Taxchapter7Word格式.docx
- 文档编号:20301718
- 上传时间:2023-01-21
- 格式:DOCX
- 页数:66
- 大小:57.02KB
Taxchapter7Word格式.docx
《Taxchapter7Word格式.docx》由会员分享,可在线阅读,更多相关《Taxchapter7Word格式.docx(66页珍藏版)》请在冰豆网上搜索。
1.[LO1]Whatisataxbracket?
Whatistherelationshipbetweenfilingstatusandthewidthofthetaxbracketsinthetaxrateschedule?
Ataxbracketisarangeoftaxableincomethatistaxedataspecifiedtaxrate.Becauseonlytheincomeintheparticularrangeistaxedatthespecifiedrate,taxbracketsareoftenreferredtoasmarginaltaxbracketsormarginaltaxrates.Thelevelandwidthofthebracketsdependonthetaxpayer’sfilingstatus.Thetaxrateschedulesincludesixtaxratebrackets.Theratesforthesebracketsare10%,15%,25%,28%,33%,and35%.Ingeneral,thetaxbracketsarewidestforMarriedfilingjointly(forexample,moreincomeistaxedat10%),followedbyHeadofhousehold,Single,andthenMarriedfilingseparately(thebracketsforMarriedfilingseparatelyareexactlyone-halfthewidthofthebracketsforMarriedfilingjointlyandthewidthofthe10%and15%bracketsforSingleandMarriedfilingseparatelyarethesame).
2.[LO1]In2010,forataxpayerwith$50,000oftaxableincome,withoutdoinganyactualcomputations,whichfilingstatusdoyouexpecttoprovidethelowesttaxliability?
Whichfilingstatusprovidesthehighesttaxliability?
Forataxpayerwith$50,000,themarriedfilingjointlyfilingstatusshouldprovidethelowesttaxliabilityin2010becausetheMFJtaxratescheduletaxesmoreofthisincomeat10%and15%thantheotherrateschedules(the10%and15%taxbracketsarewider).Conversely,themarriedfilingseparatelyandthesinglefilingstatuseswillgeneratethehighesttaxliabilitybecauseasmalleramountofincomeistaxedat10%and15%(the10%and15%taxbracketsaremorenarrow)thanothertaxrateschedules.
3.[LO1]Whatisthetaxmarriagepenaltyandwhendoesitapply?
Underwhatcircumstanceswouldacoupleexperienceataxmarriagebenefit?
Amarriagepenalty(benefit)occurswhen,foragivenlevelofincome,amarriedcouplehasagreater(lesser)taxliabilitywhentheyusethemarriedfilingjointlytaxratescheduletodeterminethetaxontheirjointincomethantheywouldhaveowed(intotal)ifeachspousewouldhaveusedthesingletaxratescheduletocomputethetaxoneachspouse’sindividualincome.Themarriagepenaltyappliestocoupleswithtwowageearnerswhileamarriagebenefitappliestocoupleswithsinglebreadwinners.
4.[LO1]Oncethey’vecomputedtheirtaxableincome,howdotaxpayersdeterminetheirregulartaxliability?
Whatadditionalstepsmusttaxpayerstaketocomputetheirtaxliabilitywhentheyhavepreferentiallytaxedincome?
Oncetaxpayershavedeterminedtheirtaxableincome,theyshouldsplittheincomeintotwoportions:
(1)ordinaryincomeand
(2)incometaxedatpreferentialrates(ifany),andcomputetaxoneachportionseparately.
Taxpayerscomputethetaxontheordinaryincomeportionbyapplyingtheappropriatetaxrateschedule(basedontheirfilingstatus).
Taxpayersgenerallycomputetheirtaxonthepreferentiallytaxedincomebymultiplyingtheamountofincomeby15%.However,totheextentthatitwouldhavebeentaxedatarateof15%orl0%ifitwereordinaryincome,thepreferentiallytaxedincome(dividendsandlong-termcapitalgains)istaxedat0%in2010.
Ataxpayer’stotalregularincometaxliabilityisthesumofthetaxonordinaryincomeandthetaxonpreferentiallytaxedincome.
5.[LO1]{Research}Aretherecircumstancesinwhichpreferentiallytaxedincome(long-termcapitalgainsandqualifieddividends)istaxedatthesamerateasordinaryincome?
Explain.
Generally,no.Ifthepreferentiallytaxedincomewouldhavebeentaxedat10%or15%ifitwereordinaryincome,itistaxedatalower0%rate.Ifitwouldhavebeentaxedataratehigherthan15%,itistaxedat15%.Thisiswhywerefertotheincomeaspreferentiallytaxedincome.Therearecertaintypesoflong-termcapitalgainsthataretaxedatamaximumrateof25%(unrecaptured§
1250gain)and28%(capitalgainsfromcollectibles).Thesegainsaretaxedatthetaxpayer’smarginalordinaryrateunlesstheordinaryrateexceedsthemaximumrate.Thenthesegainsaretaxedatthemaximumrate.However,wedidnotaddressthesespecialsituationsinthischapter(that’swhythisisaresearchquestion).See§
1(h)
(1).
6.[LO1]Augustanareceived$10,000ofqualifieddividendsthisyear.Underwhatcircumstanceswouldall$10,000betaxedatthesamerate?
Underwhatcircumstancesmighttheentire$10,000ofincomenotbetaxedatthesamerate?
Theentirequalifieddividendwillbetaxedatthesamerateintwoscenarios.First,thedividendwillallbetaxedat15%ifAugustana’sordinaryincomeexceedsthethresholdforthe15%marginaltaxbracket(itistaxedataratehigherthan15%).Second,theentiredividendwillbetaxedat0%aslongastheAugustana’sordinaryincomeplusher$10,000qualifieddividenddoesnotexceedthethresholdforthe15%marginaltaxbracket.
