Which of the Following Items Are Tax Preference Items for Purposes

question 8

Multiple Choice

Which of the following items are tax preference items for purposes of arriving at alternative minimum taxable income?

• A)excess intangible drilling costs on oil and gas properties
• B)interest income earned on federal obligations
• C)all depreciation claimed on pre-1987 real property acquisitions
• D)excess of net long-term capital gains over short-term capital losses

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Definitions:

Passengers

Individuals who travel in a vehicle but do not operate it, often used in the context of public or private transport services.

Activity Variance

The difference between the planned budget allocation for a particular activity and the actual expenditure incurred for that activity.

Meals

Meals include the food and beverages consumed predominantly for nutrition or sustenance, often categorized based on the time of day or occasion.

Activity Variances

The difference between the budgeted and actual costs associated with a specific activity, indicating whether the activity was more or less expensive than planned.