Corporate Tax Case Study Essay Example for Free

Corporate Tax Case Study Essay You are a CPA with an office in NearLakes City and clients consisting primarily of professionals, entrepreneurs, and small business owners. John Smith, Esq. , a practicing attorney with offices near yours, walks in your office and wants advice from you relating to a recent influx of cash he received as a result of winning a large jury verdict on behalf of his client in a personal injury case. His wife Jane Smith accompanies him during your meeting because she has some additional tax planning advice to ask of you. After reviewing John and Jane Smiths points of view, it will be your turn as a tax professional to decide on the best course of action from a tax perspective on their issues. Prepare a three page memo (at least 900-1,500 words per page) to John and Jane Smith addressing the issues presented. PLAYERS: JOHN SMITH ESQ. â€Å"I worked on this case for over two years. The jury awarded my client $2,000,000 in damages, of which my fee was $300,000 plus recovery of expenses paid up front in the amount of $25,000. How is the $300,000 taxed? What about the $25,000? What can I do to minimize the tax consequences of each? Also, I am thinking about buying the building that I currently lease my office space in. My current lease is $3,500 per month. How is this lease reported on my income tax returns (either personally or for my business which is a separate law practice established as an LLC)? Do I get better tax benefits for paying the lease or for buying the building? What are the differences? † PLAYERS: JANE SMITH-PROFESSIONAL â€Å"I think that the fees would be better used for paying off our house and buying a new, bigger house that Ive had my eye on. Does it make better tax sense for us to pay off the mortgage, sell the house, and buy a new house, or should we just use the money to buy the new house after selling the old house? Also, I sell handcrafted jewelry which earned me $20,000 last year. Do my business activities constitute a trade or business for federal income tax purposes? Or, is this just a hobby? Should I establish a separate trade or business to get tax benefits on these earnings? Does it make any difference that I use my car primarily for transporting my jewelry to different shops around town? Finally, I think I can earn more money if John were willing to invest $15,000 for new jewelry making equipment since my original equipment, which cost $10,000 five years ago, is almost obsolete. Does this make sense from a tax perspective? † Given the scenario, your role and the information provided by the key players involved, it is time for you to make a decision. If you are finished reviewing this scenario, close this window and return to this weeks You Decide item, in your course window, to complete the activity for this scenario. You can return and review this scenario again at any time. Prepare a three-page memo (at least 900-1,500 words per page) to John and Jane Smith addressing the issues presented: 1. John Smith tax issues: a. How is the $300,000 treated for purposes of federal tax income? b. How is the $25,000 treated for purposes of federal tax income? c. What is your determination regarding reducing the taxable amount of income for both (a) and (b) above? d. Is it more beneficial to continue leasing the business space or to buy the building? 2. Jane Smith tax issues: a. What are the different tax consequences between paying down the mortgage (debt) and assuming a new mortgage (debt) for federal income tax purposes?  b. Can John and Jane Smith utilize a 1031 tax exchange to buy a more expensive house using additional money from Johns case? c. Does Jane have a business or hobby? Why is this distinction important? d. Would Jane (and John) realize better tax benefits if she had a separate business for her jewelry-making activities? e. What tax benefits would Jo hn realize if he invested $15,000 in Janes jewelry making? f. Can Jane depreciate her vehicle or jewelry-making equipment? How? 3. John and Jane Smith tax issue: a. Should John and Jane file separate or joint tax returns? You Decide: Its your turn as a tax professional to decide on the best course of action from a tax perspective on their issues as presented above. For each issue, begin by restating the issue and numbering as shown above [i. e. , 1(a), 1(b), etc. ]. Next, explain and discuss the tax rules that apply to the issue, which you gleaned from your tax research. Then, conclude with a definitive answer to the issue, supported by citations to the sources used. So  for each issue, you should 1. state the issue; 2. explain and discuss the applicable law (IRC sections, regulations, court decision, and so forth); and 3.  present your answer in the form of a concluding paragraph that  refers to specific language from the IRC sections, regulations, court decisions, and other sources (if applicable) to support the conclusion. *A template has been provided for your use in preparing this activity. Please use it! Citations Citations are required. You must provide citations whenever you refer to the sources of tax law used in this memorandum. You may cite your sources in numbered footnotes, numbered endnotes, or in parentheses immediately after the sentence mentioning the cited source. Grading Rubric Category Points Description Superior 100–125 Content and subject:  Easily identifiable, clear; meets or exceeds page or word-length requirement; all required citations are provided Structure:  Apparent, understandable, and applicable; excellent flow and well structured Analysis:  Interesting and novel; provides different perspectives; demonstrates critical thinking and critical analysis at a high level   Mechanics:  Virtually devoid of errors in grammar, syntax, punctuation, and spelling Achieving 80–99 Content and subject:  Concrete overall, but may be slightly unclear; meets or exceeds page- or word-length requirement; some citations missing Structure:  Generally clear and appropriate Analysis:  Evidence relates to the content; evidence may lack some clarity; critical analysis and critical thinking apparent Mechanics:  Good sentence structure (syntax), grammar, punctuation, and spelling, with minor errors Average 65–79 Content and subject:  Fairly easy to read and understand, but paper meanders from topic or lacks cohesion or content; meets page- or word-length requirement; missing most citations Structure:  Overall good, with minor shortfalls Analysis:  Some critical thinking, but minimal or no analysis or further discussion by the adult learner Mechanics:  Sentence structure has some errors relative to syntax, grammar, punctuation, and spelling Below Average lt; 65 Content and subject:  Often unstructured and vague; content not totally applicable to the papers requirements or introduces substantial material not relevant to the assignment and/or the relevant discussion points; no citations provided for tax law research   Structure:  Mostly unclear and difficult to visualize Analysis:  Very limited with no analysis or further discussion by the adult learner that demonstrates adult learner critical thinking/analysis Mechanics:  Numerous mistakes in sentences, paragraph formatting, spelling, and grammar that subtract from the content of the paper; writing errors suggest minimal likelihood that paper was proofread for errors prior to submission; writing not at graduate level