ThequalifieddividendwillbetaxedatdifferentratesiftheamountofAugustana’sordinaryincomeisbelowthe15%marginaltaxbracketbutthequalifieddividendcauseshertotaltaxableincometoexceedthe15%marginaltaxbracketthreshold.Inthisscenario,herqualifieddividendswillbetaxedat0%totheextenttheywouldhavebeentaxedat15%asordinaryincomeandtheremainderwouldbetaxedat15%.
7.[LO1]Whatisthedifferencebetweenearnedandunearnedincome?
Earnedincomeisincomeearnedbythetaxpayerfromservicesorlabor.Unearnedincomeisfrominvestmentpropertysuchasdividendsfromstocksorinterestfrombonds.
8.[LO1]Doesthekiddietaxeliminatethetaxbenefitsgainedbyafamilywhenparentstransferincome-producingassetstochildren?
No.Thoughthekiddietaxsignificantlylimitsthebenefitofshiftingincomeproducingassetstochildren,itdoesnoteliminateit.Thekiddietaxdoesnotapplyunlessthechildhasunearnedinvestmentincomeinexcessof$1,900($950standarddeductionplusanadditional$950).Thatis,parentscanshiftupto$1,900ofunearnedinvestmentincometoachildwithoutthechildpayingthekiddietax(payingtaxonincomeattheparent’smarginaltaxrate).
9.[LO1]Doesthekiddietaxapplytoallchildrennomattertheirage?
No,thekiddietaxappliestochildrenwhohavenetunearnedincomeinexcessof$1,900ifthechildren
(1)areunderage18attheendoftheyear,
(2)areage18attheendoftheyearanddonothaveearnedincomeinexcessofhalfoftheirsupport,or(3)areoverage18andunderage24,arefull-timestudents,anddon’thaveearnedincomeinexcessofhalfoftheirsupport(excludingscholarships).
10.[LO1]Whatisthekiddietaxandonwhosetaxreturnisthekiddietaxliabilityreported?
Thekiddietaxisataxattheparent’smarginalrateonthechild’sunearnedincomeinexcessof$1,900.Generally,thekiddietaxliabilityisreportedonthechild’staxreturn.However,theparentscanmakeanelectiontoincludeontheirownreturnthechild’sgrossincomeinexcessof$1,900.
11.[LO1]Laurenis17yearsold.Shereportsearnedincomeof$3,000andunearnedincomeof$2,000.Isshelikelysubjecttothekiddietax?
Yes,Laurenisunderage18atyearendandherunearnedincomeexceeds$1,900sosheissubjecttothekiddietax.Notethatthekiddietaxbaseisthechild’snetunearnedincome.Netunearnedincomeisthechild’sgrossunearnedincomeminus$1,900($950ofthechild’sstandarddeduction(evenifthechildisentitledtoalargerstandarddeduction—inthiscase,Laurenwouldbealloweda$3,300standarddeductionbutthekiddietaxstillapplies)plusanextra$950).Consequently,thekiddietaxdoesnotapplyunlessthechildhasunearnedincomeinexcessof$1,900($950+950).
12.[LO2]Inverygeneralterms,howisthealternativeminimumtaxsystemdifferentfromtheregularincometaxsystem?
Howisitsimilar?
TheAMTsystemisdifferentinthatittaxesamorebroadorinclusivetaxbasethantheregularincometax.TheAMTisdesignedtotaxanincomebasethatmorecloselyreflectseconomicincomethandoestheregularincometaxsystem.ManyitemsthataredeductibleforAMTpurposesarenotdeductibleforregulartaxpurposes.Further,certaintypesofincomeincludedintheAMTbasearenotincludedintheregularincometaxbase.Also,theAMTratesaredifferentfromthosefortheregularincometax.TheAMTsystemissimilartotheregulartaxsysteminthatthestartingpointforcomputingtheAMTtaxbaseisregulartaxableincome.
TheAMTsystemisalsoanincometaxsystemthatallowscertaindeductionsfromtheincometaxbase.
13.[LO2]Describe,ingeneralterms,whyCongressimplementedtheAMT.
CongressimplementedtheAMTtoensurethatalltaxpayerswhoweregeneratingeconomicincomepaidsomeminimumamountoftaxeachyear.PriortotheAMT,thepublicperceivedhighincometaxpayerstobeabletoreduceoreliminatetheirtotaltaxliabilitybytakingexcessiveadvantageoftaxpreferenceitemssuchasexclusions,deferrals,anddeductions.TheAMTwasdesignedasaresponserequiringthesehighincometaxpayerstopayatleastsometax.
14.[LO2]Dotaxpayersalwaysaddbackthestandarddeductionwhencomputingalternativeminimumtaxableincome?
Explain.
No.Taxpayersaddbackthestandarddeductiononlyiftheydeducteditwhencomputingtheirregulartaxableincome(thatis,theyadditbackwhentheydidnotitemizedeductions).
15.[LO2]Thestartingpointforcomputingalternativeminimumtaxableincomeisregulartaxableincome.Whataresomeoftheplusadjustments,plusorminusadjustments,andminus
- 配套讲稿:
如PPT文件的首页显示word图标,表示该PPT已包含配套word讲稿。双击word图标可打开word文档。
- 特殊限制:
部分文档作品中含有的国旗、国徽等图片,仅作为作品整体效果示例展示,禁止商用。设计者仅对作品中独创性部分享有著作权。
- 关 键 词:
- Taxchapter7