federal income tax “from whatever source derived.” Chapter 2 (5 pts) 2. Explain the two "safe harbors" available to an Individual taxpayer to avoid a penalty for underpayment of estimated tax. The first “safe harbor” available to an individual taxpayer to avoid a penalty for underpayment of estimated tax would be if the payments of estimated tax are at least as large as 90 % of the tax shown on the return or 100% (110% if adjusted gross income for 2002 and later exceeds 150k) of the tax shown on
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Causes for Generation of Black Money There are several factors responsible for the emergence – of black money. It would be relevant to discuss those factors so that a correct understanding about the genesis‚ growth and expansion of black money can be made. The principal factors are: (i) Beginning of the evil: The beginning of this evil can be traced to the Second World War. During this period supplies of industrial goods from the traditional suppliers of the West were cut off. This resulted in
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The purpose of this work is the comparison of business environment of Russia and China. Russia and China have a lot in common. Both countries are geographical giants with a rapidly growing economy‚ attracting foreign investors and companies of all sizes looking for new markets. At the same time‚ the economic features of the two countries are very different from each other.In this work‚ both countries will be discussed in terms of foreign investment. With the increasing globalization of the world
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spend | ✔ | 1.00 | | Total | | 1.00 / 1.00 | | Question 3 Which of the following items WOULD be considered income on your U.S. federal income tax form? Your Answer | | Score | Explanation | Tips | ✔ | 1.00 | | Total | | 1.00 / 1.00 | | Question 4 Putting money into an employer’s regular 401k retirement plan would be an example of tax: Your Answer | | Score | Explanation | Deferral | ✔ | 1.00 | | Total | | 1.00 / 1.00 | | Question 5 A Defined Contribution plan is limited
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actually a business. Distinguishing a Business from a Hobby Activities are classified in terms of a business or a hobby and it is important that the two are separated. The difference depends on whether the activity is being carried for tax purposes or not. It is of great importance for the taxpayer to take into a consideration whether an activity they are involved in is for commercial purposes or whether it is situated in an environment suitable for carrying out business. Individuals
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subsidized loans. Tax Structure & Investment Incentives for which foreign based companies are eligible Brazil’s Tax Laws and system‚ Brazil ’s corporate tax rate for 2010 around 34%. The tax consists of a basic tax of 15%. There is also a surtax of 10% for annual income of over BRL 240‚000‚ about $ 110‚000. Additional‚ all corporations are subject to a social contribution tax at rates ranging from 9 % are added on net profits Firms may effectively reduce income tax liability by investing
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THE MBA DECISION 1. How does Ben’s age affect his decision to get an MBA? In our opinion‚ Age is one of the important factor that affects someone decision to continue study. In this case‚ Ben is now 28 years old. He graduated from college six years ago when he’s age is 22 years old. Assuming that Ben already working for about 5 years since graduated from college‚ so that he would have enough money from salary saving in5 years to do his MBA at 28 years age. If he starts the MBA program on 28 years
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Homework Assignment: Week 1 Mini-Case a. Why is corporate finance important to all managers? Corporate finance is important to all managers because you need to be aware of the tools needed to evaluate the firm’s value and be able to accurately make decisions to maximize wealth. b. Describe the organizational forms a company might have as it evolves from a start-up to a major corporation. List the advantages and disadvantages of each form. A business may start as a sole proprietorship‚ or
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substantially since assessors had to keep assessed values current. On the other hand‚ increments in the evaluated value were not made annually. Therefore‚ this led to a huge tax shock for homeowners after every few years. After Proposition 13 was passed‚ there are several things that have taken place. The cap of property tax rates was set at 1 percent. This implies that one is supposed to pay property taxes of only up to one percent of the evaluated value of their home. The evaluated value of homes
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of Optimal financial Leverage. Journal of Finance‚ 28:911–922.‚ 1973. Leland‚ Hayne and Pyle‚ David. Informational Asymmetries‚ Financial Structure and financial Intermediation. Journal of Finance‚ XXXII:371–387‚ 1977. Lewellen‚ W. G. and Mauer‚ D. C. Tax Options and Corporate Capital Structures. Journal of financial and quantitative analysis‚ pages 387–400‚ 1988. Merton‚ R. C. Continous-time finance. Basil Blackwell‚ 1990. Miller‚ Merton. Debt and taxes. Journal of Finance‚ 32:261–275.‚ 1977. Miller‚
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