Question 1

Identify which of the following statements is true.

Accepted Answer

A)  An annotated tax service is organized by broad subject areas. 
B)  RIA United States Tax Reporter and CCH Standard Federal Tax Reporter are topical tax services. 
C)  Annotations are summaries of IRS pronouncements and court opinions. 
D)  All of the above are false. 
A)  An annotated tax service is organized by broad subject areas. 
B)  RIA United States Tax Reporter and CCH Standard Federal Tax Reporter are topical tax services. 
C)  Annotations are summaries of IRS pronouncements and court opinions. 
D)  All of the above are false.

Question 2

Which of the following steps, related to a tax bill, occurs first?

Accepted Answer

A)  consideration by the Senate Finance Committee 
B)  consideration by the House Ways and Means Committee 
C)  signature or veto by the President of the United States 
D)  consideration by the entire Senate 
A)  consideration by the Senate Finance Committee 
B)  consideration by the House Ways and Means Committee 
C)  signature or veto by the President of the United States 
D)  consideration by the entire Senate

Question 3

According to the Statements on Standards for Tax Services, if a CPA believes that a client's prior- year tax return contains false information, the CPA should report this to the

Accepted Answer

A)  AICPA. 
B)  SEC. 
C)  IRS. 
D)  None of the above. The CPA does not report the false information to any external agencies, unless required by law. 
A)  AICPA. 
B)  SEC. 
C)  IRS. 
D)  None of the above. The CPA does not report the false information to any external agencies, unless required by law.

Question 4

Identify which of the following statements is false.

Accepted Answer

A)  Records of committee hearings are helpful in determining Congressional intent. 
B)  Members from both the House and the Senate are on the Conference Committee. 
C)  When tax advisors speak of the "tax law," they usually have in mind just the Internal Revenue Code. 
D)  All of the above are false. 
A)  Records of committee hearings are helpful in determining Congressional intent. 
B)  Members from both the House and the Senate are on the Conference Committee. 
C)  When tax advisors speak of the "tax law," they usually have in mind just the Internal Revenue Code. 
D)  All of the above are false.

Question 5

In 1998, Congress passed legislation concerning shifting the burden of proof to the IRS. The taxpayer must introduce "credible evidence" to shift the burden of proof to the IRS. What constitutes "credible evidence?"

Accepted Answer

The term is not defined in the IRC. Beca

Question 6

Explain the legislative reenactment doctrine.

Accepted Answer

Under the legislative reenactment doctri

Question 7

The Tax Court decides an expenditure is deductible in the year the issue was first litigated. The government appealed and won a reversal in the Ninth Circuit Court of Appeals. It is the only appellate decision regarding the issue. If and when the Tax Court encounters this issue again, how will it hold?

Accepted Answer

The Tax Court will hold that t

Question 8

A tax bill introduced in the House of Representatives is then

Accepted Answer

A)  referred to the House Ways and Means Committee for hearings and approval. 
B)  referred to the entire House for hearings. 
C)  forwarded to the Senate Finance Committee for consideration. 
D)  voted upon by the entire House. 
A)  referred to the House Ways and Means Committee for hearings and approval. 
B)  referred to the entire House for hearings. 
C)  forwarded to the Senate Finance Committee for consideration. 
D)  voted upon by the entire House.

Question 9

Which of the following is a true statement regarding primary authority of tax law?

Accepted Answer

A)  Primary authority includes the Code, as well as administrative and judicial interpretations. 
B)  The Bloomberg BNA Daily Tax Reporter is a source of primary tax authority. 
C)  Tax services are sources of primary tax authority. 
D)  Articles in The Journal of Taxation are viewed as primary authority. 
A)  Primary authority includes the Code, as well as administrative and judicial interpretations. 
B)  The Bloomberg BNA Daily Tax Reporter is a source of primary tax authority. 
C)  Tax services are sources of primary tax authority. 
D)  Articles in The Journal of Taxation are viewed as primary authority.

Question 10

Which of the following citations is the primary citation for a U.S. District Court case?

Accepted Answer

A)  40 F.Supp. 453 
B)  43 AFTR 2d 79- 1023 
C)  55 F.2d 930 
D)  79- 1 USTC &9323 
A)  40 F.Supp. 453 
B)  43 AFTR 2d 79- 1023 
C)  55 F.2d 930 
D)  79- 1 USTC &9323

Question 11

Regulations issued prior to the latest tax legislation dealing with a specific Code section are still effective to the extent they do not conflict with the provisions in the new legislation.

Accepted Answer

A) True 
 B)False

Question 12

A Technical Advice Memorandum is usually

Accepted Answer

A)  issued by the national office in response to an audit request. 
B)  an internal IRS document describing alternative legislative proposals. 
C)  requested by the taxpayer before entering into a taxable transaction. 
D)  part of a Tax Court decision. 
A)  issued by the national office in response to an audit request. 
B)  an internal IRS document describing alternative legislative proposals. 
C)  requested by the taxpayer before entering into a taxable transaction. 
D)  part of a Tax Court decision.

Question 13

Title 26 of the U.S. Code includes

Accepted Answer

A)  income tax legislation only. 
B)  alcohol and tobacco tax legislation only. 
C)  gift tax and estate tax legislation only. 
D)  all of the tax legislation mentioned above. 
A)  income tax legislation only. 
B)  alcohol and tobacco tax legislation only. 
C)  gift tax and estate tax legislation only. 
D)  all of the tax legislation mentioned above.

Question 14

Discuss the differences and similarities between regular and memorandum decisions issued by the U.S. Tax Court.

