Acct Income Tax I Fall :00 8:40 M (Hybrid)

Transcription

1 Acct Income Tax I Fall :00 8:40 M (Hybrid) Instructor: Office Hours: Dr. Roger Lirely BUS 154B; (Office) Monday and Thursdays, 2:00-4:00 p.m., F2F or via Zoom. Other hours by appointment only. Preferred means of communication: Unless circumstances beyond my control preclude me from doing so, I will be available in my office and via Zoom, simultaneously, during my office hours. All other communication should be, first, via and, as a last resort, via my office phone. I monitor my very frequently and should, in most cases, be able to respond within 8-12 hours M-F and within 24 hours on the weekend. Catalog Description Statutes, regulations, administrative rulings, and court decisions relating to federal income taxes of individuals. Prerequisite: ACCT credit hours. Course Objectives: Explain the nature of taxation, the types of taxes and rate structures. Describe the concept of taxable income and compute the effect thereon from accounting methods, elections, and tax law. Differentiate the concepts of gross income, adjusted gross income, and taxable income for individual taxpayers. Calculate individual taxes from the tax rate schedules. Describe and apply the rules for taxation of different types of income including wages, interest, dividends, and capital gains. Differentiate between capital gain income and other types of income, including the carry over rules for capital losses. Explain the various categories of deductions included in itemized deductions. Prepare tax returns both manually and using tax preparation software. Summarize the tax treatment of various types of long-lived assets, and be able to compute depreciation, amortization, and depletion. Use the concept of tax basis to calculate gain or loss realized and recognized on various tax deferral situations with long-lived assets such as Section 1031 exchanges, casualties, and involuntary conversions. Calculate gain or loss from disposition of long-lived assets, including the recapture rules of Sections 1245, 1250, 291, and Required Course Materials: CengageNOW Instant Access Code for: Hoffman and Smith, South-Western Federal Taxation: Individual Income Taxes (2015), (Cengage Learning), ISBN You may purchase either the electronic code or the printed access card. There is no difference in price. The access code includes an ebook of the textbook. Optional Course Materials: Hoffman and Smith, South-Western Federal Taxation: Individual Income Taxes (2015), (Cengage Learning), ISBN You must purchase the CNOW Access Code above but may also purchase the textbook if you wish. If you purchase the textbook, there is a slight cost savings if you buy it as a bundle with the access code. Evaluation: Grades will be based on points earned in the course. A total of 700 points are possible, as shown in the table. Point Allocation Page 1 of 13 Grade Determination

2 Assignment Points Accumulated Points Grade Syllabus Quiz A Exam B Exam C Exam D Exam 4 60 <600 F Required HW 90 Tax Returns 180 Letters and Memos 50 Excel Solutions 50 Study Guidesi 80 UT-Tyler CBT Advanced Excel Certification 120 Peer Evaluations 60 Total 1000 Any changes to the grade scale will be announced in class and/or on Blackboard. Class Attendance: Because this is a hybrid class, it is critical that you attend each F2F session. I will deduct 50 points (the equivalent of onehalf of a letter grade) for each unexcused absence. The sole exceptions to this policy are absences for official Universitysanctioned events or in accordance with other University policies as stated below or, in rare circumstances, for significant events beyond your control. In either case, you should provide me with documentation of the absence and will be responsible for all material and assignments. Your attendance is required on the following F2F meeting dates: August 25 September8 September 22 October 6 October 20 November 3 November 17 December 1 (optional) December 8 Exams: Exams 1, 2 and 3 are administered online but must be taken on a Monday evening, September 15, October 13 and November 10, respectively. Exam 1 will start at 6:00 p.m. and conclude at 7:00 p.m., whereas Exams 2 and 3 will start at 6:00 p.m. and end at 8:00 p.m. These dates were chosen because they are one week after we have completed the respective materials and fall on Mondays that we do not meet F2F. I expect students to complete these individually without assistance from classmates or any other party. You may use your textbook, notes, completed projects or any other materials assigned or provided as part of this class. Exam coverage and dates follow. This information is also available to you in the Course Plan below and in the Bb modules. Exam 4 will be taken in class on Monday, December 8, from 6:00 8:00 p.m. Participation and Discussions: I expect all students to participate in F2F discussions. If you expect your total of 898 points to be raised to an A then participate frequently with meaningful contributions to F2F discussions. Page 2 of 13