The Deplorable Willy Loman of Arthur Millers Death of a Salesman :: Death Salesman essays

The Deplorable Willy Loman of Arthur Miller's Death of a Salesman      Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   For those of you that don't know what deplorable means then you need to check out the tragic play "Death of a Salesman", by the American writer, Arthur Miller.   The main character of this story is Willy Loman, who is almost the walking definition of this word. The life of Willy Loman is portrayed as a   tragic existence for these   few reasons;   he was a ghastly role model for his sons,   a inconsiderate and unfaithful husband, he allowed one incident to affect the rest of his life, and finally, he killed himself, when he still had so much to live for.      Ã‚  Ã‚  Ã‚  Ã‚   First of all, Willy was a dire role model for his two sons Biff and Happy.   He was a loving and giving father, but he always treated Biff better than he did Happy.   Biff was the all-star quarterback and everyone in the city loved and admired him.  Ã‚   Willy was no different, he always put Biff before anyone else in his household, which is something that a father should never do to his family.   Willy's love for his sons was very apparent, however he set in them very low moral values.   For example, Willy told Biff and Happy to run up the street and steal some sand to finish some steps, which tells them that stealing is OK.   This is a trait set in him by his father, which proves to haunt him his entire life.   Willy was also a cheat, whether it was adultery or simple card cheat, his dishonesties certainly rubbed off on his children, and proved to be the downfall in their lives.      Ã‚  Ã‚  Ã‚  Ã‚   On the other hand, Willy affected more than just his sons   life with his deceit.   He greatly altered his own when he was caught in the mist of an affair with a meaningless prostitute, by his beloved son Biff.   This event proved to be the turning point in these two individuals lives. Willy's wife Linda, was a great women who certainly didn't deserve the heartache and disrespect that Willy gave her.   For instance, on many occasions in the story Willy is talking to his sons, and Linda will simply try to state something until Willy orders her to, "shut up.

