Tax Issues Essay - 550 Words

Tax Issues (Essay Sample) Content: Tax IssuesStudentà ¢Ã¢â€š ¬s NameInstitutionTax IssuesEmployers today encourage their employees to be engaged in travelling as a requirement for their continued employment. However, employees who use their money to cater for travel and other expenses during the course of their work are expected to be reimbursed. Employees have therefore developed policies that comply with the current tax laws aimed at deducting the expenses and treating them in their books of account as business expenses. Employers may develop policies to save them money by limiting the reimbursable expenses or making the reimbursement process cumbersome and time consuming. However, employers should also consider the fact that policies that are simple and less restrictive improve the commitment and productivity of employees. This paper examines the tax issues that an employee should consider in a job that has a lot of travelling and entertainment expenditure.The law requires that an individual is tax ed on his or her adjusted gross income. Andree should be aware of the fact that he may deduct reimbursements paid by the employer for expenses incurred while performing duties on behalf of an employer from the gross income (Marcum, Perry Robin, 2010). Personal expenses are not deductible. Only à ¢Ã¢â€š ¬Ã‹Å"necessary and ordinaryà ¢Ã¢â€š ¬ expenses are allowed for deduction. Necessary and ordinary expenses in this case vary from industry to industry. Travel expense is an ordinary and necessary expense that is deductible. It includes expenses incurred while travelling on behalf of the business such as lodging, meals and transportation (Marcum, Perry Robin, 2010).The travel and entertainment expenses should also be supported by valid documents. Substantiation of the expenses requires details that include dates of travel, purpose of the business, receipts for the expenses incurred, business relationship all the individuals and descriptions of the expenses (Marcum, Perry Robin, 20 10). The expenses incurred should not be extravagant or lavish. In case there are no supporting documents, there is a risk that part or full deduction will not be allowed if an individualà ¢Ã¢â€š ¬s tax return is audited. In cases where documentation is not sufficient and complete, an employee can still take a deduction for some of the business-related expenses incurred. Therefore, regardless of the tax-reporting framework chosen, an employee will always be faced with a high potential abuse by the tax system (Marcum, Perry Robin, 2010).Generally, only 50% of the business-related entertainment and meals expenses can be deducted (Marcum, Perry Robin, 2010). The 50% limit is applied after determining the amount that will be deducted. However, there are exceptions to this genera...

A Plot Review of 12 Angry Men - Free Essay Example

What would you do if your decision was the deciding factor in a young boys fate? Would you carefully examine the facts of what happened or would you blindly make a decision based on the thoughts and opinions of those around you? 12 Angry Men (1957) is one of the most acclaimed feature films of all time. It was produced during a time when our nation was approximately 10 years out of World War II. After watching the film 12 Angry Men, I learned that a group of twelve jurors have to decide the fate of a young male who was blamed for the murder of his dad. Throughout the juries deliberation, one man truly displayed all of the qualities of a leader. We know this man as being juror number 8 played by Henry Fonda. Henry Fonda not only shows excellent qualities and traits of a leader but he uses these qualities to lead the jury to a vote of not guilty. Because of this, he plays a significant role. He could have easily been influenced by groupthink, as well as his peers but he was not. Groupthink by definition is the social psychological phenomenon that results in groups during pressure situations. This theory is broken down into eight signs. Illusion of invulnerability, Collective rationalization, Belief in inherent morality, Stereotyped views of out-groups, Direct pressure on dissenters, Self-censorship, Illusion of unanimity, and Self-appointed mindguards. I believe that groupthink may be a technique to control social behavior because when we are in a group setting we can be influenced by the thoughts, feelings, and behaviors of those around us. It controls social behavior because ones actions and decision making can easily be influenced by the presence of others. This was not the case with Juror 8; he was able to independently formulate his own thoughts and voice his opinion. I mean after all, they were deciding on whether or not to sentence an 18 year old to the electric chair. It definitely deserves a bit more critical thought and evaluation. Juror 8 opened the eyes of the other jurors, by showing that the knife was not as unique as the rest had claimed it to be. This helped the young boys chances of not being convicted greatly, however there was supporting evidence that argued why the boy should be found guilty. I will present a few of the pieces of evidence supporting the boys guilty verdict. During the trial the boy advised that he was at the movie theater during the time of his fathers murder, but he seemed to have some trouble remembering the name of the movie or who was with him. A neighbor who lived on the same street testified during the trial stating that she saw the young boy kill his father. In addition, the boy seemed to have had a previous record of offenses, including a violent crime with a knife. With this supporting information being presented, are the other jurors guilty of groupthink or is this substantial evidence to sentence the young boy to the electric chair? After hearing enough of the evidence, majority of the jurors mutually agree into the group process of the storming stage. The jurors began to take on roles as a unanimous vote must be completed before proceeding or moving forward. Nearly all jurors aim towards a guilty verdict, this symptom is the first groupthink term known as Illusion of unanimity. A conflict to this assumed general idea befell as juror eight votes not guilty. Juror number eight shows an added groupthink theory; his vote is later based on; Belief in inherent morality. This theory is the trust in the righteousness above conformity regardless of the circumstances. Conflict arises as the norming stage unfolds, as the other eleven jurors try to persuade that the boy is without a doubt guilty.