scholarly journals Caravan Traders: A Tax Research Project For Pass-Through Business Entities

2010 ◽  
Vol 6 (6) ◽  
Author(s):  
Monique O. Durant
Keyword(s):  
Tax Planning ◽  
Practice Research ◽  
Analytical Skills ◽  
Hypothetical Data ◽  
Beneficial Impact ◽  
Flow Through ◽  
Business Entities ◽  
Pass Through ◽  
Tax Research ◽  
The Impact

This paper presents a tax case simulating a real-world experience in the area of partnership or flow-through entity taxation.  Students are presented with an open transaction, hypothetical data and business objectives of the partners.  They are then requested to consider the tax rules and the impact on the parties based upon each of two options in order to determine the best business alternative.  In order to do this, they rely on knowledge learned in the typical partnership taxation course and practice research and analytical skills to synthesize the most optimum outcome.  Students are asked to deliver a tax memorandum that addresses a series of progressive issues, as well as two excels worksheets which outline the tax impact under each of the two options.  As a result of this assignment, students discover the value of prudent and skillful tax planning and the beneficial impact that they can have on the financial affairs of their clients.

scholarly journals Tax Case: Single Member LLC Brings In A Second Owner

2012 ◽  
Vol 8 (5) ◽  
pp. 447-458
Author(s):  
Monique O. Durant
Keyword(s):  
Positive Impact ◽  
Limited Liability ◽  
Tax Planning ◽  
Limited Liability Company ◽  
Analytical Skills ◽  
Partnership Formation ◽  
Hypothetical Data ◽  
Alternate Forms ◽  
Potential Impact ◽  
Business Entities

This paper presents a tax case simulating a real-world experience whereby a single member limited liability company that is currently classified as a disregarded entity, takes on a second owner. By default the entity will be classified as a partnership; however, if an affirmative election is made, the LLC could be taxed as a corporation or as an S corporation. Students are presented with two options for partnership formation along with hypothetical data and business objectives of the partners. They are then asked to consider the tax rules of two options, along with the resulting tax and economic impact of each option, in order to make a recommendation about the more favorable business alternative. Students are also asked to consider alternate forms of entity in addition to that of a partnership and the potential impact on the owners. In order to do this, students rely on fundamental knowledge learned in the typical business entities tax course and use their research and analytical skills to synthesize the most favorable outcome. Students are asked to deliver a tax memorandum which addresses a series of issues or questions, plus a client letter discussing the tax considerations as well as non-tax factors, in addition to Excel worksheets which outline the tax impact under each of the two options provided. As a result of this assignment, students discover the value of prudent and skillful tax planning, that additional, non-tax factors may need to be considered, and the positive impact they can have on the financial affairs of their clients.

S CORPORATIONS AND IRC SECTION 199A:INCORPORATING EXCEL INTO TAX PLANNING SCENARIOS

2020 ◽  
Author(s):  
Lauren A Cooper ◽  
Kimberly G. Key ◽  
Mollie E. Mathis
Keyword(s):  
Decision Making ◽  
Tax Planning ◽  
Cost Recovery ◽  
Internal Revenue ◽  
Flow Through ◽  
Business Income ◽  
Tax Research ◽  
Electronic Spreadsheet

This case requires students to take a multi-year tax planning perspective for an S Corporation owner-employee. The case emphasizes the new Internal Revenue Code (IRC) {section sign}199A deduction (qualified business income (QBI) deduction) and electronic spreadsheet skills. The case also includes reasonable compensation and cost recovery issues. Students perform tax research to identify factors relevant to QBI deductions and apply this research to make QBI deduction calculations. Then, students demonstrate knowledge of the flow-through entity by incorporating IRS rules and logic into electronic spreadsheets. Finally, students improve their tax-related decision-making by evaluating scenarios related to the QBI deduction in a flow-through entity setting.

The influence of inflation targeting on the pass-through effect of the exchange rate

2018 ◽  
pp. 70-84
Author(s):  
Ph. S. Kartaev ◽  
Yu. I. Yakimova
Keyword(s):  
Developing Countries ◽  
Monetary Policy ◽  
Exchange Rate ◽  
Inflation Targeting ◽  
Policy Regime ◽  
Short And Long Term ◽  
The Exchange Rate ◽  
Pass Through ◽  
The Impact

The paper studies the impact of the transition to the inflation targeting regime on the magnitude of the pass-through effect of the exchange rate to prices. We analyze cross-country panel data on developed and developing countries. It is shown that the transition to this regime of monetary policy contributes to a significant reduction in both the short- and long-term pass-through effects. This decline is stronger in developing countries. We identify the main channels that ensure the influence of the monetary policy regime on the pass-through effect, and examine their performance. In addition, we analyze the data of time series for Russia. It was concluded that even there the transition to inflation targeting led to a decrease in the dependence of the level of inflation on fluctuations in the ruble exchange rate.

