Using the Following Choices, Show the Justification for Each Provision

question 120

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.
-Additional depreciation deduction allowed for the year the asset is acquired.

• 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:

Diffusion

The process by which an innovation or idea spreads within a society or from one society to another over time.

Technological Advance

The process of developing new and better ways of doing things, particularly in areas like science, engineering, and manufacturing.

Invention

An invention is a unique or novel device, method, composition, or process that extends the boundaries of human knowledge or capability.

Innovation

Converting a thought or discovery into a valuable offering or solution that attracts customer investment.