Taxation Commons^™

The Propitious Puzzle For Small Business Owners: Understanding The Section 199a Deduction, Kameron Elizabeth Kehoe

Honors Program Theses

This paper will analyze how the new tax law changes passed by Congress that are effective beginning in the 2018 taxable year, specifically the Section 199A deduction, will impact small businesses. Research will be based on a survey of small business owners and tax professionals in the Cedar Valley area about their knowledge and opinion of the tax law changes. In order to make comparisons between the different businesses, questions will be geared towards how the businesses are planning to calculate the Section 199A deduction and what businesses are planning to do with the extra savings they may have after …

The Federal Estate Tax: A Comprehensive Look At The Effects On American Farming And Ranching Businesses, Taylor G. Johnson

Honors Program Theses

One central divide that has emerged on the federal estate tax issue is whether or not it adversely affects farming and ranching businesses in America. An adverse effect on a farming and ranching business would be if business assets would need to be sold in order to pay the federal estate tax. There are opinions on both sides of this issue. Thus, the first research question to answer will be:

i. Does the federal estate tax have adverse consequences on farming and ranching businesses in America?

After a conclusion is drawn on whether or not there are adverse effects from …

The Study Of The Individual Alternative Minimum Tax: Past, Present, And Reform, David E. Droessler

Honors Program Theses

The individual Alternative Minimum Tax (AMT) imposed on individuals was originally created to ensure that the wealthiest Americans do not avoid paying income tax by taking advantage of certain deductions and exemptions. AMT was not indexed for inflation and when coupled with other inequities, many more Americans are now subject to AMT than ever before. By studying the past and present tax laws surrounding individual AMT, I will present a reformed approach of the AMT tax system for individuals.

The Value-Added Tax: Effects On Tax Revenue, U.S. Corporations, And Individual Taxpayers, Joseph Raymond Pudenz

Honors Program Theses

The importance of understanding how a value-added tax would affect the United States is imperative. Many economists have long stated that a value-added tax system would benefit the United States (Hooper & Smith, 1997), and politicians have periodically brought up the value-added tax since the 1960s as a solution to tax revenue needs (Comptroller General of the United States, 1981). Given these facts, it is likely that the value-added tax will continue to be considered as a possible tax system. An adequate level of understanding regarding how a value-added tax is applied and its effects is essential.

The Tax Gap: America's Underreported Revenues, Jennifer Granzow

Honors Program Theses

This paper will discuss the tax gap, both as an overall national issue and as related to individual business income. First, the relevance of the tax gap in today’s economy will be addressed and background information regarding the tax gap will be provided. Next the small business environment will be examined, focusing on why the tax gap is so prevalent there. Proposed tax gap reduction measures will be explored, including an examination of the benefits and shortcomings associated with each measure. Future challenges will also be looked at, focusing on the impact such proposed measures will have on the operations …

Preventing Tax Filing Frauds In The Used Automotive Sales Industry, Nasir K. Al-Otaibi

Graduate Student Work

The purpose of this study is to provide the department of treasury and the taxpayers in the automotive sales industry with an improved system designed to stop tax frauds in all cash transactions. The system will give the opportunity for the tax payers to participate in filing the amount of tax that they paid to the dealer to the IRS before getting the license plate and registration of the car.

The Economic Argument Against Estate Tax Repeal, Stephen Paul Skram

Honors Program Theses

The estate tax is scheduled for repeal in 2010 and will be reinstated the following year. Congress is trying to make the repeal permanent, but is running into opposition. The public is becoming aware that only the wealthiest Americans would reap the benefits of estate tax repeal to the detriment of everyone else. This paper finds that estate tax repeal may not have any economic benefits, does not impose high compliance and administrative costs, taxes wealth that would remain untaxed without the levy, does not endanger the ability of small business owners and farmers to survive, encourages charitable bequests, and …

E-Commerce: Choosing The Appropriate Tax Model, Jeffrey A. Scudder

Presidential Scholars Theses (1990 – 2006)

The Internet's economic role has increased dramatically over the past decade. Along with many benefits, e-commerce has brought with it some important policy questions. One question relates to tax policy, and whether Internet transactions should be subject to sales or use taxes. This paper examines that question, considering factors such as feasibility, efficiency, fairness (virtual v. "brick-and-mortar" retailers), and legality. The relationship between ecommerce tax policy and state and local government revenues will also be addressed. Based on these factors, the evidence suggests that taxing Internet sales would be feasible, efficient, and provide revenue for important public services.

The Effect Of A Flat Tax On The Individual Taxpayer, Sarah Allen

Presidential Scholars Theses (1990 – 2006)

The 1996 presidential election brought the subject of the U.S. tax system up for debate. Politicians and citizens alike disagree over whether our tax system should be restructured, and if so whether a flat tax is the policy to impose. This paper examines our tax structure, explains the components of a flat tax, and presents support and opposition for a flat tax policy.

An Explanation Of Fasb #96, Michael R. Armbrecht

Presidential Scholars Theses (1990 – 2006)

Deferred taxes exist because Generally Accepted Accounting Principles CGAAP and tax laws differ. These differing rules require companies to prepare two sets of financial statements, one for their stockholders and other financial statement users (GAAP) and one for the Internal Revenue Service. The two sets of financial records result in a net income for GAAP purposes which differs from the income on which the tax is computed. Since 1967, the reconciliation of these two sets of books was prescribed by Accounting Principle Board Opinion #11. The reconciIiation is necessary because expenses are usually recognized faster and revenue recognized later under …