusted basis of property used in the LLC is $350,000. Scott is married and will file a joint tax return with his spouse.  Their taxable income before the QBI deduction is $425,000, including $20,000 of capital gains.  Determine the taxpayer’s QBI deduction for 2020

Which of the following is true with respect to the related party rules? a.A disallowed loss on a related party transaction can be used to offset any future gain when the property is sold to an unrelated party. b.Bill sells stock to his sister for a $3,000 loss. Bill can deduct the loss on his tax return. c.A taxpayer's uncle is a related party for purposes of Section 267. d.Under the constructive ownership rules of Section 267, a shareholder owns 10 percent of the stock owned by a corporation in which he or she is a shareholder. e.None of these choices are correct.

Which of the following statements is true? Oa. A one-time election is available to taxpayers 55 years of age or older which allows them to sell their personal residences and to exclude all of the realized gain. Ob. A taxpayer's personal residence qualifies for a like-kind exchange. Oc. A taxpayer who sells a personal residence may always exclude the realized gain from taxable income. Od. None of these choices are true. Oe. All of these choices are true.