TAILIEUCHUNG - Lecture Taxation of individuals and business entities 2015 - Chapter 4: Individual income tax overview, exemptions, and filing status

Chapter 4 - Individual income tax overview, exemptions, and filing status. Upon completion of this lesson, the successful participant will be able to: Describe the formula for calculating an individual’s tax liability and generally explain each formula component, explain the requirements for determining a taxpayer’s personal and dependency exemptions, determine a taxpayer’s filing status,. | Chapter 4 Individual Income Tax Overview, Exemptions, and Filing Status Learning Objectives Describe the formula for calculating an individual’s tax liability and generally explain each formula component. Explain the requirements for determining a taxpayer’s personal and dependency exemptions. Determine a taxpayer’s filing status. Individual Income Tax Formula Gross income Minus: For AGI deductions Equals Adjusted gross income Minus: From AGI deductions: Greater of (a) Standard deduction or (b) Itemized deductions and Personal and dependency exemption Equals Taxable income Individual Income Tax Formula Taxable income Times: Tax rates Equals: Income tax liability Add: Other taxes Equals: Total tax Minus: Credits Minus: Prepayments Equals: Taxes due or (refund) Please insert exhibit 4-1 on this slide where indicated Individual Income Tax Formula Individuals report taxable income to the IRS Reported on Form 1040 . tax laws use all-inclusive gross income concept Realized income

• Kinh tế học
• Business entities
• Individual taxation
• Multijurisdictional taxation
• Transfer taxes
• Individual income tax
• Filing status
• Urban market business entities
• Competitiveness of urban market business entities
• Market business entities
• Organization and management capacity
• Finance competence and business performance
• Essentials of taxation
• Business tax credits
• Corporate alternative minimum tax
• Limited liability entities
• Profits and distributions
• Entity legal classification
• Nontax characteristics
• Business income
• Accounting methods
• Operating partnerships
• Flow through entities
• The financial statements
• Business deductions
• Financial statements
• Loss limitations
• Property transactions
• Corporate taxation
• Nonliquidating distributions
• Corporate formation
• Taxable acquisitions
• Partnership interests
• Partnership distributions
• Operating distributions
• Post termination transition period
• Local taxes
• Income taxes
• Multinational transactions
• Taxing multinational transactions
• Wealth planning
• Tax rate structures
• Federal taxes
• Tax compliance
• Tax authorities
• Tax planning strategies
• Related limitations
• Gross income
• Recognize income
• Individual deductions
• Deductions for AGI