Reference no: EM132637965
Assignment: Denver Manufacturing Company
Megan (chair of the board of directors) and Matthew (company president) each own 50% of Denver Manufacturing Company. Denver Manufacturing Company is experiencing difficult financial times. In fact, last month, Megan used $550,000 of payroll taxes and income withheld from employee paychecks to pay a creditor that threatened to cut off supplies.
Megan willfully used these government funds for the operations of the business, but it was not enough. The company missed the next two payrolls, and today, other creditors took action to shut down Denver Manufacturing Company altogether.
How much will the IRS assess in taxes and penalties in this matter and from whom? How can you, as a tax professional, best offer service to Madison, Martin, and Washington? Address these matters in a memo for the tax research file.
Submission Requirements: Support your memo with at least 6 scholarly references (of which the textbook may be one). Reach out to your instructor if you have questions about the assignment.
Your paper should be 5 pages in length and conform to the APA format. Include at least four scholarly references in addition to the course textbook.
Chapters 23 & 26 in South-Western Federal Taxation 2019
Department of the Treasury. (2019). IRS organization and top officials.
Exemption from Tax on Corporations, Certain Trusts, etc., 26 U.S. Code § 501
Unrelated Business Taxable Income, 26 U.S. Code § 512
Erdody, L. (2018). Not-for-profit organizations brace for impact of tax bill: Much-higher standard deduction may discourage philanthropy. Indianapolis Business Journal, 38(48), 1,30.
Murphy, M. (2016). Business practices that not-for-profits can't afford to overlook. Journal of Accountancy.
Unrelated business taxable income, 26 U.S. Code § 512(a) (n.d.). Retrieved from Thomson Reuters Checkpoint database.
|
What is the firm operating cash flow for tubby toys
: Sales of $7 million, operating costs of $4 million, and a depreciation expense of $1 million. If the tax rate is 25%, what is the firm's operating cash flow?
|
|
Analyze the psychological motivations of the founding father
: In 500-750 words, analyze the psychological motivations of the founding fathers in the creation of the Bill of Rights. Specifically, focus on one of the.
|
|
Is a reasonable procedure for purposes of calculating npv
: Can you suggest a better way to assess a cost of the office space used by the project? Is this a reasonable procedure for purposes of calculating NPV?
|
|
Company provides services to commercial airlines
: Ticket Reservations Sales LLC Company provides services to the commercial airlines from its data center.
|
|
How much will the irs assess in taxes and penalties
: How much will the IRS assess in taxes and penalties in this matter and from whom? How can you, as a tax professional, best offer service to Madison, Martin.
|
|
Which are incremental cash flow associated with the donation
: A corporation donates a valuable painting from its private collection to an art museum. Which are incremental cash flows associated with the donation
|
|
How did access to information impact the way you perceived
: How did access to information, physiological influences, psychological influences, and social influences impact the way you perceived a recent significant.
|
|
Data customer collection and information management
: Research and assess the ethical issues related to data customer collection and information management. How will customer information be protected?
|
|
Evaluate the present value of the introduction of new chip
: Quick Computing currently sells 10 million computer chips,What is the proper cash flow to use to evaluate the present value of the introduction of the new chip?
|