McGraw-Hill's Taxation of Individuals and Business Entities
question with answers
Form 1040 - -U.S. Individual Income Tax Return
-Schedule 1 - -Additional Income and Adjustments to Income
-Schedule 2 - -Tax
-Schedule 3 - -Nonrefundable Credits
-Schedule 4 - -Other Taxes
-Schedule 5 - -Other Payments and Refundable Credits
-Schedule A - -Itemized Deductions
-Schedule B - -Interest and Ordinary Dividends
-Schedule C - -Profit or Loss From Business
-Schedule D - -Capital Gains and Losses
-Form 8949 - -Sales and Other Dispositions of Capital Assets
-Schedule E - -Supplemental Income and Loss
-Schedule SE - -Self-Employment Tax
-Form 1065 - -U.S. Return of Partnership Income
-Schedule K-1 - -Partner's Share of Income, Deductions, Credits, etc.
-Form 1120 - -U.S. Corporation Income Tax Return
-Form 1120S - -U.S. Income Tax Return for an S Corporation
-Schedule K-1 - -Shareholder's Share of Income, Deductions, Credits, etc.
-Schedule M-3 - -Net Income (Loss) Reconciliation for Corporations
-Form 706 - -United States Estate (and Generation-Skipping Transfer) Tax Return
-Form 709 - -United States Gift (and Generation-Skipping Transfer) Tax Return
-83(b) election - -a special tax election that employees who receive restricted stock
or other property with ownership restrictions can make to accelerate income
recognition from the normal date when restrictions lapse to the date when the
restricted stock or other property is granted. The election also accelerates the
, employer's compensation deduction related to the restricted stock or other
property.
-§162(m) limitation - -the $1 million deduction limit on nonperformance-based
salary paid to certain key executives.
-§179 expense - -an incentive for small businesses that allows them to immediately
expense a certain amount of tangible personal property placed in service during the
year.
-§197 intangibles - -intangible assets that are purchased that must be amortized
over 180 months regardless of their actual useful lives.
-§291 depreciation recapture - -the portion of a corporate taxpayer's gain on real
property that is converted from §1231 gain to ordinary income.
-§338 election - -an election by a corporate buyer of 80-percent-or-more of a
corporation's stock to treat the acquisition as an asset acquisition and not a stock
acquisition.
-§338(h)(10) election - -a joint election by the corporate buyer and corporate seller
of the stock of a subsidiary of the seller to treat the acquisition as a sale of the
subsidiary's assets by the seller to the buyer.
-§481 adjustment - -a change to taxable income associated with a change in
accounting methods.
-§1231 assets - -depreciable or real property used in a taxpayer's trade or business
owned for more than one year.
-§1231 look-back rule - -a tax rule requiring taxpayers to treat current year net
§1231 gains as ordinary income when the taxpayer has deducted a §1231 loss as an
ordinary loss in the five years preceding the current tax year.
-§1245 property - -tangible personal property and intangible property subject to
cost recovery deductions.
-§1250 property - -real property subject to cost recovery deductions.
-12-month rule - -regulation that allows prepaid business expenses to be currently
deducted when the contract does not extend beyond 12 months and the contract
period does not extend beyond the end of the tax year following the year of the
payment.
-30-day letter - -the IRS letter received after an audit that instructs the taxpayer
that he or she has 30 days to either (1) request a conference with an appeals officer
or (2) agree to the proposed adjustment.
-90-day letter - -the IRS letter received after an audit and receipt of the 30-day
letter that explains that the taxpayer has 90 days to either (1) pay the proposed
question with answers
Form 1040 - -U.S. Individual Income Tax Return
-Schedule 1 - -Additional Income and Adjustments to Income
-Schedule 2 - -Tax
-Schedule 3 - -Nonrefundable Credits
-Schedule 4 - -Other Taxes
-Schedule 5 - -Other Payments and Refundable Credits
-Schedule A - -Itemized Deductions
-Schedule B - -Interest and Ordinary Dividends
-Schedule C - -Profit or Loss From Business
-Schedule D - -Capital Gains and Losses
-Form 8949 - -Sales and Other Dispositions of Capital Assets
-Schedule E - -Supplemental Income and Loss
-Schedule SE - -Self-Employment Tax
-Form 1065 - -U.S. Return of Partnership Income
-Schedule K-1 - -Partner's Share of Income, Deductions, Credits, etc.
-Form 1120 - -U.S. Corporation Income Tax Return
-Form 1120S - -U.S. Income Tax Return for an S Corporation
-Schedule K-1 - -Shareholder's Share of Income, Deductions, Credits, etc.
-Schedule M-3 - -Net Income (Loss) Reconciliation for Corporations
-Form 706 - -United States Estate (and Generation-Skipping Transfer) Tax Return
-Form 709 - -United States Gift (and Generation-Skipping Transfer) Tax Return
-83(b) election - -a special tax election that employees who receive restricted stock
or other property with ownership restrictions can make to accelerate income
recognition from the normal date when restrictions lapse to the date when the
restricted stock or other property is granted. The election also accelerates the
, employer's compensation deduction related to the restricted stock or other
property.
-§162(m) limitation - -the $1 million deduction limit on nonperformance-based
salary paid to certain key executives.
-§179 expense - -an incentive for small businesses that allows them to immediately
expense a certain amount of tangible personal property placed in service during the
year.
-§197 intangibles - -intangible assets that are purchased that must be amortized
over 180 months regardless of their actual useful lives.
-§291 depreciation recapture - -the portion of a corporate taxpayer's gain on real
property that is converted from §1231 gain to ordinary income.
-§338 election - -an election by a corporate buyer of 80-percent-or-more of a
corporation's stock to treat the acquisition as an asset acquisition and not a stock
acquisition.
-§338(h)(10) election - -a joint election by the corporate buyer and corporate seller
of the stock of a subsidiary of the seller to treat the acquisition as a sale of the
subsidiary's assets by the seller to the buyer.
-§481 adjustment - -a change to taxable income associated with a change in
accounting methods.
-§1231 assets - -depreciable or real property used in a taxpayer's trade or business
owned for more than one year.
-§1231 look-back rule - -a tax rule requiring taxpayers to treat current year net
§1231 gains as ordinary income when the taxpayer has deducted a §1231 loss as an
ordinary loss in the five years preceding the current tax year.
-§1245 property - -tangible personal property and intangible property subject to
cost recovery deductions.
-§1250 property - -real property subject to cost recovery deductions.
-12-month rule - -regulation that allows prepaid business expenses to be currently
deducted when the contract does not extend beyond 12 months and the contract
period does not extend beyond the end of the tax year following the year of the
payment.
-30-day letter - -the IRS letter received after an audit that instructs the taxpayer
that he or she has 30 days to either (1) request a conference with an appeals officer
or (2) agree to the proposed adjustment.
-90-day letter - -the IRS letter received after an audit and receipt of the 30-day
letter that explains that the taxpayer has 90 days to either (1) pay the proposed
