Question 1

What is the purpose of Treasury Regulations?

Accepted Answer

The Treasury Department issues regulatio

Question 2

The committee that is responsible for holding hearings on tax legislation for the House of Representatives is the

Accepted Answer

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

Question 3

Indicate which courts decided the case cited below. Also indicate on which pages and in which publications the authority is reported.
U.S. v. Maclin P. Davis, 397 U.S. 301, 25 AFTR 2d 70-827, 70-1 USTC & 9289 (1970).

Accepted Answer

This case appears in Vol. 397, page 301,

Question 4

Identify which of the following statements is false.

Accepted Answer

A) The number "5" in the citation Reg. Sec. 1.166-5 refers to the paragraph number. 
B) The Cumulative Bulletin is issued semiannually while the Internal Revenue Bulletin is issued weekly. 
C) The citation Rev. Rul. 2006-5, I.R.B. 2006-1, 33, indicates that the revenue ruling can be found on page 33 of the 1st I.R.B. for 2006. 
D) All of the above are false. 
A) The number "5" in the citation Reg. Sec. 1.166-5 refers to the paragraph number. 
B) The Cumulative Bulletin is issued semiannually while the Internal Revenue Bulletin is issued weekly. 
C) The citation Rev. Rul. 2006-5, I.R.B. 2006-1, 33, indicates that the revenue ruling can be found on page 33 of the 1st I.R.B. for 2006. 
D) All of the above are false.

Question 5

Under what circumstances might a tax advisor find the provisions of a tax treaty useful?

Accepted Answer

A tax advisor might consult th

Question 6

When a taxpayer contacts a tax advisor requesting advice as to the most advantageous way to dispose of a stock, the tax advisor is faced with

Accepted Answer

A) a restricted-fact situation. 
B) a closed-fact situation. 
C) an open-fact situation. 
D) a recognized-fact situation. 
A) a restricted-fact situation. 
B) a closed-fact situation. 
C) an open-fact situation. 
D) a recognized-fact situation.

Question 7

Identify which of the following statements is false.

Accepted Answer

A) Letter rulings are not published by the U.S. Government Printing Office. 
B) Technical advice memoranda are issued by the Internal Revenue Service's National Office to provide an answer to a technical question that arises in an audit. 
C) The citation Ann. 2006-12, I.R.B. 2006-51, 22 refers to an annotation of an Internal Revenue Service release. 
D) Announcements are more technical than information releases. 
A) Letter rulings are not published by the U.S. Government Printing Office. 
B) Technical advice memoranda are issued by the Internal Revenue Service's National Office to provide an answer to a technical question that arises in an audit. 
C) The citation Ann. 2006-12, I.R.B. 2006-51, 22 refers to an annotation of an Internal Revenue Service release. 
D) Announcements are more technical than information releases.

Question 8

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 9

When a court discusses issues not raised by the facts, the comments

Accepted Answer

A) are excluded from the formal court opinion. 
B) may be referenced by the parties in other cases having the same facts. 
C) are not dicta. 
D) will cause the court's decision to be declared invalid. 
A) are excluded from the formal court opinion. 
B) may be referenced by the parties in other cases having the same facts. 
C) are not dicta. 
D) will cause the court's decision to be declared invalid.

Question 10

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

Question 11

Which of the following is secondary authority?

Accepted Answer

A) Internal Revenue Code 
B) Treasury Regulations 
C) RIA and CCH tax services 
D) Revenue Ruling 
A) Internal Revenue Code 
B) Treasury Regulations 
C) RIA and CCH tax services 
D) Revenue Ruling

Question 12

Which of the following statements regarding proposed regulations is not correct?

Accepted Answer

A) Proposed regulations expire after three years. 
B) Practitioners and other interested parties may comment on proposed regulations. 
C) Proposed and temporary regulations are generally issued simultaneously. 
D) Proposed regulations do not provide any insight into the IRS's interpretation of the tax law. 
A) Proposed regulations expire after three years. 
B) Practitioners and other interested parties may comment on proposed regulations. 
C) Proposed and temporary regulations are generally issued simultaneously. 
D) Proposed regulations do not provide any insight into the IRS's interpretation of the tax law.

Question 13

A client wants to take a tax return position with less than a 10% probability of being upheld in court. The CPA should

Accepted Answer

A) take the client's desired position, but not sign the tax return. 
B) inform the client that the position does not have a realistic possibility of success. 
C) ask the client to sign a waiver of his right to sue the CPA in the event the IRS disallows the position. 
D) take the client's desired position and sign the return as usual. 
A) take the client's desired position, but not sign the tax return. 
B) inform the client that the position does not have a realistic possibility of success. 
C) ask the client to sign a waiver of his right to sue the CPA in the event the IRS disallows the position. 
D) take the client's desired position and sign the return as usual.

