Term
| Legislative tax law source - path to becoming a law |
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Definition
1- House ways and means committee
2- House of representatives
3- Senate finance committee
4- Senate (may start here but goes back to step 1)
5- Compromise version
6- President (10 days) |
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Term
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Definition
| interpretations of the law |
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Term
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Definition
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Term
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Definition
| elaboration and clarification |
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Term
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Definition
| complete details of issues |
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Term
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Definition
| taxpayer requests how the IRS will treat a proposed transaction |
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Term
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Definition
| how the IRS will treat a given transaction (usually completed or ongoing/recurring) |
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Term
| Technical advice memorandum |
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Definition
| issued based on issued raised during an audit |
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Term
| due date for return for corp and partnership |
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Definition
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Term
| due date for return for estates and trusts |
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Definition
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Term
| due date for return for exempt orgs |
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Definition
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Term
| due date for return of transfer taxes |
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Definition
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Term
| due date for gift tax return |
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Definition
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Term
| Statutory notice of deficiency |
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Definition
| assessment from IRS - demand payment 90 days after notice |
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Term
| Notice and demand for payment |
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Definition
| Follows the assessment (statutory notice of deficiency) and you have 30 days to pay once you receive the notice |
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Term
| Small cases division of the US tax court |
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Definition
cases < $50,000
no appeal
does not set precedent |
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Term
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Definition
must pay before going to court
option to have a jury |
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Term
| US Court of Federal Claims |
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Definition
must pay before going to court
no jury option |
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Term
| Estimated tax payments: Individuals |
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Definition
Either:
90% of CY taxes
100% of PY taxes (110% if AGI > $150,000) |
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Term
| Estimated tax payments: Corporations |
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Definition
-annualized method
-seasonal method |
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Term
| Statute of limitations: underpayment of taxes |
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Definition
assess within three years of later of: date due or date paid;
increases to 6 years of 25%
no statute for fraud |
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Term
| Accounting period: C-Corp |
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Definition
| calendar year or fiscal year |
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Term
| Accounting period: S-Corp |
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Definition
| calendar year unless valid reason |
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Term
| Accounting Period: Personal service corp |
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Definition
| calendar year unless valid reason |
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Term
| Accounting period: Partnership |
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Definition
| same as majority partners |
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Term
| Accounting Period: Estates |
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Definition
| choose fiscal or calendar year |
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Term
| Accounting period: Trusts |
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Definition
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Term
| Method for accounting for contracts that must be used |
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Definition
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Term
| Legislative reenactment doctrine |
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Definition
| a long-standing finalized regulation presumably has congressional approval if Congress has not amended the relevant section of the IRC |
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Term
| Estimated tax payments: estates |
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Definition
| not required to make any estimated payments during the estate's first 2 taxable years |
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Term
| Underpayment of taxes: amount that may be underpaid without penalty |
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Definition
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Term
| Bad debt accounting for corporations |
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Definition
| must use direct charge-off method |
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Term
| Amortization of intangibles for tax purposes |
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Definition
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Term
| Amortization of intangibles for tax purposes |
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Definition
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Term
| Users of the uniform capitalization rules |
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Definition
| applies to tangible personal property produced by the taxpayer or acquired for resale unless the average annual gross receipts for the last three years were < $10,000,000 |
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Term
| When is interest expense deductible |
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Definition
| in the period it accrues, regardless of taxpayer's basis of accounting |
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Term
| Entities that may use the cash method of accounting |
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Definition
| not a tax shelter, but a personal service corporation or an entity under the $5million gross receipts test |
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Term
| Refundable security deposits |
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Definition
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