A Taxpayer Wishes to Take a Deduction for a Worthless

question 91

Multiple Choice

A taxpayer wishes to take a deduction for a worthless debt.Without proper documentation,the taxpayer faces the risk that the IRS will assert that

• A)the debt is not yet worthless,disallowing the deduction.
• B)the debt became worthless in an earlier period,and the statute of limitations prevents the taxpayer from amending that earlier return.
• C)both of the above.
• D)none of the above.

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Definitions:

Strategic Planning

The process of defining an organization's direction and making decisions on allocating its resources to pursue this strategy.

HRP Model

Human Resource Planning Model; a strategic process used by organizations to align their human resource needs with their business goals.

Internal Fit

Refers to the alignment between an organization's human resources strategies, policies, and practices with its overall business strategy to create cohesiveness and enhance performance.

HR Practices

Activities and policies implemented by the human resources department to manage and support an organization's workforce, including hiring, training, performance management, and benefits administration.