3 Projects: Project-based learning is a significant learning approach in this class. Teams of two or three students will complete 5 tax returns and working papers, 2 client letters and tax file memos, Excel solutions to two problems, UT-Tyler CBT Advanced Excel Certification and a 4-part Study Guide. Much of the learning in this class will take place during the creation and discussion of these projects. Instructions, due dates, and grading information about the projects are provided in the Course Plan below and in the Bb Modules. Team Structure: Teams will be chosen by me prior to the first day of class. I will listen to, but generally not grant, special requests for the composition of teams. Each team will consist of two students (with the occasional third person added when class numbers are odd or someone drops the class), who will be your team members for the remainder of the semester. The teams will mimic the format you might experience in the business world, in that each project will have a team leader responsible for ensuring that all questions and correspondence relating to the project are addressed, as well as ensuring that the assignment is turned in on time. In addition, the leader for the project would be responsible for things such as arranging team meetings, keeping the team on task, etc. Team Work Etiquette: Please be cognizant that many of your classmates travel long distances, have young children or elderly parents, work full time, or participate in athletics and/or other University activities and should not be expected to complete significant parts of this work in F2F meetings. If it is essential that your team meet F2F, I suggest you consider Monday evening at 6:00, since none of you will have another class at that time. In short, please be considerate of the challenges each of us face and work toward solutions. Peer Evaluations: Teammates will evaluate each other and themselves as both a member of a team and as a team leader. Sixty points are allocated to peer evaluations. UT-Tyler CBT Advanced Excel Certification We often hear from employers and other external constituents that advanced Excel skills are highly-desired. You have the opportunity to be among the first cohort of students to receive the UT-Tyler CBT Advanced Excel Certification. This semester we are piloting a program in select classes wherein students will complete several Excel projects. Students who do so successfully will be awarded 120 points in this course, will be eligible for a drawing to receive one of three $50 VISA cards, and can state on their resume that they are UT-Tyler CBT Advanced Excel Certified. Students who do not complete the certification will receive no points. Note that the certification is 12% of the course grade. Failing to complete the certification will a very detrimental impact on your course grade Classroom and Bb Civility: You are all expected to assist in maintaining a classroom environment that is conducive to learning. In order to ensure that each student has the opportunity to gain from time spent in class, students are prohibited in engaging from any form of distraction. Please turn off all cell phones, ipods and the like prior to entering the classroom and refrain from reading newspapers and other non-class related materials once class starts. Laptops, ipads, etc. are permitted for use during class time for taking notes or other class-related activities only. Page 3 of 13

4 Academic Dishonesty: I expect a high level of responsibility and academic honesty. Because the value of an academic degree depends upon the absolute integrity of the work done by the student for that degree, it is imperative that a student demonstrates a high standard of individual honor in his or her scholastic work. Scholastic dishonesty includes, but is not limited to, statements, acts or omissions related to applications for enrollment of the award of a degree, and/or the submission, as one's own work of material that is not one's own. As a general rule, scholastic dishonesty involves one of the following acts: cheating, plagiarism, collusion and/or falsifying academic records. Students suspected of academic dishonesty are subject to disciplinary proceedings. Important dates: Last day to withdraw without penalty (census date) Sept. 8 Last day to withdraw from classes Oct. 27 Final exam Dec. 8 Copyright Infringement: Unauthorized distribution of copyrighted material may subject students to civil and criminal penalties under the Federal Copyright law, (See, ) Material subject to federal law includes, but is not limited to, printed materials, choreographic works, pantomimes, pictorial, graphic, or sculptural works, including the individual images of a motion picture or other audiovisual work. It also includes computer software, computer programs, musical works, sound recordings, and videos and other audiovisual work. It is also a violation of federal copyright law for any of the above to be electronically distributed through peer to peer sharing, Students found in violation of the Federal Copyright law may also be subject to student disciplinary proceedings as described above. For more information on what constitutes copyright infringement and penalties see The UT System's copyright information website at Students Rights and Responsibilities To know and understand the policies that affect your rights and responsibilities as a student at UT Tyler, please follow this link: Grade Replacement/Forgiveness and Census Date Policies Students repeating a course for grade forgiveness (grade replacement) must file a Grade Replacement Contract with the Enrollment Services Center (ADM 230) on or before the Census Date of the semester in which the course will be repeated. Grade Replacement Contracts are available in the Enrollment Services Center or at Each semester s Census Date can be found on the Contract itself, on the Academic Calendar, or in the information pamphlets published each semester by the Office of the Registrar. Failure to file a Grade Replacement Contract will result in both the original and repeated grade being used to calculate your overall grade point average. Undergraduates are eligible to exercise grade replacement for only three course repeats during their career at UT Tyler; graduates are eligible for two grade replacements. Full policy details are printed on each Grade Replacement Contract. The Census Date is the deadline for many forms and enrollment actions that students need to be aware of. These include: Submitting Grade Replacement Contracts, Transient Forms, requests to withhold directory information, approvals for taking courses as Audit, Pass/Fail or Credit/No Credit. Receiving 100% refunds for partial withdrawals. (There is no refund for these after the Census Date) Schedule adjustments (section changes, adding a new class, dropping without a W grade) Being reinstated or re-enrolled in classes after being dropped for non-payment Completing the process for tuition exemptions or waivers through Financial Aid State-Mandated Course Drop Policy Page 4 of 13

