[jeff]

Welcome to the REG CPA Exam study group for July & August 2018 exams. 🙂

Please introduce yourself & when you’re taking your exam (approximate timeframe).

REG Study Group Links and Resources:

1. NINJA Monthly – Full REG Course for $67/mo
2. How to Study for REG with NINJA Only
3. How to Pass REG in 20 Days
4. How to Retake REG After Failing
5. Video: Study Advice for REG
6. CPA Reviewed Podcast
7. CPA Exam Score Release Dates
8. NINJA MCQ Trending vs Actual REG Scores
9. I Passed the CPA Exam!
10. I Passed REG!
11. NINJA REG SIMS List by Topic
12. Free Downloads: NINJA REG

[raj]

Hello,

According to NINJA notes, it says “Unlike individual taxation, investment interest expense is not limited to investment income for corporations.” However, I was looking at the Becker outline for Corporate taxation and it said that inv. interest expense is limited to net investment income, just like individual taxation. Which one is right? If someone can help me with this, I would appreciate it! Taking REG in a week!

[Anonymous]

@Glopooka and @Tncincy – the exam went okay I guess. The MCQs were fine for the most part, but the SIMs were atrocious. I felt I knew most of the tax topics pretty well, but the AICPA always puts one twist in each SIM that makes you question your knowledge you think you know… Moving onto AUD for re-take. Hoping for the best, preparing for the worst!

[glopooka]

Thank you @big4beancounter I appreciate the feedback. Good luck on AUD retake!

[Tncincy]

@Big4BeanCounter: Thanks for reminding me that this is NOT a cake walk. with your information I am going to step it up a little more. Best of luck to you, keep those fingers crossed for the rest of us.

It begins with a 75
Been here too long as a cheerleader....ready to pass

[Tncincy]

I started my study session this evening away from home, and I left my hard drive with my study stuff on it at home. So I pulled out my old 2017 Ninja notes that were in my car and started writing them. I am determined to get something done tonight. I am not giving up, I changed a few numbers and am writing. Just thought I would share this in case someone is struggling to study tonight.

It begins with a 75
Been here too long as a cheerleader....ready to pass

[jeff]

CLW – be sure to try the ninja study planner to map out your study plan – you can use it with any course.

[ranas]

I have REG scheduled on the 10th but when I do the Gleim mcqs I am getting low scores on almost all of the tax related subunits. I used Roger for lectures. Should I just use roger mcqs and ignore gleim. Roger mcqs seem to be more simple and gleim go into to much detail which I can't remember so I end up guessing on answers. Or do I need to use different lectures than Roger?

[japatel1]

Do I need to know nay specific phase-outs for the exam of will it be given to me?

Also, same question for personal/dependency exemptions and the standard deduction?

the study material I use says I don't need to memorize any numbers changed often due to inflation (phase-outs, exemptions, etc), but the questions it gives me, I need to know these numbers to get it right.

Thanks in advance!!

[Rocky]

Guys please can you explain me the difference of realized and recognised gain.
If for instance somone inhereted a real property and next year after some capital improvements that person sells the property. How would we define realized and recognise gain here ?
Lets say inheritance value fmv 50k
Nbv when property purchased 10 years ago was 30k
Improvement 10k
Basis will be 50+10 60k
Sold next year 100k
40k LT gain. Now where is realized gain and recognised gain here.
Also how to account for depreciation in the year sold, how do we know previous depreciation taken or not before inhereted ?

[Anonymous]

My study goals for the week are to finish (1) reading my notes for individual and property taxation and (2) answering 500 MCQs until Monday.

Good luck all!

[Tncincy]

Tackling Corporate AMT and consolidated returns. Not doing MCQ's just yet, getting through the materials with good notes first. Hope studying is going well for everyone.

It begins with a 75
Been here too long as a cheerleader....ready to pass

[cpa2018]

Hi Im having trouble understanding this problem so if anyone could help me understand it, i would be really grateful 🙂 it's taken from the AICPA released questions:
Jan 1 year 1: 30 shares, $5/share purchased
Jun 30 year 2: 30 shares, $3/share sold
Jul 15 year 2: 20 shares, $2/share purchased
Jul 17 year 2: 20 shares, $2.5/share sold
Aug 22 year 2: 50 shares, $3.75/share purchased

what is the recognized loss on july 17? Answer: 30
So i understand that there is a wash sale in June 30; disallowed loss was 40.
Basis of shares for those sold July 17 = Cost + Disallowed = 80
Realized loss on July 17 = (20 x 2.5) – 80 = 30
Recognized loss on July 17 = 30
Why is the entire loss recognized? Does the July 15 purchase no longer count as a repurchase?

[sheskierk]

Hi all,

I just have a general question regarding the Tax Preparer Penalty Amounts. Should I try and memorize all of the dollar amounts for each penalty? Any feedback would be greatly appreciated.

[Operation_CPA]

Taxpayers using a flexible spending account are allowed:

A. a “use it or lose it” policy.

B. a $500 carryover balance to the following year only.

C. a grace period for the unused balance through March 15 of the following year only.

D. a $500 carryover balance to the following year or a grace period for the unused balance through March 15 of the following year.

Answer is D. I chose C because there is simply no mention of this 500 carryover in Becker. Can someone confirm this is accurate? Thanks!

[Anonymous]

Hi, @Operation_CPA,

D is the correct answer. There can be a grace period OR carryover, but not both. See the following excerpt from IRS Pub 969:

“Flexible spending arrangements are generally
“use-it-or-lose-it” plans. This means that amounts in the
account at the end of the plan year generally can’t be carried
over to the next year. However, the plan can provide
for either a grace period or a carryover.
The plan can provide for a grace period of up to 2.5
months after the end of the plan year. If there is a grace
period, any qualified medical expenses incurred in that
period can be paid from any amounts left in the account at
the end of the previous year. Your employer isn’t permitted
to refund any part of the balance to you. See Qualified
reservist distribution, earlier.
Plans may allow up to $500 of unused amounts remaining
at the end of the plan year to be paid or reimbursed for
qualified medical expenses you incur in the following plan
year. The plan may specify a lower dollar amount as the
maximum carryover amount. If the plan permits a carryover,
any unused amounts in excess of the carryover
amount are forfeited. The carryover doesn’t affect the
maximum amount of salary reduction contributions that
you are permitted to make.
A plan may allow either the grace period or a carryover,
but it may not allow both.”

[Author]

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