MODERN PROBLEMS OF ACCOUNTING AND ANALYTICAL ENSURING FINANCIAL RESULTS MANAGEMENT

2020 ◽  
Author(s):  
Yuliia Peniak ◽  
◽  
Nataliia Horokhovatska ◽  
Keyword(s):  
Performance Management ◽  
Enterprise Management ◽  
Goods And Services ◽  
Financial Condition ◽  
General Evaluation ◽  
Net Profit ◽  
Business Entities ◽  
Results Management ◽  
Main Components ◽  
The Impact

The main purpose of any enterprise in the market economy is to obtain high financial results. One of the main conditions for the effective functioning of the enterprise is ability to generate profit in the amount that will create the financial basis for further development and expansion of the enterprise, comply with social and material needs, ensure competitiveness in the market of goods and services. The need for accounting and analytical management of financial results stems from needs of owners, the state and employees in information that will enable them to identify patterns and trends in financial results, identify and assess the main factors influencing the process of their creation, distribution and usage, identify reserves and thus increase the level of profitability. Despite the significant scientific contribution in the field of research of financial results of the enterprises, the issue of improvement aims to the accounting and analytical maintenance of management of financial results of the enterprise remains actual. That is why the purpose of the study is to substantiate the theoretical and practical aspects and develop approaches to improving the mechanism of formation of accounting and analytical support for the management of financial results of the enterprise. Accounting and analytical management of financial results of the enterprise is a set of interconnected elements of production and management system, activities carried out by the subject of management, creation of a certain structure, as well as collection, accumulation, storage and analysis of information necessary for effective operation of the enterprise. The main components of the study of accounting and analytical support of financial performance management are the formation of methods of analysis, control and forecasting of financial results, which requires specification of the components of the analytical and controlled process within the organizational and information model. Namely, the formation of reliable information about the financial condition of the enterprise, the analysis of economic indicators of the enterprise is of great importance in the system of general evaluation of business entities. Their research makes it possible to assess the dynamics of the structure of income and expenses, to determine the impact of factors on the company's profit from various activities, as well as to find reserves to increase the net profit of enterprises. Thus, the improvement of accounting and analytical support of enterprise management is based on the use of modern forms, methods and principles that place new demands on the formation of unbiased, complete, timely, clear and useful accounting and analytical information about the enterprise and its financial results.

Assessment of small businesses activities in Ukraine

2019 ◽  
pp. 40-47
Author(s):  
Igor Ponomarenko ◽  
Kateryna Volovnenko
Keyword(s):  
Comparative Analysis ◽  
Statistical Analysis ◽  
Small Business ◽  
Small Businesses ◽  
Government Agencies ◽  
Small Enterprises ◽  
The Subject ◽  
Business Entities ◽  
The Impact ◽  
Micro Enterprises

The subject of the research is a set of approaches to the statistical analysis ofthe activities of small business entities in Ukraine, including micro-enterprises. The purpose of writing this article is to study of the features of functioningof small business entities in Ukraine. Methodology. The research methodology isto use a system-structural and comparative analysis (to study the change in thenumber of small enterprises by major components); monographic (when studyingmethods of statistical analysis of small businesses); economic analysis (when assessing the impact of small business entities on socio-economic phenomena andprocesses in Ukraine). The scientific novelty consists to determine the features ofthe functioning of small businesses in Ukraine in modern conditions. The influenceof the activities of the main socio-economic and political indicators on the activities of small enterprises in recent periods of time has been identified. It has beenestablished that there is flexibility in the development of strategies by small businesses in conditions of significant competition, which makes it possible to quicklyrespond to changing situations in specific markets. Conclusions. The use of acomprehensive statistical analysis of small businesses functioning in Ukraine willallow government agencies to develop a set of measures to optimize the activitiesof these enterprises, which ultimately will positively affect the strengthening oftheir competitiveness and will contribute to the growth of the national economicsystem.

Safe development of business and national economy in the face of a pandemic and global recession

2020 ◽  
Vol 16 (6) ◽  
pp. 1182-1198
Author(s):  
I.V. Vyakina
Keyword(s):  
Economic Security ◽  
Global Recession ◽  
Graphical Visualization ◽  
National Economic ◽  
Business Support ◽  
The Face ◽  
The Russian Federation ◽  
Business Entities ◽  
Visualization Techniques ◽  
The Impact

Subject. This article deals with the issues related to the national economic security of the State in today's conditions. Objectives. The article aims to develop a set of special measures for additional business support to reduce the impact of restrictions imposed against the background of quarantine and the pandemic spread, and which would help prevent collapse of business entities. Methods. For the study, I used the methods of theoretical, systems, logical, and comparative analyses, and tabular and graphical visualization techniques. Results. The article proposes possible measures to support business aimed at reducing the costs of business entities due to the restrictions caused by the pandemic, that complement and explain the activities proposed by the President and Government of the Russian Federation, taking into account the regional and municipal levels. Conclusions. The uncertain current situation requires constant adjustment and adaptation of public policy in accordance with specific circumstances. Ensuring the country's economic security and sustainability associates with creation of a business organization system that connects public administration tools and business support and development opportunities under the changed environment.