5 Texas law prohibits a student who began college for the first time in Fall 2007 or thereafter from dropping more than six courses during their entire undergraduate career. This includes courses dropped at another 2-year or 4-year Texas public college or university. For purposes of this rule, a dropped course is any course that is dropped after the census date (See Academic Calendar for the specific date). Exceptions to the 6-drop rule may be found in the catalog. Petitions for exemptions must be submitted to the Enrollment Services Center and must be accompanied by documentation of the extenuating circumstance. Please contact the Enrollment Services Center if you have any questions. Disability Services In accordance with Section 504 of the Rehabilitation Act, Americans with Disabilities Act (ADA) and the ADA Amendments Act (ADAAA) the University offers accommodations to students with learning, physical and/or psychiatric disabilities. If you have a disability, including non-visible disabilities such as chronic diseases, learning disabilities, head injury, PTSD or ADHD, or you have a history of modifications or accommodations in a previous educational environment you are encouraged to contact the Student Accessibility and Resources office and schedule an interview with the Accessibility Case Manager/ADA Coordinator, Cynthia Lowery Staples. If you are unsure if the above criteria apply to you, but have questions or concerns please contact the SAR office. For more information or to set up an appointment please visit the SAR office located in the University Center, Room 3150 or call You may also send an to cstaples@uttyler.edu Student Absence due to Religious Observance Students who anticipate being absent from class due to a religious observance are requested to inform the instructor of such absences by the second class meeting of the semester. Student Absence for University-Sponsored Events and Activities If you intend to be absent for a university-sponsored event or activity, you (or the event sponsor) must notify the instructor at least two weeks prior to the date of the planned absence. At that time the instructor will set a date and time when make-up assignments will be completed. Social Security and FERPA Statement: It is the policy of The University of Texas at Tyler to protect the confidential nature of social security numbers. The University has changed its computer programming so that all students have an identification number. The electronic transmission of grades (e.g., via ) risks violation of the Family Educational Rights and Privacy Act; grades will not be transmitted electronically. Emergency Exits and Evacuation: Everyone is required to exit the building when a fire alarm goes off. Follow your instructor s directions regarding the appropriate exit. If you require assistance during an evacuation, inform your instructor in the first week of class. Do not re-enter the building unless given permission by University Police, Fire department, or Fire Prevention Services. Technical Information If you experience technical problems or have a technical question about this course, you can obtain assistance by ing itsupport@patriots.uttyler.edu or call When you IT Support, be sure to include a complete description of your question or problem including: The title and number of the course The page in question If you get an error message, a description and message number What you were doing at the time you got the error message You may also visit the Help Tab in Blackboard for useful information or check out On Demand Learning Center for Students Plug-ins and Helper Applications Page 5 of 13

6 UT Tyler online courses use Java, JavaScript, browser plug-ins, helper application and cookies. It is essential that you have these elements installed and enabled in your web browser for optimal viewing of the content and functions of your online course. Always ensure that you are using the most update version for the browser you choose to access the online learning content. NOTE: Mozilla Firefox is the recommended browser for Blackboard. (URL: Adobe Reader allows you to view, save, and print Portable Document Format (PDF) files. (URL: Java Runtime Environment (JRE) allows you to use interactive tools on the web. (URL: Adobe Flash Player allows you to view content created with Flash such as interactive web applications and animations. (URL: QuickTime allows users to play back audio and video files. (URL: Windows Media Player allows you to view, listen and download streaming video and audio. (URL: RealPlayer allows you to view and listen to streaming video and audio.(url: Netiquette Guide "Netiquette" is network etiquette, the do's and don'ts of online communication. Netiquette covers both common courtesy online and informal "rules of the road" of cyberspace. Review and familiarize yourself with the guidelines provided. (URL: Page 6 of 13

