Tax practitioners, small business owners and students of tax law and accounting find problems and solutions relating to corporate taxation to be helpful in understanding issues that confront them. Such problems should never be considered as actual examples of how tax issues would be treated by the IRS in an audit or in court, should they be litigated. Solving these problems is purely educational, and can enlighten and inform the student and tax specialist alike.
Access to Corporate Tax Problems
You can access theoretical and academic corporate tax problems in a number of ways. They can be found in textbooks used in established tax law and tax accounting curricula. Sometimes you can find summaries of these courses online that present the subject matter of the course in outline form, the problems addressed and the textbooks to be used.
Know Your Corporation
To take advantage of the corporate tax problems that are available from academic and professional sources, whether you're a student or a tax practitioner, first understand the type of corporate tax entity under consideration. Different rules apply to different corporate entities, for example, sole proprietorships, partnerships and corporations (of various types). Each entity is covered by different sections of the tax code. Each is subject to different tax laws at the federal, state and local levels; each is covered by tax code sections, regulations, administrative codes, procedural statements and court decisions.
Beware! Real Tax Problems Should be Handled by Professionals
Because tax rules are complex and change constantly, a real corporate tax question should be handled by a professional tax attorney or accountant. While anyone can read the federal tax code (Title 26 of the U.S. code), simply reading the law will not provide sufficient information on how an actual issue will be handled by tax authorities.
Information From the IRS
If you are a corporation or business, you must file a corporate tax return with the IRS. The IRS provides information online about changes in tax law and administrative rulings.
Available Corporate Tax Homework Problems and Solutions
The National Tax Training School offers a course in federal taxation which provides advanced training in partnerships, corporations and fiduciaries. This course offers the student about 900 practical working problems and solutions taken from actual tax practice.
The Accounting Internet Library offers numerous tax questions and answers free and online. This source provides the tax and accounting law basis for answers to the problems.
A number of practice tests for accountants can be accessed on line. Some of these are multiple choice questions, with answers provided. For example, Google provides corporate finance homework questions and answers online at answers.google.com/answers/threadview?id=371777.
Formerly with the U.S. Treasury and Commerce Departments, and Vice President of the Electronic Industries Association, Barbara McLennan provides financial consulting services. She recently published a memoir, "Reagan’s Mandate: Anecdotes from inside Washington’s Iron Triangle." She regularly contributes articles about history and Virginia business to Northernneck.com.