[单项选择]The traditional appeal of the income tax has come from its wide acceptance as a lair tax. closely related to an individual’s ability to pay. For many gears the income tax provided large federal income without imposing heavy burdens on the great majority of people. By the mid-20th century, however, serious criticisms of tax loopholes were heard concerted attempts at reform resulted only in a more complex and eroded tax base. The situation worsened in the 1970s, as rising inflation pushed people into higher tax brackets although their incomes were barely keeping pace with rising prices. This pressure further eroded public confidence in the fairness of the income tax; at the same time it created strong incentives to utilize tax shelters and other loopholes, as well as to conceal off-the-record income. Built-in inflation adjustments were adopted, first by a number of states and then in 1985 by the federal government.
Income tax policy is inevitably controversial because it rests essen
A. many people called for the cancellation of income tax
B. many people questioned the fairness of income tax
C. many people stopped to pay tax because of poverty
D. inflation rose beyond the government’s control

[多项选择]Ava has not yet submitted her income tax return for the tax year 2011/12. She also requires advice on the capital
gains tax and inheritance tax implications of making a gift of a farm to her nephew.
The following information has been obtained from a letter from Ava and from her client file.
Ava’s personal circumstances:
- Ava is 84 years old.
- Ava’s husband, Butt, died on 1 November 2013 after a long and serious illness.
- Ava has no children.
Ava’s income tax reporting:
- Burt had always looked after Ava’s tax affairs as well as his own.
- Ava has recently realised that her income tax return for the tax year 2011/12 has not been submitted.
- The notice to file the income tax return for the tax year 2011/12 was sent to Ava on 1 May 2012.
Bud’s will and lifetime gifts:
- Burt made no transfers for the purposes of inheritance tax during his lifetime.
- Butt left qu
A. 300,000
B. 445,000
C. -
D. Itcan be assumed that both values will increase by 5% per year from 1 February 2014.
E. (a) State by when Ava’s 2011/12 income tax return should have been submitted and list the consequences of
F. submitting the return, together with Ava’s outstanding income tax liability, on 15 December 2013.
G. Note: you are not required to prepare calculations for part (a) of this question.
H. (b) (i) Provide a reasoned explanation for the availability or non-availability of agricultural property relief and
I. businessproperty relief in respect of the intended gift of Hayworth Farm by Ava.
J. (ii) Calculate the capital gains tax and the inheritance tax payable in respect of the gift of Hayworth Farm
K. onthe assumption that Ava dies on 1 January 2018. State the due dates for the payment of the tax
L. liabilities(on the assumption that they are not paid in instalments), the date on which any beneficial
M. claim(s)need to be submitted and any assumptions made.
N. Youshould assume that the tax rates and allowances for the tax year 2011/12 will continue to apply for the
O. foreseeablefuture.

[填空题]

• A．Flat Tax
  Income tax is a direct tax which is levied on the income of private individuals．There are various income tax systems that exist．ranging frOm a flat tax to an extensive progressive tax systern．
  A flat tax，also cal led a proportional tax，is a system that taxes．Usual ly the flat tax is proposed to k ick in at a certain income level，or to exempt income below that level，so that the lowest-income members of society don’t need to pay income tax．
  Proposed flat taxes usually allow little or no exemption of earned income besides the bottom-level exemption．
  Advocates of a flat tax claim that it will end unfair discrimination．They also argue that flat taxes are easier(and cheaper)to administer and comply with than complex，graduated taxes．Most political parties that advocate the introduction of a flat tax are on the right of the pol itical spectrum．
• B．Progressive Tax
  A progressive tax，or graduated tax，is a tax that is larger as a percentage o
  

[单项选择]
Business corporations, like individuals, must pay taxes on their income In 1966 the corporation income tax provided 23 percent of all government receipts. By 1983 the figure had dropped to 6.2 percent, but by 1987 it climbed to 10.2 percent.
The corporation income tax is often criticized as double taxation(税收). Not only must the company pay taxes on its profits, but individual shareholders(股东) must also pay personal income taxes on dividend(红利) income. The small stockholder has been given some relief by the provision allowing taxpayers to deduct(扣除) the fist $100 they receive in dividends from their personal income. In addition, money that is gained from the increase in the value of stock sold at least six months after its purchase considered a capital gain. The law allows the seller of such stock to pay a lower tax tate on the capital gain. However, gains from stock owned for less than six months are taxed at
A. prices will go down
B. there will be stiff competition
C. sales will be reduced
D. the customer will be benefited