7 Course Schedule Date Online or F2F Objective Activities Assessment 8/25 F2F Navigate the course page and use the Bb tools to facilitate online class interactions. 1. View the Welcome video 2. Read the syllabus 3. Read pp. 2-1 through 2-20 and Sec. 2-4c (p. 2-35) 1. You will take a syllabus quiz and repeat it until you answer all questions correctly. Once you have, Recall the syllabus requirements and components. of your textbook. you will be awarded 10 pts. 2. Approximately half of Exam 1 will cover material from Differentiate tax avoidance and tax evasion. Chapter 2. You will take Exam 1 online on 9/15. Describe the route a tax bill takes until enacted into law. 8/25-9/8 Online Identify the types of taxes used by federal and state governments to raise revenues. Define the basic tax concepts and terms of federal income taxation. Describe the components of the tax formula Apple the standard deduction to each filing status Determine whether and individual qualifies as a personal exemption. Distinguish among the five filing statuses Apply the tax tables and tax rate schedules to taxable income 1. Read Chapter 1 of your textbook. 2. Review your notes from the 8/25 F2F discussion of Chapter Watch the video interview of Henry and Karen Carter. 4. Manually prepare Tax Return 1, a tax return for the Carters. Use your textbook (primarily Chapter 3) and the internet as resources to aid you in completing the return. 1. Approximately half of Exam 1 will cover material from Chapter 1. You will take Exam 1 online on 9/15. Page 7 of 13

8 9/8 F2F 1. Instructor will review the solution to Tax Return Instructor will lead a review for Exam Instructor will lead a discussion of Chapter 3 and 4 topics. 9/15 Online Take Exam 1 online between 6:00 7:00 p.m. 9/9 9/22 Online Recognize the various items included in gross income. Determine when items are included in income. Apply the rules governing alimony and differentiate alimony from child support. Describe the rules governing discharge of indebtedness for both solvent and insolvent taxpayers. 1. Using Drake Software, prepare a tax return for Problem 3-54 (p. 3-49) and working papers. Use your textbook (primarily chapters 3 and 4) and the internet as resources to aid you in completing the return. 2. Team and/or team leader should meet with the instructor either in person or via Bb Zoom during the week of Sept. 16 to review near-complete return. 3. Do CNOW Required Homeworks for Chapters 3 and 4, due 9/22. 9/22 F2F 1. Instructor will review solutions to Problem Instructor will lead a discussion of Chapters 4 and 5 topics. 3. CNOW Homework for Chapter 3 due at 11:55 p.m. Exam 1 is worth 60 pts. 1. Each team member will be awarded up to 40 pts. For a well-prepared tax return and working papers. See the tax return grading rubric. 2. Approximately 2/3 of Exam 2 will cover material from Chapters 3 and Chapter 3 HW is worth 10 points. Page 8 of 13

9 9/23-10/6 Online Distinguish exclusions and deductions Determine the nontaxable portion of life insurance and annuities. Determine the nontaxable portion of Social Security benefits. Distinguish between taxable income and nontaxable income. Determine the tax status of carious fringe benefits. Summarize the tax status of various educational assistance plans. 1. Using Drake Software prepare a tax return for Problems 4-58 (p and 4-44 of textbook) and 5-59 (p of textbook) and working papers. Use your textbook (primarily Chapter 5) and the internet as resources to aid you in completing the return. 2. Team and/or team leader should meet with the instructor during the week of 9/29 either in person or via Zoom to review nearcomplete return. 3. Do CNOW Chapters 4 and 5 Required HW, due 10/6 10/6 F2F 1. Instructor will review solution to Problem Instructor will lead a review of Chapters 3,4 and CNOW Chapter 5 HW due at 11:55 p.m. 10/13 Online Take Exam 2 online between 6:00 8:00 p.m. 10/14 10/20 Classify taxpayer expenditures under the four categories of deductions allowable to individual taxpayers: (1) trade or business, (2) production of income, (3) losses, and (4) personal. Identify the allowable deductions for losses and 1. Using Drake Software, prepare a tax return for Problem 6-58 and working papers. Use your textbook (primarily Chapter 6) and the internet as resources to aid you in completing the return. 2. Team and/or team leader should meet with the 1. Each team member will be awarded up to 40 pts. For a well-prepared tax return and working papers. See the tax return grading rubric. 2. Approximately 1/3 of Exam 1 will come from Chapter Chapters 4 and 5 HW are worth 10 points each. Exam 2 is worth 120 pts. 1. Each team member will be awarded up to 40 pts. for a well-prepared tax return and working papers. See the tax return grading rubric. Page 9 of 13

