REG Mnemonics
BIBS
NOT file Chap. 11 Brokers Insurance Banks S&L
RIBS
NOT file Chap.7 Railroads Insurance companies Banks S&L
HIM DEAD
No Penalty Tax: Homebuyer Insurance-medical Medical expense Disability Education And Death
BRINGS B/C
No required registrations (not covered by 1933 Act: Banks Railroads (common carriers) Insurance POLICIES (but their securities need to register) NFP Government Short-term comercial paper (<9mo) Bankruptcy (issued under Chap 11) Church
WRaP
Not deductible: Wash sale losses Related party losses losses (family, >50% owned) And Personal losses
HIDE IT
Not taxable: Homeowner exclusion (500,000 MJF) Involuntary exchange (no gain recog) Divorce property settlement Exchange of like-kind Installment sale Treasury & capital stock
RIPS
Taxes that are itemized: commit"S" Real estate Income Personal property Sales (sales or income tax)
5% TIP
1934 Reporting requirement 10K,10Q,8K >=5% Owners Tender offers Insider (>10%) sharehoulders Proxy solicitations (vote) and statements
MIND
ACE your MIND (Adjusted Current Earnings - AMT Corp) Municipal (or any tax exempt) interest income Increase in CSV life insurance Non SL depreciation DRD (<20% owners, with 70% deduction)
LIE
AMT Adjustment (Corp) Long term contracts Installment sale dealer Excess depreciation
PANIC TIMME
AMT Adjustment (Individual): +Passive loss Accelerated depreciation NOL Installment sale income from dealer Contracts - % vs. complete +Tax deductions +Interest deductions on home equity loans - (add back not for home portion) +Med deductions (10% not 7.5%) +Misc. deductions (add back 2%) +Exemptions (personal) and standard deduction
FACCE
AMT Credits (Individual): Foreign tax Adoption Child tax Contribution to retirement plan Earned income
3P
AMT Preference items (Individual + Corp) Private bond Pre-1987 accelerated depreciation Percentage depletion deduction
SAVR
Attachment (creditor vs. debtor) Security Agreement Value given by creditor debtor has Rights to the collateral
RISE
Common Laws cover: Real estate Insurance Services Employment
WAFTED
Debts not discharged under Chap 7,11 Willful & malicious injury Alimony Fines, debts from Fraud Taxes due <3 years Educational Loans Debts undisclosed in bankruptcy petition
HIPPE
Deductible Interest (to arrive AGI) Home mortgage (home mortgage= $1,000,000; home equity = $100,000) Investment Personal (consumer) Pre-paid Educational loan ($2,500)
CPR'S
Defense of Surety (discharge surety) Creditor = bad guy Payment or Tender of Payment(by debtor/3rd party) Release of principal debtor covenant not to Sue (NOT discharge)
SWAP
Exceptions to Statue of Frauds (UCC) - no writing needed Specially manufactured goods Written confirmation (bind it if not object by 10 days) Admitted in court Performed
CHRIST
Exempt Organizations not filing annual return: Churches High Schools - religious Religious orders - priest, nun Internal-supported groups Societies - missionary related Tax exempt - organized by Congress
MAIDS
Fraud: Material misrepresentation Actual & reasonable reliance Intent Damage Scienter
DAMS
Fundamental Corporate Changes that require shareholders' approval: Dissolution Amendment to the article Mergers, consolidation, compulsory share exchanges Sale of substantially all the corporation's assets outside the regular course of business
NIRD
Personal Holdings Company (PHC) income includes: Net rent (if <50% ordinary income) Interest - taxable portion Royalties (no mineral, oil/gas, copyright royalties) Dividends
SAG WEG CTI
Priorities for distribution of debtor's estate secured creditors Support to spouse and children Admin. fees Gap Claims Wages ($11,725) Employee benefits ($11,725) Grain farmers & fishermen ($5,775) Consumer deposit ($2,600) Tax claims Intoxicated driving unsecured creditors
LAM
Sec. 11 need to prove: Loss Acquired stock Material misrepresentation and omission (Don't need reliance + scienter, but Rule 10b-5 do)
MY LEGS
Statue of Frauds Marriage > 1 Year Land Executors (to pay estate debt out of personal funds) Goods > $500 Surety (pay the debt of another person)