Case Study 1. Using the information below, complete the fillable TPT-EZ form, Ly Arizona Business Property Statement, exemption certificate form, and submit a word document answering the questions. for Tacos Locos. Case Study You are an accountant hired to complete the tpt-ez form for your client Tacos Locos. Tacos Locos is a restaurant that sells food and beverages. In addition, Tacos Locos rents part of their building to EZ Street. Based on the details below, you must complete the tpt-ez form using the January 2019 rates listed on the Arizona Department of Revenue website. Figure out the protentional deduction(s) on schedule A. Determine if Tacos Locos is allowed an accounting credit. What form does Tacos Locos need to complete for its vendor Big Market for exemption of sales tax? Find the form and complete it for Tacos Locos. In addition to completing the tpt-ez form and the exemption certificate, help Taco Locos complete the business property statement form. After completion of the above mentioned forms, you must provide answers to the questions listed below. Tacos Locos 1 Pollo Way Mesa, AZ 85202 480-555-5555 EIN 45-398686 License 223689 Food sales for January 2019 is $10,253 Beverage sales for January 2019 is $4,532 Rent collected from EZ Street $2,000 Cost of food $4,000 Cost of beverages $665 Sales Tax Collected Food $1,331 Rental tax collected $36 Enter your name for preparer. Vendor used to supply food and beverages: Big Market 23 Super Store Drive Mesa, AZ 85202 480-667-7777 Account # 25869 Inventory: Business property Account number 456234. None of the items were transferred from another location and taxes were not already paid.Inventory: Business property Account number 456234. None of the items were transferred from another location and taxes were not already paid. Purchased 9/5/18 Stove $1,300 Sold 12/1/18 Grill $2,500 Purchased 5/5/18 Beverage Machine $1,000 Purchased 6/12/17 listed Booths $5,000 Balance as of 12/31/18 Food $3,000 Balance as of 12/31/18 Beverages $2,250 Balance as of 12/31/18 Office Supplies $1,400 Enter your name as authorized agent. 1. What happens to Tacos Locos if they submit the tot-ez form on the 25th of February? 2. Calculate the penalties for filing the January 2019 tpt-ez form 6 months late. Can any of these penalties be waved? 3. Are there any penalties if you submit the tpt-ez form on time but do not submit payment? 4. What happens if you make a mistake on an already filed return? Let's say for January 2019 the total beverage sales should be $8,663. What are the steps to make the correction? 5. What if Tacos Locos did not make a profit? Do they need to file the January 2019 tpt-ez form? 6. What if Tacos Locos forget to collect transaction privilege tax from the customers? Do they need to file the tpt-ez form? 7. Is Tacos Locos required to renew their tpt-license every year? If so, what is the process or cost to renew the license? 8. Why is it important for Tacos Locos to complete the exemption form to Big Market? What would happen if the form was never completed?Print All Pages Page 1 TRANSACTION PRIVILEGE, USE, AND SEVERANCE TAX RETURN - (TPT-EZ) Calculate Arizona Department of Revenue Reset PO Box 29010 - Phoenix, AZ 85038-9010 Form TPT-EZ is for filing For assistance out of state or in the Phoenix area: (602) 255-3381 or periods beginning on or TPT-EZ return is due the 20th day of the month following Statewide, toll free area codes 520 and 928: (800) 352-4090 after June 1, 2016. the month in which the transactions were conducted TAXPAYER IDENTIFICATION NUMBER X EIN 45-398686 LICENSE NUMBER TAXPAYER INFORMATION 223689 AMENDED RETURN FINAL RETURN CHECK HERE AND SIGN BELOW IF YOU PERIOD BEGINNING PERIOD ENDING (Cancel License) HAVE NO GROSS RECEIPTS TO REPORT 01 10 1 12 0 1 9 BUSINESS NAME 10 113 120 19 REVENUE USE ONLY. DO NOT MARK IN THIS AREA Tacos Locos C/O REMINDER ABOUT PRINTING * Use the Blue PRINT buttons to print your completed MAILING ADDRESS return with calculations. 