Question 1

Which of the following statements regarding secondary authorities is false?

Accepted Answer

A) In paper format,commercial tax services are organized either topically or by Code section. 
B) Commercial tax services provide legislative history of each Internal Revenue Code section. 
C) Only topically-organized commercial tax services provide a detailed topical index. 
D) The organization and content of the major topically-oriented services differs considerably. 
A) In paper format,commercial tax services are organized either topically or by Code section. 
B) Commercial tax services provide legislative history of each Internal Revenue Code section. 
C) Only topically-organized commercial tax services provide a detailed topical index. 
D) The organization and content of the major topically-oriented services differs considerably.

Question 2

Professional tax research conclusions should always be based on relevant secondary authority.

Accepted Answer

A) True 
 B)False

Question 3

Technical advice memoranda are considered primary authority for any taxpayer in a similar tax situation.

Accepted Answer

A) True 
 B)False

Question 4

The advantages of electronic tax research libraries do not include:

Accepted Answer

A) The ease with which such libraries can be updated for new developments. 
B) Portability. 
C) Speed of access and search. 
D) All of the above are advantages of electronic tax research libraries. 
A) The ease with which such libraries can be updated for new developments. 
B) Portability. 
C) Speed of access and search. 
D) All of the above are advantages of electronic tax research libraries.

Question 5

Which of the following is not a proper citation to an Internal Revenue Code section?

Accepted Answer

A) IRC 1001 
B) Sec.1001 
C) Section 1001 
D) §1001 
A) IRC 1001 
B) Sec.1001 
C) Section 1001 
D) §1001

Question 6

A keyword search in an electronic tax service:

Accepted Answer

A) Allows the researcher to combine words and phrases to define the search. 
B) Is identical to using the topical index in a paper service. 
C) Is not an efficient way to conduct tax research. 
D) Cannot be restricted to only a part or portion of the data base. 
A) Allows the researcher to combine words and phrases to define the search. 
B) Is identical to using the topical index in a paper service. 
C) Is not an efficient way to conduct tax research. 
D) Cannot be restricted to only a part or portion of the data base.

Question 7

Secondary authorities should always be cited when documenting tax research conclusions.

Accepted Answer

A) True 
 B)False

Question 8

A Citator may be used to determine the status of tax judicial decisions,revenue rulings,and revenue procedures.

Accepted Answer

A) True 
 B)False

Question 9

Which of the following is not a primary authority on which to base tax research conclusions?

Accepted Answer

A) U)S.District Court decision 
B) Editorial in the Wall Street Journal 
C) U)S.Court of Federal Claims decision 
D) Revenue procedure 
A) U)S.District Court decision 
B) Editorial in the Wall Street Journal 
C) U)S.Court of Federal Claims decision 
D) Revenue procedure

Question 10

If a trial court decision has been appealed and the appellate court reversed the trial court's decision,the trial court decision is considered authoritative.

Accepted Answer

A) True 
 B)False

Question 11

Tax research typically occurs as part of the tax compliance process; it is rarely important in tax planning.

Accepted Answer

A) True 
 B)False

Question 12

Effective tax research often omits the first two steps of the tax research process.

Accepted Answer

A) True 
 B)False

Question 13

Private letter rulings are authoritative only for the specific taxpayer to whom they are issued and cannot be relied on as authority by any other taxpayer.

Accepted Answer

A) True 
 B)False

Question 14

Which of the following statements does not accurately describe the tax research process?

Accepted Answer

A) A researcher may begin with any of the six steps in the process. 
B) The process is not linear because the researcher may have to repeat one or more of the steps before concluding the research. 
C) If a set of facts suggests multiple research questions,the researcher must decide on the order in which the questions should be answered. 
D) The last step in the process requires preparation of a written summary that communicates the researcher's conclusions. 
A) A researcher may begin with any of the six steps in the process. 
B) The process is not linear because the researcher may have to repeat one or more of the steps before concluding the research. 
C) If a set of facts suggests multiple research questions,the researcher must decide on the order in which the questions should be answered. 
D) The last step in the process requires preparation of a written summary that communicates the researcher's conclusions.

Question 15

Which of the following is not a secondary authority?

Accepted Answer

A) Tax Court Memorandum decision 
B) BNA Tax Management Portfolio 
C) United States Tax Reporter 
D) All of the above are secondary authorities 
A) Tax Court Memorandum decision 
B) BNA Tax Management Portfolio 
C) United States Tax Reporter 
D) All of the above are secondary authorities

Question 16

Find a tax glossary on any freely accessible Web site and provide the URL.Also find and provide a citation for the IRC section that defines the term gross income.
a.What is the tax glossary's definition of gross income?
b.How does the IRC define gross income?
c.Of the two definitions,which would a taxpayer without extensive tax knowledge find easier to understand? Why?
d.Which of the two definitions is relevant for a tax researcher? Why?

Accepted Answer

There are many possible answers to this

Question 17

The Citator is a rarely used,unimportant source of information about the status of judicial and administrative tax decisions.

