[jeff]

Welcome to the Q2 2015 CPA Exam Study Group for REG.

“Death and Taxes” – Individual Tax for the CPA Exam

Posted by Another71 on Monday, November 24, 2014

Free NINJA: https://www.another71.com/cpa-exam-study-plan/

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

[willpassby2014]

This is a good twist

Alex Burg, a cash-basis taxpayer, earned an annual salary of $80,000 at Ace Corp. in 2014, but elected to take only $50,000. Ace, which was financially able to pay Burg's full salary, credited the unpaid balance of $30,000 to Burg's account on the corporate books in 2014, and actually paid this $30,000 to Burg on January 30, 2015. How much of the salary is taxable to Burg in 2014?

A. $50,000

B. $60,000

C. $65,000

D. $80,000

BEC Passed
FAR Passed
AUD Passed
REG Passed

[Anonymous]

i'd say 80 since it's constructively received? Where do you get these questions? I've never seen it

[Anonymous]

@anjanja, right both of those things are deductions for regular tax purposes. But for AMT don't both of them get added back as adjustments?

[Anonymous]

ErikaG28, nope, primary residence interest stays, it's allowed

[willpassby2014]

Its 80. You got the right answer. Its constructively received. I am using the supplementary questions from my course

BEC Passed
FAR Passed
AUD Passed
REG Passed

[Anonymous]

@anjanja, ok going back over this section in Becker with a fine-tooth comb. It is times like this that I just want to throw the laptop across the room. 🙂

[Anonymous]

I have my old broken laptop for that!

For some reason individuals AMT is very clear to me, but not corporations one, weird, idk. The whole ACE thing

[willpassby2014]

i feel like i forgot lot of B.law when i am revising Tax 🙁

BEC Passed
FAR Passed
AUD Passed
REG Passed

[Anonymous]

I keep getting this goddamn question wrong for like 10th time. What's title holding corporation??

Which of the following organizations would generally qualify for exemption from federal income tax?

A.

Title holding organization organized as a corporation

Incorrect B.

Civic organization benefiting its members

C.

Labor organization consisting of entrepreneurs and self-employed individuals

D.

Business association for a particular brand or franchise

[MaLoTu]

anjanja- is it C … Labor Unions are NonProfits

[willpassby2014]

They hold title of property , they act as a intermediate and collect income and give it to other tax exempt organization. They just incur expenses. I read it somewhere …very vague so i memorized the answer

BEC Passed
FAR Passed
AUD Passed
REG Passed

[MaLoTu]

I interpreted Title Holding Company as A Personal Holding Company (PHC).

[Anonymous]

willpassby2014,

at least you knew some of blaw on the 1st place so that's not bad. I am still not done reading the book, maybe will go straight to mcq's

[RTCPA]

hi

can any one advise for an average person who has no idea about any taxation topic, how many studying hours needs to pass,

im trying to go through the material too much information , and so confusing, what is the best strategy, my exam on 31st but now iam thinking to postpone till Aug

plz advise

thnx

[No_one]

@RTCPA I am in same boat like you. No tax exposure..so far in my life..and when I am studying my mind is tumbling, rumbling..God know what to do my test is on 29th..Super worried for this beast..

CA Candidate
FAR: You are down...
Aud: Surprised me...Thanks
BEC: 75% work done
REG: It's 80 but I am 100% done 🙂

[Author]

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