Income Tax Fundamentals 2020
38th Edition
ISBN: 9780357391129
Author: WHITTENBURG
Publisher: Cengage
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Question
Chapter 3, Problem 17P
To determine
Introduction: Taxpayers are allowed to deduct business gifts to the extent of $25 per done per year. Small gifts costing up to $4 has no limitation, and also gifts to the employees for length of service is deducted up to a limit of $400.
The amount of deduction for business gifts allowed to S for 2019.
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Students have asked these similar questions
Sam owns an insurance agency and makes the following business gifts during the year. Calculate Sam's deduction for business gifts. If an amount is zero, enter "0". Donee Amount Amount Allowed 1. Ms. Sears (a client) $35, plus $4 shipping $ 2. Mr. Williams (a tennis partner, not a business prospect or client) 55 3. Mr. Sample (a client) and Mrs. Sample (nonclient wife of Mr. Sample) 22 20 4. Various customers (calendars costing $3 each with the company name on them) 300 5. Mr. Shiver (an employee gift, a watch, for 25 years of continuous service) 175 Total business gift deduction
Marco makes the following business gifts during the year:
Miss Scarlett (a potential client)
$30
Mr. and Mrs. White (both are clients)
$40
Professor Plum (a client)
$18
Mrs. Plum (the nonclient wife of Professor Plum)
$12
Charles Mustard (Marco’s boss)
$27
Marco also spent $15 on wrapping paper and a card for the above gift to the Whites.Calculate Marco’s total allowed deduction for gifts
Sam owns an insurance agency and makes the following business gifts during the year.
Calculate Sam's deduction for business gifts.
If an amount is zero, enter "0".
Аmount
Donee
Amount
Allowed
1. Ms. Sears (a client)
$35, plus $4 shipping
2. Mr. Williams (a tennis partner,
55
not a business prospect or client)
3. Mr. Sample (a client) received $22 and
Mrs. Sample (nonclient spouse of Mr. Sample)
42
received a gift valued at $20
4. Various customers (calendars
300
costing $3 each with the company name on them)
5. Mr. Shiver (an employee gift,
175
a watch, for 25 years of continuous service)
Total business gift deduction
Chapter 3 Solutions
Income Tax Fundamentals 2020
Ch. 3 - Prob. 1MCQCh. 3 - Prob. 2MCQCh. 3 - Prob. 3MCQCh. 3 - Which of the following formulas represents the...Ch. 3 - Prob. 5MCQCh. 3 - Prob. 6MCQCh. 3 - Heather drives her minivan 953 miles for business...Ch. 3 - Prob. 8MCQCh. 3 - Prob. 9MCQCh. 3 - Under the high-low method, the federal per diem...
Ch. 3 - Prob. 11MCQCh. 3 - Prob. 12MCQCh. 3 - Prob. 13MCQCh. 3 - Prob. 14MCQCh. 3 - Prob. 15MCQCh. 3 - Prob. 16MCQCh. 3 - Prob. 17MCQCh. 3 - Prob. 18MCQCh. 3 - Prob. 19MCQCh. 3 - Prob. 20MCQCh. 3 - Prob. 21MCQCh. 3 - Prob. 22MCQCh. 3 - Prob. 23MCQCh. 3 - Stewie, a single taxpayer, operates an activity as...Ch. 3 - Prob. 2PCh. 3 - Lawrence owns a small candy store that sells one...Ch. 3 - Business with gross receipts of $25 million or...Ch. 3 - Teresa is a civil engineer who uses her automobile...Ch. 3 - Prob. 7PCh. 3 - Martha is a self-employed tax accountant who...Ch. 3 - Prob. 9PCh. 3 - Go to the U.S. General Services Administration...Ch. 3 - Prob. 11PCh. 3 - Prob. 12PCh. 3 - Marty is a sales consultant. Marty incurs the...Ch. 3 - Prob. 14PCh. 3 - Prob. 15PCh. 3 - Cooper and Brandy are married and file a joint...Ch. 3 - Prob. 17PCh. 3 - Prob. 18PCh. 3 - Prob. 19PCh. 3 - Prob. 20PCh. 3 - Cindy operates a computerized engineering drawing...Ch. 3 - Prob. 22PCh. 3 - Prob. 23PCh. 3 - Prob. 24PCh. 3 - Lew is a practicing CPA who decides to raise...
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