Tax

novel “The Fair Tax book” starts off with a general purpose of replacing several groups of taxes with a single consumption tax at a retail level. It would only be collected when the hard working individual decided to spend his or her money. The preface also claims that the book is about a 133-page tax bill currently being put forth to the House Ways and Mean committee. It is generally known as Fair Tax. The Fair Tax would replace several IRS rules with an easier to comprehend tax. It is quoted…

The United States of America is in an exigent need of tax reforms. Peter G. Peterson, in Steering Clear, blazoned forth a myriad of tax reform mechanisms that can conceivably boost the economy and prove to be a catalyst for future economic growth, which include soaking the rich by taxing them heavily, reforming the corporate tax code and implementing a carbon tax, amongst many others. Although all of Peterson’s tax reforms are well-substantiated, the one that aligns the most with his targets of…

and business tax returns into the tax software. This position is interesting because it exposes me to a variety of tax returns and a multitude of coordinating tax schedules such as A, B, C, D, and E. Training is a “learn by doing” approach. For example, as part of the job, I match returns for new clients in the prior years’ software program, and the challenges of matching a return, are in and of itself self-training. Finally, the accountant will pro forma the return to print the tax organizer…

The flat tax, progressive tax and value added tax are three very different and unique tax systems. All three tax systems have similarities and differences. By comparing these three tax systems we can understand their advantages and disadvantages and see which one is the best for the United States. Currently, the United States uses an income tax called the progressive-rate tax system. This tax rate system is very complex and requires taxpayers to complete multiple forms, compute deductions, and…

Taxes are always a highly debated topic when it comes to economics. The reason for that is because taxes play a major role in it and also in everyone’s lives. Most of government spending is paid with taxes, and a large portion comes from income tax and social security taxes (Bouman). These taxes affect everyday people the most, which is why taxes are so heavily debated and discussed. This paper will discuss which taxes should be raised, who will get the raises and opposing opinions or…

Income Tax The Net Investment Income Tax, also known as the Medicare Contribution Tax, is a 3.8% tax on net investment income of individuals, estates, and trusts further detailed in Code Section 1411 of the Internal Revenue Code. Taxpayers subject to the 3.8% surtax must pay this tax in addition to the Medicare tax on earned income. Individuals who are nonresident aliens, dual-resident, or dual status are not subject to the Net Investment Income Tax. Origin The Net Investment income Tax was…

Topic #3: Tax Cases Question #1: Provide an overview of and the ruling for the Corn Products Refining Co. Case. Answer: In the Corn Products Refining Co. case, the company had purchased corn futures in order to ensure that the corn needed for operations could be obtained in times of shortage or raising prices, without the need to worry about storage capacity limitations. The company reported the gain or loss on the futures as ordinary income and losses in 1940 and 1942, however the…

The National Tax Advocate publishes a report entitled, "Annual Report to Congress." The contents within this report address areas of concern that are adverse to the taxpayer, suggest legislative remedies and guidance as well as a listing and discussion of the most litigated tax matters. The Office of the Taxpayer Advocate was created when Congress enacted Public Law 104-168, also referred to as the Taxpayer Bill of Rights 2, on July 30, 1996. The Internal Revenue Service Restructuring and Reform…

a part of the attraction of the use of tax increment financing is that no public vote is needed. Many states require votes on various sorts of bond issuance for public functions. every other gain selection-makers see is they can adhere to their "no new taxes" pledges and nevertheless provide extra infrastructure for the network. risks of Tax Increment Financing TIF appears to be becoming increasingly more popular, and an increasing number of abused. So like any other monetary improvement…

A flat-tax system and the progressive tax system Abstract: flat-tax system has many supports all the time, they believe this system is easy to understand and is fairer to taxpayers. This paper starts with explaining the flat-tax system, then moves to the pros and cons within the flat-tax system. Then I use a model to explain the difference between flat tax and progressive tax, and concludes which tax system is better. 1. What is flat-tax system Due to federal income tax’s lack of efficiency,…