REG Study Group Q1 2015 - Page 61

Viewing 15 replies - 901 through 915 (of 2,393 total)
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  • #651946
    The_AmYam
    Member

    Amount of Dividend:

    AEP

    (1/2 CEP)

    =Avail AEP

    40,000

    (27,500)

    =12,500 available for dividend

    15,000 distrib – 12,500 dividend = 2,500 return of capital

    ending E+P:

    40,000

    -27,500

    =12,500

    -12,500 distributed

    =0 AEP remaining

    -27,500 remaining CEP

    =ending of -27,500

    REG - 81
    FAR - 79
    AUD - 94
    BEC - OCT 15

    #651947
    The_AmYam
    Member

    Gabe –

    how I remember E+P calc after distribution:

    E+P

    + Gain (“gain = good”)

    -FMV (“FMV = FML = bad …subtract)

    + liab (this one I just have to think it's a gain for the company so it's good)

    … that's all I can think to tell you on that calc.

    REG - 81
    FAR - 79
    AUD - 94
    BEC - OCT 15

    #651948
    Gabe
    Participant

    Random…Estimated taxes, safe harbor rule

    >150k = 90% cy/110% py

    <150k= 100% cy/100% py?

    CPA, CFE
    CISA- Experience will be completed by August 2016

    #651949
    Gabe
    Participant

    @am I think I owe you a drink. we better pass this exam! lol We've worked too hard

    CPA, CFE
    CISA- Experience will be completed by August 2016

    #651950
    The_AmYam
    Member

    < 150k: 90 current year/100 prior year

    >150: 90 current year/110 prior year

    R2-54

    REG - 81
    FAR - 79
    AUD - 94
    BEC - OCT 15

    #651951
    The_AmYam
    Member

    pssshhh no kidding – if I don't pass it's going to be because of stupid little crap, or dumb shiz that nobody uses except if they specialize in the area (ahem – farmers, AMT, etc)

    REG - 81
    FAR - 79
    AUD - 94
    BEC - OCT 15

    #651952
    Anonymous
    Inactive

    I take REG Feb 27th. I have becker review prep. Anyone recommend anything in conjunction with this that they found useful?

    #651953
    s2sylvir
    Member

    @The_AmYam

    Idk if I'm thinking too much, but intuitively the DRD doesn't make sense. We are allowed the lesser of x% of taxable income or dividends received, but if it creates an NOL, they allow the full DRD to create an NOL… Seems like the IRS doesn't want any money and wants to help the taxpayer claim an NOL?

    BEC - PASS (79)
    AUD - PASS (63, 71, 74, 74, 83)
    REG - PASS (88)
    FAR - PASS (58, 89)

    Becker for all + FAR 10 Point Combo

    #651954
    PasstheCPA7
    Participant

    Hi Guys,

    I had a quick question on “Taxable Income Before Special Deductions.” From what I learned in my review materials, the only 3 ‘special deductions' I have come across are: Charitable Contributions, Dividends Received Deduction (DRD), and Net Operating Loss (NOL).

    My question is – is there any other special deductions that we have to know or I am missing? Please let me know. I have REG coming up soon!

    Thanks.

    #651955
    Mika
    Participant

    @passthecpa7, I guess you are using Roger……

    REG - 80 (02/13/2015) Roger + Ninja Flash Card + Ninja MCQ + Becker's Note
    FAR - 84 (05/29/2015) Roger + Ninja MCQ + Some Wiley book questions
    BEC - 77 (08/27/2015) Roger + Ninja MCQ + Half Wiley book questions
    AUD - 87 (08/28/2015) Roger + Ninja MCQ + Half Wiley book questions

    #651956
    Gabe
    Participant

    Can anyone explain the calculation for this one?

    On December 1, 2014, Jeff Weber placed in service office furniture (7-year life), which cost $25,000. Jeff did not elect Section 179 expensing. The office furniture was the only asset purchased during the year. What amount can Jeff claim as depreciation under MACRS for 2014?

    Correct A.

    $893

    B.

    $7,000

    C.

    $1,000

    D.

    $4,000

    CPA, CFE
    CISA- Experience will be completed by August 2016

    #651957
    s2sylvir
    Member

    I've got a question regarding worthless stock:

    Company X stock was purchased in December, Year 1, for $5,000, and formal notification was received by Lark on July, Year 2, that it was worthless. Private company Section 1244 stock was issued to Lark for $10,000 in January, Year 1, and was determined to be worthless in December, Year 2.

    In the answer, the $5,000 is treated as capital loss and the $10,000 is treated as ordinary. I don't understand why both aren't ordinary? Is it because the holding period of the other stock was less than year?

    Thanks!

    BEC - PASS (79)
    AUD - PASS (63, 71, 74, 74, 83)
    REG - PASS (88)
    FAR - PASS (58, 89)

    Becker for all + FAR 10 Point Combo

    #651958
    Mika
    Participant

    because Company X is not classified as 1244? as the question didnt mention co.X stock is under 1244

    REG - 80 (02/13/2015) Roger + Ninja Flash Card + Ninja MCQ + Becker's Note
    FAR - 84 (05/29/2015) Roger + Ninja MCQ + Some Wiley book questions
    BEC - 77 (08/27/2015) Roger + Ninja MCQ + Half Wiley book questions
    AUD - 87 (08/28/2015) Roger + Ninja MCQ + Half Wiley book questions

    #651959
    s2sylvir
    Member

    @Mika

    Oooooooh… I didn't notice that :O I bet that's it, thanks! I reread the question and nowhere does it say the $5,000 one was from a Sec 1244…

    BEC - PASS (79)
    AUD - PASS (63, 71, 74, 74, 83)
    REG - PASS (88)
    FAR - PASS (58, 89)

    Becker for all + FAR 10 Point Combo

    #651960
    govtec
    Member

    Can somebody explain why the signs reverse in a Like Kind Exchange (no mortgage) vs (with mortgage)?

    No mortgage…Old Basis + Gain Recognized – Boot Received = New Basis

    With mortgage…Old Basis – Gain Recognized – Boot Received + Boot Paid = New Basis

    I don't understand why the signs switching with “Gain Recognized” from a Plus to a Minus.

    Thanks

    BEC - 12/13
    FAR - 5/14
    AUD - 8/14
    REG - 2/15
    Passed 6 of 6 CLEP Exam

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