Narrative Techniques Used by Fitzgerald Essay

Fitzgerald uses a variety of techniques throughout the novel to draw in the reader into the story, in Chapter 2 there is a lot of evidence of these techniques being used and the way Fitzgerald uses them in exploring the chapter, such as pathetic fallacy, symbolism, narrative technique and shock. Also, the theme that runs throughout the novel is contrasts of class in society, which is clearly shown to reader in the example of Wilson being manipulated and controlled Tom Buchanan’s ‘supercilious’ manner, this is shown by the action of which Tom attacked Myrtle, his mistress, at the end of the chapter. Fitzgerald uses pathetic fallacy at the very start of the chapter to portray the narrator’s mood and emotions at the time, such as ‘grey land’, ‘bleak dust’, ‘dimmed’, ‘paint less days’, ‘small foul river’ and ‘dismal scene’. Fitzgerald possibly uses this to reflect Nick’s mood in having to have lunch with Tom Buchanan who he clearly shows to the reader is dislike towards this character, or even indicating to the reader the unwanted meeting with Tom’s mistress, Myrtle Wilson. Fitzgerald perhaps uses this to interest the reader into questioning the reference to the weather and the setting at the start of the chapter in relation to Nick’s emotions and asks why does Nick feel so ‘grey’, ‘bleak’ and just generally gloomy and negative towards this event as an introduction to Chapter 2. Another technique Fitzgerald uses in Chapter 2 is symbolism; he uses the character, Doctor T.J. Eckleburg, to symbolise a respected person looking down at society, or even an object always present in some of the scenes throughout the novel, witnessing the events that occur; ‘the eyes of Doctor T.J. Eckleburg are blue and gigantic.’ His role isn’t an actual character in the story but more of an object, however, Fitzgerald must find his role relevant to mention Doctor Eckleburg in the book therefore indicating to the reader his importance in the novel. A different way in which Fitzgerald uses to tell the story in Chapter 2 is of how Fitzgerald tells the event of which Tom Buchanan hits Myrtle, it  generates shock and surprise to the reader, especially how Fitzgerald decides to tell of this event through the narrator Nick. ‘Making a short deft movement, Tom Buchanan broke her nose with his open hand.’ This sentence is structured as short because it describes a huge shocking action that is much of a unthinkable situation: a man abusing a woman. So Fitzgerald manipulates the surprising action by making impact on the sharpness of the short description of this, contrasting to Fitzgerald’s other descriptions to events and settings which he tells to the reader in great amounts of detail with poetic and romantic language, in order to contribute in creating a great impact of horror/tragedy felt by the reader of this event. A different narrative technique the author uses to tell the story in this chapter is that the narrator is drunk and attempts to remember his movements. However, Fitzgerald uses the fact of which Nick is intoxicated by manipulating the narration. For example, ‘†¦I was standing beside his bed and he was sitting up between the sheets clad in his underwear, with a great portfolio in his hands.’ This description is a quite unique way of narrating the story, even ending the chapter; however it makes Nick’s story more realistic and authentic by telling it in this way, the reader can clearly imagine Nick’s night in their head by how Fitzgerald decides to tell this event.

