Beruflich Dokumente
Kultur Dokumente
Regulation Course Textbook and Lecture Errata/Clarifications 2013 Exam Edition Date Page and Item Number Errata/Clarifications
The text shows the following at Item i: Flexible Spending Arrangements Stems (FSAS) R1-20 Item i. A Flexible Spending Arrangement Stems from a Section 125 employee flexible This text should read as follows: Flexible Spending Arrangements (FSAs) A Flexible Spending Arrangement stems from a Section 125 employee flexible
1/4/13
1/4/13
The annual limit for employee pre-tax deposits to their flexible spending account is $2,500 for 2013. (It was $5,000 in 2012.)
1/7/13
R1-25 Item E.
Additional information is provided and can be deemed Item E.4 in your textbooks.
2/7/13
R1-62 Examples
An additional Example #5 of like-kind exchanges has been provided to show realized gain with boot paid. Place click here to view the example.
R2, page 35, Item 1, please add Item g. Adoption Credit. R2-35 Item 1 4/11/13 and R2-42 Item F.5 As of 2012, the Adoption Credit is available as a credit, but is non-refundable. (It was refundable in 2010 and 2011.) Under Item 2, g, note that the Adoption Credit is refundable for 2010 and 2011, rather than 2010 and forward. R2, page 42, Item F.5. Note the adoption credit is refundable for 2010 and 2011. For 2012, it is available but not refundable.
1/7/13
In addition to annual reporting and record retention requirements, the notice and consent requirements that must be satisfied in order to make the benefits non-taxable include: (1) written notification to the employee that the company plans to insure the life of the employee, (2) disclosure to the employee of the maximum face amount of insurance, (3) written consent of the employee being insured that this policy may be continued even if the employee terminates employment, and (4) written notification to the employee of the policyholder that will be the beneficiary of the proceeds payable upon the death of the employee.
1/30/13
The paragraph heading is Long-term Capital Gain Treatment. Note: The lower capital gains rates indicated here do not apply to C corporations. All capital gains of a C corporation are taxed at ordinary income rates.
1/7/13
Under heading "Included Costs": The three lines under this heading should be replaced with the following, providing a separate description for organizational expenditures and start-up costs. 2/7/13 R4-14 Item 6.b. b. Allowable organizational expenditures and include fees paid for legal services in drafting the partnership agreement, fees paid for accounting services, and fees paid for partnership filings. Start-up costs include the following costs incurred prior to the opening of the business: training costs, advertising costs, and testing costs.
IRS Tax Return Preparer Program R4-45 Item 10.d. In 2011, the IRS began requiring all tax return preparers who prepare and file tax returns for a fee to pass an exam, pay an annual fee, and complete 15 hours of continuing education each year. Attorneys, CPAs and Enrolled Agents were exempt from the new regulation. In January of 2013, a federal court overturned this ruling, and the IRS is appealing. For the time being, the tax return preparer program is no longer required. If the situation changes, we will post additional information.
1/30/13
Note: The tax portion of the Regulation exam focuses primarily on principles and concepts, and not on year-specific amounts, thresholds and phase-outs. New tax law is not testable until six months after the date passed by Congress. Therefore, the American Taxpayer Relief Act passed on January 1, 2013 is not testable on the CPA Exam until July 1, 2013.