10 the criteria for determining whether taxpayer expenditures are deductible. Describe restricted business deductions for lobbying activities and business start-up costs. Illustrate the tax treatment of common business deductions, such as advertising, salaries and wages, bad debts, etc. Calculate allowable business deductions related to capital expenditures, such as depreciation, amortization, depletion, repairs, and improvements. Identify a taxpayer s allowable deductions for transportation, travel, entertainment, moving expenses, and student loan interest instructor either in person or via Zoom during the week of October 13 to review near-complete return and Excel solution. 3. Do CNOW Chapter 6 Required HW, due 10/20. 10/20 F2F 1. Instructor will review solution to Problem Instructor will lead a discussion of Chapter 7 and 8 topics. 3. CNOW Chapter 6 HW due at 11:55 p.m. 10/21 Online Compute the amount of and 1. Using Word, write a letter 11/3 classify losses originating to the clients referenced in from business operations Problems 7-61 (p. 7-38) and and investment-related 8-63 (p 8-44) explaining activities. your computations, and Page 10 of Chapter 6 HW is worth 10 points. 1. Each team member will be awarded up to 40 points for a well-written client letter and well-prepared tax file memo. See the written

11 Explain tax shelters and the rationale for at-risk and passive activity rules. Calculate the amount of allowable business and theft losses, net operating losses, vacation home rental expenses and home office expenses and describe the treatment of any disallowed amount. Compute the 199 Manufacturing deduction Apply the rules that apply to each itemized deduction: medial expense, interest expense, charitable contribution, personal casualty and theft, and miscellaneous itemized deductions. prepare a memo for the tax files for each problem. 2. Meet with instructor during the week of 10/27 as needed either F2F or via Zoom for guidance in writing the letters and preparing the memos. 3. Do CNOW Chapter 7 and 8 Required HW, due 11/3. communication rubric. 2. Exam 3, worth 120 points, will cover materials from Chapters 7 and 8. 11/3 F2F 1. Instructor will review solutions to Problems 7-61 and Instructor will lead a review for Exam Instructor will lead a discussion of Chapters 9 and 10 topics. 4. Chapter 7 and 8 Required HW due at 11:55 p.m. 11/10 Online Take Exam 3 online from 6:00 8:00 p.m. Chapter 7 and 8 HW are worth 10 points each. Exam 3 is worth 120 pts. 11/11 11/17 Explain the factors that determine realized and recognized gain or loss. 1. Using Excel, create a solution to Problems 9-55 and Meet with instructor during Page 11 of 13

12 Compute the basis in assets acquired by purchase, gift or inheritance and the basis in various stock transactions. Compute gains and losses in related party transactions and income recognized in installment sales. the week of 11/10 as needed either F2F or via Zoom for guidance in solving the problems. 3. Do CNOW Chapter 9 and 10 Required HW, due 11/17. 11/17 F2F 1. Instructor will review solution to Problems 9-55 and Instructor will lead a discussion of Chapters 14, 15, 16 and 17 topics. 3. Chapter 9 and 10 HW due at 11:55 p.m. 1. Chapter 9 and 10 HW are worth 10 points each. 11/18 12/1 Describe the rules for nonrecognition of gain on the sale of a personal residence Explain nonrecognition of gain or loss in transactions involving like-kind exchanges and involuntary conversions. Summarize the tax treatment of property transactions involving capital assets. Summarize the tax treatment of property transactions involving 1231 assets, including the recapture provisions of 1245 and Read relevant parts of Chapters 14, 15, 16 and 17. See Bb modules for parts of Chapter 16 that you should skip. 2. Do CNOW Required Chapter 14, 15, 16 and 17, due 12/8. 1. Each of the four CNOW Required HWs is worth 10 points. 2. Exam 4, worth 60 points, will cover material from Chapters 14, 15, 16 and 17. Page 12 of 13

13 12/1 F2F Instructor will lead a review for Exam 4. 12/8 F2F Take Exam 4 in class from 6:00-8:00 p.m. 1. Exam 4 is worth 60 points. 2. Chapter 14, 15, 16 and 17 HW are worth 10 points each. Page 13 of 13