Instructor: Cozort
Phone: 615-867-4259
Office Hours: Main campus: MW:4:00-4:50
E-mail: cozort@yahoo.com
Course website: www.angelfire.com/sk3/cozort/index.html
Text: West Federal Taxation-Comprehensive Volume- 2003 edition, Willis etal.
Objectives: The student will be able to:
1. Describe the personal and dependency exemptions.
2. Compute gross income.
3. Discuss income exclusions.
4. Compute deductions.
5. Describe business expenses and losses.
6. Compute cost recovery.
7. Discuss employee and self-employed-related expenses.
8. Compute itemized deductions.
9. Describe passive losses.
10. Compute tax credits.
11. Discuss property transactions.
12. Compute the alternative minimum tax.
13. Conduct basic research.
14. Consider ethical issues in business.
15. Discuss issues from an international perspective.
16. Use spreadsheets for analysis.
17. Present information orally.
18. Present information in writing.
19. Complete tax returns.
20. Evaluate ethical issues.
21. Discuss global tax issues.
22. Discuss political issues relevant to taxation.
23. Discuss social issues relevant to taxation.
24. Discuss environmental issues relevant to taxation.
25. Complete writing exercises.
26. Communication tax issues orally.
Grading: Four exams (100 pts each). Homework assignments (50 pts). See the class website at www. angelfire.com/sk3/cozort/index.html for the homework assignment descriptions, due dates, and point values. Students will be assigned a numerical code. Students can check their exam, assignment grades, and course grade at the class website. While this process will be anonymous, I will omit student grades from the website if the student tells me not to post their grades.
Course grade: A- 405-450 pts, B- 360-404, C- 315-359, D- 270-314, F- Below 270.
Disabilities: Reasonable accommodations will be made for students with medically documented disabilities that affect academic performance. If you need an accommodation, please contact TSU’s Disabled Student Services Office at 963-7400 (phone) or 963-5051 (fax).
Student status: You must be on the official class list to attend class. If you receive financial aid you must attend class. Students who attend and are not on the class list and enrolled students who do not attend class will be reported to appropriate University officials.
The following material will be reviewed in class on the date indicated. Students should attempt to work the problems listed below before the class date.
June 2-Introduction, Chapter 2: 29,31,32,33,35,40,41,42. Ch 3: 29,30,31,32
June 4-Ch 3: 33,34,35,36,37,38,56,57. Ch 4: 28,29,30,31,32,33,34,35
June 9-Exam 1- Ch 2,3,4. 1 hour 15 minutes.
June 9-Ch 5: 33,34,35,36,37,38,39,40. Ch 6: 26,27,28,29,30,31.
June 11-Ch 6-32,33,35,36,37,39. Ch 7: 26,27,28,29,30,31,32,33,34,35,36,37
June 16-Exam 2- Ch 5,6,7. 1 hour 15 minutes
June 16-Ch 8: 31,32,33,34,35,36,37,39,40,41,42. Ch 9: 24,25,26
June 18-Ch 9: 27,28,29,30,31,32. Ch 10: 32,33,34,35,36,37,38,39,40
June 23-Exam 3-Ch 8,9,10. 1 hour 15 minutes
June 23-Ch 11: 30,31,32,33,34,35,36,37,38,39,40,41
June 25-Ch 12: 36,37,39,40,41,42,43.
Ch 13: 27,28,29,30,31,32,33,34.
June 30-. Ch 14: 31,32,33,34,35,36. Ch 24: 15,16,17,35,36
July 2-Review and Final Exam: Ch 11,12,13,14. Final exam will be from 6:50-8:50.
Turn the computer assignments in using the following procedure:
1. On the internet go to www.yahoo.com.
2. Click “Briefcase”. Note: When dealing with Briefcase do not enter my e-mail address, i.e., cozort@yahoo.com.
3. Create an account by clicking “Sign me up!”.
4. After creating the account send an e-mail with your ID and password and your name to cozort@yahoo.com. The subject of the e-mail should be "ID". You can check to see if I have received your ID and password by checking the website "Check your grades" section.
5. For each assignment where required create a file. Use the filename identified in each assignment. For example, for Assignment 1 use, "assign1".
6. Transfer the file to your "Briefcase" account as follows:
...a. Go to www.yahoo.com
...b. Click: "Briefcase"
...c. Sign in
...d. Click: "Add files"
...e. Select: "My Documents"
...f. Click: "Select"
...g. Click: "Browse"
...h. Click: your assignment file
...i. Click: "Upload"
...j. Click: "Back to folder" and see if the file is there.