Accepted Answer

A) True 
 B)False

Question 18

Which of the following statements regarding administrative authorities is false?

Accepted Answer

A) Private letter rulings are considered authoritative only for the taxpayer to whom they were issued. 
B) A technical advice memorandum is requested by a revenue agent or appeals officer during the examination or appeal of a taxpayer's return. 
C) Revenue procedures are considered secondary authority. 
D) Private letter rulings can only be obtained for a fee from the IRS. 
A) Private letter rulings are considered authoritative only for the taxpayer to whom they were issued. 
B) A technical advice memorandum is requested by a revenue agent or appeals officer during the examination or appeal of a taxpayer's return. 
C) Revenue procedures are considered secondary authority. 
D) Private letter rulings can only be obtained for a fee from the IRS.

Question 19

Treasury regulations are considered statutory authority.

Accepted Answer

A) True 
 B)False

Question 20

Which of the following is not a primary authority?

Accepted Answer

A) Internal Revenue Code 
B) Treasury regulations 
C) Revenue Procedure 
D) Tax textbook 
A) Internal Revenue Code 
B) Treasury regulations 
C) Revenue Procedure 
D) Tax textbook

Which of the following statements regarding secondary authorities is false?

Professional tax research conclusions should always be based on relevant secondary authority.

Technical advice memoranda are considered primary authority for any taxpayer in a similar tax situation.

The advantages of electronic tax research libraries do not include:

Which of the following is not a proper citation to an Internal Revenue Code section?

A keyword search in an electronic tax service:

Secondary authorities should always be cited when documenting tax research conclusions.

A Citator may be used to determine the status of tax judicial decisions,revenue rulings,and revenue procedures.

Which of the following is not a primary authority on which to base tax research conclusions?

If a trial court decision has been appealed and the appellate court reversed the trial court's decision,the trial court decision is considered authoritative.

Tax research typically occurs as part of the tax compliance process; it is rarely important in tax planning.

Effective tax research often omits the first two steps of the tax research process.

Private letter rulings are authoritative only for the specific taxpayer to whom they are issued and cannot be relied on as authority by any other taxpayer.

Which of the following statements does not accurately describe the tax research process?

Which of the following is not a secondary authority?

The Citator is a rarely used,unimportant source of information about the status of judicial and administrative tax decisions.

Which of the following statements regarding administrative authorities is false?

Treasury regulations are considered statutory authority.

Which of the following is not a primary authority?

Taxes and Taxing Jurisdictions

Policy Standards for a Good Tax

Taxes As Transaction Costs

Maxims of Income Tax Planning

Taxable Income From Business Operations

Property Acquisitions and Cost Recovery Deductions

Property Dispositions

Nontaxable Exchanges

Sole Proprietorships, partnerships, llcs, and S Corporations

The Corporate Taxpayer

The Choice of Business Entity

Jurisdictional Issues in Business Taxation

The Individual Tax Formula

Compensation and Retirement Planning

Investment and Personal Financial Planning

Tax Consequences of Personal Activities

The Tax Compliance Process

Filters

Exam 5: Tax Research

Which of the following statements regarding secondary authorities is false?

Professional tax research conclusions should always be based on relevant secondary authority.

Technical advice memoranda are considered primary authority for any taxpayer in a similar tax situation.

The advantages of electronic tax research libraries do not include:

Which of the following is not a proper citation to an Internal Revenue Code section?

A keyword search in an electronic tax service:

Secondary authorities should always be cited when documenting tax research conclusions.

A Citator may be used to determine the status of tax judicial decisions,revenue rulings,and revenue procedures.

Which of the following is not a primary authority on which to base tax research conclusions?

If a trial court decision has been appealed and the appellate court reversed the trial court's decision,the trial court decision is considered authoritative.

Tax research typically occurs as part of the tax compliance process; it is rarely important in tax planning.

Effective tax research often omits the first two steps of the tax research process.

Private letter rulings are authoritative only for the specific taxpayer to whom they are issued and cannot be relied on as authority by any other taxpayer.

Which of the following statements does not accurately describe the tax research process?

Which of the following is not a secondary authority?

The Citator is a rarely used,unimportant source of information about the status of judicial and administrative tax decisions.

Which of the following statements regarding administrative authorities is false?

Treasury regulations are considered statutory authority.

Which of the following is not a primary authority?

Taxes and Taxing Jurisdictions

Policy Standards for a Good Tax

Taxes As Transaction Costs

Maxims of Income Tax Planning

Taxable Income From Business Operations

Property Acquisitions and Cost Recovery Deductions

Property Dispositions

Nontaxable Exchanges

Sole Proprietorships, partnerships, llcs, and S Corporations

The Corporate Taxpayer

The Choice of Business Entity

Jurisdictional Issues in Business Taxation

The Individual Tax Formula

Compensation and Retirement Planning

Investment and Personal Financial Planning

Tax Consequences of Personal Activities

The Tax Compliance Process

Filters