[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/

[willpassby2014]

Good point….i cant wait to take the exam tomorrow and be done with it

BEC Passed
FAR Passed
AUD Passed
REG Passed

[Anonymous]

tomorrow? didn't you say Sunday?

[skoog]

That kind of seems like a trick question given how similar all of the answers are. I did all of the questions in the wiley test bank and dont ever remember seeing a question like that. I wouldnt sweat it.

[willpassby2014]

I moved it to Saturday… Sunday morning i got at 8.00 but i am not a morning person. it takes time for my brain to come to senses which will be around 10.am 🙁 .

I moved to 2.00 PM Saturday. I am great at noons

BEC Passed
FAR Passed
AUD Passed
REG Passed

[skoog]

Im taking mine tomorrow at 11:30am. I've passed FAR, AUD, and BEC. Im hoping this is my last time taking the exam. Good luck!

[Meddik]

So the conclusion to that was >50% for tax shelter, and >40% for other positions (substantial authority?)?

@will, not sure where you are at in your studies but you seem prepared. it will probably be better to just get it done with tomorrow too, on top of the timing. I'm going at 930am tomorrow…I do best on an empty stomach with some caffeine in me. Good luck to everyone in here.

FAR - 86
REG - 83
AUD - 97
BEC -

[Anonymous]

thanks skoog, you too!

I am taking tomorrow at 2.30. I should really get some sleep before. According to my fitbit my average sleep is ~ 5 hours, it can't be good

[Anonymous]

I agree, always empty stomach, as they say all the blood flow goes to GI tract instead of brain after you eat, who wants that!

[skoog]

Edit: just confirmed my question in my notes.

[Anonymous]

I should probably know that, but what is the basis of a gift for a donor? Is it value or basis? How do they figure out the exclusion?

[skoog]

Anna: This is my understanding:

If the gift is an annuity use the present value.

If the gift is property the donors basis is the adjusted basis.

If the gift is cash use the total cash gift value.

Apply the $14,000 gift exclusion to the basis of the gifts as shown above. You get an additional $14,000 exclusion that can be applied from your spouse if you are MFJ.

[Anonymous]

this is for the donor, not the recipient, right?

[skoog]

Yes.

[Anonymous]

ok thanks!

I realized that my understanding of mid quarter convention was wrong. It's not assumed that 100% of property was purchased in the middle of last quarter, just in the middle of any quarter

[skoog]

For the recipient, my understanding is as follows:

If the property is sold at a gain, the recipient must use the donors basis to determine the gain.

If the property is sold at a loss, the recipient must use the FMV of the gift on the date of the gift to determine the amount of the loss.

[Author]

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