Tax allowable deductions - Essay ExampleThese qualify at lower rates than ordinary dividends. For the two categories, the rates of dividend are given according to tax brackets.10. Taxable refunds, credits, or offsets of state and local income taxes IRS sec. 6050(e) it says any person who makes refunds of $10 or more in the year on behalf of the state shall be liable to fill the form for refunds.13 Salaries and wages (less employment credit) - Treasury Regulation section 1.47(1-4) – any wages and/ or salaries paid to any employee is allowable for tax purposes. The employment credit should be deducted therefrom.17 Taxes and licenses- Treasury Regulation section 26(1) taxes from the corporate are paid to the treasury as well as any licenses. Very high amounts of taxes are remitted directly to the treasury officials20 Depreciation from Form 4562 not claimed on Schedule A or elsewhere on return (attach Form 4562) - Treasury Regulation section 1.167(a) and (b) states that there is no time that depreciation shall be charged above a figure so reasonable than its salvage value.
