Question 1

Novice tax researchers tend to exam less material in the course of a tax research project than experienced tax researchers.

Accepted Answer

A) True 
 B)False

Question 2

Which of the following statements regarding strategies to locate relevant authority is true?

Accepted Answer

A)   Novice researchers tend to examine fewer materials during the research process than experienced researchers.
B)   In an electronic tax service, keyword searching allows the researcher to combine words and phrases to target the search.
C)   Keyword searches should be defined as narrowly as possible to maximize efficiencies in the search process.
D)   All of the above are true statements.

Question 3

Tax research typically occurs as part of the tax compliance process; it is rarely important in tax planning.

Accepted Answer

A) True 
 B)False

Question 4

Which of the following is not a commercial tax service?

Accepted Answer

A)   RIA Federal Tax Coordinator 2d
B)   CCH Federal Tax Services
C)   Tax Management Portfolios
D)   Cumulative Bulletin

Question 5

Which of the following statements regarding administrative authorities is false?

Accepted Answer

A)   Private letter rulings are considered authoritative only for the taxpayer to whom they were issued.
B)   A technical advice memorandum is requested by a revenue agent or appeals officer during the examination or appeal of a taxpayer's return.
C)   Revenue procedures are considered secondary authority.
D)   Private letter rulings can only be obtained for a fee from the IRS.

Question 6

Step 4 of the tax research process is to repeat steps 1 through 3 as many times as necessary.

Accepted Answer

A) True 
 B)False

Question 7

Tax services are typically organized either topically or by Code section.

Accepted Answer

A) True 
 B)False

Question 8

When performing step one of the tax research process:

Accepted Answer

A)   The researcher generally can assume that the client's initial summary of the transaction is factually accurate and complete.
B)   The researcher must take into account the level of the client's tax knowledge.
C)   The client's motivation in undertaking the transaction is generally irrelevant.
D)   The researcher should presume that the client has some knowledge of the tax law.

Question 9

Which of the following is not primary authority on which to base tax research conclusions?

Accepted Answer

A)   U.S. District Court decision
B)   Editorial in the Wall Street Journal
C)   U.S. Court of Federal Claims decision
D)   Revenue procedure

Question 10

Which of the following statements regarding commercial tax services is false?

Accepted Answer

A)   Commercial tax services explain and interpret the tax law.
B)   Commercial tax services organize information about primary authorities in a manner that facilitates tax research.
C)   Commercial tax services contain both primary authority and secondary authority.
D)   Consulting a commercial tax service is typically the final step rather than a preliminary step in the tax research process.

Question 11

Locate the revenue procedure that includes the inflation-adjusted individual tax rate schedules for 2016. This revenue procedure usually is released in the fourth quarter of the previous year. Provide a complete citation for your source.

Accepted Answer

Rev. Proc....

Question 12

In the citation Rev. Proc. 2002-32, 2002-1
C.B. 959, the abbreviation
C.B. refers to Congressional Bulletin.

Accepted Answer

A) True 
 B)False

Question 13

The use of secondary authorities might be appropriate as part of which step in the research process?

Accepted Answer

A)   Understand the client's transaction and ascertain the facts
B)   Identify the tax issues, problems, or opportunities suggested by the facts and formulate specific research questions
C)   Locate relevant tax law authority
D)   Document your research and communicate your conclusions

Question 14

Which of the following is a proper citation to a revenue ruling?

Accepted Answer

A)  Revenue Ruling 2004 - 33
B)  RR 2004-33
C)   Rev. Rul. 2006-33, 2004-1 C.B. 628
D)  All of the above are proper forms for citing a Revenue Ruling

Question 15

Which of the following is not primary authority on which to base research conclusions?

Accepted Answer

A)   Journal of Taxation article written by a professor.
B)   Revenue ruling.
C)   U.S. Tax Court decision.
D)   U.S. Supreme Court decision.

Question 16

The advantages of electronic tax research libraries do not include:

Accepted Answer

A)   The ease with which such libraries can be updated for new developments.
B)   Portability.
C)   Speed of access and search.
D)   All of the above are advantages of electronic tax research libraries.

Question 17

Which of the following is not a secondary authority?

Accepted Answer

A)   Tax Court Memorandum decision
B)   BNA Tax Management Portfolio
C)   United States Tax Reporter
D)   All of the above are secondary authorities

Question 18

Which of the following is not administrative authority?

Accepted Answer

A)   The Internal Revenue Code
B)   Treasury regulations
C)   Revenue rulings
D)   Revenue procedures

Question 19

A revenue ruling cannot be relied on as authority by any taxpayer other than the taxpayer for whom the ruling was issued.

Accepted Answer

A) True 
 B)False

Question 20

Which of the following statements regarding secondary authorities is false?

Accepted Answer

A)   In paper format, commercial tax services are organized either topically or by Code section.
B)   Commercial tax services provide legislative history of each Internal Revenue Code section.
C)   Only topically-organized commercial tax services provide a detailed topical index.
D)   The organization and content of the major topically-oriented services differs considerably.

Exam 5: Tax Research

Novice tax researchers tend to exam less material in the course of a tax research project than experienced tax researchers.

Correct AnswerverifiedShow Answer

Which of the following is not administrative authority?

Correct AnswerverifiedShow Answer

When performing step one of the tax research process:

Correct AnswerverifiedShow Answer

A revenue ruling cannot be relied on as authority by any taxpayer other than the taxpayer for whom the ruling was issued.

Correct AnswerverifiedShow Answer

Tax services are typically organized either topically or by Code section.

Correct AnswerverifiedShow Answer

The use of secondary authorities might be appropriate as part of which step in the research process?

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Which of the following statements regarding secondary authorities is false?

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Which of the following is not primary authority on which to base research conclusions?

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Step 4 of the tax research process is to repeat steps 1 through 3 as many times as necessary.

Correct AnswerverifiedShow Answer

Tax research typically occurs as part of the tax compliance process; it is rarely important in tax planning.

Correct AnswerverifiedShow Answer

Locate the revenue procedure that includes the inflation-adjusted individual tax rate schedules for 2016. This revenue procedure usually is released in the fourth quarter of the previous year. Provide a complete citation for your source.

Correct AnswerverifiedRev. Proc....View AnswerShow Answer

Which of the following statements regarding commercial tax services is false?

Correct AnswerverifiedShow Answer

The advantages of electronic tax research libraries do not include:

Correct AnswerverifiedShow Answer

Which of the following is not primary authority on which to base tax research conclusions?

Correct AnswerverifiedShow Answer

Which of the following is not a commercial tax service?

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Which of the following statements regarding administrative authorities is false?

Correct AnswerverifiedShow Answer

Which of the following is a proper citation to a revenue ruling?

Correct AnswerverifiedShow Answer

In the citation Rev. Proc. 2002-32, 2002-1 C.B. 959, the abbreviation C.B. refers to Congressional Bulletin.

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Which of the following statements regarding strategies to locate relevant authority is true?

Correct AnswerverifiedShow Answer

Which of the following is not a secondary authority?

Correct AnswerverifiedShow Answer

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Rev. Proc....
View Answer

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