ACC 375 Fall 2005
Tax Research Lab
NAME:
As a Mercer student, you have access to the CCH Tax Research Network.
Before the advent of the Internet, tax research involved delving into
separate books of code, administrative rulings and cases. The bound
volumes would take up several rows of bookcases in the library---we’re
talking about a lot of books here! CCH’s Tax Research Network enables
you to research any topic using primary and secondary sources of tax
law, and you never even have to go to the library. All of the tax law
sources are accessible from your own computer. After you complete this
exercise, you should have a good working knowledge of how to use this
tool.
Instructions for the lab activities are listed below. Download this
document and type your answers directly in this document and attach
the web page(s) from which you got your answers. Substantiation is
required for each answer. Be sure to indicate to which question your
attachments refer. NOT ATTACHING SUPPORTING DOCUMENTATION FOR
EACH ANSWER WILL RESULT IN A DEDUCTION OF POINTS.

Go to http://tax.cchgroup.com.

Click on “Log In to Research Products”

Click on CCH Tax Research Network option.

Enter your ID - Everyone will have a unique ID so you should have no
trouble accessing the site.
1. On the home page, click on the Training and Support Tab.
 What number should you call for technical support?
 Under the section How Do I? Click on Get Acquainted with Tax
Research Network and read the short demo program. Is it
possible to have tax news sent to a PDA?
 Print off the last page of the Get Acquainted Demo
 Click on Find Answers to Your Tax Questions and print off the Table
of Contents.
Be sure to attach and label your supporting documents.
2. Click on the Tools tab at the top of the page (print off support for all
questions you answer).
 Click on Federal Tax Rates and Tables. What is the Social
Security (OASDI) tax cap for 2005?
 The was the standard deduction amount in 1993 for
Married Filing Joint and for Single taxpayers?
 Scroll down to Disaster Areas 2005. What was the cause of
Rhode Island being on this list?
 Go back to the Tools main menu and click on Unclaimed
Property Smart Charts. What is the dormacy period for
bank accounts in Georgia?
 From the Tools main menu, click on Mortgage Comparison
Calculator. 30 year fixed $200,000 mortgage at 5.67%,
with a 15 year $200,000 mortgage fixed at 5.04%. Assume
no points and no origination fees. What is the difference
in total interest paid over the life of the loan?
3. Go back to the Main Menu. Select the Federal Tax Library by clicking
on the Federal tab at the top (be sure to hit your back button to get
back to the main page). Check the box under Primary Sources
entitled Internal Revenue Code. Enter 280E in the search term box
and determine to what this section of the Code refers to. Print off the
page and highlight the subject of the section.
4. Click on CCH Federal Tax Weekly – Current Issue (this should be the
9/1/05 issue). Under Practitioner’s Corner, read “KPMG Indictments And
Fines Demonstrate Government’s Willingness To Take Criminal Action
Against Tax Fraud.”
Answer the following questions and print off your supporting evidence.
 How much did the KPMG scheme cost the IRS?
 What restrictions were placed on KPMG’s tax practice and are they
permanent or temporary?
5.
Click on CCH Federal Tax Weekly – Archives. Using the search term
“smoking cessation”, locate an article about this topic. Are smoking
cessation programs tax deductible? Print off the page and attach.
6. Click on Taxes – the Tax Magazine. Click on a few recent issues (20045) and locate an article of interest to you. Print off the article and
attached to this assignment along with a TWO paragraph summary.
7. Check the box next to Standard Federal Tax Reporter. In the search
term box put “disabled”. How does the tax law define disability for the
purpose of the Tax Credit for the Elderly and Disabled? Print off a copy
of the page where you got your answer.
8. Under the Federal Library, check Letter Rulings under Primary Sources.
Locate LTR 200344010. What was the taxpayer trying to deduct? Why
was this an unusual situation? Print off the page where you found the
answer and attach.
9. Check the box next to Cases. Put G. Gordon Liddy in the search term
box. You should see a Tax Court Case (TCM) and a case where the
Tax Court decision was appealed (US-CT-APP). Describe Mr. Liddy’s
tax problems. Was Mrs. Liddy able to get innocent spouse relief? Why
or why not? You need only print the headnote (summary at the top)
for support.
10. Go back to the main menu, leave cases checked, and enter the
search term "willie nelson”. Describe some of Willie’s activities with the
IRS (no supporting document required).
11. Search the term Scientology in the Cases section. How many cases
involving the Church of Scientology do you count (no supporting
document required)?
12. Locate a case involving Phil Burke. What type of dancing was at the
center of the controversy? Print off the page and attach.
13. Locate a case involving Randy Scott. What was her profession? Did
the court find that she was an employee or an independent
contractor? Print off the page and attach.
14. Locate a case involving Biltmore Blackman. What was he trying to
deduct and why was that deduction denied? Print off the page and
attach.
15. Are expenses related to an abortion tax-deductible? Print and
attach your evidence.