Principles Of Taxation For Business And Investment Planning 2020 Edition
23rd Edition
ISBN: 9781259969546
Author: Sally Jones, Shelley C. Rhoades-Catanach, Sandra R Callaghan
Publisher: McGraw-Hill Education
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Textbook Question
Chapter 5, Problem 15RP
In researching a tax issue, you locate the case Stern, Sidney B. & Vera L., 77 T.C. 614, which seems relevant to your issue. However, before completing your research, check the Citator for subsequent information about the case. What do you find in the Citator for this case that indicates you should not rely on it as judicial authority?
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Students have asked these similar questions
You are assisting a client with a transaction that produces a most favorable tax result. The client told
you the outcome is dependent on one court case. What should you do?
a. Nothing. Your due diligence obligations allow you to rely in good faith on information furnished to
you by the client; you are permitted to rely on the client's judgment.
6. Check with the client's auditor to ensure the numbers are valid; then you can recalculate intended
tax benefits.
c. Help the client by getting a head start on the tax return presentation of the transaction; the better the
presentation, the less likely it will be audited by the IRS.
d. Analyze the case to make sure the holding has not been reversed, the client's facts are similar to
those described in the case, and the law cited in the case is still valid.
Choose the response that accurately completes the following sentence. To meet one of the due diligence requirements of a paid tax preparer, it is not enough to ask more questions; tax preparers must also:
Individual tax filing requirements and circumstances can change, so it is important to be familiar with the research tools available to you as a tax practitioner. In this discussion, you will consider research resources available for tax preparers and how they can be used in the field.
What are the available commercial and noncommercial tax resources that you could utilize as a tax practitioner? Refer to Section 2-2A through 2-2C (specifically, exhibit 2-7) in your textbook for options.
Which commercial resource do you think is the most beneficial to a tax practitioner? (Note that you will not be able to access the commercial resources but can find their features on their website.)
Which noncommercial resource do you think is the most beneficial to a tax practitioner?
How might you use the tax research process (refer to Section 2-3 in your textbook) for utilizing tax resources in preparing individual tax returns. (Think about ways you could use this process to support you in…
Chapter 5 Solutions
Principles Of Taxation For Business And Investment Planning 2020 Edition
Ch. 5 - Why is tax research necessary? In other words, why...Ch. 5 - Prob. 2QPDCh. 5 - Explain the difference between a tax issue and a...Ch. 5 - Explain the difference between primary and...Ch. 5 - Discuss why and how a researcher might use...Ch. 5 - Prob. 6QPDCh. 5 - Prob. 7QPDCh. 5 - Prob. 8QPDCh. 5 - Explain why, in the course of tax research, it may...Ch. 5 - Prob. 10QPD
Ch. 5 - Prob. 1APCh. 5 - Prob. 2APCh. 5 - Prob. 3APCh. 5 - Prob. 4APCh. 5 - Indicate whether each of the following statements...Ch. 5 - Prob. 6APCh. 5 - Indicate whether each of the following items is...Ch. 5 - Prob. 8APCh. 5 - Prob. 9APCh. 5 - Prob. 10APCh. 5 - Which of the following statements regarding the...Ch. 5 - Which of the following statements regarding...Ch. 5 - Prob. 13APCh. 5 - In researching the taxability of noncash...Ch. 5 - Prob. 2IRPCh. 5 - Marvin is researching the tax rules related to...Ch. 5 - Prob. 4IRPCh. 5 - John is a dentist. His neighbor Wade is a...Ch. 5 - Prob. 6IRPCh. 5 - Prob. 7IRPCh. 5 - Natalie appeared on a game show last year and won...Ch. 5 - Prob. 1RPCh. 5 - Prob. 2RPCh. 5 - Prob. 3RPCh. 5 - Prob. 4RPCh. 5 - Find and provide a citation for the IRC section...Ch. 5 - Prob. 6RPCh. 5 - Find Rev. Rul. 72-542, 1972-2 C.B. 37, and answer...Ch. 5 - Find a 2006 10th Circuit Court of Appeals decision...Ch. 5 - Prob. 9RPCh. 5 - Prob. 10RPCh. 5 - Prob. 11RPCh. 5 - Prob. 12RPCh. 5 - Prob. 13RPCh. 5 - Prob. 14RPCh. 5 - In researching a tax issue, you locate the case...Ch. 5 - Prob. 16RPCh. 5 - Find Revenue Ruling 83-163, 1983-2 C.B. 26, and...Ch. 5 - Prob. 18RPCh. 5 - Prob. 19RPCh. 5 - Find the IRS website and locate the following...Ch. 5 - Prob. 1TPCCh. 5 - Prob. 2TPCCh. 5 - Lucille is an avid boater living near Gotham City....
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