Question 1

What is the purpose of a citator?

Accepted Answer

Citators give a history of the

Question 2

Which of the following statements about the Statements on Standards for Tax Services is true?

Accepted Answer

A) A CPA is never allowed to use a taxpayer's estimates when preparing a tax return. 
B) The CPA must tell the IRS upon becoming aware that an error has been made on a past tax return. 
C) The CPA may in good faith rely on information provided by the taxpayer,without verifying the reliability of that information if reasonable inquiries are made where the information furnished appears to be incorrect. 
D) The CPA should not recommend that a taxpayer take a certain position if there is any doubt as to whether the position would be approved by the IRS upon audit. 
A) A CPA is never allowed to use a taxpayer's estimates when preparing a tax return. 
B) The CPA must tell the IRS upon becoming aware that an error has been made on a past tax return. 
C) The CPA may in good faith rely on information provided by the taxpayer,without verifying the reliability of that information if reasonable inquiries are made where the information furnished appears to be incorrect. 
D) The CPA should not recommend that a taxpayer take a certain position if there is any doubt as to whether the position would be approved by the IRS upon audit.

Question 3

Discuss the conflict between advocacy for a client and responsibility to the IRS.

Accepted Answer

The CPA's primary duty is to his or her

Question 4

Identify which of the following statements is false.

Accepted Answer

A) Regular and memorandum decisions of the Tax Court are published by the government in the Tax Court of the United States Reports. 
B) The citation Cristofani,97 T.C.74 (1991)indicates that the decision is a regular decision of the Tax Court. 
C) The citation Estate of Newhouse,94 T.C.193 (1990),nonacq.1991-1 C.B.1 indicates that the IRS did not formally disagree with this 1990 Tax Court decision until 1991. 
D) The Board of Tax Appeals preceded the Tax Court. 
A) Regular and memorandum decisions of the Tax Court are published by the government in the Tax Court of the United States Reports. 
B) The citation Cristofani,97 T.C.74 (1991)indicates that the decision is a regular decision of the Tax Court. 
C) The citation Estate of Newhouse,94 T.C.193 (1990),nonacq.1991-1 C.B.1 indicates that the IRS did not formally disagree with this 1990 Tax Court decision until 1991. 
D) The Board of Tax Appeals preceded the Tax Court.

Question 5

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 6

Describe the appeals process in tax litigation.

Accepted Answer

Appeals from Tax Court and U.S.district

Question 7

Title 26 of the U.S.Code includes

Accepted Answer

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

Question 8

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 9

Assume that the Tax Court decided an expenditure in question was deductible.The government appealed to the Fifth Circuit,which reversed the decision and held it was not deductible.No other circuits have ruled on the issue.
A new case has just been filed in the Tax Court.How will the Tax Court rule if this new case is appealable to the Tenth Circuit? Would your answer be different if the case was appealable to the Fifth Circuit?

Accepted Answer

The Golsen rule provides that the Tax Co

Question 10

Describe the format of a client memo.

Accepted Answer

A client memo should include a statement

Question 11

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 12

Identify which of the following statements is false.

Accepted Answer

A) The U.S.Tax Court must follow the previous decisions of the U.S.District Court for the district in which the taxpayer lives. 
B) The U.S.Tax Court follows the previous decisions of the U.S.Court of Appeals to which the tax matter is appealable. 
C) The opportunity for "forum shopping" occurs when different precedents on the same point exist. 
D) The U.S.Tax Court may intentionally issue conflicting decisions. 
A) The U.S.Tax Court must follow the previous decisions of the U.S.District Court for the district in which the taxpayer lives. 
B) The U.S.Tax Court follows the previous decisions of the U.S.Court of Appeals to which the tax matter is appealable. 
C) The opportunity for "forum shopping" occurs when different precedents on the same point exist. 
D) The U.S.Tax Court may intentionally issue conflicting decisions.

Question 13

The primary citation for a federal circuit court of appeals case would be

Accepted Answer

A) 40 AFTR 2d 78-1234. 
B) 44 F.Supp.403. 
C) 3 F.3d 134. 
D) 79-2 USTC & 9693. 
A) 40 AFTR 2d 78-1234. 
B) 44 F.Supp.403. 
C) 3 F.3d 134. 
D) 79-2 USTC & 9693.

Question 14

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

Exam 1: Tax Research

What is the purpose of a citator?

Which of the following statements about the Statements on Standards for Tax Services is true?

Discuss the conflict between advocacy for a client and responsibility to the IRS.

Identify which of the following statements is false.

Identify which of the following statements is false.

Describe the appeals process in tax litigation.

Title 26 of the U.S.Code includes

A citator is used to find

Describe the format of a client memo.

Identify which of the following statements is false.

Identify which of the following statements is false.

The primary citation for a federal circuit court of appeals case would be

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?

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

Ustaxation of Foreign-Related Transactions

An Introduction to Taxation

Determination of Tax

Gross Income: Inclusions

Gross Income: Exclusions

Property Transactions: Capital Gains and Losses

Deductions and Losses

Itemized Deductions

Losses and Bad Debts

Employee Expenses and Deferred Compensation

Depreciation, cost Recovery, amortization, and Depletion

Accounting Periods and Methods

Property Transactions: Nontaxable Exchanges

Property Transactions: Sec1231 and Recapture

Special Tax Computation Methods, tax Credits, and Payment of Tax

Tax Research

Corporations

Partnerships and S Corporations

Taxes and Investment Planning

Filters