7. You will be able to rework the assignments if you are not satisfied with your grade. You can earn up to half of the points lost when you rework satisfactorily. If you rework an assignment send me an e-mail with the subject "rework".
1-ID-
1. Go to website: www.irs.gov
Schedule A
Supporting Computations
Put the paragraph in a Word file named "assign5" and upload the file to your Briefcase account.
Submit the paper in a Word file titled "assign6" to your Briefcase account.
2-ID-
3-ID-
4-ID-
5-ID-
7-ID-
8-ID-
9-ID-
10-ID-
11-ID-
13-ID-
14-ID-
15-ID-
16-ID-
17-ID-
18-ID-
19-ID-
21-ID-
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24-ID-
Assignment 1-(5 points)-Due Monday June 9. Tax Return-Problem 2-29. Complete a tax return using the data in Problem 2-29. Number the pages. Page 1- Data sheet, Page 2 and 3-Form 1040, Page 4-Schedule A, Page 5-Schedule B, Page 6-Supporting Computations. Cross reference between the data using the symbols "T-(page number)" for information transferred somewhere else and "F-(page number)" for information transferred from another page. Use 2002 IRS forms.
You can get the IRS forms by:
2. Click: Forms and Publications
3. Click: Forms and Instructions
4. Scroll down to the Forms box and select the form by clicking on it.
(At this point you can select "fill-in using your computer" if you want to type numbers into the forms.)
5. Click at bottom: Review selected files
6. Click: 2002 Form 1040 (PDF) U.S. Individual Income Tax Return.
Hand in during class.
Form 1040
4. X
6a. X
No. of Boxes - 1
No. of Children - 2
6d. 3
7. 52,000
8b. 1,200
22. 52,000
35. 52,000
36. 52,000
38. 7,200
39. 44,800
40. 9,000
41. 35,800
42. 4,870
44. 4,870
50. 1,200
54. 1,200
55. 3,670
61. 3,670
73. 3,670
7. 2,400
9. 2,400
10. 3,600
14. 3,600
15. 1,200
18. 1,200
28. 7,200
Exemptions = 3 X 3,000 = 9,000
Child Tax Credit = 2 X 600 = 1,200
Tax - (35,800-10,000) X .15 + 1,000 = 4,870
Assignment 2-(5 points)-Due Wednesday, June 11. Create a Social Security Excel spreadsheet that will compute the taxable portion of social security. You should have an input area for taxable income and the social security amount and an output area for taxable social security. The spreadsheet should be able to compute the taxable social security as illustrated in Problem 56(c) in Chapter 3. This problem will be worked in class before the due date. In addition, the assignment will be reviewed in class before the due date to indicate the format for the spreadsheet. Submit the assignment to your Briefcase account using the method described at the class website.
Assignment 3-(5 points)-Due Wednesday, June 18. Prepare a tax return for Problem 51 in Chapter 8 of the text. Use the 2002 IRS tax forms: Form 1040, Schedules A, B, and C, Form 2106. Use the same procedures required for assignment one, i.e., include a data page, number the pages, include a computation page, and cross-reference. The return should be numbered as follows: Page 1- data page, Pages 2&3-Form 1040, Page 3-Sched A, Page 4-Sched B, Page 5-Sched C, Page 6-Form 2106, Page 7-Computation page. Hand in during class.
1040 Page 1
Fill in names/address/social security nos./presidential election fund box
2- X
6a- X and 2
6b- X
6d- 2
7- 62500
8a- 1300
9- 500
12- 35952
22- 100252
24- 2000
32- 2000
34- 2000
35- 98252
36- 98252
38- 11800
39- 86452
40-6000
41- 80452
42- 15518
44- 15518
55- 15518
61- 15518
62- 8250
63- 9700
69- 17950
70- 2432
71a- 2432
Schedule A
1- 1500
2- 98252
3- 7369
4- 0
6- 1100
9- 1100
10- 9400
14- 9400
15- 1300
18-1300
20- 484
21- 250
23- 734
24- 98756
25- 1975
26- 0
28- 11800
Schedule B
1. Credit Union- 1300
2. 1300
4. 1300
5. General Motors- 500
6. 500
Schedule C
1. 48900
3. 48900
7. 48900
10. 9198
24a. 2550
24b. 2400
24c. 1200
24d. 1200
28. 12948
29. 35952
31. 35952
Schedule 2106
2A. 126
5B. 358
6A. 126
6B. 715
8A. 126
9A. 126
9B. 715
10B. 484
Computation Sheet
Exemptions - 2 X 3000 = 6000
Car expense- .365 X 25200 = 9198
Meals and Entertainment = 900 + 1500 = 2400
Tax on $80,452 = 6405 + (80452 - 46700) X .27 = 15518
Assignment 4-(10 points)-Due Monday, June 23. Prepare a tax return for Problem 49 in Chapter 9 of the text. Use the procedures described in assignment one. Page 1-data, Pages 2&3- Form 1040, Page 4-Sched A, Page 5-Sched B, Page 6-Computation sheet. Hand in during class.
