Question description
SFAS
No. 109 uses the term “tax-planning strategy.” The meaning of this term
in the pronouncement is somewhat different from its usage in ordinary
business conversation. Typically, one would expect the term tax-planning
strategy to connote the actions management takes to minimize the
enterprise’s long-run tax obligation. An enterprise may, for example,
structure its credit sales activities such that these sales would
qualify for treatment as installment sales for tax purposes. Such an
approach would allow the deferral of taxable revenue until cash is
actually received. The use of the term tax-planning strategy in SFAS No. 109 differs from the traditional use, however.Explain the meaning of the term “tax-planning strategy” as the term is used in SFAS No. 109.The writing assignment will demonstrate writing across the curriculum responding to the topic selected in a 500-700 words paper – APA Format with 1 reference
