University of Texas at Dallas

AIM 6352 - Corporate Taxation - Spring 2006

Instructor: Charles Solcher, JD, CPA Office: SOM 4.810

Senior Lecturer in Accounting and Information Management

Office Phone: 972-883-6347 Home Phone: 972-713-8828

Fax #: 972-883-6811 E-mail: Please use WebCt email

Home Page: http://www.utdallas.edu/~solcher

Office Hours: M/W 3:30 P.M. – 5:15 P.M.

T 4:00 P.M. - 5:00 P.M.
ALSO BY APPOINTMENT

TA: Jaya Dash Tripath

E-Mail: jdt051000@utdallas.edu

Course Objectives
To Use Critical Thinking

Ø To understand and apply income tax concepts that influence decisions of

corporate managers. The course will concentrate on tax effects in the
following areas:

1. Creation of Corporations
2. Corporate Distributions
3. Corporate Reorganizations
4. Tax Research and Planning

Ø To determine how distributions affect the tax liabilities of both the shareholder
and the corporate entity.

Ø To apply concepts to determine the best course of action for both the
shareholders and the corporate entity.

To Understand the Ethical Considerations in Tax Practice

Ø To appreciate the requirements and concepts contained in the Statement on

Responsibilities in Tax Practice.

Ø To understand the ethical issues that confront both individual taxpayers and
tax practitioners on a day-to-day basis.
 To Enhance Communication Skills

Ø Class participation and discussion will improve communication skills.

Ø The skills gained from the above items will be reinforced through

1. the preparation of two Federal corporate income tax returns and

2. the preparation of a research paper on a corporate tax issue.

To Enhance Understanding and Use of Computers

Ø By requiring the use of an on-line tax research system in the preparation of a

research paper.

Grading System

Maximum Points

1. Two Tests 200

2. Preparation of Tax Returns 50
3. Research Paper 50
4. Final Examination 150
TOTAL POINTS 450

Tax Returns: Information concerning the tax returns will be posted no

later than March 2, 2006. It is required that the tax returns be prepared
using professional tax preparation software. RIAs InSource software is
available for this project. Information concerning this software is posted
on WebCT. The returns are due no later than March 27, 2006.

Class Participation: Students should read the assigned chapter and

complete the assigned questions and problems prior to class and
participate in class discussion. Solutions to the assigned questions and
problems are posted on the instructor’s web page. The final grade for the
course may be enhanced as a result of class participation.

Research Paper: Each student or group (groups may consist of no more

than 3 students) should submit a topic for approval by January 25, 2006.
If no topic is submitted, the instructor will assign a topic. The paper is
due no later than April 10, 2006.

Requirements for Research Paper:

1. State the relevant facts.
2. Cite the following items that apply to your solution or the
recommended course of action:
a. Code Sections
b. Treasury Regulations
c. IRS Revenue Rulings
d. Court Cases
e. Letter Rulings
 3. UTD has available for students use the CCH on-line tax
service. The use of this system or a comparable computerized
system is required.

4. Discussion of code sections, regulations, revenue rulings,

court cases and letter rulings that apply.

5. State a conclusion or recommended course of action.

6. The paper should be about 8 pages in length; typed and

double-spaced.

7. The paper is due on April 10, 2006.

8. The paper will be grade on:

a. Professionalism
b. Logical format
c. Clarity

Final Examination: The final examination is comprehensive.

Required Textbooks
Wet Federal Taxation –
Corporations, Partnership, Estate and Trusts
By: Hoffman, Raabe, Smith and Maloney
2006 Edition

General Information
1. Make-up policy:
Only for very compelling reasons will a make-up test be
allowed.

2. Prerequisite:
The prerequisite for this course is AIM 6351 or an
equivalent.

University Policy on Cheating:

Students are expected to be above reproach in all-scholastic activities. Students who
engage in scholastic dishonesty are subject to disciplinary penalties, including the
possibility of failure in the course and dismissal from the University. "Scholastic
dishonesty includes but is not limited to cheating, plagiarism, collusion, the submission
for credit of any work or materials that are attributable in whole or in part to another
person, taking an examination for another person, any act designed to give unfair
advantage to a student or the attempt to commit such acts." Regents' Rule and
Regulations, Part One, Chapter VI, Section 3, Subsection 3.2, Subdivision 3.22. Since
scholastic dishonesty harms the individual, all students and the integrity of the
University, policies on scholastic dishonesty will be strictly enforced.
Date Topic Assignments
Week #1 Chapter 1 Introduction
1-9/11-06 Chapter 2 Code Sections: 448,248,11,1561(a), 1563(a)(1),1563(a)(2),
Reg. 1.1563-1(c)(2), 6012, and 6072
Week #2 No Class Jan. 16 - Holiday
1-16/18 Jan. 18 - No class
Week #3 Chapter 2 Continuation of Chapter 2 discussion
1-23/25 Research Topic Due for Approval January 25, 2006
Week #4 Chapter 3 Code Sections: 351(a), 351(b),351(d) 368(c),357(a), 357(b), 357(c),
1-30 & 2-1 358,and 385(a)
Tax return data will be posted February 2, 2006
Week #5 Chapter 3 Continuation of Chapter 3 discussion
2-6
2-8 Test One Test One - Part A - Take home part (Part B) will be handed out in
class.
Week #6 Chapter 4 Test One - Part B due on February 13, 2006
2-13/15 Code Sections: 316(a),301(c),301(a),317(a), 301(b),301(d),312(a),305
Week #7 Chapter 4 Continuation of Chapter 4 discussion
2-20/22 Chapter 5 Code Sections:317(a),318(a), 317(b),302(a),302(b)(1),302(b)(2),
302(b)(3),302(c),302(b)(4),302(e),1014(a),303,311(a) and (b)
312(n)(7),305,306,304,331,267(a),334(a),336(a),336(b),336(d),
336(d)(2)(B)(ii),331,334(a),332,337,334(b),and 338
Week #8 Chapter 5 Continuation of Chapter 5 discussion
2-27 & 3-1
Week #9 Spring Break Spring Break
3-6/8
Week #10 Chapter 6 Code Sections: 531,532,537,and 535
3-13/15
Week #11 No Class
3-20-22
Week #12 Chapter 6 Continuation of Chapter 6 discussion
3-27 Tax Returns are Due On March 27, 2006
3-29 Test Two Test Two - Part A - Take home part (Part B) will be handed out in
class.
Week #13 Test Two - Part B due on April 3, 2006
4-3/5 Chapter 7 Code Sections: 354,355,356,357,358,361,362,368
Week #14 Chapter 8 Code Sections: 1501,1502,1503,1504
4-10/12 Research Papers are Due - April 10, 2006
Week #15 Chapter 16 Code Sections: 6212,6861,6601,6213,6621,6651,6622, 6501(a) and (b
4-17/119
Week #16 Course Review Course Review
4-24
4-26 Final Comprehensive Final (In class April 26, 2006 at 5:00)