This is a research assignment. The following cases are based on2016 Federal tax laws and regulations.Step 1:answer each question "Yes" or "No". Complete Step 1 before you go to Step 2.Step 2: Summarize the facts of the Case. Step 3: . Explain your answer in Step 1 including the regulation(s) on which you relied andthe IRC section.Show computations to support your answers where necessary.You may consult any authoritativesource for your answers.

Research Assignment for Fall 2017 This is a research assignment. The following cases are based on 2016 Federal tax laws and regulations. Step 1: answer each question "Yes" or "No". Complete Step 1 before you go to Step 2. Step 2: Summarize the facts of the Case. Step 3: . Explain your answer in Step 1 including the regulation(s) on which you relied and the IRC section. Show computations to support your answers where necessary. You may consult any authoritative source for your answers. Case 1 A Taxpayer explains to you that he sold his fully depreciated, 100% business-use vehicle for $10,500 and then purchase another vehicle for $10,000. The vehicle he purchased is used 100% personally. Does this qualify as a like-kind exchange and thus any gain is deferred? Case 2 Jackson graduated from Marquette University in May 2015. Prior to graduation, he was a fulltime student from January 3 through May 22. After graduation, he started working as a marketing assistant and was eligible to participate in his employer's 401(k) plan. During the year, he made 401(k) contributions of $2,000 and had adjusted gross income of $18,750. Since this is the first time has participated in a retirement plan, he does not have any distributions from other plans. Can Jackson claim a credit on Form 8880, Credit for Qualified Retirement Savings Contributions, for his contributions to the 401(k) plan? Case 3 Jerry and Elaine have a child who is two years old. The couple incurs $11,800 in child care expenses while they work. Jerry earned $55,000 and Elaine earned $16,750 during the year. Jerry's employer has a dependent cadre FSA. Under the plan, Jerry had $3,500 set aside taxfree, for reimbursement of child care expenses, which shows in his W-2 box 10. Will Jerry and Elaine receive the dependent care credit on their tax return? Case 4 Pat owns an unimproved lot adjacent to a local church that is currently worth $110,000. Pat inherited the lot from his father. At that time, the FMV was $95,000. The church offers Pat $88,000 for the lot and he accepts. Pat is under the impression that he will have a $7,000 ($88,000 - $95,000) capital loss that he can use to offset capital gains that he generated in current year. Is Pat correct? Show computations to support your answer. Case 5 An accrual basis C corporation gave Hannah a bonus on February 15, 2016, based on services performed during 2015. Hannah is a cash basis shareholder/employee who owns 40% of the C corporation's stock, while her father owns the remaining 60%. Can this bonus be deducted on the C corporation's 2015 Form 1120, U.S. Corporation Income Tax Return