LaCharles made a charitable contribution of property that he valued at $80,000. He deducted this amount as an itemized deduction on his tax return. The IRS can show that the actual value of the property is $50,000. LaCharles is in the 32% Federal income tax bracket. Determine the amount due for any penalty.
What will be an ideal response?
?The § 6662 penalty for an individual applies when the tax understatement exceeds $5,000 and the valuation used is 150% or more of the correct value.??LaCharles' underpayment of tax is $9,600 (32% tax bracket × $30,000 overvaluation). Thus, the penalty for overvaluation is 20% of this amount, or $1,920.?
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Indicate whether the statement is true or false
The ________ is regarded by many as the United States' most influential piece of environmental legislation
A) National Environmental Policy Act of 1970 B) Pollution Prevention Act of 1990 C) National Emissions Standards Act of 1965 D) Environmental Quality Improvement Act of 1970
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What will be an ideal response?
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