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Question:
Below is an extra credit tax case. Read the facts and the issues. Give final case in the form of a 1-2 page memo using the Facts/Issues/Analysis/ Authorities /Conclusion format, with these titles clearly labeled. You can use the Facts and Issues section below directly in your memo.
Facts
A congregation needs to assist an Imam with housing, and makes donations to their mosque accordingly.
Issues
1. Evaluate the tax rules for a parsonage usually?
2. Under each of the subsequent conditions, what are the tax implications to the Imam and mosque?
a. The mosque provide the donated money to the Imam to purchase a house
b. The mosque loans the money to the Imam, interest free, for him to purchase a house
c. The mosque constructs a house for the Imam to live in, rent-free
Determine taxable income before considering expense.
Prepare a tax research memo to the file that addresses the issues you feel are most relevant to Mimi's various issures.
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Show the tax issues that are raised and the relevant sections of the legislation.
Brief statement in your own words of the facts of the cases.
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Prepare the required journal entry to record the tax expense
Calculate Barb's taxable income? What nonrefundable credit is Barb eligible for based on the information you have?
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