Question 1

Many states have balanced budgets because laws or constitutional amendments preclude deficit spending.

Accepted Answer

A) True 
 B)False

Question 2

Temporary Regulations have the same authoritative value as Final Regulations for 4 years.

Accepted Answer

A) True 
 B)False

Question 3

A taxpayer must pay any tax deficiency assessed by the IRS and sue for a refund to bring suit in the U.S. District Court.

Accepted Answer

A) True 
 B)False

Question 4

Although a corporation is subject to a Federal income tax, a partnership is not.

Accepted Answer

A) True 
 B)False

Question 5

Douglas and Sue, related parties, are landlord and tenant as to certain business property. If the IRS questions the amount of rent Sue is paying to Douglas, this is an illustration of the:

Accepted Answer

A)  Arm's length concept. 
B)  Continuity of interest concept. 
C)  Tax benefit rule. 
D)  Substance over form concept. 
E)  None of the above. 
A)  Arm's length concept. 
B)  Continuity of interest concept. 
C)  Tax benefit rule. 
D)  Substance over form concept. 
E)  None of the above.

Question 6

Which trial court normally has 16 judges?

Accepted Answer

A)  U.S. Tax Court. 
B)  U.S. Court of Federal Claims. 
C)  U.S. Supreme Court. 
D)  U.S. Court of Appeals. 
E)  None of the above. 
A)  U.S. Tax Court. 
B)  U.S. Court of Federal Claims. 
C)  U.S. Supreme Court. 
D)  U.S. Court of Appeals. 
E)  None of the above.

Question 7

Interpret the following citation: 64-1 USTC ¶ 9618, aff'd in 344 F. 2d 966.

Accepted Answer

A)  A U.S. Tax Court Small Cases Division decision that was affirmed on appeal. 
B)  A U.S. Tax Court decision that was affirmed on appeal. 
C)  A U.S. District Court decision that was affirmed on appeal. 
D)  A U.S. Court of Appeals decision that was affirmed on appeal. 
E)  None of the above. 
A)  A U.S. Tax Court Small Cases Division decision that was affirmed on appeal. 
B)  A U.S. Tax Court decision that was affirmed on appeal. 
C)  A U.S. District Court decision that was affirmed on appeal. 
D)  A U.S. Court of Appeals decision that was affirmed on appeal. 
E)  None of the above.

Question 8

A Revenue Ruling is a legislative source of Federal tax law.

Accepted Answer

A) True 
 B)False

Question 9

Which of these notations would appear after a U.S. Tax Court citation if the IRS disagrees with the decision?

Accepted Answer

A)  Rev'd 935 F.2d 203 (1991). 
B)  Nonacq. 1979-1 C.B. 1. 
C)  Cert. den. 361 U.S. 875 (1959). 
D)  Acq. 1990-1 C.B. 2. 
E)  None of the above. 
A)  Rev'd 935 F.2d 203 (1991). 
B)  Nonacq. 1979-1 C.B. 1. 
C)  Cert. den. 361 U.S. 875 (1959). 
D)  Acq. 1990-1 C.B. 2. 
E)  None of the above.

Question 10

If these citations appeared after a trial court decision, which one means that the decision was viewed favorably?

Accepted Answer

A)  Aff'd 633 F. 2d 512 (CA-7, 1980). 
B)  Rem'd 399 F. 2d 800 (CA-5, 1968). 
C)  Rev'd 914 F. 2d 396 (CA-3, 1990). 
D)  Rev'd 935 F. 2d 203 (CA-5, 1991). 
E)  None of the above. 
A)  Aff'd 633 F. 2d 512 (CA-7, 1980). 
B)  Rem'd 399 F. 2d 800 (CA-5, 1968). 
C)  Rev'd 914 F. 2d 396 (CA-3, 1990). 
D)  Rev'd 935 F. 2d 203 (CA-5, 1991). 
E)  None of the above.

Question 11

Treasury Decisions are issued by the Treasury Department to promulgate new Regulations.

Accepted Answer

A) True 
 B)False

Question 12

Proposed Regulations are not published in the Federal Register.

Accepted Answer

A) True 
 B)False

Question 13

Revenue Procedures deal with the internal management practices and procedures of the IRS.

Accepted Answer

A) True 
 B)False

Question 14

Since interest and taxes are deductible by a homeowner, a person who rents an apartment may take an itemized deduction equal to 20% of rent payments.

Accepted Answer

A) True 
 B)False

Question 15

Revenue Procedures are published in the:

Accepted Answer

A)  Congressional Record. 
B)  Federal Revenue Bulletin. 
C)  Internal Revenue Bulletin. 
D)  I.R.S. Digest. 
E)  None of the above. 
A)  Congressional Record. 
B)  Federal Revenue Bulletin. 
C)  Internal Revenue Bulletin. 
D)  I.R.S. Digest. 
E)  None of the above.

Question 16

Explain the Golsen doctrine.

Accepted Answer

Because the Tax Court is a national cour

Question 17

Which citation refers to a Second Court of Appeals decision?

Accepted Answer

A)  40 T.C. 1018. 
B)  159 F. 2d 848 (CA-2, 1947). 
C)  354 F. Supp. 1003 (D. Ct. Ga, 1972). 
D)  914 F. 2d 396 (CA-3, 1990). 
E)  None of the above. 
A)  40 T.C. 1018. 
B)  159 F. 2d 848 (CA-2, 1947). 
C)  354 F. Supp. 1003 (D. Ct. Ga, 1972). 
D)  914 F. 2d 396 (CA-3, 1990). 
E)  None of the above.

Question 18

Which of the following statements about an acquiescence is correct?

