For an Expense to Be Necessary,it Must Be Essential to the Taxpayer's

question 14

True/False

For an expense to be necessary,it must be essential to the taxpayer's business.

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Definitions:

Unionized Firms

Companies where a majority of the workforce is a member of a labor union, which represents the employees in negotiations with the employer.

Psychological Contracts

The unwritten set of expectations between an employer and an employee regarding mutual obligations.

Formal Procedures

Standardized methods and processes established by an organization to conduct its operations.

Ideal Strategy

Refers to an optimal approach a business or individual could take to achieve their goals under the best possible circumstances or assumptions.