Which ONE of the following statements is true regarding the Canada RevenueAgency's (CRA's) right to reassess an income tax return?(a) A tax return may be reassessed at any time if the taxpayer made anymisrepresentation that is attributable to carelessness.(b) A tax return for an individual may be reassessed within four years of the date onwhich the original assessment was mailed.

Given: To find the correct statements of the options given in the concept of Canada Revenue Agency's…

Answered: ess S. ssed within four

Business

Accounting

ess S. ssed within four

Income Tax Fundamentals 2020

38th Edition

ISBN:9780357391129

Author:WHITTENBURG

Publisher:WHITTENBURG

Chapter12: Tax Administration And Tax Planning

Section: Chapter Questions

Problem 7P

See similar textbooks

Similar questions

If the IRS owes a taxpayer a refund, the law generally provides that the IRS must pay interest on the refund if it is not paid within __________ days of the tax-payer filed his or her tax return or claim for refund. 30 45 60 90 None of the above
If a U.S. Tax Court agrees with the taxpayer on appeal that the IRS position was largely unjustified, which of the following is correct? The taxpayer must still pay administrative and litigation costs. The taxpayer may recover administrative but not litigation costs. The taxpayer may recover litigation but not administrative costs. To be eligible to recover some of the administrative and litigation costs, the taxpayer must have tried to resolve the case administratively, including going through the appeals process, and must have given the IRS the information necessary to resolve the case. None of the above.
Which of the following statements is correct? a.The taxpayer has the right to object to a tax assessment anytime after receiving an Assessment Notice. b.The taxpayer must state the grounds of objection in his/her Notice of Objection c.The Tax Commissioner must accept a Return once it is filed on time. d.The Taxpayer has the right to object to an assessment within the timeframe specified on the Assessment Notice.
Indicate whether the following statements are "True" or "False" regarding the administrative powers of the IRS. a. If the taxpayer meets the record-keeping requirement and substantiates income and deductions properly, the IRS bears the burden of proof in establishing a tax deficiency during litigation. b. The Code permits the IRS to assess a deficiency and to demand payment for the tax. However, no assessment or effort to collect the tax may be made until 30 days after a statutory notice of a deficiency (a 30-day letter) is issued. c. If the taxpayer neglects or refuses to pay the tax after receiving the demand for payment, a lien in favor of the IRS is placed on all property (realty and personalty, tangible and intangible) belonging to the taxpayer.
Which of the following is not true? O A taxpayer must obtain approval or consent of the IRS to change their taxable year once adopted. O In certain cases, a taxpayer may change their method of accounting because automatic consent has been provided in an applicable revenue procedure. O A taxpayer's method of accounting must clearly reflect income. A taxpayer must obtain approval or consent of the IRS to adopt a method of accounting for a new trade or business.
Under what circumstances would the Commissioner-General of Ghana Revenue Authority may, by notice, require a person to file a tax return before the due date for filing of tax returns?
Which of the following statements is false? Select one: O A. In general, individual taxpayers are required to file a tax return only if their gross income exceeds the standard deduction OB. The penalty for failure to file is more severe than the penalty for failure to pay OC. Taxpayers may file a tax return even when they are not required to do so to obtain a refund of income taxes withheld OD. Individual tax returns are always due on April 15 for calendar-year individuals
14. If the taxpayer failed to pay the tax demanded per final assessment, the government may exercise several administrative remedies. Which of the following is not correct? Levy of real property of the taxpayer may be availed of only after distraint of personal property of taxpayer. Either distraint or levy may be pursued simultaneously once the assessment becomes final and demandable. If the tax assessed is P 100 and below, levy or distraint may not be availed of. The remedy of distraint of personal property may be repeated if necessary until the full amount due and all expenses are collected.
Regarding the statue of limitations on additional assessments of tax by the IRS, determine the applicable period in each of the following situations. Assume a calendar year individual with no fraud or substantial omission involved. a. The income tax return for 2017 was filed on February 19, 2018 b. The income tax return for 2017 was filed on June 25, 2018. c. The income tax return for 2017 was prepared on April 4, 2018, but was never filed. Through somen misunderstanding between the preparer and the taxpayer, each expected the other to file the return. d. The income tax return for 2017 was never filed because the taxpayer thought no additional tax was due.
Which of the following statements about extensions of time to file certain business income tax returns is true? a)It is required of mostentities to us e electronic funds transfer to make all federal tax deposits. b) The IRS will send taxpayers a notification if their request for an extension is approved. c) Property filing the form wil not automatically give taxpayers the maximum extension of time to file allowed. d) The maximum extension of the to file allowed from the due date of the taxpayer's business return is generally three months.
TRUE OR FALSE? The levy may be repeated until the full amount due, including all expenses is collected. Under Title I, Sec. 3 of the National Internal Revenue Code, the BIR shall be headed by the Commissioner and to be assisted by four (4) deputy commissioners. Whenever there is a violation of the due process of law, the taxpayer may file a motion for cancellation to the BIR or Court to stop the tax assessment.
If a calendar year taxpayer's 2021 individual income tax return is mailed on June 15, 2022, the statute of limitations would normally run out on: Oa. June 15, 2025 Ob. June 15, 2024 Oc. April 15, 2025 Od. April 15, 2024 Oe. None of these choices are correct.