[jeff]

Welcome to the Q3 2016 CPA Exam Study Group for REG.

Some BLITZ videos to help your exams: https://www.another71.com/ninja-blitz

[Teal]

This may be a dumb question, but just trying to understand a concept here. Per Ninja: “The claim for refund must be filed within three years from the date on which the tax return that relates to the refund was filed, or within two years of actual payment of the tax if that time is later.”

What does it mean by “payment of the tax”? If you are receiving a refund, why would you be paying any tax?

FAR (66,68) Aug 26
REG (66) July 25
AUD (66) December 1st
BEC - October 3rd

[Teal]

Also, can anyone tell me how important you think it is to practice the TBS's? I feel like I mostly did that before because I was so afraid of them, and it didn't really help me pass? Let me know what peoples personal opinions are!

FAR (66,68) Aug 26
REG (66) July 25
AUD (66) December 1st
BEC - October 3rd

[Teal]

Also, can anyone tell me how important you think it is to practice the TBS's? I feel like I mostly did that before because I was so afraid of them, and it didn't really help me pass? Let me know what peoples personal opinions are!

FAR (66,68) Aug 26
REG (66) July 25
AUD (66) December 1st
BEC - October 3rd

[N2BCPA]

@Teal, Two years from the date you paid the tax would be for example if you were filing just to get a refund. If you only made a small amount for the year and your job took taxes out your check. You “paid” the taxes. Since you don't have a filing requirement, the statute of 2 years from the date you paid the taxes will apply to claim the refund. Hope this helps.

REG 07/2016....ROGER/NINJA AUDIO/MCQ/NOTES--62, retake 10/1
BEC
FAR
AUD

"A PART OF BEING A BEAST JUST AINT EATING A GAZELLE; A PART OF BEING A BEAST IS THE HUNT! YOU CANT WISH TO BE GREAT WITHOUT PUTTING IN THE WORK!"
-ETHIPHOPPREACHER

[Anonymous]

Teal Geiger, i think that's referencing a 1040x refund claim for erroneously paid taxes? the statute of limitations is 3 years from date of filing or 2 years from when the tax was paid if the taxpayer didn't file a return

[jad11]

Jen offers to sell Bob her laptop computer for $500. Bob is not sure he can afford it and asks Jen if she will keep the offer open until noon the next day. Jen tells bob that she will keep her offer open if he gives her his promise that he won't buy another computer before that time. Bob gives her his promise not to buy another computer. Jen is:

Answer: obligated to keep the offer open until noon the next day because there is a valid option contract in place.

I can see how that is the answer, but I am wondering if the UCC Statute of frauds applies here. This was not an option in the MC, but shouldn't this be in writing because it is for goods and it is 500 or more? Although it doesn't say, I am inclined to believe that this is an oral agreement, and if that is the case, Jen shouldn't be required to hold the computer for bob since she didn't sign a contract, right?

[.]

Ugh. Why are there so many questions on the installment method in Ninja? I didn't see any installment stuff in Wiley.

FAR - June 2016 - 88
REG - July 2016 - 89
AUD - Aug 2016 - review phase currently
BEC - Sep 2016 -

Wiley CPA Excel & Ninja MCQ

[Anonymous]

i don't think the UCC applies because they are nonmerchants. not sure

[Teal]

jad11 – maybe it's because it's exactly $500? – so like if it was $501 it would have to be in writing?

FAR (66,68) Aug 26
REG (66) July 25
AUD (66) December 1st
BEC - October 3rd

[jad11]

@Teal Geiger

The rule says over $500 or over. I think Dr. Cash is right. The text says that UCC is not limited to merchants and that it applies to all contracts of sale of goods. Right above that, however, it says that “A number of UCC rules depend on whether one or more of the parties are merchants.” I think the written rule might not apply because neither of them are merchants. I don't know, but that is what I'll stick to for now.

[PeiChieh Tsai]

@Dr Cash A Milli

Thanks for helping me figure out Sim#36!! It makes perfect sense now!!! I almost thought the answer was wrong… given that a lot of questions in Sim were not updated for the July 2016 exams – aka due dates for partnership and C corp tax return.

[kpanna92]

Anyone have a list of numbers to memorize for the REG exam? Or mnemonics? I was just about to start making a list but I figured it would be helpful to have a list to start from!

FAR: 81
AUD: 72, 71, 87 finally!
BEC: 79
REG:

[csvirk]

@Kpanna I found these links, h0pe it helps.

https://quizlet.com/6247149/reg-mnemonics-flash-cards/

FAR: 71, 77!
AUD: 69, 80
BEC: 72
REG: 84

[Anonymous]

here's a good question on sale of partnership interest if any of you want to try it:

The personal service partnership of Allen, Baker & Carr had the following cash-basis balance sheet at December 31, Year 1:

Adjusted Basis Market
Assets per Books Value
Cash $102,000 $102,000
Unrealized A/R — 420,000
Totals $102,000 $522,000

Liability and Capital
Note payable $60,000 $ 60,000
Allen, capital 14,000 154,000
Baker, capital 14,000 154,000
Carr, capital 14,000 154,000
Totals $102,000 $522,000

Carr, an equal partner, sold his partnership interest to Dole, an outsider, for $154,000 cash on January 1, Year 2. In addition, Dole assumed Carr’s share of the partnership’s liability.

What amount of ordinary income should Carr report in his Year 2 income tax return on the sale of his part­nership interest?

A.
$0

B.
$20,000

C.
$34,000

D.
$140,000

[csvirk]

@DR D, 140K as ordinary gain.

FAR: 71, 77!
AUD: 69, 80
BEC: 72
REG: 84

[Author]

Replies