Chapter 1, Problem 14DQ

Whilst searching for related literatures for her thesis study, Jackie found a tax law which provides that proceeds from the collection of taxes are to be used to rehabilitate a private organization under financial stress. This clearly violates what constitutional right? a. right to just compensation b. right to due process c. right against self-incrimination d. right to equal protection of the law

Which of the following would be a good question to ask before advising a client to move from a Schedule C to S corporation tax treatment? Review Later How does moving to S corp tax treatment impact the ability to pump tons of money into a tax-deferred retirement plan?   What really are the net savings, after accounting for all the extra fees attached to operating an S corporation? Is this client likely to actually do the compliance stuff associated with operating an S corporation, or is the "extra red tape" possibly (read: probably) going to become a nightmare for the client?.

As we evaluate job related expenses, are self-employed taxpayers facing a considerable disadvantage when compared to common law or corporate employees? Based on the previous readings, the IRS has created some incentives to grow small businesses, and partnerships. Are self-employed taxpayers still facing considerable hurdles, given the deductibility of certain business expenses?