As long as you spare one or two hours a day to study with our latest REG Reliable Braindumps Questions quiz prep, we assure that you will have a good command of the relevant knowledge before taking the exam. What you need to do is to follow the REG Reliable Braindumps Questions exam guide system at the pace you prefer as well as keep learning step by step. Under the support of our study materials, passing the exam won’t be an unreachable mission. And at the same time, you don't have to pay much time on the preparation for our REG Reliable Braindumps Questions learning guide is high-efficient. Nowadays passing the test REG Reliable Braindumps Questions certification is extremely significant for you and can bring a lot of benefits to you. You can finish practicing all the contents in our REG Reliable Braindumps Questions practice materials within 20 to 30 hours, and you will be confident enough to attend the exam for our REG Reliable Braindumps Questions exam dumps are exact compiled with the questions and answers of the real exam.
AICPA Certification REG Why not have a try?
AICPA Certification REG Reliable Braindumps Questions - CPA Regulation The experts will update the system every day. With our New REG Exam Tips exam questions, you will easily get the favor of executives and successfully enter the gates of famous companies. You will have higher wages and a better development platform.
The online version is open to all electronic devices, which will allow your device to have common browser functionality so that you can open our products. At the same time, our online version of the REG Reliable Braindumps Questions study guide can also be implemented offline, which is a big advantage that many of the same educational products are not able to do on the market at present. Our REG Reliable Braindumps Questions study guide design three different versions for all customers.
Our AICPA REG Reliable Braindumps Questions study materials deserve your purchasing.
The optimization of REG Reliable Braindumps Questions training questions is very much in need of your opinion. If you find any problems during use, you can give us feedback. We will give you some benefits as a thank you. You will get a chance to update the system of REG Reliable Braindumps Questions real exam for free. Of course, we really hope that you can make some good suggestions after using our REG Reliable Braindumps Questions study materials. We hope to grow with you and help you get more success in your life.
A free trial service is provided for all customers by our REG Reliable Braindumps Questions study quiz, whose purpose is to allow customers to understand our products in depth before purchase. Many students often complain that they cannot purchase counseling materials suitable for themselves.
REG PDF DEMO:
QUESTION NO: 1
For a cash basis taxpayer, gain or loss on a year-end sale of listed stock arises on the:
A. Trade date.
B. Settlement date.
C. Date of receipt of cash proceeds.
D. Date of delivery of stock certificate.
Answer: A
Explanation
Choice "a" is correct. Trade date.
Gain or loss on a year-end sale of listed stock arises on the trade date.
Rule: Whether on the cash or accrual method of accounting taxpayers who sell stock or securities on an
established securities market must recognize gains and losses on the trade date, rather than on the settlement date.
Choices "b", "c", and "d" are incorrect, per the above rule.
QUESTION NO: 2
Farr made a gift of stock to her child, Pat. At the date of gift, Farr's stock basis was $10,000 and the
stock's fair market value was $15,000. No gift taxes were paid. What is Pat's basis in the stock for computing gain?
A. $0
B. $5,000
C. $10,000
D. $15,000
Answer: C
Explanation
Choice "c" is correct. Property acquired as a gift generally retains the rollover cost basis as it had in the
hands of the donor at the time of the gift. Basis is increased by any gift tax paid that is attributable to the
net appreciation in the value of the gift. Since there were no gift taxes paid, Pat's basis for computing a
gain is the rollover cost (basis), $10,000.
Choices "a", "b", and "d" are incorrect, per the explanation above.
QUESTION NO: 3
Don Wolf became a general partner in Gata Associates on January 1, 1989, with a 5% interest in
Gata's
profits, losses, and capital. Gata is a distributor of auto parts. Wolf does not materially participate in the
partnership business. For the year ended December 31, 1989, Gata had an operating loss of
$100,000.
In addition, Gata earned interest of $20,000 on a temporary investment. Gata has kept the principal temporarily invested while awaiting delivery of equipment that is presently on order. The principal will be
used to pay for this equipment. Wolf's passive loss for 1989 is:
A. $0
B. $4,000
C. $5,000
D. $6,000
Answer: C
Explanation
Choice "c" is correct. Wolf's passive loss for 1989 is $5,000 ( $100,000 operating loss * 5% interest in partnership).
Choice "a" is incorrect. Wolf did not materially participate in the partnership, so the loss was passive.
Choice "b" is incorrect. Wolf's passive loss of $5,000 could not be reduced by his distributive share of the
partnership's "interest income" totaling $1,000. Interest income is considered "portfolio income," and
neither the partnership nor a partner can offset it against passive losses.
Choice "d" is incorrect. No items of income or deduction from portfolio income or activities in which the
taxpayer materially participates may be combined or offset with passive losses unless the activity generating the loss is completely disposed of in a taxable transaction.
QUESTION NO: 4
Tom and Joan Moore, both CPAs, filed a joint 1994 federal income tax return showing $70,000 in taxable
income. During 1994, Tom's daughter Laura, age 16, resided with Tom. Laura had no income of her own and was Tom's dependent.
Determine the amount of income or loss, if any that should be included on page one of the Moores'
1994 Form 1040.
The Moores received a $500 security deposit on their rental property in 1994. They are required to return the amount to the tenant.
A. $0
B. $500
C. $900
D. $1,000
E. $1,250
F. $1,300
G. $1,500
H. $2,000
I. $2,500
J. $3,000
K. $10,000
L. $25,000
M. $50,000
N. $55,000
O. $75,000
Answer: A
Explanation
"A" is correct. $0. The security deposit is not taxable income because the Moores are required to return it
when the tenant leaves. If the deposit is applied to damages in a later tax year, the portion the
Moores
retain would be income to them in the year they retain the deposit, and the money they spend to repair the
damage would be a deduction to them.
QUESTION NO: 5
Conner purchased 300 shares of Zinco stock for $30,000 in 1980. On May 23, 1994, Conner sold all the
stock to his daughter Alice for $20,000, its then fair market value. Conner realized no other gain or loss
during 1994. On July 26, 1994, Alice sold the 300 shares of Zinco for $25,000.
What amount of the loss from the sale of Zinco stock can Conner deduct in 1994?
A. $0
B. $3,000
C. $5,000
D. $10,000
Answer: A
Explanation
Choice "a" is correct. Even though Conner has a realized loss of $10,000 on this transaction he cannot deduct the loss since it was incurred in a transaction with his daughter, a related party.
Choice "b" is incorrect. $3,000 is the limit on deductible net capital losses. However, Conner cannot deduct this loss, since it was incurred in a transaction with his daughter, a related party.
Choice "c" is incorrect. Conner's realized loss on the sale is $10,000 ( $20,000 proceeds less $30,000 basis). However, Conner cannot deduct this loss, since it was incurred in a transaction with his daughter,
a related party.
Choice "d" is incorrect. $10,000 is Conner's realized loss on the sale. However, Conner cannot deduct this loss, since it was incurred in a transaction with his daughter, a related party.
SAP C_S4CFI_2402 - Our passing rate may be the most attractive factor for you. ISACA CISA-KR - I hope we have enough sincerity to impress you. IBM C1000-137 - If you are not working hard, you will lose a lot of opportunities! Microsoft MD-102 - If you don't believe, you can give it a try. NAHP NRCMA exam prep sincerely hopes that you can achieve your goals and realize your dreams.
Updated: May 26, 2022