{"id":50230,"date":"2018-02-20T23:50:30","date_gmt":"2018-02-20T23:50:30","guid":{"rendered":"https:\/\/writemyessayfree.com\/corporate-tax"},"modified":"2017-08-16T12:27:13","modified_gmt":"2017-08-16T12:27:13","slug":"corporate-tax","status":"publish","type":"post","link":"https:\/\/www.benedictsol.com\/blogs\/corporate-tax\/","title":{"rendered":"Corporate Tax"},"content":{"rendered":"<p>For this assignment, you will complete two tax returns (Corporation Return and Partnership Return), for 175 points each. You may use the tax software found at&nbsp;<a href=\"http:\/\/accountants.intuit.com\/tax\/proseries\/\" rel=\"nofollow noopener\" target=\"_blank\">http:\/\/accountants.intuit.com\/tax\/proseries\/<\/a>&nbsp;<\/p>\n<p>Please note there is a limit of 5 returns per session.<\/p>\n<p><b>PART I \u2013 Tax Return #1, Corporate Return<\/b><b>Background<\/b><\/p>\n<p>Jane Collier, James Taye, and Steve Allwine each own one-third of the common stock of Tasty Treats and Beverages. The corporation was incorporated on April 3, 2004. It has only one class of stock outstanding and operates as a C corporation for tax purposes. Tasty Treats and Beverages caters kid-friendly social events.<\/p>\n<ul>\n<li>Located at 1215 Blue Horizon, Dallas, TX 12234.<\/li>\n<li>Employer Identification Number is 12-34567890.<\/li>\n<li>Business activity is catering food. Its business activity code is 722300.<\/li>\n<li>The shareholders also work as officers for the corporation as follows:\n<ul>\n<li>Jane is the chief executive officer and president (Social Security number 242-62-5786).<\/li>\n<li>James is the executive vice president and chief operating officer (Social Security number 563-58-8923).<\/li>\n<li>Steve is the vice president of finance (Social Security number 575-58-1572).<\/li>\n<\/ul>\n<\/li>\n<li>All officers devote 100% of their time to the business<\/li>\n<li>All officers are U.S. citizens.<\/li>\n<li>Use the accrual method of accounting and have a calendar year-end.<\/li>\n<li>Four equal estimated tax payments of $28,000 each quarter. Its tax liability last year was $85,000.<\/li>\n<li>If it has overpaid its federal tax liability, the corporation would like to receive a refund.<\/li>\n<li>Dividend paid of $20,000 to its shareholders on October 1. The Corporation had ample earnings and profits (E&amp;P) to absorb the distribution.<\/li>\n<\/ul>\n<p><b>Financial Statements<\/b><\/p>\n<p><b>Additional Information&nbsp;<\/b><\/p>\n<ul>\n<li>Inventory-related purchases during 2013 were $175,000. It values its inventory based on cost using the FIFO inventory cost flow method. Assume the rules of \u00a7263A do not apply.<\/li>\n<li>Of the $12,000 interest income, $1,500 was from a City of Dees bond that was used to fund public activities (issued in 2011), $1,750 was from an Border city bond used to fund private activities (issued in 2004), $2,500 was from a U.S. Treasury bond, and the remaining $6,250 was from a money market account.<\/li>\n<li>Dividend income came from ABC Inc. Owned 10,000 shares of the stock in ABC Inc. at the beginning of the year. This represented 10 percent of outstanding stock.<\/li>\n<li>On September 1, 2013, the corporation sold 1,000 shares of its ABC stock for $15,000. It had originally purchased these shares on June 13, 2006, for $7,500. After the sale, the Corporation owned 9 percent of ABC.<\/li>\n<li>compensation is as follows:\n<ul>\n<li>Jane $175,000<\/li>\n<li>James $150,000<\/li>\n<li>Steve $150,000<\/li>\n<li>Other $275,000<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<ul>\n<li>The Corporation wrote off $10,000 in accounts receivable as uncollectible during the year.<\/li>\n<li>Regular tax depreciation was $28,000. None of the depreciation should be claimed on Form 1125A.<\/li>\n<li>The $7,300 interest expense was from a business loan.<\/li>\n<li>Other expenses include $3,000 for premiums paid on term life insurance policies for which Tasty Treats and Beverages, Inc. is the beneficiary. The policies cover the lives of Jane, James, and Steve.<\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>For this assignment, you will complete two tax returns (Corporation Return and Partnership Return), for 175 points each. You may use the tax software found at&nbsp;http:\/\/accountants.intuit.com\/tax\/proseries\/&nbsp; Please note there is a limit of 5 returns per session. PART I \u2013 <a href=\"https:\/\/www.benedictsol.com\/blogs\/corporate-tax\/\" class=\"read-more\">Read More &#8230;<\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-50230","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/posts\/50230","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/comments?post=50230"}],"version-history":[{"count":0,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/posts\/50230\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/media?parent=50230"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/categories?post=50230"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/tags?post=50230"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}