ACCOUNTING 460
INCOME TAX ACCOUNTING
FALL 2010
INSTRUCTOR: Dr. Bob Kilpatrick, CPA
OFFICE: FCB 421
OFFICE HRS: M&W 10:15-11:15, Th 10:00-11:00,and by appt.
PHONE: 523-7399
E-MAIL:
WEBSITE: www.franke.nau.edu/facstaff/kilpatrick-b
PREREQUISITE: Business Major Status
MATERIALS:
West’s Federal Taxation, Taxation of Business Entities, (2011)
Dr. Bob’s 460 Lecture Notes (Available for purchase at FCB Support Services)
COURSE OBJECTIVES: The focus of the course is on the basic concepts of taxation. My goal is to provide a tax education, not tax training. That is, you should develop the ability to determine the "correct" treatment of items affecting tax liability without resorting to rote memorization of every aspect of the tax law. (Even so, some memorization is necessary to gain a basic understanding of the income tax law.) This approach should provide a better understanding and appreciation of how the tax laws affect business and financial decisions.
Accordingly, the specific objectives are:
· To introduce students to a broad range of tax concepts
· To introduce students to a broad range of types of taxpayers
· To emphasize the role of taxation in the business decision-making process
· To provide students with the ability to conduct basic tax research
· To provide students with the ability to apply basic tax planning techniques to a wide range of situations
· To provide students with a knowledge of the interrelationship and differences between financial accounting and tax accounting
GRADING:
Exams (4 @ 100 each) 400
Research & Planning Cases 40
Hand-in Problems 50
Online Homework 35
Online Quizzes 20
Career Development Report 10
Total Points Possible 555
Grading scale:
A = 500 points (90%);
B = 438 points (79%);
C = 377 points (68%);
D = 310 points (56%).
ADDITIONAL COURSE INFORMATION:
EXAMS: Exams will consist of both multiple choice questions and problems. Multiple choice questions are rule-oriented and follow the general format and rigor found in the CPA exam. Problems are oriented more toward application of rules and the role of taxation in the business decision-making process.
Only approved absences will be accepted as reasons for missing a regularly scheduled exam. An approved absence will be given for illness, death in your family, or institutional purposes, provided you notify me prior to exam time. If you receive approval for a missed exam from me, a comprehensive exam given at the end of the semester will be substituted for the missed exam. Absent such approval, a grade of zero will be assigned as your test score.
Note: Students are encouraged to work together on these two outside projects. You may work in pairs (i.e., two students maximum on the project) and turn in a single paper.RESEARCH AND PLANNING CASES: Tax research and planning cases will require original research to be performed using our library resource materials (either hard copy or internet forms). Cases must be typed and follow the format discussed for each during class. Cases will be graded for both technical accuracy and presentation. Due dates are noted on the daily schedule. Except for extraordinary circumstances (in the accounting sense - both unusual and infrequent) for which I have given prior approval, no late cases will be accepted.
HAND-IN PROBLEMS: Hand-in problems are essentially “mega” homework problems. These may be hand-written. Point allocations are noted on the assignment schedule; problems will be graded for correctness. Due dates are noted on the daily schedule; late problems are subject to the same criteria as the research and planning cases.
Note: We are using the text’s online homework through Aplia (www.aplia.com). You should have an Aplia Access Card bundled with your textbook. Registration instructions are provided on a separate document and on our course webpage.
ONLINE HOMEWORK: Homework assignments must be completed on our Aplia course website by the due dates listed on the Aplia schedule. (These are also listed on the daily assignment page that follows; however, note that all due dates are 8:00 p.m. the night prior to the class period listed. the homework assignment by 8:00 pm the night before class. I am mostly interested in you making a good faith effort in completing your homework rather than getting it completely correct on your first attempt. Consequently, to earn the 35 homework points, you must average only 60% on the homework assignments. The 35 points is scaled down for averages below 60% (e.g., 50% average earns 30 points (35 x 50%/60%).
ONLINE QUIZZES: On-line chapter quizzes are due throughout the semester, with due dates listed on the Aolia Schedule. Note that these dates do not correspond with specific class meetings, so I have noted the weeks due on the following daily schedule.
CAREER DEVELOPMENT REPORT: The NAU Accounting Area and Accounting Advisory Council will host our annual Accounting Career Panels on Friday, October 1, 2:00 – 5:00 (including the reception), location TBA. Details will be discussed in class later. Attendance is mandatory for Accounting majors; Finance and other majors may attend or complete an alternate, commensurate career-oriented project, which will be provided on a separate document.
SCHOLASTIC DISHONESTY: Scholastic dishonesty will not be tolerated. For a description of actions that constitute scholastic dishonesty, see the list provided under the Integrity section of the FCB Expectations of Behavior at http://www.franke.nau.edu/StudentResources/CodeOfConduct/. The full consequences of scholastic dishonesty will be pursued, consistent with the University policy on scholastic dishonesty. At a minimum, you will receive an “F” in this course for scholastic dishonesty. No drops are allowed for students who receive an F for scholastic dishonesty.
