Reflection On Taxation

792 Words4 Pages
Introduction Taxation course is not an easy course that I thought because it provide a large amount of information, filling schedule, principles, rules and calculation. At the beginning of this course, I was really lost because its new information, but after the course pass and I did the project with my classmate and read more about it in Text book, I really understand most ideas that I was misunderstanding it. In this reflection, I will discuss the main things that I learn it, provide some challenges in the project and how I solve it. Individual taxation Firstly, let's discuss the main points that I learnt in individual taxation. This topic includes many categories such as personal and Dependency deductions, filing status, standard deductions,…show more content…
For the tuition & fees deduction, I learnt that the maximum amount that deductible is $ 4000 if their AGI not exceed $ 65,000 and less than 80,000 for single and for married is between$ 130,000 and $ 160,000. Also, I learnt that If you are an eligible educator, you can deduct up to $250 for unreimbursed expenses such as books, supplies and supplemental material used in the classroom. Furthermore, taxpayers have the option to choose between the dependents and itemized deduction, they can choose the lower tax rate. Also, I learn that there is a different between exemption and deduction, so for exemption allow for all people while deduction depend for filing status. There are different type of itemized deduction, such as medical expenses…show more content…
Firstly, sole proprietorship is one person own the business, and he\she should pay self-employment tax from their net profit. Sole proprietorship has full responsibility for any loss and liability (unlimited liability). Partnerships are more than one person share the company so they will taxed from their distribution. S Corporation is a small business and they are LL and they don’t have double taxation. Shareholders should pay the taxed from their profit, even if they don’t have any profit. They can get fringe benefit if they own less than 2 %. Finally, the corporation is LL and the owners has fringe benefit and double taxation, the company pays tax from profit and the shareholders pay tax too from their distributions. Any loss for the company, the employees are not responsible for it, the company has full responsibility. These all important information that I learnt in business
Open Document