Question 14

What is the minimum information that should be contained in a citation?

Accepted Answer

A citation should contain, at a minimum,

Question 15

Identify which of the following statements is true.

Accepted Answer

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

Question 16

A citator is used to find

Accepted Answer

A) the judicial history of a case. 
B) the cases that have cited a case subsequent to the issuance of the opinion. 
C) whether a case has been overturned. 
D) all of the above. 
A) the judicial history of a case. 
B) the cases that have cited a case subsequent to the issuance of the opinion. 
C) whether a case has been overturned. 
D) all of the above.

Question 17

Identify which of the following statements is true.

Accepted Answer

A) Tax planning is an integral part of both closed-fact situations and open-fact situations. 
B) The first step in conducting tax research is to clearly understand the issues involved. 
C) The Statements on Standards for Tax Services recommend that only written tax advice be provided to the client in all situations. 
D) All of the above are false. 
A) Tax planning is an integral part of both closed-fact situations and open-fact situations. 
B) The first step in conducting tax research is to clearly understand the issues involved. 
C) The Statements on Standards for Tax Services recommend that only written tax advice be provided to the client in all situations. 
D) All of the above are false.

Question 18

When the House and Senate versions of a tax bill are not in agreement, the disagreements are resolved by the

Accepted Answer

A) Ways and Means Committee. 
B) Mediation Committee. 
C) Revenue Committee. 
D) Conference Committee. 
A) Ways and Means Committee. 
B) Mediation Committee. 
C) Revenue Committee. 
D) Conference Committee.

Question 19

Are letter rulings of precedential value to third parties?

Accepted Answer

Not really. A letter ruling is binding o

Question 20

Describe the format of a client memo.

Accepted Answer

A client memo should include a statement

What is the purpose of Treasury Regulations?

The committee that is responsible for holding hearings on tax legislation for the House of Representatives is the

Indicate which courts decided the case cited below. Also indicate on which pages and in which publications the authority is reported. U.S. v. Maclin P. Davis, 397 U.S. 301, 25 AFTR 2d 70-827, 70-1 USTC & 9289 (1970).

Identify which of the following statements is false.

Under what circumstances might a tax advisor find the provisions of a tax treaty useful?

When a taxpayer contacts a tax advisor requesting advice as to the most advantageous way to dispose of a stock, the tax advisor is faced with

Identify which of the following statements is false.

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.

When a court discusses issues not raised by the facts, the comments

A tax bill introduced in the House of Representatives is then

Which of the following is secondary authority?

Which of the following statements regarding proposed regulations is not correct?

A client wants to take a tax return position with less than a 10% probability of being upheld in court. The CPA should

What is the minimum information that should be contained in a citation?

Identify which of the following statements is true.

A citator is used to find

Identify which of the following statements is true.

When the House and Senate versions of a tax bill are not in agreement, the disagreements are resolved by the

Are letter rulings of precedential value to third parties?

Describe the format of a client memo.

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

Us Taxation of Foreign-Related Transactions

Filters

Exam 1: Tax Research

What is the purpose of Treasury Regulations?

The committee that is responsible for holding hearings on tax legislation for the House of Representatives is the

Indicate which courts decided the case cited below. Also indicate on which pages and in which publications the authority is reported. U.S. v. Maclin P. Davis, 397 U.S. 301, 25 AFTR 2d 70-827, 70-1 USTC & 9289 (1970).

Identify which of the following statements is false.

Under what circumstances might a tax advisor find the provisions of a tax treaty useful?

When a taxpayer contacts a tax advisor requesting advice as to the most advantageous way to dispose of a stock, the tax advisor is faced with

Identify which of the following statements is false.

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.

When a court discusses issues not raised by the facts, the comments

A tax bill introduced in the House of Representatives is then

Which of the following is secondary authority?

Which of the following statements regarding proposed regulations is not correct?

A client wants to take a tax return position with less than a 10% probability of being upheld in court. The CPA should

What is the minimum information that should be contained in a citation?

Identify which of the following statements is true.

A citator is used to find

Identify which of the following statements is true.

When the House and Senate versions of a tax bill are not in agreement, the disagreements are resolved by the

Are letter rulings of precedential value to third parties?

Describe the format of a client memo.

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

Us Taxation of Foreign-Related Transactions

Filters