Caliban in Shakespeares The Tempest Essay - 1855 Words

The Tempest, considered by many to be Shakespeare’s farewell to the theatre, has of all his plays the most remarkable interpretive richness. The exceptional flexibility of Shakespeare’s stage is given particular prominence in The Tempest due to its originality and analytic potential, in particular in the presentation of one of his most renowned and disputed characters, Caliban. Superficially portrayed in the play as a most detestable monster, Caliban does not evoke much sympathy. However, on further examination Caliban presents himself as an extremely complex character and soon his apparent monstrosity is not so obviously transparent. The diverse range of presentations of him on stage exemplifies Caliban’s multifarious character.†¦show more content†¦In the introduction to Critical Essays on Shakespeare’s ‘The Tempest’, Editor Alden T. Vaughan describes how the commonly accepted view of Prospero’s character was that of â€Å"a wise and rational ruler [who] could govern the forces of disorder that undermine the family and the state†. Indeed, before the beginning of the nineteenth century Prospero was presented as thus, while Caliban as an abominable, inhuman beast. As the play drew a greater audience worldwide however, that view began to change and post-colonial interpretations began to present themselves in which Caliban was cast in a more empathic light. These critics noted how easily the figure of Caliban converges with the image of the cannibal, the mythical ‘savage’ whom many European travellers claimed to have encountered. The name Caliban even seems to be a pointed anagram of ‘cannibal’. Since that time, views have changed on the savagery of those natives and with it, on the savagery of Caliban. In the 1978 Royal Shakespeare Company production of The Tempest, David Suchet played a humanized, though exploited, ‘third-world’ Caliban, possibly a representative African or West Indian. This interpretation draws on many views that Caliban represents a subjugated native and that the relationship between Prospero and Caliban is, in fact, a relationship between the oppressor, and the oppressed. Indeed, the island was Caliban’s before Prospero and Miranda arrived where he was then reduced to being a slave.Show MoreRelated The Character of Caliban in Shakespeares The Tempest Essay1786 Words   |  8 PagesThe Character of Caliban in The Tempest       This thing of darkness, I must acknowledge mine It is impossible to understand The Tempest without first understanding the character of Caliban. Despite numerous novels and poems praising the virtuous, the pure and the good, everyone has within them a darker side of depravity and evil thoughts. This makes us human. What distinguishes between good and bad people, though, is the way in which this alter ego manifests itself to both the rest of mankindRead MoreThe Importance Of Caliban In Shakespeares The Tempest761 Words   |  4 Pagesâ€Å"morally wrong.† So does Prospero, in Shakespeare’s The Tempest, have a right to enslave Caliban, the probably mentally-impaired son of the witch Sycorax, after Caliban presumably raped Miranda, Prospero’s daughter? Many would say yes, because Prospero ruled the land and held the only prominent voice of government and law. However, if we broaden our view and see Prospero’s true intents and the numerous other actions he could have undertaken rather than enslaving Caliban, we discover Prospero’s illegitimacyRead MoreEssay on The Character of Caliban in Shakespeares Tempest1831 Words   |  8 Pages Caliban is one of the primary antagonists in William Shakespeares play The Tempest. It is impossible to understand the Tempest without first understanding the character of Caliban. Through the exploration of the character of Caliban the reader gains an understanding of his importance within the play and that he is simply not just black and white, there is also a great deal of grey. It is the characters ambiguity that enables him to be human inside although appearing bestial on the outside.Read MoreShakespeares Presentation of the Relationship between Prospero and Caliban in The Tempest1202 Words   |  5 PagesShakespeares Presentation of the Relationship between Prospero and Caliban in The Tempest Shakespeare’s ‘The Tempest’ is set on a small island between Tunis and Naples. The play is initially based around Prospero; once Duke of Milan, a loving father to Miranda and inhabitant of the island for the past twelve years, after being usurped by his scheming brother Antonio. When exploring the relationship between Prospero and Caliban, a ‘whelp hag-born’ living on the island whenRead MoreShakespeares Influence on the Audiences Response to Caliban in The Tempest1268 Words   |  6 PagesShakespeares Influence on the Audiences Response to Caliban in The Tempest My essay hopes to draw into focus one of the most complex characters in Shakespeares play The Tempest, - Caliban. Shakespeare influences the audiences response to Caliban using in turn, humour and pathos to make the audience relate to the various strands of his character. Caliban can be interpreted in many ways, and only when examining his character as a whole, can we truly understand how ShakespeareRead More Prospero and Caliban of William Shakespeares The Tempest Essay1036 Words   |  5 PagesProspero and Caliban of William Shakespeares The Tempest  Ã‚   Within The Tempest, characters such as Prospero and Caliban share an intimate connection. Without some kind of malevolent force motivating the action of the play, none of the major characters would come into contact with each other. A violent storm, formed by Prosperos magic, subjects the foreign characters to the might of his mysterious power. Issues of control become a central part of The Tempest. One way in which this is highlightedRead MoreProsperos Judgment of Caliban in Shakespeares The Tempest Essay971 Words   |  4 PagesJudgment of Caliban in Shakespeares The Tempest â€Å"A devil, a born devil, on whose nature Nurture can never stick; on whom my pains, Humanely taken are lost, quite lost. And so with age his body uglier grows, So his mind cankers.† (IV.I. 188-192) Prospero’s judgement on Caliban changes considerably throughout ‘The Tempest.’ HoweverRead More tempcolon Confronting Colonialism and Imperialism in Aime Cesaires A Tempest1403 Words   |  6 PagesColonialism in A Tempest   Ã‚  Ã‚   A Tempest by Aime Cesaire is an attempt to confront and rewrite the idea of colonialism as presented in Shakespeare’s The Tempest.   He is successful at this attempt by changing the point of view of the story.   Cesaire transforms the characters and transposes the scenes to reveal Shakespeare’s Prospero as the exploitative European power and Caliban and Ariel as the exploited natives.   Cesaire’s A Tempest is an effective response to Shakespeare’s The Tempest because heRead More Aime Cesaires A Tempest Clarifies Shakespeares The Tempest1683 Words   |  7 PagesCesaires A Tempest Clarifies Shakespeares The Tempest      Ã‚  Ã‚   Negritude, originally a literary and ideological movement of French-speaking black intellectuals, reflects an important and comprehensive reaction to the colonial situation of European colonization (Carlberg).   This movement, which influenced Africans as well as blacks around the world, specifically rejects the political, social, and moral domination of the West.  Ã‚   Leopold Senghor, Leon Damas, and Aime Cesaire are the three pioneersRead MoreWilliam Shakespeare s The Tempest1229 Words   |  5 Pagesplay, The Tempest. One of Cohen’s theses though - thesis four â€Å"The Monster Dwells at the Gates of Difference† - appears quite prominently in Shakespeare’s work. The thesis articulates that monsters are divisive and often arise in a culture to make one group seem superior to another. Further, societies devise monsters in order to create a scapegoat for social and political inequities and instabilities that surface in that society. In Shakespe are’s The Tempest, the idea applies to Caliban, who serves