Problem
1) Steve recently bought a truck in Alabama for his business in Georgia. What different types of federal and state taxes may affect this transaction?
2) Montel argues that a flat income tax rate system is vertically equitable. Rene argues that a progressive tax rate structure is vertically equitable. How do their arguments differ? Who is correct?
3) Simon just received a 30-Day letter from the IRS indicating a proposed assessment. Does he have to pay the additional tax? What are his options?
4) What is the difference between primary and secondary authorities? Explain the role of each authority type in conducting tax research.