Roger's Stuff Flashcards
(34 cards)
For AGI Adjustments
I EMBRACED ED/HEALTH/FARMS I-Interest on Student Loans-2500 E-Employment Tax-50%, Med Premiums-100% M-Moving Expenses B-Business Expense (Sch C) R-Rent/Royalty & Flow Through Entities (Shc E) A-Alimony (CANNOT) C-Contributions to Retirement (KEOGH/IRA) E-Early Withdrawal Penalty D-Jury Duty Pay Education-4000 Health Savings Accounts Farm Income (Sch F)
Itemized (Sch A) Deductions
COMMIT C-Charitable Contributions O-Other Misc M-Misc Other Expenses (2%) M-Medical Expenses I-Interest T-Taxes T-Theft or Casualty
Requirements to Deduct Alimony Paid?
CANNOT C-Cash Only (Not Property) A-Apart when payments are made (Not living together) N-Not Child Support N-Not Designated as property settlement O-Own return for payer/payee T-Terminates on death of recipient
Requirements to be a dependent?
C-IRS-Jack you up
C-Citizen
I-Income (Limited to personal exemption amount)
R-Relationship or unrelated and living with all year
S-Support over 50%
J-No Joint return with spouse
AMT Individuals Calculation
Regular Taxable Income \+/- Adj and preferences =AMTI before Exemption -Exemption =AMTI * Tax Rate (26%/28%) =Tentative minimum tax -Regular Tax \+AMT
AMT Adjustments?
SIMPLE-PIE
S-Standard Deduction NO
I-Interest on home equity loans for cash NO
M-Medical Exp under 10% of AGI NO
P-Personal and dependent exemptions NO
L-Local and State Inc, property and sales tax NO
E-Employee bus exp, Tax prep, Invest exp (2%) NO
TAX PREFERENCES
P-Private activity bond interest-Fully Taxable
I-Incentive stock options (Exercise market price)
E-Excess Depreciation on personal property (150%vsDDB)
Required to file a Registration Statement and Prospectus when?
SPIN S-offer Securities P-Public Issue (Large # of People) I-Interstate Commerce N-No other exemption is available GRIND G-Govt Securities R-Regulated Companies I-Insurance Contracts N-Non-Profit Orgs D-Debt to be paid w/in 9 Mo of borrowing
Exemptions for filing Registration Statement and Prospectus?
ACID-BRAINS
A-reg A-Small offerings
C-Commercial Paper (=<9mo)
I-Intrastate offerings-At least 80% sales in state.
D-reg D-Private Placement Offerings (504,505,506)
B-Brokerage Transactions
R-Regulated Industries
A-Agencies of the Govt (RR, Muni Bonds)
I-Insurance Contracts/Polices-Not stock in Ins Co.
N-Not for Profit
S-Stock Dividends and Splits-No Commission Pd.
Who can Sue? Plaintiff/Purchaser must prove?
MILE
M-Material Misstatement or Omission
I-Info in the Fin Smts was the cause of harm
L-Loss-Must have suffered financial loss because of info
E-Error caused by breach/non-performance.
A partnership formation is required to be in writing if…?
GROSS
G-sale of Goods is worth $500 or more
R-Real Estate Sales
O-Over one year is required to perform contract
S-Suretyship (Cosign)
S-Statements in consideration of marriage
In a partnership unanimous consent is required for…?
AGAST
A-Admitting new partner
G-Guaranteeing the debts of a 3rd party
A-Admitting or submitting a legal claim in court
S-Sale or pledge of partnership assets
T-Third parties are notified of a limit to the partners actual authority.
Corporate Income Tax Return (1120)
Gross Income (Worldwide) -Ordinary Deductions =Income before "Special Deductions" -Charitable Deductions -Dividend Received Deductions =Taxable Income *Tax Rate =Gross Tax Liability -Foreign Tax Credit =Regular Tax Liability \+Personal Holding Company Tax \+Accumulated Earnings Tax \+Alternative Minimum Tax =Total Tax Liability
Corporate AMT?
Regular Taxable Income \+/- Adj and Pref =AMTI before ACE Adj \+/-Adj Current Earnings (ACE) Adj =AMTI *Tax Rate =Tentative Minimum Tax -Regular Tax =AMT
What are the Adj and Pref for Corp AMT?
PILE
P-Private Activity Bonds
I-Installment sales of Inv (diff between accrual and…)
L-L/T contract inc calculated w/ % Completion
E-Excess deprec. on personal property-150% over DDB
What are the ACE (Adj Current Earnings) adjustment additions?
SLIM
S-70% DRD on dividends from unrelated corps
LI-Life Insurance proceeds on death of key employee
M-Muni Bond interest
What are the exceptions to the in writing rule of the statute of frauds when a change in contract puts the sale above $500?
SPAM
S-Specially Manufactured goods at request of buyer
P-Performance of contract already occurred (full or part)
A-Admitted in court by defendant
M-Merchant goods not objecting to written confirmation within 10 days is treated as signed.
What are the real defenses against liability? Invalidity of the paper iteslf.
FABLE
F-Forgery-Defendant didn’t sign the instrument at all
A-Alteration-Amount has been altered w/o permission
B-Bankruptcy discharge-the court has formally discharged the defendant form their obligation under the not.
L-Lack of Capacity-Minor or extreme duress
E-Execution fraud/Extreme duress-Deceived into signing.
What are the personal defenses against liability? Instrument creator wronged.
BUILD B-Breach of contract U-Unauthorized completion I-Inducement of Fruad L-Lack of Consideration D-Duress
What are the requirements of negotiability?
COUPONS C-Certain amount of money O-Order or Bearer U-Unconditional Promise to Pay P-Payment in Money ON-ON Demand or specific time S-Signed by creator of instrument
What are the avoiding powers of the Trustee under Bankruptcy?
FLAP
F-Fraudulent x-fers by the debtor w/in 2yrs of filing petition
L-Liens by statute (not liens from before petition)
A-After Filing petition x-fer of property
P-Preferential x-fer of property
What are the preferential transfers of property in the avoiding powers of the trustee under bankruptcy?
I-WAIT
I-debtor was Insolvant when transfer was made
W-W/in 90 days of filiing the petition
A-for an Antecedent debt (pre-existing), (new value ok)
I-Improves the creditors position (got more than if no B)
T-Time increased form 90 days to 1yr for an insider
What are the non-preferential transfers under bankruptcy?
C-CONAC C-Charity C-Consumer debt <$600 O-Ordinary course of business (Current util bill/Lse pmt) N-New value A-Alimony and child support C-Continuation of installment payments
What are the priority claims of distribution of assets under bankruptcy?
STOP-IT Drunk Driver
S-Support and Alimony pmts
T-Trustee, attorney, accountant and admin exp
O-Owed after petition date in invol gap between filing and approval date (Involuntary gap contributor)
P-Payroll (90days), Emp Benifits plan (180days)
I-Individual Consumer deposits up to $2600 each
T-Tax claims arising within 3 years of the petition
Drunk Driver injury claims
What type of debts will a debtor not be discharged from after bankruptcy?
A-CC-SLUT STD
A-Alimony or child support
CC-CC purch for luxury goods >600 w/in 90dys of filing/cash advances >875 w/in 70dys/Auto Loans w/i 3yrs
S-Student Loans-When pmts aren’t yet owed
L-Loans obtained by fraud or false representations
U-Unscheduled/Unlisted debt
T-Tax claims w/in 3 years of filing
S-Sarbanes violations debt
T-debts incurred to pay Taxes
D-Drunk Driver injuries or death judgement
