Taxation

The central purpose of this qualitative phenomenological case study will be to analyze the influence of power and trust on the principle-agent relationship between the taxpayer and IRS, with regards to taxpayers ' different perceptions of a prefilled tax return system. The proposed study will explore the various perspectives of a range of U.S. taxpayers towards the adoption of a prefilled tax return system for individual taxes. The prefilled tax return system is becoming a global phenomenon,…

Income-tax notices and how to avoid them It is not uncommon to be served with income tax notices because many people may not be aware of what they are supposed to do. Most tax notices alert the recipients about the issue that needs to be addressed or corrected immediately. Whatever reason is behind your notice, never ignore the notice because the tax department can impose fines of up to Rs 10,000 if the concerned party fails to reply to the notice in assessee. The number of people being served…

The “Paradoxical Era”, named by policy scholar, Bruce Jansson, refers to an era in which many reforms in social welfare were enacted under President Nixon. Nixon was not known as an advocate of social reform and looked at social welfare in retrospect from a social reform standpoint. Jansson notes that the Paradoxical Era was a period of: “conflicting tendencies…a transitional era between the reformist period of the Great Society and the conservative presidency of Ronald Reagan” (Jansson). Nixon…

The turners reside in a state that requires them to pay a state income tax. Currently their federal income tax rate is 25% and their state income tax rate is 6%. Historically Alan has prepared the couples taxes and claimed the standard deduction (12,600). Elyse would like to know if it is more beneficial to continue to do this or do an itemized deduction. Recommendation: My recommendation would be to do itemized deductions vs. the standard deduction. In reviewing your cash flow statement…

1. What are your greatest strengths and weaknesses? I consider myself a very committed and dedicated person. I like to put time and effort to my job in order to perform well my tasks and satisfy my clients. Also, I am not afraid to perform new tasks and learn new skills. On the other hand, I lack accounting experience since I have been working on the field for only six months now. I need to improve my software skills in order to be more efficient while entering taxpayers’ information on tax…

Federalism is a system of government that divides power between a national government and several smaller governments such as state governments (Pearson 78). Historically Federalism falls into four categories dual, cooperative,regulated and new Federalism.Dual federalism is a theory about the proper relationship between government and the states.One fo the primary importance in dual federalism is that the states rights which reserve to the states.The period from 1789 to 1901 has been termed the…

Additionally, America has one of the biggest gaps between the poor and the rich of any nation in the developed world. According to Allianz’s Global Wealth Report comparing 55 different countries America ranks the highest in wealth inequality in 2015. The study which compared countries using the Gini coefficient for wealth inequality, which is a measure of a nation’s wealth inequality where a low score of zero represents perfect equality and a score of 100 equals complete inequality, found that…

Before getting into the case, there is an important statement made in the headnote. It states the definition of income; which is the compensation for services-distinguished from gift-retirement or resignation-relationship of specific services. Whether that income is taxable is left for question. The case is concerning the provision of the Internal Revenue Code, that excludes from gross income the value acquired by a gift. The facts of the case are as follows. Duberstein was the head of the…

US resident under I.R.C. § 7701(b), would like to apply for a PTIN number without a Social Security Number in conformity to I.R.C. §6109(a)(4). Section 6109(a)(4) requires a tax preparer to provide an identification number which in this case is a PTIN number. Under section 6109(c), the information required to identify a tax return preparer would be the same as a foreigner without a SSN. In other words a passport and/or ITIN number would be enough to identify a tax preparer. Section 6109(d)…

The creation of the IRS dates back to 1862, when President Lincoln established an income tax to pay for the Civil War. The IRS is a tax administrator under the Department of the Treasury. Their mission is to help American taxpayers understand and meet their tax responsibilities, and enforce the law with integrity and fairness to all. The Commissioner is the head of the agency, they must be appointed by the President and approved by the Senate. I choose the IRS because it is one of the most…