Taxation Ch1
an avoidance transaction - ✔✔ correct answer A transaction (or series of transactions) that results in a
tax benefit and has no other bona fide purpose is ________.
Tax planning - ✔✔ correct answer involves structuring transactions to reduce the tax liability of the
taxpayer consistent with the intent of the income tax legislation.
Tax Evasion - ✔✔ correct answer Carl works for Sam. Sam pays Carl entirely in cash and does not issue
any tax reporting documents to Carl, although both know they are supposed to submit reporting
documentation. Carl does not file an income tax return. Carl and Sam are engaging in
Personal income tax - ✔✔ correct answer Carl works for Sam. Sam pays Carl entirely in cash and does
not issue any tax reporting documents to Carl, although both know they are supposed to submit
reporting documentation. Carl does not file an income tax return. Carl and Sam are engaging in
Harmonized Sales Tax (HST) - ✔✔ correct answer combines both federal and provincial sales taxes into a
tax levy
Which of the following elements, within the organization and structure of the Income Tax Act, refers to a
subparagraph of the Income Tax Act?
Choose the correct answer.
A.
Arabic numeral
B.
lowercase Roman numeral in parentheses
This is the correct answer.
C.
lowercase letter in parentheses
Your answer is not correct.
D.
uppercase Roman numeral - ✔✔ correct answer B lowercase Roman numeral in parentheses
,Taxation Ch1
Canadian individual income tax is an example of a(n) ________ tax system.
Choose the correct answer.
A.
aggressive
B.
flat
Your answer is not correct.
C.
regressive
D.
progressive - ✔✔ correct answer D progressive 递进所得税
The primary purpose for the federal government to collect tax revenues is to ________.
Choose the correct answer.
A.
redistribute wealth from the wealthy to the poor
B.
provide public goods and services
This is the correct answer.
C.
provide funding for provincial and territorial government units
Your answer is not correct.
D.
encourage economic expansion - ✔✔ correct answer B Provide public goods and service
Which of the following taxes is inherently a regressive tax system?
Choose the correct answer.
A.
, Taxation Ch1
property tax
B.
provincial individual income tax
C.
sales tax
D.
federal individual income tax - ✔✔ correct answer C sales tax
Income Tax Regulations ________.
Choose the correct answer.
A.
are established to adjust or change income tax rates on an annual basis
B.
are additions to the Income Tax Act that have not yet been passed into law
C.
are proposed changes to the Income Tax Act that are scheduled to be voted on
D.
are established to provide specific details and procedural requirements necessary to enforce the Income
Tax Act - ✔✔ correct answer D
Administrative or informative guides that can assist with filing an individual income tax return can be
found ________.
Choose the correct answer.
A.
within the Income Tax Regulations
B.
on Canada Revenue Agency's website
Your answer is correct.
C.
an avoidance transaction - ✔✔ correct answer A transaction (or series of transactions) that results in a
tax benefit and has no other bona fide purpose is ________.
Tax planning - ✔✔ correct answer involves structuring transactions to reduce the tax liability of the
taxpayer consistent with the intent of the income tax legislation.
Tax Evasion - ✔✔ correct answer Carl works for Sam. Sam pays Carl entirely in cash and does not issue
any tax reporting documents to Carl, although both know they are supposed to submit reporting
documentation. Carl does not file an income tax return. Carl and Sam are engaging in
Personal income tax - ✔✔ correct answer Carl works for Sam. Sam pays Carl entirely in cash and does
not issue any tax reporting documents to Carl, although both know they are supposed to submit
reporting documentation. Carl does not file an income tax return. Carl and Sam are engaging in
Harmonized Sales Tax (HST) - ✔✔ correct answer combines both federal and provincial sales taxes into a
tax levy
Which of the following elements, within the organization and structure of the Income Tax Act, refers to a
subparagraph of the Income Tax Act?
Choose the correct answer.
A.
Arabic numeral
B.
lowercase Roman numeral in parentheses
This is the correct answer.
C.
lowercase letter in parentheses
Your answer is not correct.
D.
uppercase Roman numeral - ✔✔ correct answer B lowercase Roman numeral in parentheses
,Taxation Ch1
Canadian individual income tax is an example of a(n) ________ tax system.
Choose the correct answer.
A.
aggressive
B.
flat
Your answer is not correct.
C.
regressive
D.
progressive - ✔✔ correct answer D progressive 递进所得税
The primary purpose for the federal government to collect tax revenues is to ________.
Choose the correct answer.
A.
redistribute wealth from the wealthy to the poor
B.
provide public goods and services
This is the correct answer.
C.
provide funding for provincial and territorial government units
Your answer is not correct.
D.
encourage economic expansion - ✔✔ correct answer B Provide public goods and service
Which of the following taxes is inherently a regressive tax system?
Choose the correct answer.
A.
, Taxation Ch1
property tax
B.
provincial individual income tax
C.
sales tax
D.
federal individual income tax - ✔✔ correct answer C sales tax
Income Tax Regulations ________.
Choose the correct answer.
A.
are established to adjust or change income tax rates on an annual basis
B.
are additions to the Income Tax Act that have not yet been passed into law
C.
are proposed changes to the Income Tax Act that are scheduled to be voted on
D.
are established to provide specific details and procedural requirements necessary to enforce the Income
Tax Act - ✔✔ correct answer D
Administrative or informative guides that can assist with filing an individual income tax return can be
found ________.
Choose the correct answer.
A.
within the Income Tax Regulations
B.
on Canada Revenue Agency's website
Your answer is correct.
C.