Accepted Answer

A)  An acquiescence is issued in the Federal Register. 
B)  Acquiescences are published only for certain regular decisions of the U.S. Tax Court. 
C)  An acquiescence is published in the Internal Revenue Bulletin. 
D)  The IRS does not issue acquiescences to adverse decisions that are not appealed. 
E)  All of the above are correct. 
A)  An acquiescence is issued in the Federal Register. 
B)  Acquiescences are published only for certain regular decisions of the U.S. Tax Court. 
C)  An acquiescence is published in the Internal Revenue Bulletin. 
D)  The IRS does not issue acquiescences to adverse decisions that are not appealed. 
E)  All of the above are correct.

Question 19

The United States Federal government has a provision in the Constitution which precludes deficit spending.

Accepted Answer

A) True 
 B)False

Question 20

Which citation refers to a Fourth Circuit Court of Appeals decision?

Accepted Answer

A)  40 T.C. 1018. 
B)  2 TCM 205 (1951). 
C)  354 F.Supp. 1003 (D. Ct. Ga, 1972). 
D)  914 F.2d 396 (CA-3, 1990). 
E)  None of the above. 
A)  40 T.C. 1018. 
B)  2 TCM 205 (1951). 
C)  354 F.Supp. 1003 (D. Ct. Ga, 1972). 
D)  914 F.2d 396 (CA-3, 1990). 
E)  None of the above.

Many states have balanced budgets because laws or constitutional amendments preclude deficit spending.

Temporary Regulations have the same authoritative value as Final Regulations for 4 years.

A taxpayer must pay any tax deficiency assessed by the IRS and sue for a refund to bring suit in the U.S. District Court.

Although a corporation is subject to a Federal income tax, a partnership is not.

Douglas and Sue, related parties, are landlord and tenant as to certain business property. If the IRS questions the amount of rent Sue is paying to Douglas, this is an illustration of the:

Which trial court normally has 16 judges?

Interpret the following citation: 64-1 USTC ¶ 9618, aff'd in 344 F. 2d 966.

A Revenue Ruling is a legislative source of Federal tax law.

Which of these notations would appear after a U.S. Tax Court citation if the IRS disagrees with the decision?

If these citations appeared after a trial court decision, which one means that the decision was viewed favorably?

Treasury Decisions are issued by the Treasury Department to promulgate new Regulations.

Proposed Regulations are not published in the Federal Register.

Revenue Procedures deal with the internal management practices and procedures of the IRS.

Since interest and taxes are deductible by a homeowner, a person who rents an apartment may take an itemized deduction equal to 20% of rent payments.

Revenue Procedures are published in the:

Explain the Golsen doctrine.

Which citation refers to a Second Court of Appeals decision?

Which of the following statements about an acquiescence is correct?

The United States Federal government has a provision in the Constitution which precludes deficit spending.

Which citation refers to a Fourth Circuit Court of Appeals decision?

Corporations: Introduction and Operating Rules

Corporations: Special Situations

Corporations: Organization and Capital Structure

Corporations: Earnings Profits and Dividend Distributions

Corporations: Redemptions and Liquidations

Corporations: Reorganizations

Consolidated Tax Returns

Taxation of International Transactions

Partnerships: Formation, Operation, and Basis

Partnerships: Distributions, Transfer of Interests, and Terminations

S Corporations

Comparative Forms of Doing Business

Taxes on the Financial Statements

Exempt Entities

Multistate Corporate Taxation

Tax Practice and Ethics

The Federal Gift and Estate Taxes

Family Tax Planning

Income Taxation of Trusts and Estates

Filters

Exam 1: Understanding and Working With the Federal Tax Law

Many states have balanced budgets because laws or constitutional amendments preclude deficit spending.

Temporary Regulations have the same authoritative value as Final Regulations for 4 years.

A taxpayer must pay any tax deficiency assessed by the IRS and sue for a refund to bring suit in the U.S. District Court.

Although a corporation is subject to a Federal income tax, a partnership is not.

Douglas and Sue, related parties, are landlord and tenant as to certain business property. If the IRS questions the amount of rent Sue is paying to Douglas, this is an illustration of the:

Which trial court normally has 16 judges?

Interpret the following citation: 64-1 USTC ¶ 9618, aff'd in 344 F. 2d 966.

A Revenue Ruling is a legislative source of Federal tax law.

Which of these notations would appear after a U.S. Tax Court citation if the IRS disagrees with the decision?

If these citations appeared after a trial court decision, which one means that the decision was viewed favorably?

Treasury Decisions are issued by the Treasury Department to promulgate new Regulations.

Proposed Regulations are not published in the Federal Register.

Revenue Procedures deal with the internal management practices and procedures of the IRS.

Since interest and taxes are deductible by a homeowner, a person who rents an apartment may take an itemized deduction equal to 20% of rent payments.

Revenue Procedures are published in the:

Explain the Golsen doctrine.

Which citation refers to a Second Court of Appeals decision?

Which of the following statements about an acquiescence is correct?

The United States Federal government has a provision in the Constitution which precludes deficit spending.

Which citation refers to a Fourth Circuit Court of Appeals decision?

Corporations: Introduction and Operating Rules

Corporations: Special Situations

Corporations: Organization and Capital Structure

Corporations: Earnings Profits and Dividend Distributions

Corporations: Redemptions and Liquidations

Corporations: Reorganizations

Consolidated Tax Returns

Taxation of International Transactions

Partnerships: Formation, Operation, and Basis

Partnerships: Distributions, Transfer of Interests, and Terminations

S Corporations

Comparative Forms of Doing Business

Taxes on the Financial Statements

Exempt Entities

Multistate Corporate Taxation

Tax Practice and Ethics

The Federal Gift and Estate Taxes

Family Tax Planning

Income Taxation of Trusts and Estates

Filters