On December 29,2008,the Directors of Greyhawk Enterprises (An Accrual Basis,calendar

question 91

Essay

On December 29,2008,the directors of Greyhawk Enterprises (an accrual basis,calendar year taxpayer)authorized a cash donation of $10,000 to the United Way,a qualified charity.The payment is made on March 13,2009.
a.Can Greyhawk claim the $10,000 contribution as a deduction for tax year 2008? Explain.
b.Would your answer differ if Greyhawk were a partnership and its partners authorized a donation on December 29, 2008, and Greyhawk paid it on March 13, 2009? Explain.

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Definitions:

Crystalline Rocks

Rocks that are composed of crystals or have a crystal-like structure, often formed through the cooling of molten rock.

Continental Shield

A central region of many continents consisting of relatively old metamorphic and igneous rocks, commonly of Precambrian age.

Sediment-Filled Basin

A low area on the earth's surface where sediments have accumulated over time, often forming layers that can contain valuable geological information.

Regional Effects

Regional effects refer to the impacts or consequences of natural or human activities that are felt over a wide geographic area, often crossing administrative boundaries.