ABluebookopinionissubstantialauthorityforpurposesoftheaccuracyrelatedpenalty. True False True ANSWER: Theprimarypurposeofeffectivetaxplanningistoreduceordeferthetaxinthecurrenttaxyear. True False False ANSWER: RATIONALE:Thisisasecondarytaxobjective. Deferringincometoasubsequentyearisconsideredtobetaxavoidance. True True ANSWER: Taxplanningusuallyinvolvesacompletedtransaction. True False False ANSWER: RATIONALE:Taxplanningusuallyinvolvesaproposedtransaction. TheRegulationsectionoftheCPAexamisapproximately60%Taxationand40%Law&ProfessionalResponsibilities. True False True ANSWER: TheInternalRevenueCodewasfirstcodifiedinwhatyear? a.1913. b.1923. c.1939. d.1954. e.1986. c ANSWER: TaxbillsarehandledbywhichcommitteeintheU.S.HouseofRepresentatives? TaxationCommittee. WaysandMeansCommittee. FinanceCommittee.
ABluebookopinionissubstantialauthorityforpurposesoftheaccuracyrelatedpenalty. True False ANSWER: True Theprimarypurposeofeffectivetaxplanningistoreduceordeferthetaxinthecurrenttaxyear. True False ANSWER: False RATIONALE:Thisisasecondarytaxobjective. Deferringincometoasubsequentyearisconsideredtobetaxavoidance. True ANSWER: True Taxplanningusuallyinvolvesacompletedtransaction. True False ANSWER: False RATIONALE:Taxplanningusuallyinvolvesaproposedtransaction. TheRegulationsectionoftheCPAexamisapproximately60%Taxationand40%Law&ProfessionalResponsibilities. True False ANSWER: True TheInternalRevenueCodewasfirstcodifiedinwhatyear? a.1913. b.1923. c.1939. d.1954. e.1986. ANSWER: c TaxbillsarehandledbywhichcommitteeintheU.S.HouseofRepresentatives? TaxationCommittee. WaysandMeansCommittee. FinanceCommittee.