Taxation for Decision Makers Book

PART I: Introduction to Taxation and its Environment

Chapter 1: An Introduction to Taxation

Key Concepts

Setting the Stage—An Introductory Case

An Introduction to Taxation

The Taxing Units and the Basic Income Tax Models

Choice of Business Entity

Other Types of Taxes

Types of Tax Rate Systems

Characteristics of a Good Tax

Revisiting the Introductory Case

Summary

Key Terms

Test Yourself

Problem Assignments

Answers to Test Yourself

Chapter 2: The Tax Practice Environment

Key Concepts

Setting the Stage—An Introductory Case

An Introduction to Tax Practice

Taxes and Cash Flow

Tax Planning Strategies

Sources of Authority

Tax Research

Tax Compliance

Revisiting the Introductory Case

Summary

Key Terms

Test Yourself

Problem Assignments

Answers to Test Yourself

Appendix 2A: Tax Research.

PART II: Income and Expense Determination

Chapter 3: Determining Gross Income

Key Concepts

Setting the Stage—An Introductory Case

What Is Income?

When Is Income Recognized?

Who Recognizes the Income?

Sources of Income

Exclusions

Jurisdictional Issues

Expanded Topics—Special Methods

Revisiting the Introductory Case

Summary

Key Terms

Test Yourself

Problem Assignments

Answers to Test Yourself

Chapter 4: Employee Compensation

Key Concepts

Setting the Stage—An Introductory Case

Employee Compensation

Employee Fringe Benefits

Employee Stock and Stock Options

Deferred Compensation and Retirement Planning

Self-Employed Individuals

Expanded Topics—Foreign Assignments

Revisiting the Introductory Case

Summary

Key Terms

Test Yourself

Problem Assignments

Answers to Test Yourself

Chapter 5: Business Expenses

Key Concepts

Setting the Stage—An Introductory Case

Criteria for Deductibility

Timing of Deductions

Costs of Starting a Business

Operating Expenses

Limited Expense Deductions

Expanded Topics—Book/Tax Differences

Revisiting the Introductory Case

Summary

Key Terms

Test Yourself

Problem Assignments

Answers to Test Yourself

PART III: Property Concepts and Transactions

Chapter 6: Property Acquisitions and Cost Recovery Deductions

Key Concepts

Setting the Stage—An Introductory Case

Capital Expenditures

Basis of Property

Cash Flow and After-Tax Cost

MACRS

Provisions Limiting Depreciation

Depletion

Amortization

Revisiting the Introductory Case

Summary

Key Terms

Test Yourself

Problem Assignments

Answers to Test Yourself

Chapter 7: Property Dispositions

Key Concepts

Setting the Stage—An Introductory Case

Determining Gain or Loss on Dispositions

Disposition of Section 1231 Property

Disposition of Capital Assets

Disposition of Ordinary Income Property

Mixed-Use Property

Special Rules for Small Business Stock

Sale of Principal Residence—Section 121

Losses on Related Party Sales

Expanded Topics—Individual Capital Gains Tax Rates

Revisiting the Introductory Case

Summary

Key Terms

Test Yourself

Problem Assignments

Answers to Test Yourself

Chapter 8: Tax-Deferred exchanges

Key Concepts

Setting the Stage—An Introductory Case

Basics of Tax-Deferred Exchanges

Like-Kind Exchanges—Section 1031

Other Tax-Deferred Exchanges

Involuntary Conversions

Asset Transfers to Businesses

Corporate Reorganizations

Revisiting the Introductory Case

Summary

Key Terms

Test Yourself

Problem Assignments

Answers to Test Yourself

Appendix 8A: Reorganization

PART IV: Business Taxation

Chapter 9: Taxation of Corporations

Key Concepts

Setting the Stage—An Introductory Case

Introduction to Corporations

Taxation of C Corporations

Consolidated Returns

Corporate Distributions

Issues for Closely Held Corporations

Expanded Topics—Earnings and Profits

Revisiting the Introductory Case

Summary

Key Terms

Test Yourself

Problem Assignments

Answers to Test Yourself

Appendix 9A: Exempt Organizations

Appendix 9B: Multi-state Issues

Chapter 10: Sole Proprietorships and Flow-Through Entities

Key Concepts

Setting the Stage—An Introductory Case

Introduction to Flow-Through Business Entities

The Sole Proprietorship

Partnerships

S Corporation Characteristics

The U.S. Production Activities Deduction

Comparison of Total Tax Burden by Entity

Expanded Topics—The Passive Deduction Limitations

Revisiting the Introductory Case

Summary

Key Terms

Test Yourself

Problem Assignments

Answers to Test Yourself

PART V: Taxation of Individuals

Chapter 11: Income Taxation of Individuals

Key Concepts

Setting the Stage—An Introductory Case

The Individual Tax Model

Personal and Dependency Exemptions

Filing Status

Standard Deduction

Itemized Deductions

Net Operating Loss

Computing the Tax

Tax Credits

Payment of Income Tax

Expanded Topics—Additional Taxes

Revisiting the Introductory Case

Summary

Key Terms

Test Yourself

Problem Assignments

Answers to Test Yourself

Chapter 12: Wealth Transfer Taxes

Key Concepts

Setting the Stage—An Introductory Case

Overview of Wealth Transfer Taxation

The Federal Gift Tax

Tax Consequences for Donees

The Taxable Estate

Transfer Tax Planning

Fiduciary Income Tax Issues

Expanded Topics—The Tax Calculations

Revisiting the Introductory Case

Summary

Key Terms

Test Yourself

Problem Assignments

Answers to Test Yourself

Appendix A: Tax Research Using RIA Checkpoint.

Appendix B: Present Value and Future Value Tables.

Appendix C: Sample Filled-in Tax Returns.

Appendix D: Tax Return Problems.

Index.