[jeff]

NINJA Study Notes, Flashcards, and Audio: https://www.another71.com/products-page/

Wiley Software: https://www.another71.com/wiley-cpa-software/

Jeff Elliott, CPA (KS) | Another71 | NINJA CPA | NINJA CMA | NINJA CPE

[jeff]

Know the basics…NINJA notes cover it in a whopping 2 pages.

Jeff Elliott, CPA (KS) | Another71 | NINJA CPA | NINJA CMA | NINJA CPE

[Anonymous]

I didn't end up studying “property” section in Wiley and had no idea what it was all about since I had been using Becker. However, that didn't seem to hurt me during the exam. However, I did do all the tax portion of MCQs/SIMs in Wiley along with doing all the MCQs/SIMs in Becker passmaster 2-3 times.

Legal responsibility/Ethics was a huge part, so be sure you master that!

[Shay]

@CPA628.. thanks.

[Anonymous]

Does anyone have a summary of all the amounts we need to know? Ex. $3000 for child care

[Path To CPA]

Hi everyone,

I just wanted to drop few encouraging words to inspire perseverance:

– Always keep your eyes on the final prize – CPA

– Transform your failures into success by learning from them and improving continuously.

– Remember that CPA exam is like a race and some of us will reach the finish line faster and some slower but at the end of the day it's reaching that line that matters the most.

– Do not be too envious and compare yourself to the people passing the exam with flying colors otherwise you'll lose your self-esteem and confidence. Keep in mind that each person has his/her own day and time to shine and be patient.

– Avoid finding excuse and blaming lack of time for your failures. Just stand up, scream very loud and say that you'll create or even invent time if you must.

Always remember that with CPA it's : “Fool me once, shame on CPA – fool me twice, shame on CPA – fool me for the third, fourth, fifth to the twentieth time, shame on CPA – I give up or I quit, shame on me”

Guys do never give up.

REG: 68, 75
AUD: 80
BEC: 77
FAR: 24, 67, 69, 72, 80 Thank you Lord!!!!

Finally Done! Perseverance is the key to success

NYS Licensed CPA - 2013

[Anonymous]

Can anyone suggest the answer! I am ba little confused .:-)

If partner contributed fair market value service in exchange of 20% interest in the company.

For eg , fair market value of the service is = $100,000

Partnership interest = 20%

The person who contributed service has partnership basis of = $20,000 .

What’s the corporation basis ? is it $20,000?

[forever4]

@Nam: I would believe that both partnership basis and partner basis who contributed the service = fmv of the service because that partner will be taxed on that fmv.

FAR 5/14 88 PASSED!
REG 7/13 74 :((((((((....! I cant believe it!!!! I studied so hard...
REG retake 11/29 -> 89!!!!!!!!!!!!!!!!!!!
BEC 10/11/12 -> 84!!!!!!!!!!!!!
AUD 10/25/12 -> 95!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

I'm DONE! OMG 8 months of hard work.

I SHALL PASS. BECAUSE IT'S ME, SO EVERYTHING WILL BE OK!

[Sequin45]

I have my REG exam on 7/18. Getting a little nervous, but looking forward to get this one done and over with. I am using Becker and I am feeling pretty good about the exam. I work at a tax accounting firm so that section I am definitely good on. I struggle a little bit in the contracts, sales, and commercial paper sections. Hopefully I can polish those up because Wednesday.

AUD – 69, 78

BEC – 80

REG – 7/18

FAR – 8/27

AUD - 69, 78
BEC - 80
REG - 89
FAR - 80

[ty58527]

@Nam: My initial thought on your question would be that the partnership would expense the services and therefore would not have a basis. I looked it up in my tax textbook and found this:

“The service partner's tax basis in the capital interest he receives will equal the amount of ordinary income he recognizes, and his holding period will begin on the date he receives the capital interest. The partnership either deducts or capitalizes the value of the capital interest, depending on the nature of the services the partner provides….When the partnership deducts the value of capital interests used to compensate partners for services provided, it allocates the deduction only to the partners not providing services, or non-service partners, because they have effectively transferred a portion of their partnership capital to the service partner.”

So, if I am interpreting the information right, the overall basis in the partnership stays the same and is just redistributed between partners because the company expenses or capitalizes the services. Now, I could be wrong so others feel free to chime in on this as well because this is not my strongest area of tax law.

AUD - 93
BEC - 85
REG - 89
FAR - 86

I am DONE!!!!!!

[moniquiux80]

Hi,

I am studying for Reg and I am thinking about buying the CRAM course from Roger CPA. Do you guys know of any discount code so it's not so expensive? Or of any offer going on right now? Any information would be appreciated! Thanks!

[Anonymous]

Thanks ty58527 and forever4. Partnership basis = corp basis = fair market value service in exchange of 20% interest in the company.

I have another question and again I am confused LOL . I thought losses between related parties are disallowed. urgghh

HELP PLEASE..:-(

Conner purchased 300 shares of Zinco stock for $30,000, 20 years ago. On May 23of the current year, Conner sold all the stock to his daughter Alice for $20,000. It’s then fair market value. Conner realized no gain or loss during the year. On July 26 of the current year, Alice sold 300 shares of Zinco for $25,000.

What was Alice’s Recognized gain or loss for her Sale?

A. 0

B. $5,000 Long-term gain.

C. $5,000 Short-term loss.

D. $5,000 Long term Gain.

[Shay]

@Nam….#1 question: is that ur own question or u got it from study material?…I believe a partner must contribute money or property for interest in partnership. Services will not count.

#2 I think answer is A.

It is related party tran. Alice has $5000 gain, but she can reduce the gain, but not below 0. So her father (Conner) has disallowed loss of (10,000).

If her father had ($1000) loss, Alice would rec. $4000 gain

[Anonymous]

@ Shay : lol no its Becker material. umm My point was that if losses between related parties are disallowed then answer should be = ($25,000-$20,000) —>$5,000 short term gain regardless of related party loss $ ($10,000).

So I read becker material again and found this “The purchasing relatives's basis rules are same as the gift tax rule.

* Seller higher

* Seller between

* Seller lower

You are right the answer is A

[Shay]

@Nam. I am studying for REG right now too, I didnt recall seeing these questions. anyways I guessed the whole solution, so happy I got it right.

Losses are DISALLOWED between related parties. If Alice also had a loss of $1000. Alice will not be allowed to deduct that.

BUT since, Alice has a GAIN, which mean she will have to pay tax on it. So to reduce Alice tax liability, we can reduce her

taxable gain as minimum as possible (0), but not below zero, because you can't have negative.

I dont know how Becker solution looks, but I hope my helps.

Concepts of Tax: The whole purpose of tax course or tax accountant is reduce tax liability.

Gift rules you mentioned dont apply to this questions. This problems test knowledge of Disallowed loss between related party transaction.

[LetsGoCPAs]

Hi

Can anyone give me advice on how they remember what is itemized and what is an adjustment? Also, what is subject to the 2% floor and what isn't? I am having a lot of trouble remembering those rules. I have my exam tomorrow (Monday 7/16 ) 🙁

AUD - 79
FAR - 83
BEC - 77 (borderline baby...its true!!)
REG - 74 🙁 I know...sucks... retook it on Oct. 30th

[Author]

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