Global Food Commodity Prices and Domestic Food Inflation: Some Insights from Morocco

New Medit ◽  
2020 ◽  
Vol 19 (3) ◽  
Author(s):  
Ahmed EL GHIN ◽  
Mounir EL-KARIMI
Keyword(s):  
Exchange Rate Regime ◽  
Commodity Prices ◽  
Food Prices ◽  
Consumer Prices ◽  
Floating Exchange Rate ◽  
Pass Through ◽  
The Impact ◽  
Food Inflation ◽  
Global Food ◽  
Domestic Food

This paper examines the world commodity prices pass-through to food inflation in Morocco, over the period 2004-2018, by using Structural Vector Autoregression (SVAR) model on monthly data. Several interesting results are found from this study. First, the impact of global food prices on domestic food inflation is shown significant, which reflects the large imported component in the domestic food consumption basket. Second, the transmission effect is found to vary across commodities. Consumer prices of cereals and oils significantly and positively respond to external price shocks, while those of dairy and beverages are weakly influenced. Third, there is evidence of asymmetries in the pass-through from world to domestic food prices, where external positive shocks generate a stronger local prices response than negative ones. This situation is indicative of policy and market distortions, namely the subsidies, price controls, and weak competitive market structures. Our findings suggest that food price movements should require much attention in monetary policymaking, especially that the country has taken preliminary steps towards the adoption of floating exchange rate regime.

Mathematical models forecasting the transformation of the tax path of large russian companies

2019 ◽  
Vol 5 (3) ◽  
pp. 193-203
Author(s):  
Kristina A. Bannova ◽  
Nurken E. Aktaev ◽  
Yulia G. Tyurina
Keyword(s):  
Information And Communication Technologies ◽  
Business Processes ◽  
Digital Economy ◽  
The State ◽  
Russian Society ◽  
Financial Flows ◽  
Business Entities ◽  
Object Of Study ◽  
Tax Changes ◽  
The Impact

Digital technologies have changed the relationship between the society and business entities, taxpayers and the state. Ceteris paribus, the ability to effectively manage financial flows and make administrative decisions depends on the correct and established interaction between the state and taxpayers. This study aims to form and develop a taxpayer’s understanding of the digital age with all its features and opportunities for information and communication technologies, including mathematical modeling methods that form the basis of the digital economy for building and sustaining business development, improving the systemic vision of business processes. The research hypothesis is that the further development of economic entities management in the digital context, as well as the coordination of these entities’ interests, is possible only in the partnership of the key economic participants, with the taxpayer at the forefront. That will allow identifying the areas for improving tax trajectories. Using polynomial approximation, the authors have obtained the models of tax trajectories of companies that allow predicting tax burden. The data for approximations are obtained using the previously constructed mathematical model of the optimal tax path. The main input data of the model are fixed assets and human resources, the totality of which form the production function. The analysis of the transformation of tax paths shows ways for achieving a balance of interests between both the state and the taxpayers. Finding this balance will help to overcome the crisis of confidence in the authorities, the development of adaptability and creativity of Russian society to new tax changes. A number of parameters determines the scale of this task. They include the complexity of the object of study, the long-term and multi-aspect nature of the impact which modeling the digital economy has on adaptation to the new digital realities of the state and taxpayers, as well as the absence of significant analogues of the solution to this problem in global and Russian economics.

EXPRESS: Investigating the Effects of Excise Taxes, Public Usage Restrictions, and Anti-Smoking Ads across Cigarette Brands

2021 ◽  
pp. 002224292199456
Author(s):  
Yanwen Wang ◽  
Michael Lewis ◽  
Vishal Singh
Keyword(s):  
Market Power ◽  
Market Share ◽  
Brand Choice ◽  
Continuous Model ◽  
Marketing Strategies ◽  
Brand Strength ◽  
Excise Taxes ◽  
Cigarette Tax ◽  
Pass Through ◽  
The Impact

The prevalence of strong brands such as Coca-Cola, McDonald’s, Budweiser, and Marlboro in “vice” categories has important implications for regulators and consumers. While researchers in multiple disciplines have studied the effectiveness of anti-tobacco counter-marketing strategies, little attention has been given to how brand strength may moderate the efficacy of tactics such as excise taxes, usage restrictions, and educational advertising campaigns. In this research, we use a multiple discrete-continuous model to study the impact of anti-smoking techniques on smokers’ choices of brands and quantities. Our results suggest that while cigarette excise taxes decrease smoking rates, these taxes also result in a shift in market share towards stronger brands. Market leaders may be less affected by tax policies because their market power allows strong brands such as Marlboro to absorb rather than pass through increased taxes. In contrast, smoke-free restrictions cause a shift away from stronger brands. In terms of anti-smoking advertising we find minimal effects on brand choice and consumption. The findings highlight the importance of considering brand asymmetries when designing a policy portfolio cigarette tax hikes, smoke-free restrictions, and anti-smoking advertising campaigns.

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