South-Western Federal Taxation 2019: Individual Income Taxes (Intuit ProConnect Tax Online 2017 & RIA Checkpoint 1 term (6 months) Printed Access Card)
42nd Edition
ISBN: 9781337702546
Author: James C. Young, William H. Hoffman, William A. Raabe, David M. Maloney, Annette Nellen
Publisher: Cengage Learning
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Question
Chapter 4, Problem 36P
To determine
Identify the effect of the given events on a cash basis taxpayer’s gross income for the year 2018 and 2019.
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Students have asked these similar questions
Determine the effects of the following on a cash basis taxpayer's gross income for 2022 and 2023. If an amount is zero, enter "0".
Gross Income
2022
Income
2023
a. On the morning of December 31, 2022, the taxpayer received a $1,500
check from a customer. The taxpayer did not cash the check until January
3, 2023.
b. On the morning of December 31, 2022, the taxpayer received a $1,500
check from a customer. The customer asked the taxpayer not to cash the
check until January 3, 2023, after the customer's salary check could be
deposited.
On December 31, 2022, the taxpayer received a $1,500 check from a
customer. The check was not received until after the bank had closed on
December 31, 2022. The taxpayer did not cash the check until January 3,
2023.
Gross
II
10
Determine the effects of the following on a cash basis taxpayer's gross income for 2023 and 2024. If an amount is zero, enter "0".
Gross Income2023
Gross Income2024
a.
On the morning of December 31, 2023, the taxpayer received a $1,500 check from a customer. The taxpayer did not cash the check until January 3, 2024.
$fill in the blank 1
$fill in the blank 2
b.
On the morning of December 31, 2023, the taxpayer received a $1,500 check from a customer. The customer asked the taxpayer not to cash the check until January 3, 2024, after the customer's salary check could be deposited.
$fill in the blank 3
$fill in the blank 4
c.
On December 31, 2023, the taxpayer received a $1,500 check from a customer. The check was not received until after the bank had closed on December 31, 2023. The taxpayer did not cash the check until January 3, 2024.
Determine the effects of the following on a cash basis taxpayer’s gross income for 2020 and 2021:
a) On the morning of December 31, 2020, the taxpayer received a $1,500 check from a customer. The taxpayer did not cash the check until January 3, 2021.
b)The same as part (a), except that the customer asked the taxpayer not to cash the check until January 3, 2021, after the customer’s salary check could be deposited.
c) The same as part (a), except that the check was not received until after the bank had closed on December 31, 2020.
Chapter 4 Solutions
South-Western Federal Taxation 2019: Individual Income Taxes (Intuit ProConnect Tax Online 2017 & RIA Checkpoint 1 term (6 months) Printed Access Card)
Ch. 4 - According to the Supreme Court, would it be good...Ch. 4 - Prob. 2DQCh. 4 - Prob. 3DQCh. 4 - Ben lost his job when his employer moved its...Ch. 4 - Prob. 5DQCh. 4 - Prob. 6DQCh. 4 - Prob. 7DQCh. 4 - A Series EE U.S. government savings bond accrues...Ch. 4 - The taxpayer performs services with payment due...Ch. 4 - Prob. 10DQ
Ch. 4 - Wade paid 7,000 for an automobile that needed...Ch. 4 - Prob. 12DQCh. 4 - Prob. 13DQCh. 4 - A divorce agreement entered into in 2017 requires...Ch. 4 - Prob. 15DQCh. 4 - Prob. 16DQCh. 4 - Prob. 17DQCh. 4 - Prob. 18DQCh. 4 - Prob. 19DQCh. 4 - Prob. 20DQCh. 4 - Prob. 21CECh. 4 - Bigham Corporation, an accrual basis calendar year...Ch. 4 - LO.3 Simba and Zola are married but file separate...Ch. 4 - Casper and Cecile divorced in 2018. As part of the...Ch. 4 - Prob. 25CECh. 4 - Prob. 26CECh. 4 - Prob. 27CECh. 4 - Prob. 28PCh. 4 - Prob. 29PCh. 4 - Determine the taxpayers gross income for tax...Ch. 4 - Prob. 31PCh. 4 - Determine the taxpayers gross income for tax...Ch. 4 - Prob. 33PCh. 4 - Your client is a partnership, ARP Associates,...Ch. 4 - Prob. 35PCh. 4 - Prob. 36PCh. 4 - Prob. 37PCh. 4 - Prob. 38PCh. 4 - Prob. 39PCh. 4 - Prob. 40PCh. 4 - Prob. 41PCh. 4 - Prob. 42PCh. 4 - Prob. 43PCh. 4 - Prob. 44PCh. 4 - Prob. 45PCh. 4 - Prob. 46PCh. 4 - Prob. 47PCh. 4 - Prob. 48PCh. 4 - Prob. 49PCh. 4 - Prob. 50PCh. 4 - Prob. 51PCh. 4 - Prob. 52PCh. 4 - For each of the following, determine the amount...Ch. 4 - Prob. 54PCh. 4 - Prob. 55PCh. 4 - Prob. 56PCh. 4 - Prob. 57PCh. 4 - Donna does not think she has an income tax problem...Ch. 4 - Prob. 1RPCh. 4 - Prob. 2RPCh. 4 - Prob. 3RPCh. 4 - Prob. 1CPACh. 4 - Fred and Wilma were divorced in year 1 (before...Ch. 4 - Bill and Jane Jones were divorced on January 1,...Ch. 4 - Jake pays the following amounts to his former...Ch. 4 - Mary purchased an annuity that pays her 500 per...
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Similar questions
- The taxpayer performs services with payment due from the customer within 30 days. All customers pay within the time limit. What would be the benefit to the taxpayer using the cash method of accounting rather than the accrual method?arrow_forwardOn December 29, 2019, an employee received a 5,000 check from her employers client. The check was payable to the employer. The employee did not remit the funds to the employer until December 30, 2019. The employer deposited the check on December 31, 2019, but the bank did not credit the employers bank account until January 2, 2020. When is the cash basis employer required to include the 5,000 in gross income?arrow_forwardWhen a credit is made to federal income taxes withholding payable account related to taxes withheld from an employee, the corresponding debit is made to a. Wages Expense b. Taxes Expense c. Taxes Payable d. Casharrow_forward
- Identify in which situation income was constructively received in 2022. Situation A taxpayer received a check on December 31, 2022. Deposited the check to their bank account on January 1, 2023. A taxpayer sold their home on December 20, 2022. Payment was received from the escrow company on January 5, 2023. A taxpayer's employer offers the taxpayer the option to receive their year-end bonus on either December 15, 2022 or January 15, 2023. The taxpayer chooses to defer it to January 15, 2023. A taxpayer who performs consulting services was informed by a client that a check for services they had performed was ready to be picked up on December 15, 2022. However, the taxpayer was on vacation and unable to pick it up until January 3, 2023. Was income constructively received? (Yes/No)arrow_forwardAn individual taxpayer uses the cash method. Which of the following transactions results in gross income in 2020? The taxpayer receives a dividend check on December 24, 2020 but does not cash the check until January 5, 2021. The company mails a dividend check on December 30, 2020 but the taxpayer does not receive the check until January 3, 2021. Wages earned in 2020 but not paid as of year-end Stock awarded for services rendered but not vested for 2 yearsarrow_forwardTaxpayer started a calendar-year business on 1 August 2020. On that date, Taxpayer paid $9,600 in rent for the period 1 August 2020 through 31 July 2021. Determine the maximum amount that Taxpayer may deduct in 2020 under both the cash and accrual methods of accounting.arrow_forward
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