1 Pollo Way "Do NOT use the print icon on the menu bar. CITY STATE ZIP CODE RESET BUTTON: Mesa AZ 85202 Use reset button to reset ALL fields. ADDRESS CHANGED (MAILING ADDRESS ONLY) BUSINESS PHONE NUMBER CALCULATE BUTTON: (480) 555-5555 * Yellow fields will auto-calculate, if not click Calculate button. AA NET AZ/COUNTY TAX (PAGE 2, LINE 7, COLUMN (M)).. AA 0.00 A1 STATE EXCESS TAX COLLECT.. A1 A2 EXCESS TAX ACCOUNTING CREDIT .. A2 A3 SUBTOTAL (LINE AA + A1 -A2 = NETIAZ COUNTY TAX). A3 BB NET CITY TAX (PAGE 2, LINE 14, COLUMN (M)).. BB 0.00 B1 CITY EXCESS TAX COLLECTED B1 82 SUBTOTAL (LINE BB + B1 = NET CITY TAX). B2 CC NET TAX DUE ON THIS RETURN (LINE A3 + LINE B2 = LINE CC)... cc DD TPT ESTIMATED PAYMENTS TO BE USED ON THIS RETURN (JUNE RETURN ONLY, DUE IN JULY). . DD EE TAX DUE NET OF TPT ESTIMATED PAYMENTS (LINE CC - LINE DD = LINE EE). EE FF TOTAL AMOUNT REMITTED WITH THIS RETURN. . FF Under penalties of perjury, I declare that I have examined this return, including accompanying schedules and statements, and to the best of my knowledge and belief, it is true, correct and complete. Declaration of preparer (other than taxpayer) is based on all information of which preparer has any knowledge. The taxpayer designates the individual listed below as the person to contact to schedule an audit of this return and authorizes the disclosure of confidential information to this individual. TAXPAYER PRINTED NAME PAID PREPARER'S PRINTED NAME (OTHER THAN TAXPAYER) PAID PREPARER'S TIN TAXPAYER SIGNATURE DATE TAXPAYER PHONE NO. TITLE PAID PREPARER'S SIGNATURE (OTHER THAN TAXPAYER) PAID PREPARER'S PHONE PLEASE MAKE CHECK PAYABLE TO: ARIZONA DEPARTMENT OF REVENUE ADOR 11263 (7/18)TRANSACTION PRIVILEGE, USE, AND SEVERANCE TAX RETURN - (TPT-EZ) LICENSE NUMBER: 223689 Page 2 STATE (AZ) /COUNTY TRANSACTION DETAIL (See Table 1 on the Tax Rate Table, www.azdor.gov) (A) (B) (C) (D) (E) (G) (H) (M) REG. NAME OF DEDUCTIONS ACCTNG (H) X (K) = (L) CODE REGION |BUS. DESC. OF GROSS FROM SCHEDULE A (F) - (G) = (H) NET TAXABLE TAX RATE H) X (1) = (J TOTAL TAX CREDIT ACCOUNTING (J) - (L) = (M) CODE BUS. ACTIVITY RECEIPTS COUNTY RATE CREDIT AZ/COUNTY TAX DUE 7AZ/COUNTY SUBTOTAL (AMOUNT IN COLUMN M, MUST EQUAL PAGE 1, LINE AA) .... 0.00 CITY TRANSACTION DETAIL (See Table 2 on the Tax Rate Table, www.azdor.gov) (A) (B) (C (D) (E) (F) LOC. CITY BUS. DESC. OF DEDUCTIONS (H) CITY ( J ) (K) (L) CODE CODE NAME OF CITY FROM (J) - (L) = (M) CODE BUS. ACTIVITY GROSS RECEIPTS SCHEDULE A (F) - (G) = (H) NET TAXABLE TAX RATE (H) X (1) = (J) TOTAL TAX CITY CREDIT CITY TAX DUE 10 11 12 13 14 CITY SUBTOTAL (AMOUNT IN COLUMN M, MUST EQUAL PAGE 1, LINE BB ) .... 0.00 NOTE: The deduction amounts that have been listed on the lines in column G must be itemized by category for each region code and business code reported. The total of the amounts listed in Schedule A must equal the total of the Deduction Amounts listed in column G. SCHEDULE A - DEDUCTION DETAIL INFORMATION STATE (AZ) /COUNTY DEDUCTIONS DETAIL SCHEDULE A - DEDUCTION DETAIL INFORMATION (A) CITY DEDUCTIONS DETAIL (B) (C) (D) (E (F) (A) (B) (C) (D) (E (F) REGION BUS. DEDUCTION CODE CODE CODE DEDUCTION AMOUNT DESCRIPTION OF DEDUCTION CODE LOC. CITY CODE CODE BUS. DEDUCTION CODE CODE DEDUCTION AMOUNT DESCRIPTION OF DEDUCTION CODE 6 AZ/COUNTY TOTAL DEDUCTIONS TOTAL MUST EQUAL TOTAL ON PAGE 2, LINE 7, COLUMN G 13 CITY TOTAL DEDUCTIONS. ADOR 11263 (7/18) TOTAL MUST EQUAL TOTAL ON PAGE 2, LINE 14, COLUMN G Calculate