ACCOUNTING 332:
TAXATION OF BUSINESS ENTITIES
Fall 2014
Dr. Gene Whittenburg, CPA
Tax costs can consume a significant portion of business and individual wealth. Nearly every economic decision involves tax
considerations. The study of taxation is important for any business major, but it has added importance for students interested
in careers in accounting. Taxation is pervasive, complex and critical to decision-making. This course is the comprehensive
study of mostly Federal United States-based taxes. Although we recommend ACCTG 503, this course likely represents the terminal point for the study of taxation for many students. Topics focus heavily on taxation as it relates to business entities (as
opposed to individuals) and includes gross income, business deductions, cost recovery, property exchanges, gains and losses,
multi-state taxation, international taxation, tax sources, tax research and tax communication.
Course Objectives:
The primary objective is to help you understand the role of taxation in economic decision making. I want to assist you in gaining an understanding of fundamental tax law and help you be able to apply essential tax planning concepts. I will introduce a
broad range of tax issues and their impact on a variety of taxpaying entities. While the primary focus is on the federal income
tax, students will have an opportunity to acquire knowledge that is transferable to taxes imposed by other taxing authorities.
The knowledge and skills provided should facilitate future learning in tax even if you do not expect to become a tax professional.
These skills are often the sole objective of a course like this one and are generally part of the uniform CPA exam. However,
mastering only these skills is inadequate if you want to be an effective professional. Today’s accounting graduates must possess higher-level skills such as the ability to analyze, synthesize and critically evaluate information rather than just know how to
prepare it. I will strive to make sure you meet this challenge and help you require the added skills to be effective decision makers and advisors. In addition, this course has a substantial component involved in developing your skills in communicating
your tax knowledge to others much in the way a tax advisor would.
Students with Disabilities
If you are a student with a disability and believe you will need accommodations for this class, it is your responsibility to contact
Student Disability Services at (619) 594-6473. To avoid any delay in the receipt of your accommodations, you should contact
Student Disability Services as soon as possible. Please note that accommodations are not retroactive, and that accommodations
based upon disability cannot be provided until you have presented your instructor with an accommodation letter from Student
Disability Services. Your cooperation is appreciated.
Academic Honesty
The SDSU Standards for Student Conduct (http://www.sa.sdsu.edu/srr/conduct1.html) states that unacceptable student behavior includes “cheating, plagiarism, or other forms of academic dishonesty that are intended to gain unfair academic advantage.” Unprofessional conduct adversely impacts your fellow students, the accounting faculty, the Charles W. Lamden
School of Accountancy, SDSU, and the accounting profession. The Charles W. Lamden School of Accountancy takes academic
honesty very seriously and vigorously enforces university policy related to any such infractions. Any student suspected of academic dishonesty will be reported to the SDSU Center for Student Rights and Responsibilities; if found responsible, the student
could receive an “F” on the assignment or an “F” in Acctg 332.
Course Information:
Dr. Gene Whittenburg, Office: SS 2433, Phone: 594-5693
email: g.e.whittenburg@sdsu.edu
GA: Shunan Qiao <qiaoshunanxmu@gmail.com>
Prerequisites:
Upper Division Business Major, Business Minor, or other approved Non-Business Major
Course Material: Essentials of Taxation, Individuals and Business Entities 2015 Ed., (Smith, Raabe, Maloney, Young) and
Cengagenow.com. See below for how to sign up for Cengagenow.com.
Acctg 332 Taxation of Business
Fall 2014 Calendar
(Tentative—Subject to Change)
Topic
Subject
Chapter Reference
Topic 1
Introduction to Taxation
1
Topic 2
Overview of Individual
Taxation, Sole Proprietorships
Topic 3
Gross Income
9, 11-4 (only)
4
Exam 1
Business Deductions
5
Topic 5
Business Losses
6
Taxable and NonTaxable Property Transaction
Exam 2
10/17/14
Topic 7
Capital gains and Losses
8
Topic 8
Corporations
12
Topic 9
Topic 10
7
Pass-Thru Entities: Partnerships & S Corporations
Exam 3
11/14/14
Working with the tax law
2
Final Exam
(Comprehensive)
Other Activities
Form 1040-Sch C
09/17/14
Topic 4
Topic 6
Assignments
Cengage Now
Homework Chap 1
Cengage Now
Homework Chap 9,
11-4
Cengage Now
Homework Chap 4
14 & 15
12/12/14 (Friday)
12/15/14 (Monday)
Other Dates of Note:
09/01/14 Labor Day Holiday
09/05/14 Acctg Major Orientation 1300
09/19/14 Recovery Day
09/26/14 Acctg 331 Exam I (FYI)
10/26/14 Study Day
10/31/14 Acctg 331 Exam II (FYI)
11/11/14 Veterans Day Holiday
11/26/14 Thanksgiving Holiday
11/27/14 Thanksgiving Holiday
11/28/14 Thanksgiving Holiday
12/10/14 Last Day of Class
12/11/14 First Day of Final Exams
Cengage Now
Homework Chap 5
Cengage Now
Homework Chap 6
Cengage Now
Homework Chaps 7
Cengage Now
Homework Chap 8
Cengage Now
Homework Chap 12
Cengage Now
Homework Chaps 14
& 15
Cengage Now
Homework Chap 2
Form 1120
Form 1065
Research Case
Grade allocation:
Online Homework
Cases/In Class Activities
Midterm Exam 1 (Open Book)
Midterm Exam 2 (Open Book)
Midterm Exam 3 (Open Book)
Comprehensive final exam (Closed Book)
Total
10%
10%
10%
15%
15%
40%
100%
Final Course Grade Determination:
Like the song by Roy Orbison says, when the course is finished, "It's Over, Its Over, Its Over." There is no makeup or extra
credit work if you did not pass or get the grade you wanted. Please don't ask for special treatment because if I give it to one
student, I have to offer it to all students in the class. Note- you must turn in all assignments. If you do not, and there is curve at
the end of the course, you will not participate in the curve when I determine your final grade.
Emails
“Emails must be clear, concise, and well written. Please do not ask questions that are clearly answered in the course syllabus,
SDSU website, or other such sources.” Examples of unacceptable questions are “Where is your office?” or "When is the final
exam?" or “What does TTh stand for?”
Learning Objectives
In general, this course addresses the gross income, gains and losses, and expenses of business entities including:
1)
2)
3)
4)
Sole Proprietorships (Form 1040, Schedule C)
Subchapter “C” Corporations (Form 1120)
Partnerships and LLCs (Form 1065)
Subchapter “S” Corporations (Form 112S)
Learning Outcomes
At the end of this course, students should be able to:
1.
2.
3.
4.
5.
Comprehend the rationale for tax laws by differentiating the types of tax bases and weighing the multiple objectives tax
policymakers consider when developing new tax law.
Apply analytical reasoning tools to assess how taxes affect economic decisions for business-related taxpaying entities:
a. Through the amount and timing of income recognition and deductions
b. Related to property transactions that generate recognized, deferred, or no taxable gains and losses
c. Related to organization form decisions.
Develop a fundamental understanding of the components of taxable income determination across taxable entities so
that the student builds a foundation for effectively learning future tax laws
Draw supportable conclusions regarding tax issues by using research skills (including accessing and interpreting
sources of authoritative support) to identify and evaluate opportunities
Communicate tax conclusions in a clear and concise manner to relevant stakeholders.
Figure 1 1000 - 1050 MWF
Figure 2 1100 – 1150 MWF