Corporate Tax Case Study Essay

Words: 1182
Pages: 5
Open Document
SCENARIO: You are a CPA with an office in NearLakes City and clients consisting primarily of professionals, entrepreneurs, and small business owners. John Smith, Esq., a practicing attorney with offices near yours, walks in your office and wants advice from you relating to a recent influx of cash he received as a result of winning a large jury verdict on behalf of his client in a personal injury case. His wife Jane Smith accompanies him during your meeting because she has some additional tax planning advice to ask of you.
ROLE: After reviewing John and Jane Smith's points of view, it will be your turn as a tax professional to decide on the best course of action from a tax perspective on their issues. Prepare a three page memo (at least …show more content…
Why is this distinction important?
d. Would Jane (and John) realize better tax benefits if she had a separate business for her jewelry-making activities?
e. What tax benefits would John realize if he invested $15,000 in Jane's jewelry making?
f. Can Jane depreciate her vehicle or jewelry-making equipment? How?
3. John and Jane Smith tax issue:
a. Should John and Jane file separate or joint tax returns?
You Decide: It's your turn as a tax professional to decide on the best course of action from a tax perspective on their issues as presented above.
For each issue, begin by restating the issue and numbering as shown above [i.e., 1(a), 1(b), etc.]. Next, explain and discuss the tax rules that apply to the issue, which you gleaned from your tax research. Then, conclude with a definitive answer to the issue, supported by citations to the sources used. So for each issue, you should
1. state the issue;
2. explain and discuss the applicable law (IRC sections, regulations, court decision, and so forth); and
3. present your answer in the form of a concluding paragraph that refers to specific language from the IRC sections, regulations, court decisions, and other sources (if applicable) to support the conclusion.
*A template has been provided for your use in preparing this activity. Please use it!
Citations
Citations are required. You must provide citations whenever you refer to the sources of tax law used in this memorandum. You may cite your sources in numbered
Show More

Related Documents: Corporate Tax Case Study Essay

Balvir Dissertation Essay

Acknowledgements 3 Executive Summary 4 Chapter 1: Introduction 5 1.2 Aims and Objectives 6 1.3 Research Questions 6 1.4 Rationale for the research: 7 1.5 Scope of research 7 1.6 Structure of Dissertation: 8 Chapter 2: Literature Review 9 2.1 Definition of Tax Avoidance 9 Chapter 3: Analysis and Discussions 10 Chapter 4: Conclusions 10 Chapter 5: Recommendations 10 References 11 Acknowledgements I hereby take the opportunity to thank my friends who have provided me moral support in the completion…

Words 1856 - Pages 8

Essay about Australian tax

International Journal of Finance & Banking Studies IJFBS Vol.3 No.1, 2014 ISSN: 2147-4486 available online at www.ssbfnet.com Indonesian And Australian Tax Policy Implementation In Food And Agriculture Industry Hanggoro Pamungkas a, Maya Safira Dewi b, Yunita Anwar c, Martin Surya Mulyadi d a,b,c,d Bina Nusantara University, KH Syahdan 9, Jakarta 11480, Indonesia Abstract Tax policy is one of the most important policy in consideration of investment development in certain industry. Research by…

Words 4120 - Pages 17

Ocean Carriers Essay

Ocean Carrier Case Study INDEX Case Background··························3 Dilemma································3 Scenarios under different tax rates and years ····························3 Alternative································5 Decision summary··························5 Appendix Ocean Carrier Case Study * Case Background Mary Linn of Ocean Carriers is evaluating the purchase of a new capesize carrier for a 3-year lease proposed by a motivated customer…

Words 1213 - Pages 5

Effective ta rate Essay examples

EFFECTIVE TAX RATE I PORTUGAL: DETERMI A TS A D FI A CIAL REPORTI G IMPACT Ana Gabriela Costa, Faculty of Economics, University of Porto, anagabriela_mvc@hotmail.com Francisco Vitorino Martins, Faculty of Economics, University of Porto, vmartins@fep.up.pt Elísio Brandão, Faculty of Economics, University of Porto, ebrandao@fep.up.pt ovember, 2012 Abstract: In academic literature, it is usual to analyze the variability of effective tax rates, because some authors try to justify the reasons for…

Words 9073 - Pages 37

Essay about SSRN Id2180032

EFFECTIVE TAX RATE I PORTUGAL: DETERMI A TS A D FI A CIAL REPORTI G IMPACT Ana Gabriela Costa, Faculty of Economics, University of Porto, anagabriela_mvc@hotmail.com Francisco Vitorino Martins, Faculty of Economics, University of Porto, vmartins@fep.up.pt Elísio Brandão, Faculty of Economics, University of Porto, ebrandao@fep.up.pt ovember, 2012 Abstract: In academic literature, it is usual to analyze the variability of effective tax rates, because some authors try to justify the reasons for…

Words 9069 - Pages 37

Advanced Corporate Finance AFC3140 Essay

I'A ADVANCED CORPORATE FINANCE STUDY GUIDE Financial Management Association of Australia (FMAA) Monash Important Notice The following notes have been prepared and provided as a skeleton (sketch) of the course for this unit. It is the responsibility of the student to make note of any changes in course content. These notes may exclude some topics and therefore be inconsistent with current faculty teaching. These notes should not be relied upon solely. These notes should only be used to provide a…

Words 2032 - Pages 9

Kpmg Case Essay

Rigorous or Not?: A Case of Auditor Judgment for Deferred Tax Issues Case Study Rigorous or Not?: A Case of Auditor Judgment for Deferred Tax Issues Jan Taylor Morris, PhD, CPA Riggers Inc (“Riggers, “client, or “Company”) is audited by Stone LLC CPA firm (“Stone” or “auditor”). The Compa” ” ny builds and owns offshore drilling rigs. Riggers is a US-based corporation that recently expanded its operations into Brazil (the only foreign-based operations for Riggers). As a result of this expansion…

Words 1535 - Pages 7

Essay on global investor

Global Investors, Inc. Teaching Note Purpose of Case This case was written to illustrate a transfer pricing problem in a service setting, here an investment management company. The issues and solutions are not as obvious as in a manufacturing setting where one division produces parts that are transferred to another division for further processing. The case is a disguised version of a real conflict in which emotions were running high. The case exposes students to a broad range of issues that…

Words 2383 - Pages 10

Essay on Legalization of MJ

NACo Policy research paper SERIES • ISSUE 1 • 2013 Municipal Bonds Build America A County Perspective on Changing the Tax-Exempt Status of Municipal Bond Interest Emilia Istrate NACo Director of Research Acknowledgments The author wants to thank the 45 counties that provided data on their 2012 interest payments on tax-exempt municipal bonds. I am also indebted to Dustin McDonald and the Government Financial Officers Association for all the help provided in collecting county interest…

Words 9965 - Pages 40

Developing an Effective and Efficient Tax System in a Developing Economy - a Case Study of Ghana Essay

UNIVERSITY OF CAPE COAST SCHOOL OF BUSINESS DEVELOPING AN EFFECTIVE AND EFFICIENT TAX SYSTEM IN A DEVELOPING ECONOMY - A CASE STUDY OF GHANA A PROJECT WORK PRESENTED TO THE DEPARTMENT OF ACCOUNTING AND FINANCE, SCHOOL OF BUSINESS, UNIVERSITY OF CAPE COAST IN PARTIAL FULFILMENT OF THE REQUIREMENT FOR AWARD OF A BACHELOR OF COMMERCE DEGREE. JUNE 2005 MEMBERS OF THE PROJECT TEAM NAME SIGNATURE NUMBER…

Words 29838 - Pages 120