Using the Following Choices, Show the Justification for Each Provision

question 6

Multiple Choice

Using the following choices, show the justification for each provision of the tax law listed.
a. Economic considerations
b. Social considerations
c. Equity considerations
d. Both a. and b.
-Tax credits available for the purchase of a vehicle that uses alternative (nonfossil) fuels.

• A)Deferral of gains from involuntary conversions
• B)Carryforward of net operating losses
• C)"No change" is a possible result
• D)State income tax applied to a visiting nonresident
• E)IRS special agent
• F)Undoing the "piggyback" result
• G)Ideal budget goal as to new tax legislation
• H)Every state that has a general sales tax has one
• I)Imposed by all states and the Federal government
• J)Imposed by some states but not the Federal government
• K)Imposed only by the Federal government
• L)No correct match provided

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Definitions:

Securities Litigation Uniform Standards Act of 1998

A United States federal law that preempts class-action lawsuits related to securities fraud from being brought under state law, requiring instead that they be brought under federal law.

1933 Act

Also known as the Securities Act of 1933, it's a U.S. law enacted to ensure that investors receive significant information regarding securities being offered for public sale, and to prevent deceit, misrepresentations, and other frauds in the sale of securities.

State Court

A court that has jurisdiction over disputes with some connection to a U.S. state, as opposed to the federal court system.

Section 16(b)

A provision of the Securities Exchange Act that aims to prevent unfair use of nonpublic information by requiring insiders to return any profits made from buying and selling their company's stock within a short time frame.