UNIVERSITY POLICY ON COURSE REPEATS: If you are repeating a course, you must complete a Course Repeat form and turn it in to the Registrar's office no later than the ADD deadline of the semester; otherwise, the original grade will not be removed from your cumulative GPA.
UNIVERSITY POLICY STATEMENTS on (a) safe environment, students with disabilities, institutional review board, academic integrity, academic contact hour policy, and (b) classroom management: Please see, respectively,
http://www2.nau.edu/academicadmin/UCCPolicy/plcystmt.html; http://www4.nau.edu/stulife/handbookmanagement.htm.
ACC 460 TENTATIVE DAILY SCHEDULE
FALL 2010
DATE / TOPIC/READING ASSIGNMENT / ONLINE APLIA HOMEWORK(Due by 8:00 p.m. night PRIOR) / TURN-IN /
Week 1
8/30 M / Introduction to taxation, Ch. 1
9/01 W / Ch 1 Tax Computations, Business Entities, Planning Basics
Week 2
9/06 M / LABOR DAY
9/08 W / Ch 1, con’t. / Ch 1: 17,18 & add’l problems
Week 3 / Ch 1 Quiz
Ch 2 Quiz
9/13 M / Ch 2,Tax Law & Research / Ch 1: 20(b),21 & add’l problems / Prob 1 (10 pts)
9/15 W / Ch 2, con’t.
Ch 4, Gross Income / Ch 2: 4,5,7,16,19,27
Week 4 / Ch 4 Quiz
9/20 M / Ch 5 (§§5.1-5.6), Business Deductions / Ch 4: 9,14,17,22,24,25,32,33 & add’l problem / R&P Case 1 (10 pts)
9/22 W / Ch 6 (omit §6.2 & pp 24-28), Losses and Limitations / Ch 5: 8,11,13
Week 5 / Ch 6 Quiz
9/27 M / Ch 6: 5,6,13,15,17,28,29,35 & add’l problem / R&P Case 2 (10 pts)
9/29 W / EXAM 1
10/01 F / ACCOUNTING CAREER PANELS
2:00 – 5:00
Week 6
10/04 M / Ch 7, Property Transactions (Basis, Gain/Loss, Exchanges), §§7.1-7.3
10/06 W / Ch 7, §§7.4-7.6 / Ch 7: 5,12,14,16,18
Week 7 / Ch 7 Quiz
Ch 5 Quiz
10/11 M / Ch 5 (§§5.7-5.10), Cost Recovery / Ch 7: 29,30,34, & 28 (last)
10/13 W / Ch 5, con’t / Ch 5: 18,20,23,24,25,29,35
Week 8 / Ch 8 Quiz
10/18 M / Ch 8, Property Transactions (Capital, §1231, Recaptures) / Prob 2
(10 pts)
10/20 W / Ch 8: 15,17,23,25,26,27 & add’l problems / R&P Case 3
(10 pts)
Week 9
10/25 M / EXAM 2
10/27 W / Ch 9, Corporations (Organization, Operations)
Week 10 / Ch 9 Quiz
Ch 10 Quiz
11/01 M / Ch 10, Corporations (Distributions) / Ch 9: 7,9,12,13,14,16
11/03 W / Ch 11, Partnerships & LLCs / Ch 9: 28,33
Ch 10: 1,7,16,20
Week 11 / Ch 11 Quiz
Ch 12 Quiz
11/08 M / Ch 12, S Corporations / Ch 11: 2,4,9,11,12a,13,16 / Prob 3 (10 pts),
11/10 W / Ch 15, Comparative Forms of Doing Business / Ch 12: 9,11,13,25
Week 12 / Ch 15 Quiz
11/15 M / Ch 15: 1,6,25,27,37,38,39,40
11/17 W / EXAM 3
Week 13
11/22 M / Ch 16, Intro to Individual Tax
11/24 W / NO CLASS / SAFE TRAVELS
Week 14 / Ch 16 Quiz
11/29 M / Ch 16, con’t / Ch 16: 1,2,4,5,6,8,9
12/01 W / Ch 17, Individuals as Employees and Proprietors / Ch 16: 12,15,21,22,24,25,26,27
Week 15 / Ch 17 Quiz
12/06 M / Ch 17, con’t / Ch 17: 2,3,16,23,25 / Prob 4 (20 pts)
12/08 W / Catch-up if necessary / R&P Case 4 (10 pts)
12/13 M
12/14 T / FINAL EXAMS
§ 1, 12:30 – 2:30
§2, 3:00 – 5:00
ACC 460 Syllabus, p. 3