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1.Maggie is single and supports her 85-year-old parents who live in a home rented for them by Maggie and who have no income. What is Maggie's filing status and why?List each alternative filing status available to unmarried individual taxpayers and the circumstances under which the alternative can be used.

2.Which of the following would result in life insurance proceeds that are taxable to the recipient?
a.a life insurance policy in which the insured is the son of the taxpayer and the beneficiary is the taxpayer
b. a life insurance policy transferred by a partner tot he partnership
c.a life insurance policy transferred to a creditor in payment of a debt
d.a life insurance policy purchased by a taxpayer insuring his or her spouse
e.a life insurance policy purchased by a corporation insuring an officer

3.which of the following gifts would probably be held to be taxable to the person receiving the gift?
a.one thousand dollars given to a taxpayer by his or her father
b.a trip to mexico given to a purchasing agent by one of the company's suppliers
c.a house given to a taxpayer by a friend
d. a mercedes-benz given to a taxpayer by his cousin
e. an interest in a partnership given to a taxpayer by his or her uncle.

Accounting Basics, Accounting

  • Category:- Accounting Basics
  • Reference No.:- M9411943

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