What is an example of a Section $751($hot$)$ asset?

Unrealized receivables

Cash

Capital assets$$

Section $1231$ assets

What is a characteristic of a limited liability company $($LLC$)?$

LLCs use the corporate marginal tax rate.

LLCs can elect to be taxed as corporations.

Each partner is liable for the acts and omissions of the other partners.

The first $$50,000$ of income is taxed at a $15\%$ marginal income tax rate.

How is a distribution affected when one partner withdraws from a partnership and receives payment in the form of a partnership's $751$ assets?

It must be nonliquidating

It must be a mandatory basis adjustment.

It must be recognized as ordinary income

It must be recognized as capital gains income.

What does the IRS use to calculate a score that represents the probability of tax liability misrepresentation in a given tax return?

The discriminant function system

The document perfection program

The information matching program

The document matching program

What may not be cited as precedent by a taxpayer?

A private letter ruling issued to another taxpayer

A revenue ruling published in the Cumulative Bulletin

A revenue procedure

A temporary regulation