Accepted Answer

Differences:
1) Regular decisions involv

Question 15

The number appearing immediately following the decimal place in a regulation citation refers to the

Accepted Answer

A)  general subject matter of the regulation. 
B)  sequential number of the regulation. 
C)  subsection of the Code section being interpreted. 
D)  Code section being interpreted. 
A)  general subject matter of the regulation. 
B)  sequential number of the regulation. 
C)  subsection of the Code section being interpreted. 
D)  Code section being interpreted.

Question 16

A citator enables tax researchers to locate authorities (e.g., cases and IRS pronouncements) that have cited a particular case.

Accepted Answer

A) True 
 B)False

Question 17

According to the Statements on Standards for Tax Services, what belief should a CPA have before taking a pro- taxpayer position on a tax return?

Accepted Answer

The CPA should have a good faith belief

Question 18

The Senate equivalent of the House Ways and Means Committee is the Senate

Accepted Answer

A)  Ways and Means Committee. 
B)  Joint Conference Committee. 
C)  Tax Committee. 
D)  Finance Committee. 
A)  Ways and Means Committee. 
B)  Joint Conference Committee. 
C)  Tax Committee. 
D)  Finance Committee.

Question 19

A jury trial is permitted in the

Accepted Answer

A)  U.S. Tax Court. 
B)  U.S. Tax Court when the small case procedures are used. 
C)  U.S. District Court. 
D)  U.S. Court of Federal Claims. 
A)  U.S. Tax Court. 
B)  U.S. Tax Court when the small case procedures are used. 
C)  U.S. District Court. 
D)  U.S. Court of Federal Claims.

Question 20

Compare and contrast proposed, temporary, and final regulations.

Accepted Answer

Proposed regulations are not authoritati

Identify which of the following statements is true.

Which of the following steps, related to a tax bill, occurs first?

According to the Statements on Standards for Tax Services, if a CPA believes that a client's prior- year tax return contains false information, the CPA should report this to the

Identify which of the following statements is false.

In 1998, Congress passed legislation concerning shifting the burden of proof to the IRS. The taxpayer must introduce "credible evidence" to shift the burden of proof to the IRS. What constitutes "credible evidence?"

Explain the legislative reenactment doctrine.

A tax bill introduced in the House of Representatives is then

Which of the following is a true statement regarding primary authority of tax law?

Which of the following citations is the primary citation for a U.S. District Court case?

Regulations issued prior to the latest tax legislation dealing with a specific Code section are still effective to the extent they do not conflict with the provisions in the new legislation.

A Technical Advice Memorandum is usually

Title 26 of the U.S. Code includes

Discuss the differences and similarities between regular and memorandum decisions issued by the U.S. Tax Court.

The number appearing immediately following the decimal place in a regulation citation refers to the

A citator enables tax researchers to locate authorities (e.g., cases and IRS pronouncements) that have cited a particular case.

According to the Statements on Standards for Tax Services, what belief should a CPA have before taking a pro- taxpayer position on a tax return?

The Senate equivalent of the House Ways and Means Committee is the Senate

A jury trial is permitted in the

Compare and contrast proposed, temporary, and final regulations.

Corporate Formations and Capital Structure

The Corporate Income Tax

Corporate Nonliquidating Distributions

Other Corporate Tax Levies

Corporate Liquidating Distributions

Corporate Acquisitions and Reorganizations

Consolidated Tax Returns

Partnership Formation and Operation

Special Partnership Issues

S Corporations

The Gift Tax

The Estate Tax

Income Taxation of Trusts and Estates

Administrative Procedures

U.S. Taxation of Foreign-Related Transactions

Filters

Exam 1: Tax Research

Identify which of the following statements is true.

Which of the following steps, related to a tax bill, occurs first?

According to the Statements on Standards for Tax Services, if a CPA believes that a client's prior- year tax return contains false information, the CPA should report this to the

Identify which of the following statements is false.

In 1998, Congress passed legislation concerning shifting the burden of proof to the IRS. The taxpayer must introduce "credible evidence" to shift the burden of proof to the IRS. What constitutes "credible evidence?"

Explain the legislative reenactment doctrine.

A tax bill introduced in the House of Representatives is then

Which of the following is a true statement regarding primary authority of tax law?

Which of the following citations is the primary citation for a U.S. District Court case?

Regulations issued prior to the latest tax legislation dealing with a specific Code section are still effective to the extent they do not conflict with the provisions in the new legislation.

A Technical Advice Memorandum is usually

Title 26 of the U.S. Code includes

Discuss the differences and similarities between regular and memorandum decisions issued by the U.S. Tax Court.

The number appearing immediately following the decimal place in a regulation citation refers to the

A citator enables tax researchers to locate authorities (e.g., cases and IRS pronouncements) that have cited a particular case.

According to the Statements on Standards for Tax Services, what belief should a CPA have before taking a pro- taxpayer position on a tax return?

The Senate equivalent of the House Ways and Means Committee is the Senate

A jury trial is permitted in the

Compare and contrast proposed, temporary, and final regulations.

Corporate Formations and Capital Structure

The Corporate Income Tax

Corporate Nonliquidating Distributions

Other Corporate Tax Levies

Corporate Liquidating Distributions

Corporate Acquisitions and Reorganizations

Consolidated Tax Returns

Partnership Formation and Operation

Special Partnership Issues

S Corporations

The Gift Tax

The Estate Tax

Income Taxation of Trusts and Estates

Administrative Procedures

U.S. Taxation of Foreign-Related Transactions

Filters