Form 1040
2. X
6a. X, 2
6b. X, 2
6c. Cynthia Byrd 017449126 Daughter
....John Byrd 017274148 Son
....Myrtle Jones 016158266 Mother
....Sam Byrd 034828583 Father
7. 90,000
8a. 1250
22. 91250
35. 91250
36. 91250
38. 25876
39. 65374
40. 18000
41. 47374
42. 6587
44. 6587
55. 6587
61. 6587
62. 8000
69. 8000
70. 1413
71a. 1413
Schedule A
1. 13900
2. 91250
3. 6844
4. 7056
5. 3300
6. 3600
10. 8500
14. 8500
15. 3220
16. 200
18. 3420
20. 552 = 270+132+150
23. 552
24. 91250
25. 1825
26. 0
28. 25876
Schedule B
1. Savings-1250
4. 1250
Computations
Tax= (47374-46700)X .27 + 6405 = 6587
Exemptions = 6 X 3000 = 18000
Medical = 6100 + 2500 + 5300 = 13,900
Assignment 5: -(5 points)-Due Monday, June 23. You work for an accounting firm. You are preparing the 2002 tax return for a client. As part of your work you review the client's 2001 tax return which was also prepared by your firm. You had nothing to do with the 2001 tax return preparation. While reviewing the 2001 tax return you find an error that if corrected would result in a tax savings of $10,000 for the client. You have no authority to correct the 2001 return. You report the 2001 error to your supervisor. Your supervisor says, "Don't worry about it. If the client knows we made an error, she may fire us. Just forget it."
Write a paragraph containing four sentences indicating what you would do following the conversation with your supervisor and why.
The grading criteria are as follows:
1. Clarity-Can I understand?
2. Cohesiveness-Do the sentences fit together? Example of incohesiveness: The sky is blue. I like ice cream.
3. Accuracy-Are there incorrect statements?
4. Grammar-Is it correct? Common problems: a. two or more sentences presented as one sentence. b. subject and verbs don't agree. c. nouns and pronouns don't agree.
5. Spelling
6. Awkwardness-The sentence uses english words and is reasonably understandable but does not follow english style.
7. Number of sentences- four sentences are required (not less or more).
8. Indefinite pronouns-The noun to which the pronoun refers is not clear.
9. Impersonal you-Don't use "you" in the impersonal manner. You should use "you" only if you are referring to the reader. Otherwise replace "you" with the noun you mean, e.g., a taxpayer, an individual, one, etc.
Assignment 6: (10 pts) -Due Wednesday, June 25. Write a two page paper, i.e., between 600 and 800 words on the topic, "Tax Research Sources on the Internet". Use the Internet search engines to identify tax resources. The grading criteria are as follows:
1. Clarity-Can I understand?
2. Cohesiveness-Do the sentences fit together? Example of incohesiveness: The sky is blue. I like ice cream.
3. Accuracy-Are there incorrect statements?
4. Grammar-Is it correct? Common problems: a. two or more sentences presented as one sentence. b. subject and verbs don't agree. c. nouns and pronouns don't agree.
5. Spelling
6. Awkwardness-The sentence uses english words and is reasonably understandable but does not follow english style.
7. Number of sentences- four sentences are required (not less or more).
8. Indefinite pronouns-The noun to which the pronoun refers is not clear.
9. Impersonal you-Don't use "you" in the impersonal manner. You should use "you" only if you are referring to the reader. Otherwise replace "you" with the noun you mean, e.g., a taxpayer, an individual, one, etc.
