Reg 2

Question 1

Basis of property given if there is a gain at sale, basis is the same as __________it would have been had the donor sold the stock (T or F)

Answer 1

CARRY OVER; TRUE

Question 2

Under the de minimis rule, a company can deduct items costing up to _________ each when there are no AFS available. If items cost more than $2,500, they are not deductible

Answer 2

$2,500

Question 3

when there are AFS available and a company has a written policy to expense from beg. of year, under the de minimis rule items costing up to ________ can be deducted

Answer 3

$5,000

Question 4

A wash sale is when a taxpayer sells stock and purchases a similar kind of stock __ days before or after the sale. This results in no ____being recognized

Answer 4

30; LOSS

Question 5

When determining basis for property converted to business use, basis is the lesser of original_______basis or ______ less the ________

Answer 5

COST; FMV; DEPRECIATION

Question 6

For a corporate taxpayer capital losses cannot be used to net against _______ income. Instead they can be carried back __ years and carried forward __ years to net against other capital gains

Answer 6

ORDINARY; 3; 5

Question 7

When calculating income for a C corporation, you can net LT capital gain and ST capital gain because net capital gains are taxed at the ordinary rate. (T or F)

Answer 7

TRUE

Question 8

For buildings, MACRS provides ___ yr depreciation period and provides for mid year convention which assumes property was purchased ________ through the month

Answer 8

39; HALFWAY

Question 9

When a taxpayer places into service property where more than __% of it is placed into service, the mid quarter convention must be used

Answer 9

40

Question 10

After tax contributions made by an taxpayer are deductible (T or F)

Answer 10

TRUE