Accounting Final pt 2

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  1. Filing requirments for most people
    is the sum of the standard deduction and the personal exemptions (filing statuds and personal exemptions)
  2. Filing requirments for children and other dependents
    • 1 Undarned income of $1 or more and total income >800 must file a return
    • 2 No unearned income and total income>5000 must file a return
    • -other (self employed; other taxes etc)
    • -self-employed; if get paid in cash, if make more than 400 of self employment earnings must file a retun
  3. examples unearned income are
    dividends, interest, royalties etc
  4. Filing dead line for individuals and partnership
    • - April 15 – the actual deadline for individuals and partnership
    • - August 15 – if file 4868 get an extension until August 15 to file
    • - October 15 – if file 2688 get extension until October 15
  5. Filing deadlines for corps and individual and partnerships
    • Corporations
    • Due: March 15
    • Extension: September 15

    • Individuals and Partnerships
    • Due: April 15
    • August 15
    • October 15
  6. Filing status of single
    if unmarried as of 12/31
  7. Filing status Married filing jointly
    married as of 12/31; pay the least amount of tax
  8. Filing status Married filing seperatly;
    married people choose to file 2 instead of 1, no point in filing 2 in LA because there considered to make equal salary per year
  9. Filing status Head ofhousehold
    favorable for single parents, unmarried as of 12/31, maintain a household for a child, single parents
  10. Filing Status Surviving spouse
    2 years after spouse year of spouse's death
  11. Standard Deduction for Single, married filing joint, married filing seperate, head of household, and qulifying wido(er) and additional amounts for old age and blindness
  12. gross income is
    the taxable items of income
  13. when is alomony taxable
    if it is recieved
  14. is amounts recovered after being deducted in prior years; state income tax taxable?
  15. TOF Awards are not taxable
    False, awards are taxable
  16. why are bonuses taxable?
    because they are taxed just like any other salary
  17. is Compensation for servicies taxable?
    yes, if you did work for someoen it is taxable
  18. is Debit Cancelation taxable
    yes, if a bank forgives debt, that is considered an income
  19. for dividends the maximum tax rate is...
  20. are Employee benefits taxable
    yes, if company discriminates on who they offer their services is taxable
  21. TOF Gains from ilegal activites are taxable
  22. TOF Gabling winnings is not taxable
  23. what's an example of taxable hobby income
    amature photographer and sell pictures
  24. some other examples of taxable income
    Interst, prizes, rewards royalties scholarships (room and board) social secerty benefits, tips and unemployment compensation
  25. does partnerships have to pay taxes
    no, but the partenrs have to pay taxes on the partneship's income
  26. the solution to paying taxes on retirement pay
    plan ahead to pay for retirment and also plan ahead to pay for tax on retirmetn
  27. are Child support payment taxable?
    not taxable to the recipient nor are they deductible by the payer
  28. are damages for personal physical injury; notmentail taxable?
  29. are disability benefits taxable?
    no disability benefits are not taxable
  30. what are fringe benefits?
    employee benefits provided by the employer; if nondiscriminitory; examples fre parking, on-site fitness club membership, up to 50,000 of life insurance, health insurance problems
  31. are Fringe beneftis taxable?
    no Fringe benefits are not taxable
  32. are gifts taxable?
    Gifts: "gift tax" paid by donor are not taxable
  33. what are Health insurance proceeds?
    reimbursed for medical claim unless deducted at a prior period
  34. are Health Insurance proceeds taxable?
  35. is Inheritance taxable?
  36. is Life insurance proceeds taxable?
    no, it is tax free to reciepient upon death of the insured
  37. is Municipal bond interst taxable?
  38. Are scholarships (tutition, books, supplies: taxable?
    to the extent used for tuition, fees, books and supplies; if any used for room and board, it is taxable
  39. are social security benefits taxable?
    at leasst 15% is nontaxable, and may be 100%
Card Set
Accounting Final pt 2
second party of Accounting cards for final
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