ITS A REVIEW ( I JUST NEED SIMPLE ANSWERS TO STUDY A LITTLE) CHAPTER 2 (1) Be familiar with the required Accounting Methods for Regular (C) Corporations. (2) Know the rules for Organizational Expenses (3) Know how to treat Capital Losses for Regular (C) Corporations (4) Know the purpose of the Dividends Received Deduction and how to compute it (5) Generally know which entities are Tax-Paying Entities and which are not. (6) Be able to make basic comparisons of similarities and differences (mostly differences) between Federal Taxation of Individuals and Regular (C) Corporations. (7) Know how to compute Charitable Contributions Deductions for Regular (C) Corporations (8) Also know the basic rules pertaining to Charitable Contribution Deductions for Regular (C) Corporations. (9) Know the basic rules pertaining to Personal Service Corporations. (10) Know generally how an entity is (or is not) determined to be a Regular (C) Corporation for Federal Income Taxation purposes. (11) Be able to compute Section 1245, Section 1250 (including Section 291) Depreciation Recapture amounts (12) Be able to compute the Federal Income Tax Liability for Regular (C) Corporations for Taxable Income of less than $335,000 (13) Be able to completely deal with the Schedule M-1 Reconciliation for Regular (C) Corporations from the standpoint of knowing what is added and what is subtracted from Net Income Per Books (14) Know the Corporate Characteristics for an Association (to be taxed as a Regular (C) Corporation). (15) Be able to determine the due date for Federal Income Tax Returns for Regular (C) Corporations. (16) Know generally the rules pertaining to Controlled Groups (17) Know what entity or entities the Internal Revenue Service (IRS) may disregard. CHAPTER 4 (1) Know the requirements for Section 351 Transfer (including definitions for Services, Stock and "In Control"). (2) Be able to compute Section 351 Transfer situations (ie. Recognized Gain or Loss to shareholder, Shareholder's Basis In Stock and Corporation's Basis In Properties Received) (including the impact of Section 357(b) and Section 357(c) Debt) (3) Know the affect of contributions to Regular (C) Corporations by Non-Shareholders (ie. Recognized Gain or Recognized Loss and Basis in property received). (4) Know the affect on Corporation and shareholders of Debt v. Equity In The Capital Structure. (5) Be able to compute the total deductions allowed in a Section 1244 Stock situation CHAPTER 5 (1) Be able to identify when Stock Dividends are taxable (or not). (2) Be able to identify Constructive Dividends (3) Be able to determine the effect on the Corporation for the distribution of property in a Property Dividend (4) Be able to compute the Taxable Income (Dividends) to shareholders for the four (4) Scenarios (and the Tax-Free Return Of Capital (And Remaining Basis In Stock) and Taxable Capital Gain) (5) Be able to determine the impact on the Shareholders for the distribution of property in a Property Dividend (6) Be able to identify the items that Increases and Decreases Earnings And Profits (E&P) and be able to compute Earnings And Profits (E&P)

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